Agricultural Packaging Market Research Report by Material (Plastic, Paper & Paperboard, Metal, Glass), Product (Pouches, Bags, Bottles, Trays), Barrier Strength (High, Medium, Low), Application (Chemical Pesticides, Chemical Fertilizers, Biologicals) and Region — Forecast till 2032

Agricultural Packaging Market Overview

Agricultural Packaging Market Size was valued at USD 6.54 billion in 2023. The Agricultural Packaging industry is projected to grow from USD 6.87 Billion in 2024 to USD 10.64 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 5.60% during the forecast period (2024 - 2032). The growing need for agricultural packaging stems from a desire to improve supply networks by decreasing food waste. Due to the increased demand for flexible packaging, plastic packaging is affecting market growth on consumer preference and hence, the attributions are rising during the ongoing forecast period that will end in 2032.

The Agricultural packaging market was also somehow affected by the pandemic COVID 19 but many countries declared a surplus for the agricultural industry during the COVID pandemic to reinforce the sector's storage and supply chain, which includes packaging. For example, the Indian government has announced a surplus of INR 1 lakh crore for agricultural infrastructure. All of these will help the market recoup well after epidemic.

However, One of the primary reasons driving the market's growth is tremendous growth in the agricultural business, as well as increased global commerce of agricultural products. Because of the world's growing population and rising demand for food, agricultural packaging technologies are increasingly being used to carry harvest shipments securely across distinct areas of the globe.

In March 2024, the Ministry of Agriculture began an initiative that involves labeling rice and vegetables to help reduce greenhouse gas emissions while maintaining biodiversity. These labels will be seen in product packaging as well as posters, with the idea being to enhance awareness among consumers about environmental actions towards having a sustainable food system. Among the 23 targeted products, such as rice, tomatoes, and cucumbers, this scheme is premised on contributions made by producers depending on their daily usage of pesticides, fertilizers, and fuel. The grade shown by the label is represented by stars from 1-3, which indicate how much reduction it has achieved. More stars mean greater efforts at reduction.

Competitive Landscape

List of the major companies in the Agricultural Packaging Market are

• ondi (Austria)


• Novolex (The US)


• B. Fuller Company (US)


• Greif (US)


• Anderson Packaging Inc (US)


• ProAmpac (US)


• Sonoco Products Company (US)


• NNZ Group (Netherlands)


• LC Packaging (The Netherlands)


• Packaging Corporation of America (US)


• Atlantic Packaging (US)


• Flex-Pack (US)


• RM CONVERTERS (India)

Agricultural packaging is a relatively saturated market. To create a lasting competitive advantage, market players are innovating their design, technology, and applications. They're also pursuing competitive strategies including collaborations, expansions, and offers.

Amcor plc teamed up with Espoma Organic, a lawn and garden company, to develop sustainable packaging and introduce a new bio-based polymer package in the historic forecast period. In this scenario, the polyethylene (PE) film comprises 25% bio-based material generated from sugar cane.

Mondi, a multinational packaging and paper company, has completed the installation of a new state-of-the-art paper sack converting machine at its Nyiregyhaza, Hungary, facility. The machine will enable the business to start a new line of paper sacks for food packing, with a capacity of more than 130 million sacks per year.

Mondi, the leading worldwide packaging and paper company, has teamed up with Cotesi for the shared purpose of uplifting the essence of farming through sustainable agribusiness. This project is aimed at introducing a paper alternative known as “Advantage Kraft Mulch” to replace traditional plastic mulch films used in agriculture by farmers. Mulch films play an essential role in food security, protecting crops from birds, weeds, water erosion, excess sunlight, and heavy rainfall. Today’s manufacturers have been purely using plastics, which are put on the ground during planting seasons and removed after harvesting, thereby contributing to plastic waste challenges.

Agricultural Packaging Market Dynamics

Drivers

Because of the global expansion of the e-commerce sector, the need for agricultural packaging is continually rising. People nowadays prefer online shopping and want more product protection, which might contribute to the market's growth throughout the forecast period. Pest infestations are rising, driving demand for various crop protection chemicals such as insecticides and fertilizers, both of which are harmful. As a result, they require improved packaging to decrease risk when handling, storing, and shipping these agrochemicals, driving up demand for agricultural packaging solutions for agrochemicals to prolong the shelf life.

Due to the increasing awareness of the waste of agricultural products and the deterioration of food supplies, which are essential driving reasons for agricultural packaging. Furthermore, rising population in countries like China and India, as well as enormous pressure on food production, has resulted in a high need for efficient and cost-effective agricultural packaging, which might be another factor driving market growth over the projection period.

