Market Size of Africa Plastic Packaging Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 3.38 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Africa Plastic Packaging Market Analysis
The African plastic packaging market recorded a revenue of USD 13.87 billion in the previous year, and it is expected to reach USD 17.28 billion, registering a CAGR of 3.38% during the forecast period. The rigid plastic packaging market is expected to register a CAGR of 2.31%, while the flexible packaging market is anticipated to witness a CAGR of 4.78%.
- Africa has experienced rapid population growth and urbanization in recent years. As the population increases and more people move to cities, there is a rising demand for packaged goods, creating the need for plastic packaging products. Furthermore, economic growth resulted in an expansion of the middle class and increased disposable income in various countries of the region. As purchasing power of people increases, the demand for packaged goods also rises, driving the growth of the plastic packaging industry.
- Many countries in the region are focusing on industrialization and manufacturing for their economic development, which includes the establishment of factories for various industries, such as food, beverage, pharmaceuticals, personal care products, and more. As plastic packaging is a convenient solution for these industries in multiple applications, its demand is growing continuously in the region.
- International food manufacturing companies are expanding their operations in Africa due to rising product demand. In October 2022, cookie manufacturer Britannia Industries Ltd finalized a deal for operations in Kenya as part of its plan to expand in Africa.
- The market is expected to be challenged owing to dynamic changes in regulatory standards, primarily due to increasing environmental concerns. Governments across the region have been responding to public concerns regarding plastic packaging waste and implementing regulations to minimize environmental waste and improve waste management processes.
- The pandemic accelerated the expansion of e-commerce in the region, resulting in an increase in demand for packaging materials, which is assisting the African plastic packaging industry to grow further. Plastic packaging is a prevalent choice for e-commerce in the region due to its durability and low cost. Moreover, in the coming years, it is expected to witness robust growth focusing on retail-ready packaging, driven mostly by increasing urbanization and quickly expanding mass retailers and clubs. Food, beverage, and pharmaceutical companies need shelf-ready packaging to maximize stock earnings. Therefore, it shows a positive outlook for the market in the post-COVID-19 scenario.
