Contract Packaging Market Size- By Application, By Material, By Packaging, By Product, By Service- Regional Outlook, Competitive Strategies and Segment Forecast to 2032

Global Contract Packaging Market Overview

According to SPER Market Research, the Global Contract Packaging Market is estimated to reach USD 111.25 billion by 2032 with a CAGR of 7.14%.

A product is needs to be packaged to be protected during shipping and throughout the duration of its shelf life. An essential component of any tangible product is its packaging. Contract packaging is when a business contracts with another organisation to handle its supply chain and packaging requirements. This may involve distributing finished goods to markets or selling them directly to customers, together with primary and secondary packing, point-of-purchase display construction, inventory management, and distribution. Your company can concentrate on its core competencies by outsourcing your packaging process to a contract packaging partner who specialises in supply chain management. Contract packaging businesses, unlike many other businesses, have the resources needed for design, R&D, printing services, labour force, and fulfilment capabilities. In the context of a contract packaging arrangement, they carry out a number of tasks, such as purchasing all the packaging equipment and supplies needed for your supply chain management. Your items are packaged in the proper materials using the machinery that has been installed and trained to operate.

Contract packaging provides the knowledge and tools needed for packaging. The growth of small and medium-sized businesses globally and the advantages provided by contract packaging companies are therefore expected to fuel the market for contract packaging. The growth of the E-commerce sector has also significantly boosted demand for tertiary packaging globally. One of the main factors contributing to the growth of the contract packaging sector may be the growing manufacturing of packaged goods by companies in a range of sectors, such as the food and beverage, pharmaceutical, and E-commerce industries. Contract packagers are frequently tasked with tasks as simple as applying a bar code sticker to a product or as complex as creating, assembling, and fulfilling the entire package. The market expansion of contract packaging is projected to be constrained by rising levels of competition from in-house packaging and strict government requirements. The biggest and most important issues are also the volatility of raw material costs and the large discrepancy between supply and demand.

Impact of COVID-19 on the Global Contract Packaging Market

The COVID-19 epidemic has left a considerable impact on the global contract packaging sector, with a number of noteworthy repercussions. First, there has been a noticeable rise in the need for necessities like food and healthcare supplies, which has led to a parallel rise in the requirement for contract packaging services to satisfy the soaring needs. Second, the production process has become more challenging due to the difficulty in obtaining raw materials and packaging supplies due to disruptions in global supply networks. Production delays and higher packaging material costs have been noticed as a result. Thirdly, there have been major changes in consumer behaviour, including a greater preference for online shopping and home delivery. This change in customer behaviour has given contract packaging businesses new opportunity to provide services like e-commerce fulfilment and direct-to-consumer packaging.

Fourthly, the pandemic has increased workplace health and safety concerns, requiring contract packaging businesses to develop new safety rules and procedures to safeguard their staff and clients. Last but not least, the pandemic has exacerbated economic uncertainty and volatility, which has affected demand for contract packaging services and heightened rivalry amongst businesses in the sector. Overall, the COVID-19 pandemic has had both favourable and unfavourable effects on the world market for contract packaging, with strong prospects in some countries and major obstacles in others.

Scope of the Report

Report Metric Details:

Market size available for years 2019-2032

Base year considered 2021

Forecast period 2022-2032

Segments covered By Application, By Material, By Packaging, By Product, By Service

Regions covered Asia-Pacific, Europe, Middle East and Africa, North America, Latin America

Companies Covered

Aaron Thomas Company Inc., AmeriPac Inc., Assemblies Unlimited Inc., Assured Edge Solutions, co-pak packaging corp., Deufol, DHL, Green Packaging Asia, Hollingsworth, Jones Packaging, Kelly Products Inc., Sharp Packaging, Sonic Packaging Industries, Stamar Packaging, Sterling Contract Packaging Inc., Silgan Holdings Inc., Wepackit Inc.

Global Contract Packaging Market Segmentation:

By Application: Based on the Application, Global Contract Packaging is segmented as; Consumer Goods, Food and Beverage, Personal Care, Pharmaceutical, Others

By Material: Based on the Material, Global Contract Packaging is segmented as; Glass, Metal, Paper and paperboard, Plastic

By Product: Based on the Product, Global Contract Packaging is segmented as; Bags and Pouches, Blisters and Clamshells, Bottles, Boxes and Cartons, Flow Wraps, Sachets and Stick Packs, Vials and Ampoules

By Service: Based on the Service, Global Contract Packaging is segmented as; Bagging/Pouching, Bottling and Filling, Boxing and Cartoning, Clamshells and Blisters, Labelling, Lot/Batch and Date Coding, Wrapping and Bundling, Others

By Region: The market is examined in terms of its impact on North America, Europe, Asia-Pacific, and LAMEA. The majority of the contract packaging market was in Asia-Pacific. Its increased demand in the consumer goods and food and beverage sectors is blamed for this.