Molded Fiber Packaging Market Analysis

Global Molded Fiber Packaging Market Overview

Molded Fiber Packaging Market Size was valued at USD 10696.32 million in 2023. The Molded Fiber Packaging industry is projected to grow from USD 11142.9 million in 2024 to USD 16988.72 million by 2032, exhibiting a compound annual growth rate (CAGR) of 5.31% during the forecast period 2024 – 2032. Increasing End-Use Industry Demand and Utilization Of Eco-Friendly, Long-Lasting Protective Packaging Techniques are the key market drivers enhancing the market growth for Molded Fiber Packaging.

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   Increasing Preference of Consumers for Recyclable and Eco-Friendly Materials will drive market growth

  
  

Over the past few years, climate change has become a worldwide concern. Globally, corporations are becoming very concerned about sustainability. When it comes to environmental protection, waste generated by packaging food, beverages, and consumer goods is one of the essential components of sustainability. Consumers highly value eco-friendly packaging. Recently, consumers have become increasingly conscious of the negative effects of excessive plastic waste, especially single-use plastic garbage, on the environment. A conscious effort pushing people to reduce plastic usage has led to an increase in demand for products made of biodegradable materials manufactured from leftovers from other products.

The World Bank predicts that the amount of waste produced will increase from 2.01 billion tonnes in 2016 to 3.40 billion in 2050. Around the world, at least 33% of this garbage is mistreated by being dumped in the open or burned. The composition of trash varies according to socioeconomic status, reflecting various consumption habits. High-income nations generate less food waste and organic waste, which account for 32% of total devastation, and more dry trash that can be recycled, such as plastic, paper, cardboard, metal, and glass, which accounts for 51% of total waste. Over the projected period, more stringent environmental legislation is anticipated to fuel demand for molded pulp. Demand for molded pulp packaging that is biodegradable and created from recycled materials is anticipated to increase as environmental regulations tighten.

Fiber packaging has become more appealing to customers as environmental sustainability has gained prominence. It is not only constructed of recycled materials; after completing its useful life cycle, it is also readily recyclable. Contrary to Styrofoam and plastic packaging, which are predicted to fuel the market's growth, molded fibers used in packaging are biodegradable. Pulp packaging has emerged as a desirable option as the importance of environmental sustainability has increased. In addition to being produced from recycled materials, it is recyclable and may be used again up to seven times after its initial function has been fulfilled. In contrast to Styrofoam and plastic packaging, the molded pulp is environmentally friendly and may be recycled if necessary.

Therefore, the quick move toward healthy drinking habits has increased the market CAGR for Molded Fiber Packaging globally in recent years. In developed economies like Europe and North America, the demand for Molded Fiber Packaging market is anticipated to increase due to this eco-friendly packaging. The income from the Molded Fiber Packaging market revenue is anticipated to be greatly influenced by creative packaging. The use of environmentally friendly materials in the manufacture of packaging material greatly aids in fostering a favorable brand perception among consumers.

Molded Fiber Packaging Market Segment Insights

Molded Fiber Packaging Type Insights

The Molded Fiber Packaging segmentation, based on type, includes thick-wall, transfer molded, thermoformed fiber and processed pulp. With a 57.3% market share in 2021, the transfer molded segment led the market by type. Due to the material's hygroscopic quality and air permeability, transfer molded pulp packaging is widely used in food packaging applications. This prolongs the shelf life of food and beverage goods being transported. Additionally, stress absorption offered by molded pulp packing reduces breakage and damage to items, notably to eggs, fruits, vegetables, and alcoholic and non-alcoholic drinks.

Molded Fiber Packaging Source Insights

Based on product type, the Molded Fiber Packaging segmentation includes wood pulp and non-wood pulp. According to the report, the wood pulp segment accounted for 86.2% of the revenue share in 2021 due to wood pulp's wide availability and falling price. The cost of pulp is going down in much of the area. For example, in China, the price of pulp decreased from USD 770 per tonne in 2018 to USD 580 per tonne in 2021, which helped the molded wood pulp packaging market increase during the previous several years. However, the non-wood pulp category is anticipated to increase throughout the projected period quickly. Growing worries over deforestation are blamed for the rise in the Molded Fiber packaging industry.

