Press release
Continuous Regulatory Changes in Packaging Industry to Drive Contract Packaging Market During Forecast Period: TMR
Contract packers provide brands and manufacturers with better results in packaging and overall channel fulfillment. Contract packers are becoming key for distribution channels. Contract packaging companies are uniquely positioned in the value chain and can extend their offering to cater to the demand of end users. Contract packaging companies offer services starting from creative packaging to last-minute optimization.For instance, Coregistics, an Atlanta-based Company acquired Cano Packaging Corporation to allow the company to better access and dominate POP packaging services. Contract packaging services ensure better integration, and management, and allows flexibility for manufacturers who are facing production postponement and other issues that can impact the overall cost of production. Contract packaging companies generally offer cost savings, relieve channel management issues, and are full-service marketing fulfillment companies.
The most significant trend shaping the contract packaging industry is moving from a tactical role to a strategic imperative for companies. Contract packers are now involved in strategic supply chain decisions such as vendor selection & qualification, as well as product development, formulation, and quality assurance. Moreover, contract packaging firms are adopting the Omni-channel distribution strategy that gains the attention of customers from both online and in-store sales of products.
Moreover, contract packaging companies are moving toward specialization, innovations, and value-added services. These trends represent that the contract packaging industry is growing & contract packagers are arguably more important today than they were in past.
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Emerging Countries to Gain Maximum Ground
Emerging countries in the Asia Pacific, such as China and India, are anticipated to have positive potential in the contract packaging market. China represents more than a quarter of the total market share, by value, of the contract packaging market. This can be accredited to increasing demand from processed food companies in the region. High manufacturing value added in China, which was around US$ 1.4 Trn in 2018 according to World Bank, can also be one of the factors boosting the contract packaging market growth in the region. However, the United States is expected to remain at the top due to a mature pharmaceutical sector as well as a growing manufacturing sector in the region.
Product Innovations by Contract Packaging Manufacturers
Companies that excel in offering small sized packaging are likely opt for other sizes and technologies, similar to those who hold market share in a single location, and would enter mergers or acquisitions, which allow them to explore newer markets.
• In August 2021, Catalent Inc. announced that it has reached an agreement to acquire Bettera Holdings, LLC, a major manufacturer in the nutritional supplements market, for $1 Bn
• In February 2021, Catalent Inc. launched CosmoPod® Duo, a new dual chamber capsule for beauty and consumer health topical applications
• In October 2020, Catalent Inc. launched OptiGel® DR, a delayed/enteric release softgel for pharmaceutical and nutraceutical applications
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Contract Packaging Market: Competition Landscape
Key market players in the contract packaging market are focusing on strategic expansions and acquisitions to maintain their supremacy across the regions and eyeing lucrative growth offered by emerging markets:-
• On June 2020, Jones Healthcare Group said that it would invest heavily in its packaging services offering in June 2020, that features a fully integrated two-lane Uhlmann blister packaging process. As more complex pharmaceutical dose forms and regimes evolve clinically and economically, the fully automated equipment is expected to boost the firm's capacity to manage demand surges and unique blister combinations.
• On May 2020, Quality Packaging Specialists International LLC sold a pharmaceutical packaging factory to Sharp (UDG Healthcare PLC) in May 2020. (QPSI). The 160,000-square-foot complex has received complete regulatory approval. It has 12 major manufacturing facilities and many secondary packaging lines to provide both primary and secondary pharmaceutical packaging services, such as bottling, blistering, vial labelling, medical device kitting, and serialization.
Key players profiled in the report include Aaron Thomas Company, Reed-Lane, Inc., Jones Packaging, Multi-Pack Solutions, LLC, and Sonoco Products Company, UniCep Packaging, Stamar Packaging Inc., and other small-scale contract packaging manufacturers.
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Global Contract Packaging Market Segmentation
Contract Packaging Market by Product Type
• Bottles
• Bags & Pouches
• Sachets & Stickpacks
• Boxes & Cartons
• Blisters & Clamshells
• Vials & Ampoules
• Flow Wraps
• Others
Contract Packaging Market by Service
• Bottling
• Bagging/Pouching
• Lot/Batch & Date Coding
• Boxing & Cartoning
• Wrapping & Bund
• Labelling
• Clamshell & Blister
• Others
Contract Packaging Market by End-use Industry
• Food & Beverage
• Pharmaceuticals
• Cosmetics
• Agriculture
• Personal Care
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About Transparency Market Research
Transparency Market Research is a global market research reports company providing business information reports and services. Our exclusive blend of quantitative forecasting and trends analysis provides forward-looking insights for thousands of decision makers. Our experienced team of Analysts, Researchers, and Consultants use proprietary data sources and various tools & techniques to gather and analyze information.
Our data repository is continuously updated and revised by a team of research experts, so that it always reflects the latest trends and information. With a broad research and analysis capability, Transparency Market Research employs rigorous primary and secondary research techniques in developing distinctive data sets and research material for business reports.
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