Packaging Additives Market Size

Packaging Additives Market size was over USD 601.3 million in 2024 and is estimated to reach USD 1.3 billion by the end of 2037, expanding at a CAGR of 4.6% during the forecast timeline, i.e., 2025-2037. In 2025, the industry size of packaging additives is evaluated at USD 628.9 million.

The increasing demand for enhanced packaging performance is fueling the packaging additives market’s growth. As consumer preferences shift toward longer shelf life, better durability, and sustainable packaging, additives play a crucial role in improving material strength, barrier properties, and recyclability.  A survey conducted by McKinsey & Company in October 2020 in 10 different countries, concluded that almost 70% of respondents were willing to pay more for a product packaged sustainably.  This trend is driven by industries like food, beverages, and pharmaceuticals, seeking reliable and eco-friendly packaging solutions.

Additionally, as consumers and regulations push for sustainable options, packaging manufacturers are increasingly adopting additives that enhance recyclability, biodegradability, and performance. In the US and the UK, more than half (52%) of consumers want brands to produce goods with recycled or little packaging. These additives help create packaging that meets environmental standards while maintaining durability and protection, aligning with global sustainability goals.