North America PET Food Packaging Market Size

North America PET Food Packaging Market Analysis

The North America PET Food Packaging Market is expected to grow at a CAGR of 3.47% during the forecast period 2021 - 2026. North America is one of the fastest-growing pet food packaging markets. The presence of large packaging companies, such as Amcor Ltd and Mondi PLC, drive investments for innovation and research and development activities in the region. Major trends for packaging on the consumption end incline toward the demographics and demand for convenience packaging

• The increasing pet humanization and pet ownership, the emergence of private-label store brands, and growing urbanization are some of the major driving forces propelling the growth of the North American pet food market. Further, the increase in the number of non-traditional households with no children, coupled with high levels of disposable income, is boosting the per-capita pet expenditure for this market.
• According to the Flexible Packaging Association, the United States accounts for USD 135 billion in the world's entire packaging industry. Pet food, in particular, adopted flexible packaging in large numbers, due to convenience factors, such as innovative slider closures, pouch packaging, and fitments for pet food. As quoted by the American Pet Products Association, the sales of pet products through online channels witnessed a 57% growth during 2018-2019 in the United States
• Further, with the radical expansion of pet industry, especially pertaining to the largest retail chains, such as e-commerce, supermarkets, and specialized pet shops, have drastically impacted the pet food sales captured through these other distribution channels. The ease of availability of pet treats through small convenience stores is radically favoring the market expansion, despite a very nominal share of these convenience stores in the pet food sales.
• For instance, according to American Pet Products Association (APPA), the sale of pet foods and treats in the US market is around USD 36.90 billion in 2019, and it is estimated to increase to USD 38.40 billion in 2020. The growth of pet treats in 2020 is around 4.1% when compared to 2019.
• Additionally, owing to impact of COVID-19, US small business association has come up with SBA Disaster Assistance to reduce the inflexibilities across the supply chain. The Disaster Loans offer up to USD 2 million in assistance and provide vital economic support to small businesses, to help overcome the temporary loss of revenue. The long-term repayments include up to a maximum of 30 years. Also with the pet food production been categorized as an essential in North America, it is expected to foster the growth of the market despite the uncertainties in the supply chain going forward.