Figure 2: Molded Fiber PackagingMarket, by Source, 2023 & 2032 (USD Million)Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Molded Fiber Packaging Product Type Insights

Based on product type, the Molded Fiber Packaging data includes trays, clamshell containers, boxes, end caps and others. With a 41.6% revenue share in 2021, the trays category led the molded pulp packaging market worldwide. Most sectors that deal with food and food service utilize trays. This results from their high convenience, stress absorption, and stability. Molded pulp trays are frequently used for main egg packaging in retail distribution channels in the food business. For instance, Genpak LLC expanded its Harvest Fiber product range in February 2019 by releasing four new items, including the HF3TT and HF2X2T trays and the HF2X2 and HF4CC clamshells.

Molded Fiber Packaging End-Use Insights

The Molded Fiber Packaging data, based on end-use, includes food & beverage, electronics, personal care, healthcare and others. With a 49.8% revenue share in 2021, food packaging took the lead as the most popular application category for molded pulp packaging; the material is typically used for packaging fruits, vegetables, and eggs. For imports and exports, fruits and vegetables such as apples, oranges, strawberries, and tomatoes are also packed as molded pulp products. It aids in controlling fruit respiration and maintaining ethylene density, which slows down the ripening process. Consequently, this contributes to fruits and vegetables having a longer shelf life

Molded Fiber Packaging Regional Insights

By Region, the study provides market insights for Molded Fiber Packaging into North America, Europe, Asia-Pacific and the Rest of the World. Asia Pacific Molded Fiber Packaging market accounted for USD 1113.6 million in 2021 and is expected to exhibit a significant CAGR growth during the study period. Due to its enormous population and rising disposable income levels, China's Molded Fiber Packaging Market has the largest food and beverage market in Asia, accounting for 53.5% of the Region's total sales. The China Chain Store & Franchise Association released research claiming that the country's food and beverage market would grow dramatically in 2019 and reach $595 billion, up 7.8% from 2018. Growing single-use plastic packaging issues are caused by the nation's expanding food and beverage industry. As a result, there is a demand for environmentally friendly packaging options such as molded pulp packets to boost the Asia Pacific Molded Fiber Packaging industry.

Further, the major countries studied in the market report for Molded Fiber Packaging are The U.S., Canada, Germany, France, the U.K., Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3: MOLDED FIBER PACKAGING MARKET SHARE BY REGION 2023 (%)Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

North America Molded Fiber Packaging market is the fastest growing region, as home to many food service businesses, including restaurants, fast food chains, and catering services, was the second-largest Molded Fiber Packaging Market in 2021. The need for product packaging solutions is anticipated to increase due to the increased incidence of eating outside the house brought on by busy lives and higher per capita disposable income. Further, the U.S. Molded Fiber Packaging market held the largest market share, and the Canada Molded Fiber Packaging market was the fastest-growing in this Region.

European Molded Fiber Packaging market held the second fastest-growing region. One million restaurants and mobile food services operate in the E.U., projected to rise throughout the projection period. The need for sustainable packaging solutions is anticipated to rise along with the number of restaurants and other food outlets. The E.U.'s member nations uphold strict regulatory standards to prevent negative environmental effects from trash disposal, particularly plastics, fostering a healthy market for molded pulp packaging. Moreover, the Germany Molded Fiber Packaging market held the largest market share, and the U.K. Molded Fiber Packaging market was the fastest-growing in this Region.

Molded Fiber Packaging Key Market Players & Competitive Insights

Major market companies are spending a lot of money on R&D to diversify their product lines, propelling the industry's further expansion. Market participants engage in strategic activities to increase their presence with significant industry changes, including new product releases, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Businesses in the Molded Fiber Packaging industry sector must offer inexpensive items if they want to expand and prosper in an environment where market development is booming, and competition is intense.

One of the primary business strategies manufacturers employ in the Molded Fiber Packaging industry to serve clients and expand the market sector is local manufacturing to reduce operating costs. Recently, the Molded Fiber Packaging industry has provided some of the most significant benefits for the medical field. The Molded Fiber Packaging market major players such as Huhtamäki Oyj (Finland), Brødrene Hartmann A/S (Denmark), UFP Technologies Inc. (U.S.), Henry Molded Products Inc. (U.S.), Robert Cullen Ltd (U.K.).

For quick service restaurants, coffee shops, retail stores, caterers, and vending operators, Huhtamäki Oyj (styled Huhtamaki) manufactures food packaging, disposable containers, egg cartons and fruit packaging. Its headquarters are in Espoo, Finland, and it works globally. Huhtamaki stated in May 2019 that it would replace black plastic with new fiber-based meal trays that could be used in both a standard oven and a microwave. These trays may be recycled and are approved for use in household composting.

