The global corrugated packaging market is poised for a comeback after a period of disruption, according to a new report by Smithers.
The market is expected to reach a value of $277.6 billion by 2029, fueled by the growth of e-commerce and the increasing demand for sustainable packaging solutions.
The report predicts a slight uptick in the market in 2024, following a decline in 2023. This will be followed by a steady increase over the next five years, with the market reaching a projected value of $277.6 billion by 2029.
The report highlights a trend of major containerboard suppliers investing in expanding their production capacity. However, this increased capacity may lead to lower operating rates in the near future. The report also notes several mergers among major corrugated converters, suggesting consolidation within the industry.
While the food sector is expected to remain the largest consumer of corrugated packaging, the report anticipates growth in demand from other sectors, such as electrical goods. Sustainability is a key driver in this shift, with the recyclability of corrugated materials making them a favorite among brands and legislators alike. This trend is pushing corrugated converters towards offering premium flute grades that can compete with folding cartons in sectors like cosmetics, confectionery, and consumer electronics.
The booming e-commerce industry is presenting new opportunities for corrugated packaging. The report highlights the potential for customized e-commerce shippers that are not only functional but also visually appealing, enhancing branding and offering a superior customer experience.
Smithers' report offers a comprehensive analysis of the corrugated packaging industry, providing detailed market forecasts and data segmented by product type, application, and region. This valuable information can help businesses make informed decisions about their packaging strategies in a rapidly evolving market.
