Press release
Next Generation Packaging Market: Modified Atmosphere Packaging to Lose Market Share to Active Packaging and Intelligent Packaging
Future Market Insights (FMI) offers vital insights on the key technologies in the next generation packaging in its report, “Next Generation Packaging Market: Global Industry Analysis and Opportunity Assessment 2015-2025.”FMI has segmented the next generation packaging market on the basis of packaging type into active packaging, intelligent packaging, and modified atmosphere packaging.
Active packaging includes antimicrobials, gas scavengers, and gas emitters, whereas intelligent packaging involves the use of sensors, indicators, and RFID tags. In modified atmosphere packaging, air present inside the packaging is replaced with a mixture of gases, such as nitrogen, carbon dioxide, and carbon monoxide.
FMI has analysed the types of next generation packaging during the forecast period 2015-2025. According to the FMI report, active packaging and intelligent packaging will gain traction, whereas modified atmosphere packaging will witness a decline.
Active packaging is currently the dominant segment in next generation packaging; FMI expects it to remain the largest segment by the end of forecast period as well.
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Active Packaging Segment to Gain Traction through 2025
The active packaging segment has further sub-segmented into gas scavengers, antimicrobial, gas emitters, and ‘others’.
Among these, gas scavengers is the largest segment, accounting for US$ 5.57 Mn in 2015; FMI forecasts it to expand at 6.5% CAGR during the forecast period 2015-2025 to reach a valuation of US$ 10.46 Bn by 2025. In terms of highest growth, antimicrobials is forecasted to expand at 6.96% CAGR through 2025.
Oxygen scavengers extend the product life by removing leftover oxygen from closed packets. Due to this, gas scavengers is widely used in the next generation packaging industry.
Growing demand for active packaging for automated packaging lines, sacks, bags, and quad packs in industrial packaging is fuelling the demand for active packaging.
The key restraints for adoption of active packaging are limited commercial applications of antimicrobial packaging and low awareness about the benefits of active packaging in developing countries.
Use of RFID Tags a Key Trend in Intelligent Packaging
The intelligent packaging segment is expected to expand at a high single-digit CAGR during the forecast period 2015-2025. FMI has segmented the intelligent packaging segment into indicators, tags, and sensors.
Among these, indicators account for the largest market value share currently; FMI expects indicators to remain the largest sub-segment during the forecast period 2015-2025. The sensors sub-segment is expected to expand at the highest CAGR through 2025.
Adoption of RFID technology is a growing trend in the intelligent packaging sector. The adoption of ‘track and trace feature’ of RFID tags is growing in end use applications, such as food and beverages, pharmaceuticals, transportation, logistics, and packaging. Furthermore, key players in the intelligent packaging market are focusing on R&D to offer innovative solutions to end users.
Modified atmosphere packaging is expected to witness sluggish growth during the forecast period, owing to widespread adoption of active packaging and intelligent packaging.
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Modified Atmosphere Packaging to Lose Market Share
FMI estimates modified atmosphere packaging segment to expand at a below 5% CAGR through 2025. Modified packaging is widely used in the food and beverages industry; it accounted for nearly 52% share of the overall next generation packaging market for food packaging.
Adoption of modified atmosphere packaging is witnessing a decline, owing to concerns related to growth of harmful pathogenic organisms in food products. Modified atmosphere packaging replaces or minimises the oxygen level, however, certain factors, such as extremely low level of oxygen and possible occurrence of temperature abuse condition are areas of concerns for end users.
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