Retort Packaging Market Analysis

The packaged food industry is experiencing significant growth due to various factors that are changing the way people consume food. The world's population is increasing rapidly, and more people are living in urban areas with busy lifestyles. As a result, there is a rising demand for food that is convenient and ready-to-eat. People now have more income to spend, especially in developing countries, leading to increased spending on discretionary items like packaged food.

The rise of e-commerce platforms is also playing a crucial role in boosting the packaged food industry. People can now easily order a variety of food products online, contributing to the industry's growth. The demand for dairy products is increasing, and there is a growing preference for foods that are conveniently packaged. These factors, along with the growth of the retail sector, are supporting the expansion of the packaged food market.

Standup pouches have become particularly popular in retail, offering more advantages compared to traditional plastic bag packaging. According to the European Retail Round Table, the retail sector in Europe has an annual turnover exceeding USD 350 billion, with over 34,000 working stores. The increasing number of retail chains in Europe is expected to create more opportunities for the packaged food industry. In 2018, the food and drink industry in Europe generated a turnover of USD 1,230.9 billion, making it the largest manufacturing industry in the EU.

Developing countries are also witnessing substantial growth in their food industries. For example, in India, the fast-moving consumer goods (FMCG) sector generated USD 69.38 billion in revenue in 2018 and is projected to reach USD 103.7 billion by 2020. This growth is attributed to liberalized foreign direct investment (FDI) policies, strong macro-economic indicators, and economic and industrial reforms, contributing significantly to the development of the food production and processing industries.

A significant portion of the FMCG sector is comprised of food and beverage products, including packaged foods like ready-to-eat meals and beverages, as well as dairy-based products. The increasing consumer preference for ready-to-eat products has created a demand for efficient packaging solutions, such as retort packaging, to preserve the quality of these products. Retort packages, being lightweight and easy to pack, have become an alternative to traditional cans. Nowadays, flexible retort packaging is widely used for various food products, including seafood, beans, meats, and prepared meals.

The demand for retort packaging is driven by its ability to protect food against contamination by microorganisms, air, moisture, and toxins, preventing spills or leaks. This has led to increased adoption of retort packaging in the food and beverage industry. Both developed and developing regions are witnessing significant growth in the food and beverage industry, driven by increasing awareness of processed foods and the expanding middle-class population. This growth is expected to propel the demand for retort packaging in the coming years, making it a key factor driving the global retort packaging market during the forecast period.