Top Market Shifts Transforming the Eco-Friendly Food Packaging Market Landscape: Key Insights

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What Is the Expected CAGR for the Eco-Friendly Food Packaging Market Through 2025?
The size of the market for environmentally-friendly food packaging has seen robust growth in the recent past. The market, which stood at $252.19 billion in 2024, is projected to reach a value of $271.54 billion in 2025, registering a compound annual growth rate (CAGR) of 7.7%. The significant growth during the historic period can be credited to increased environmental consciousness and sustainability objectives, government rules and restrictions on single-use plastics, heightened consumer inclination towards eco-friendly products, corporate initiatives focusing on sustainability, and efforts to cut down on carbon emissions.

What's the Projected Size of the Global Eco-Friendly Food Packaging Market by 2029?
The market size of sustainable food packaging is forecasted to experience considerable growth in the coming years, reaching $399.91 billion by 2029 with a compound annual growth rate (CAGR) of 10.2%. This anticipated growth during the forecast period stems from efforts towards recycling and the circular economy, improvements in supply chain sustainability, cost reduction and efficiency, enhancement of marketing and brand image, and the utilisation of e-commerce and home delivery packaging alternatives. Key trends anticipated during this forecast period involve the innovation of biodegradable and compostable packaging, implementing smart and active packaging for ensuring food safety, fostering collaborations across the food industry value chain, and the employment of recycled and repurposed materials.

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Top Growth Drivers in the Eco-Friendly Food Packaging Industry: What's Accelerating the Market?
The rise in understanding amongst consumers regarding the negative impact of plastic products used in food packaging is propelling the expansion of the eco-friendly food packaging market. The substantial use of non-biodegradable, single-use plastic packaging components negatively impacts the environment. As plastic requires hundreds of years to break down in a landfill, this plastic waste remains in our environment for an extended period and inflicts considerable damage to the ecosystem and ultimately threatens the existence of plants, animals, and mankind. For example, the World Economic Forum report reveals that nations like Germany and Austria lead the world in waste recycling, with rates of 56% and 52% respectively. Furthermore, some nations, like Wales, have set ambitious recycling targets for themselves. Wales is targeting zero waste by 2050, and the EU is contemplating introducing a new target of at least 65% by 2030. Consequently, this growing consumer awareness about the consequences of plastic products for food packaging is predicted to further enhance the growth trajectory of the eco-friendly food packaging market in the forthcoming years.

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What Trends Will Shape the Eco-Friendly Food Packaging Market Through 2029 and Beyond?
The primary emerging trend in the eco-friendly food packaging market is the progression of technology. The leading players in the market are focusing on developing innovative technologies to transition towards more environmentally friendly food packaging options. This is done to decrease the environmental footprint and prevent plastic from reaching landfill sites and the ocean. For instance, in October 2022, HuhtamäkiOyj, a consumer packaging corporation established in Finland, introduced a revolutionary, recyclable ice cream packaging solution derived from paper-based technology. The packaging solution comprises 95% renewable biobased material due to a water-based barrier coating and the use of paperboard that carries the SFI certification. This creative approach significantly cuts packaging expenses, garbage, and environmental pollution.

What Are the Main Segments in the Eco-Friendly Food Packaging Market?
The eco-friendly food packaging market covered in this report is segmented -

1) By Type: Recycled Content Packaging, Reusable Packaging, Degradable Packaging
2) By Material: Paper And Paperboard, Metal, Glass, Plastic, Other Materials
3) By Technique: Active Packaging, Molded Packaging, Multipurpose Packaging, Alternate Fiber Packaging
4) By Application: Food And Beverages, Bakery And Confectionery, Dairy Products, Meat Products, Fruits And Vegetables, Convenience Food, Other Applications

Subsegments:
1) By Recycled Content Packaging: Recycled Paper and Cardboard Packaging, Recycled Plastic Packaging, Recycled Glass Packaging
2) By Reusable Packaging: Reusable Containers, Reusable Bags, Reusable Wraps (e.g., beeswax wraps)
3) By Degradable Packaging: Biodegradable Plastics, Compostable Packaging, Oxo-degradable Packaging

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Which Top Companies are Driving Growth in the Eco-Friendly Food Packaging Market?
Major companies operating in the eco-friendly food packaging market include Amcor plc, Mondi plc, Sealed Air Corporation, Ball Corporation, Tetra Pak International SA, BASF SE, Huhtamaki Oyj, Smurfit Kappa Group, Sonoco Products Co., Pactiv Evergeen Inc., European License Of PURE-PAK, Winpak Ltd., Printpak Holdings Inc, PaperFoam BV, Be Green Packaging, DS Smith plc, DuPont de Nemours & Company, Crown Holdings Inc., Ardagh Group Company, Uflex Limited, Graphic Packaging, Vegware Ltd., LimeLoop, Notpla Ltd., EcoEnclose LLC, Genpak LLC, Biopak Pty Ltd., Stora Enso Oyj, International Paper Company, Novamont S.p.A., NatureWorks LLC, Tetra Laval, Berry Global Inc., Reynolds Group Holdings Limited, BioMass Packaging, Sabert Corporation, World Centric

Which Regions Will Dominate the Eco-Friendly Food Packaging Market Through 2029?
North America was the largest region in the eco-friendly food packaging market in 2024. The regions covered in the eco-friendly food packaging market report include Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

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