Restraints

The inconsistency in raw material prices, as well as the regeneration of old and rejected packaging materials, are the central concerns restraining the growth of the agricultural packaging market. Petroleum and crude oil, for example, are used to make plastics. The sector faces a huge issue in balancing the pricing of packaging products owing to the increased volatility of oil prices. Due to the entrapment of harmful chemicals inside agrochemical packaging, the regeneration of packaging waste has been a barrier across the industrial packaging industry, and even more so for agrochemical packaging.

Technology Analysis

Agriculture is the world's most globalized industry. Packaging for the agricultural business will aid in the preservation and protection of food, as a substantial portion of food is transported thousands of kilometers and the majority of the food is wasted due to incorrect handling, such as inadequate storing and packaging. They are packaged in such a way that the product's shelf life is extended and the freshness of the product is maintained. Agricultural packing aids in the preservation of agricultural products' original qualities while they are being boxed and delivered.

Study Objectives

• To identify and forecast the size of the Agricultural packaging market by material, product, application, barrier strength, and regional markets for the forecast period ending in 2028.


• To identify the market potential by finding the market's largest and fastest-growing segments across regions.


• To analyze demand-side aspects based on the market's effect from macroeconomics and microeconomics factors, as well as fluctuations in demand patterns across sub-segments and regions.

Agricultural Packaging Market Segment Overview

The Agricultural Packaging material market has been bifurcated into various segments that will help the market to witness the highest CAGR during the forecast period. The market has been segmented based on the following:

Based on material, the market has been segmented as follows:

• Plastic


• Paper and Paperboard


• Metal


• Glass and


• Others (Glass, Nanomaterial, and Jute)

Based on Product, the market has been segmented as follows:

• Pouches


• Bags


• Bottles


• Trays and


• Others(Sacks, Tubes, and Jars)

Based on Barrier Strength, the market has been segmented as follows:

• High


• Medium


• Low

Based on application, the market has been segmented as follows:

• Chemical pesticides


• Chemical fertilizers


• Biological

Intended Audience

• End-Users


• Government Associations


• Research Institutes


• Distribution vendors


• Packaging Manufacturers, Suppliers, Distributors, and Retailers

Regional Analysis

Geographically, Asia-Pacific is predicted to be the largest market in the worldwide agricultural packaging industry, with the greatest CAGR expected over the forecast period. One of the key factors for the expansion of the agricultural packaging industry in this region is the increased need for food, which is a result of the region's rapid population growth. With the rise of urbanization in emerging countries, the market for agricultural packaging is rising. Because the export and import of fresh fruits, vegetables, and other grains are increasing, the agricultural packaging business is expanding rapidly. The fastest-growing market could be due to the increased demand for seeds in China and India.

In the agricultural packaging industry, Asia Pacific is expected to have the greatest market share, followed by North America over the forecasted period. Growing agrochemical trade opportunities around the world, particularly in countries like China, India, the United States, and Canada, are important drivers driving these regions' rapid growth. Agricultural packaging for fertilizers is predicted to enhance Europe's development rate, as the region's economy has been stifled by increasing rules on chemical pesticide use and maximum residue limits.

Recent Developments

• KM Packaging introduces a new line of compostable products in January 2021. Shrink wrap, stretch wrap, sticky tape, netting, and bags will all be part of the C-Range of bio-plastic packaging materials. These bio-plastic goods were created in collaboration with Treetop Biopak, a company that specializes in compostable packaging solutions.

• With the debut of BanaBag, Smurfit Kappa, a manufacturer of paper-based packaging solutions, has expanded its portfolio of sustainable and biodegradable agricultural products. It solves the necessity for quality assurance for bagging across the banana plant's whole growth cycle. It protects the fruit from disease and insects while also preventing overheating that can occur when other materials, like plastic, are used.

• Andaltec, a Spanish plastics technology center, started the 'BioNanocel' R&D project, which aims to develop bio-based active plastic packaging made from cellulose derived from vegetal biomass. The goal of this project is to develop a sustainable plastic material for the food sector that has improved qualities. It will repurpose vegetal biomass waste from agricultural activities that would otherwise be thrown away.

Report Overview

The Agricultural Packaging market report has been prepared after conducting a significant and in-depth analysis of the market that aims at achieving the targets during the ongoing forecast period that will be ending in 2028. The market report has emphasized all the factors relevant to the growth of the market. The report also emphasizes increasing the shelf life of the product, facilitating branding and food labeling, and controlling temperatures within the packaging.