Market Outlook:

The anticipated global active & intelligent packaging market size is poised to reach USD XX. XX Billion by 2024, with a projected escalation to USD XX.XX Billion by 2032, reflecting a compound annual growth rate (CAGR) of X.X% during the forecast period. 

The active & intelligent packaging market must grow from the need for professional protection to preserve shelf life, along with the advancement of innovation and food quality products at affordable prices. While the packaging is about protecting the product from the material, the smart machine adds additional information to the cover, electronically or non-electrically. Active & intelligent packaging refers to packaging standards used for food, medicine, and various other products. It extends shelf life, maintains freshness, provides quality information, and increases safety and ease of installation. Urban population growth and changing lifestyles have led to a rapid increase in the demand for ready-made, frozen, and packaged foods. The growth of fruits and vegetables, meat, and frozen products across the country due to the changing global economy has led to an increase in the demand for smart and intelligent packaging and hence the growth of the business.

Market Dynamics:

Drivers:

The rising demand for the consumption of fresh food and increased demand for product care boosts the growth of the active & intelligent packaging market. Active packaging refers to the addition of certain additives to the packaging system to preserve the quality and shelf life of a product. Intelligent packaging systems can monitor food packaging and provide quality information about the packaging during transportation and storage. Therefore, using active & intelligent packaging can help extend shelf life, maintain freshness, display quality information, and increase safety and convenience. Active & intelligent packaging is used in food, medicine, and many other products. This growth is due to factors such as the growth of the food packaging industry and the use of smart packaging in markets. However, the government's strict regulations on plastic bag packaging are expected to hinder the growth of the industry in the coming years. Rapid population growth, improved living standards, and a steady lifestyle have created a huge demand for packaged and ready-to-eat products. Increasing per capita disposable income has increased spending in developing countries. The number of convenience stores continues to increase due to growing populations worldwide, ease of shopping, personal service, availability of branded products and names, and relationships with nearby communities. Therefore, the adoption of wireless and connected technologies to improve customer experience and extend shelf life is increasing the demand for smart packaging in grocery stores. Thus, all these factors lead to the increased use of quality products and smart packaging in markets, which are driving business growth over the forecast period.

Restraint:

The high initial cost of the product could hamper the growth of the active & intelligent packaging market. Price is a major factor for consumers, particularly when it comes to necessities like food. Many customers may choose the less expensive choice if a product with active or intelligent packaging is substantially more expensive than a comparable product in traditional packaging. The advantages of active and intelligent packaging may not always be immediately evident to consumers, nor does the additional cost of the product make sense. Enhanced food safety, longer shelf life, and interactive elements may not be of significance to them, particularly if they have not encountered issues with conventional packaging. Consumers may be less ready to pay more for something they don't completely grasp if they are unaware of the advantages of active and intelligent packaging.

Opportunity:

The extended shelf life of the packaging creates a lucrative opportunity for the growth of the active & intelligent packaging market. Perishable goods can be kept from spoiling too soon by using active and intelligent packaging that includes moisture absorbers or oxygen scavengers. This results in fewer sales being lost in stores as a result of spoiling and shrinkage. As they will have a longer shelf life, retailers may confidently carry a greater selection of fresh products. Increased shelf life makes inventory management more effective. Retailers can place fewer, larger-quantity orders, which lowers the possibility of stockouts and ordering expenses. As a result, the supply chain becomes more efficient, and overall operating expenses may go down. Retailers may enhance their profitability by implementing active packaging as it reduces waste and maximizes inventory management. They could be able to maintain high profit margins and competitive rates for their items.

Challenge:

Non-biodegradable materials are used in the construction of many active and intelligent packaging components, such as electronic chips or sensors.  These materials can take hundreds of years to break down in landfills, which adds to the already rising amount of waste there. Consumers may be unaware of the correct ways to dispose of active and intelligent packaging. These complicated materials can contaminate recyclable materials and impede the recycling process as a whole if they are not properly disposed of and wind up in recycling streams. Certain components of active and intelligent packaging may eventually degrade into smaller particles, such as microplastics.  The environment may become contaminated by these microplastics, endangering ecosystems and wildlife.

Key Players

• Amcor Ltd (Australia)
• BASF SE (Germany)
• Honeywell International Inc. (US)
• Landec Corporation (US)
• Crown Holdings Inc. (US)
• Ball Corporation (US)
• Sonoco Products Company (US)
• Graphic Packaging International LLC (US)
• Timestrip UK Ltd (UK)
• Coveris Holdings SA (Austria)
• Others

Recent Developments: 

• In April 2022, Amcor PLC is investing in a new medical packaging facility in Sligo, Ireland. This multi-billion-dollar investment will further strengthen Amcor's growth in the sterile packaging industry and provide healthy service to customers in Europe and North America as well as other food service providers.

• In March 2022, Graphic Packaging expands its premium packaging for the beverage industry. In line with its commitment to sustainable products to support the circular economy, the company has launched EnviroClip, a low-cost cardboard clip for plastic rings and wrapping paper used in beverage cans.

• In May 2022, Avery Dennison announced a partnership with digital technology developer and supplier Wiliot to expand the Internet of Things through joint development; designed and developed the ATM.io and Wiliot brands that will help create a smart and connected Internet of Things.

Segment Insights:

By Packaging Type

The demand for innovative, efficient, and effective packaging solutions across the industry is increasing the demand for flexible and smart packaging. Disinfectants or oxygen are included in the packaging to extend the shelf life of products, especially perishable products. Smart packaging, on the other hand, contains measurements and indicators that provide instant information about products, quality, accuracy, and safety. This technology is important for industries such as food and pharmaceuticals, where innovation and accuracy are important. Additionally, the rise of e-commerce has increased the demand for convenient packaging as it has profound features that reduce transportation costs and environmental impact. In addition, the environmentally conscious consumer segment seeking sustainable packaging options has led the industry to invest in recyclable, biodegradable, and compostable products, further strengthening the demand for new packaging.