In addition to dominating the markets for fruit packaging in South America and India, Brdrene Hartmann A/S is also the largest manufacturer of technology for the creation of molded-fiber packaging in the world. In 2021, the group revenue of the firm climbed to DKK 2,744 million. Operating profit for the quarter was 250 million DKK or a profit margin of 9.2%. The amount invested climbed to 542 million DKK.

List of the Key Companies in the Molded Fiber Packaging Market include

• Huhtamäki Oyj (Finland)

• Brødrene Hartmann A/S (Denmark)

• UFP Technologies Inc. (U.S.)

• Henry Molded Products Inc. (U.S.)

• Robert Cullen Ltd (U.K.)

Molded Fiber Packaging Industry Developments

In September 2022, Fang Thai Factory Ltd. had a joint venture with the Indian brand Ecosure Pulpmolding Technologies Ltd. to produce chemical-free fiber pulp. The name of the company is now FTF Candia Fiber Mold Packaging (Thailand) Co. Ltd, and it provides sustainable packaging solutions made from cellulose.

Moorim P&P, a South Korean producer, introduced its selection of various products made from pulp molds, including lunchbox containers and plates, in July 2021.

HZ Green Pulp of Malaysia engaged in an agreement with PulPac in April 2023 to manufacture dry molded fiber for packaging products in Malaysia.

Matrix Pack has joined forces with Curt G. JOA Inc., announced in July 2023, to introduce their machinery for dry mold fiber production. Besides that, they will help Matrix Pack enter into North American and European markets.

Specialized Packaging Group acquired Pacific Pulp Molding, Inc. by October 2022 to reinforce its position in the molded fiber market.

Scandicore one of the leading companies specializing in sustainability packaging, introduced the first paper tube cover ever made by PulPac using their ‘Dry Molded Fiber’ technology back in February 2022.

Omni-Pac Group UK is a molded fiber packing supplier that announced in May 2023 the opening of a €8 mln ($8.5 mln), 60 thousand sq. ft site located in Scunthorpe town (UK). This expansion will enable Omni-Pac to increase its manufacturing capacity and create more than 100 new jobs over a five-years period.

Sabert Corporation has made an announcement that it is launching two new proprietary blends of molded fiber; Pulp Plus and Pulp Max on June 2023 that are intentionally PFAS-free. Sabert’s new pulp mixtures seek to support clients in achieving sustainability goals as part of its commitment to remove all intentionally added perfluoroalkyl and poly-fluoroalkyl substances (PFAS) from its product range by the end of 2023.

The Swedish firm that makes “Dry Molded Fiber”, PulPac has teamed up with PA Consulting in February 2023 to create a fiber bottle meant to replace plastic bottles in the sectors like food, beverages, consumer health goods and FMCG. It is based on PulPac marketing technology itself.

Molded Fiber Packaging Market Segmentation

Molded Fiber Packaging Type Outlook

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  Thick-Wall

  
  


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  Transfer Molded

  
  


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  Thermoformed Fiber

  
  


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  Processed Pulp

  
  

Molded Fiber Packaging Source Outlook

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  Wood Pulp

  
  


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  Non-Wood Pulp

  
  

Molded Fiber Packaging Product Outlook

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  Trays

  
  


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  Clamshell Containers

  
  


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  Boxes

  
  

Molded Fiber Packaging End-User Outlook

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  Food & Beverage

  
  


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  Electronics

  
  


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  Personal Care

  
  


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  Healthcare

  
  


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  Others

  
  

Molded Fiber Packaging Regional Outlook

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  North America

  
  
  
  
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    US

    
    
  
  
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    Canada

    
    
  
  
  
  


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  Europe

  
  
  
  
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    Germany

    
    
  
  
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    France

    
    
  
  
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    UK

    
    
  
  
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    Italy

    
    
  
  
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    Spain

    
    
  
  
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    Rest of Europe

    
    
  
  
  
  


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  Asia-Pacific

  
  
  
  
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    China

    
    
  
  
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    Japan

    
    
  
  
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    India

    
    
  
  
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    Australia

    
    
  
  
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    South Korea

    
    
  
  
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    Australia

    
    
  
  
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    Rest of Asia-Pacific

    
    
  
  
  
  


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  Rest of the World

  
  
  
  
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    Middle East

    
    
  
  
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    Africa

    
    
  
  
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    Latin America