Market Size of Africa Packaging Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 43.48 Billion |
| Market Size (2029) | USD 52.52 Billion |
| CAGR (2024 - 2029) | 3.85 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Africa Packaging Market Analysis
The Africa Packaging Market size is estimated at USD 43.48 billion in 2024, and is expected to reach USD 52.52 billion by 2029, growing at a CAGR of 3.85% during the forecast period (2024-2029).
- An increasing number of young consumers is driving the market, increasing demand for consumer goods, rising individual incomes, and expanding domestic economies, particularly in East and West Africa.
- With increasing urbanization and mobility, African consumers are looking for products that offer the best value for money, such as bulk, discounted, and smaller packs. It can be an advantage for vendors to go for attractive packaging to encourage and boost sales. Moreover, the growing concern regarding the packaging of food, beverages, pharmaceuticals, and other household products is driving the market for glass containers and bottles as they offer an aesthetic charm to people and are recyclable.
- Furthermore, companies are willing to bring better technology, technical expertise, and patience to find local partners. For instance, in October 2022, Austria-based Alpla Group, an international plastic packaging, and recycling specialist, expanded its footprint in South Africa by building a new facility in Lanseria, Gauteng Province, near Johannesburg.
- One of the significant challenges impeding packaging market growth is high packaging manufacturing costs. Paper pulp is a primary raw material used in paper packaging manufacturing. It is widely used in manufacturing corrugated boxes, cardboard boxes, folding cartons, and paper bags, among other types of packaging. The price of paper pulp has constantly been fluctuating. Similarly, the plastic packaging industry is also dependent on crude oil, and crude oil prices are also volatile. Furthermore, the Russia-Ukraine war has an impact on the overall packaging ecosystem.
- With the outbreak of COVID-19, packaging manufacturers faced supply chain disruption along with decreasing manufacturing at the site in many parts of Africa. For instance, paper and packaging company Mondi announced the temporary suspension of production at its Merebank mill in South Africa, which has a production capacity of 270,000 tonnes annually.