By Application

The need to improve product safety, extend shelf life, and improve customer experience is driving demand for smart packaging in the food and beverage industry. Active packaging is equipped with features such as disinfectants and oxygen scavengers to help maintain product freshness and extend the life of perishable products. This is important to reduce waste and improve product quality. Smart packaging is equipped with sensors and RFID technology to monitor temperature, humidity, and product integrity during transportation and storage. For consumers, this means trusting the authenticity and safety of the product. Additionally, in a highly competitive market, brands are using this technology to keep customers engaged. Today, customers are not only looking for quality products but also transparency and traceability; This makes smart packaging an important part of the food and beverage industry to both meet regulatory requirements and meet customer needs in terms of safety, innovation, and convenience.

Regional Insights: 

The North America region's active and smart packaging industry has grown over the past few years due to strong environmental regulations, increased focus on sustainability, and increasing demand for quality packaging and smart packaging across many end-user segments, particularly food and healthcare. Approximately 133 billion pounds of food, valued at $161 billion, are wasted in the United States each year, according to the Food and Agriculture Organization of the United States. Efforts to reduce food waste are multifaceted and include efforts to distribute food through food banks, education, and outreach, and standardize data signatures on labels. Additionally, reducing food waste through effective packaging (A&I) is gaining attention throughout the United States. In addition, the growth of smart packaging in the food industry is mainly due to government efforts; because smart packaging can monitor the location and status of food additives to reduce food waste or help ensure food safety. For example, the U.S. Department of Defence (DOD) and the Food and Drug Administration (FDA) support the use of RFID technology for supply chain management and tracking and tracing of products that require active packaging and intelligent packaging. Canada holds the second largest market in North America, much of whose structure is similar to that of the United States. Shifting towards healthier, less packaged foods to ensure safety, contamination prevention, and longer shelf life is a trending trend among consumers in the country. Additionally, the Canadian Printed Electronics Industry Association has partnered with the Packaging Alliance PAC to create the IntelliPACK Board to accelerate the adoption of new packaging products and practices. The IntelliPACK partnership was launched in 2017 to support the development and implementation of smart packaging using printed, flexible, or electronic (PE) packaging.

Segmentation

By Packaging Level

• Primary Packaging
• Secondary Packaging
• Tertiary Packaging

By Packaging Type

• Flexible Packaging
• Rigid Packaging

By Product Type

• Food & Beverage
• Healthcare Devices
• Cosmetics & Personal Care
• Consumer Goods
• Automotive Units
• Manufacturing Goods
• Other Industries

By Technology

• Indicators Time-Temperature Indicators, Gas & Integrity Indicators, Freshness Indicators)

• Sensors (Gas Sensors, Humidity Sensors, Bio-Sensors, Pressure Sensors, Temperature Sensors)

• Interactive Packaging (Quick-response (QR Codes), Barcodes, Radio Frequency Identification (RFIDs), Near Field Communications (NFCs), Bluetooth Low Energy (BLE))

• Active Packaging (Oxygen Scavengers, Ethylene Absorbers, Moisture Scavengers, Anti-microbial Packaging)

• Modified Atmosphere Packaging

By Region

North America

• USA

• Canada

• Mexico

Europe

• France

• UK

• Spain

• Germany

• Italy

• Rest of Europe

Asia Pacific

• China

• Japan

• India

• South Korea

• Rest of Asia Pacific

Middle East & Africa

• GCC

• South Africa

• Rest of the Middle East & Africa

South America

• Brazil

• Argentina

• Rest of South America

What to Expect from Industry Profile?

1. Save time carrying out entry-level research by identifying the size, growth, major segments, and leading players in the Active & Intelligent Packaging market in the world.

2. Use the PORTER’s Five Forces analysis to determine the competitive intensity and therefore market attractiveness of the Global Active & Intelligent Packaging market.

3. Leading company profiles reveal details of key Active & Intelligent Packaging market players’ global operations, strategies, financial performance & recent developments.

4. Add weight to presentations and pitches by understanding the future growth prospects of the Global Active & Intelligent Packaging market with forecast for the decade by both market share (%) & revenue (USD Million).

FAQ’s

1) What are the major factors driving the growth of the Global Active & Intelligent Packaging Market?

• Consumer Demand for Transparency is the major factor driving the growth of the Global Active & Intelligent Packaging Market

2) What would be the CAGR of the Global Active & Intelligent Packaging Market over the forecast period?

• The Global Active & Intelligent Packaging Market is poised to grow at a CAGR of XX% from 2025 to 2032.

3) Which region will provide more business opportunities for the growth of Global Active & Intelligent Packaging Market in the future?

• The North America region is expected to create more opportunities in the market

4) Who are the major players dominating the Global Active & Intelligent Packaging Market?

• Amcor Ltd (Australia), BASF SE (Germany), Honeywell International Inc. (US), Landec Corporation (US), Crown Holdings Inc. (US), Ball Corporation (US), Sonoco Products Company (US), Graphic Packaging International LLC (US), Timestrip UK Ltd (UK), Coveris Holdings SA (Austria)

5) What are the segments in the Global Active & Intelligent Packaging Market?

• By Product Type, By Packaging Level, By Packaging Type, and By Technology are the industry key segments considered for research study.

6) What is the estimated market revenue for the Global Active & Intelligent Packaging Market in 2032?

• The estimated revenue for the Global Active & Intelligent Packaging Market in 2032 is USD XX billion.