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Bag Packaging Market Size and Share Analysis - Growth Trends and Forecasts (2024 - 2029)

2024-07-22

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Pouch Packaging Market by Type (Standard, Aseptic, Steam Fill, Hot Fill), Closure Type (Zipper, Nozzle, Tear-Off), End-User (Food & Beverage, Personal Care, Healthcare), and Geography (North America (U.S., Canada), Europe (U.K., Germany, France, Italy, Rest of Europe), Asia Pacific (China, Japan, India, Australia, Rest of Asia Pacific), Latin America (Brazil, Argentina), Rest of Latin America), Middle East & Africa (United Arab Emirates, Saudi Arabia, South Africa, Rest of Middle East & Africa). Market sizes and forecasts for all the above segments are provided in terms of value (USD).

The bag packaging market size was estimated at USD 43.36 billion in 2024 and is projected to reach USD 58.46 billion by 2029, growing at a CAGR of 6.16% during the forecast period (2024-2029).  Pouches are one of the most widely used packaging products in the food and beverage industry, including pet food, baby food, and liquid packaging (tea, coffee, and juices), as they offer different features, including being easy to open (e.g., tears and openings) laser perforated), easy to use (with zippers and shapes), and reclosable. In addition, they are widely used in different industries such as pharmaceuticals, pet food and cosmetics as they are chemically inert. The growth of the frozen packaging industry in Europe and the U.S. is expected to have a positive impact on the market. For instance, Germany, France, and the U.K. account for more than 50% of the frozen food market in Europe, according to the European Frozen Food Association. Government-enforced embargoes due to COVID-19 pandemic have boosted the sales of frozen foods in many regions and positively impacted the market. The key drivers for market expansion include increasing demand for packaged food and beverages, growing interest in ready-to-eat (RTE) food, and ease of use and affordability of bagged food. In addition, growing demand for portable snacks has led to the demand for reclosable stand-up pouches as they offer convenience to consumers. Changes in consumer lifestyle and food preferences as well as changes in food technology have also fueled the market demand. However, growing consumer awareness about environmental issues, dynamic regulatory standards, continuous drive for sustainability (including replacement of plastic packaging products with biodegradable materials), and low recycling rates due to lack of advanced recycling facilities are factors challenging the market growth. Pouch packaging is much cheaper and lighter in weight as compared to rigid packaging for transportation. According to the Flexible Packaging Association (FPA), advances in manufacturing methods and material innovations have resulted in weight reductions of nearly 50% for some flexible packaging.

In addition, pouch packaging saves space, which means that large quantities of product can be shipped with less fuel and energy. COVID-19 Pandemics have had a complex impact on pouch packaging sales. As a result of the outbreak, pouch packaging manufacturers in many parts of the world faced supply chain disruptions and reduced production. However, growing demand for medical and healthcare products is expected to have a positive impact on the pouch packaging market.