Flexible Packaging Paper Market Trends

Growth Drivers

• Rising Demand for Flexible Packaging Paper in Pharmaceuticals – Based on a report, the pharmaceutical industry was projected to be around USD 1.5 trillion in 2021. The pharmaceutical industry comprises the discovery, development, production, packaging, and distribution of medicines and drugs. The medicines and drugs are supplied from country to country for consumption by patients. Therefore, the proper demand for packaging these medicines emerges in the market, resulting in higher utilization of flexible packaging paper.

• Worldwide Escalation in the Ready-to-Eat Food Industry - Ready-to-eat, instant food mix is gaining popularity as such food is most convenient for those people who have a hectic work schedule. Ready-to-eat food products are one of the best alternatives to traditional cooking that saves a lot of time. Such benefits have made these meals highly demanded by working people and students. Therefore, the surging demand for instant food has been increasing the growth ratio of the ready-to-eat food industry across the globe, which is further estimated to positively affect the flexible packaging paper market in the coming years. For instance, the global value of the ready-to-eat food industry is expected to be approximately USD 198 billion by 2026.

• Growing Inclination of Men Toward Makeup and Cosmetics - As of 2020, it was estimated that nearly 60% of men were using makeup or concealer across the globe.

• Increasing Production and Demand for Skin & Hair Care Products – For instance, in 2022, the skin care segment across the globe was projected to be nearly USD 8 billion.

• Worldwide Growth in Retail E-Commerce – For instance, global retail e-commerce sales were estimated to be around USD 6 trillion in 2021. By 2026, this amount is estimated to propel nearly 58%, totaling roughly USD  9 trillion.

Challenges

• Possibility of Negative Impact on the Environment – As packaging paper often ends up in landfills, taking up more space than plastic.  Also, the paper has poor barrier properties and offers less of a barrier to oxygen, light, and microbes than other packaging materials. Hence, this factor is estimated to hamper the market growth over the projected time frame.
• Disrupted Supply Chain Owing to COVID-19
• Lack of Awareness and Proper Investment