Market Trends of Europe Food Packaging Industry
This section covers the major market trends shaping the Europe Food Packaging Market according to our research experts:
Rapidly Growing Foodservice Industry
- Growing urbanization, changing food habits due to lack of leisure hours, and increasing disposable income are some factors driving the growth of the food service industry and, thus, the demand for food packaging solutions. Further, dine-out has witnessed a switch towards online food deliveries and take-outs, increasing the need for various food packaging products.
- The growing focus on digital sales channels encourages packaging vendors to ideate new solutions for the industry. For instance, in December 2021, Syntegon developed paper-based trays and cups for sensitive food products. It partnered with Fraunhofer Institute for Process Engineering and Packaging in Dresden, Colruyt Group, Strauss Group, and the University of Reading to implement its EIT project "PACK4SENSE" (Paper packaging for paper packaging) SENSitive foods) to develop a sustainable packaging concept.
- Further, in October 2021, The European division of US-based food packaging company Sabert bought British food service packaging manufacturer KeCo. The company produces folded carton packaging products for the food service sector, including sandwich and deli packaging, fast food and takeaway packaging, children's meal boxes, catering platters and inserts, cartons, trays, and containers with a manufacturing facility in the green belt area of Kimbolton, Cambridgeshire.
- As lifestyles change and food distribution channels increasingly rely on online food applications, food packaging trends are subject to quick change. The popularity of the typical fast food meal and an expanding population push the food service packaging market.
Understand The Key Trends Shaping This Market
Download Sample
High Demand for Sustainable Packaging Solutions Such as Paper and Paperboard
- The escalating demand for sustainable and recyclable packaging solutions is a primary factor that strengthens the sustainable packaging solution in the market. Apart from this, as it is a viable and cost-effective solution, its demand is escalating across the region. Apart from this, the increasing sales via e-commerce platforms positively influence the demand for tertiary and secondary paper packaging products in the area.
- Food packaging can be made from various materials, including paper and board. For packing loose goods, paper packaging can be constructed of parchment paper or in the shape of bags. Liquid and dry, frozen, and fast food are often packaged in carton board. Corrugated board is often used in direct contact with food (for example, pizza boxes) and as secondary packaging. Paper packaging is frequently opted for by manufacturers because it offers simple storage and practical packaging that is attractive and easy to handle. Furthermore, it is made from recycled materials, comes in various forms and sizes, and is environmentally friendly.
- According to Cepi figures, after significant investments by the sector, paper recycling is increasingly executed in Europe, surpassing 50 million tonnes for the first time in 2021, while exports of paper for recycling decreased by 18% compared to 2020.
- In 2021, pulp and paper showed signs of a strong post-Covid recovery, with paper and board consumption increasing by 5.8%, outperforming the eurozone GDP recovery overall. Paper and board production increased by 6.1% due to these positive trends. The sector's operating rate, or the capacity at which paper mills are used, has increased to 90% this year, up from 85% in 2020. Positive trends are also observed for the first quarter of 2022, with the sector exceeding its first-quarter production levels in 2021.
- Furthermore, the growing number of quick-service restaurants has increased demand for paper-based packaging, both corrugated and folding cartons, across Europe. In 2021, for example, France was the European country where McDonald's operated and franchised most of its establishments. In 2021, Germany had the second-highest number of McDonald's restaurants, with 1,432 units.
Get Analysis on Important Geographic Markets
Download Sample
