Market Size of South Africa Plastic Packaging Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 2.59 Billion |
| Market Size (2029) | USD 2.99 Billion |
| CAGR (2024 - 2029) | 2.89 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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South Africa Plastic Packaging Market Analysis
The South Africa Plastic Packaging Market size is estimated at USD 2.59 billion in 2024, and is expected to reach USD 2.99 billion by 2029, growing at a CAGR of 2.89% during the forecast period (2024-2029).
- In South Africa, plastic manufacturing has contributed to approximately 1.9% of the country's GDP and constitutes around 16.6% of the manufacturing sector, and has been defined as a crucial sector by the government. The biggest contribution of plastic production is the plastic packaging market, at around 53%, indicating the high potential of the market in 2018.
- South Africa has witnessed high levels of urbanization over the last few years. As per a recent study, around 64% of South Africans are living in urban areas, and this is expected to increase to 71% by 2030. By 2050, 8 in 10 people are expected to live in urban areas. Urbanization is picking up, and metros, such as the growing cities of Johannesburg, Durban, and Cape Town, are attracting a younger generation of consumers, who are changing their consumption habits and are increasingly buying processed and packaged foods. This also creates more demand for ready or on-the-go meals, directly driving the demand for Lids, trays, and flexible packaging.
- The country has also experienced growth in convenience stores, retailing, and fast food, including smaller formats, express stores, and small grocery shops, resulting in significant growth in the retail market.
- Moreover, there are applications where plastic packaging solutions offer functionality that is difficult to replicate with any other packaging material-for instance, barrier properties for food or product preservation. Within plastic solutions, flexible plastic packaging uses over 70% less plastic raw material than rigid-based packaging products, thereby reducing raw material input requirements.
- The market in the country had witnessed a slow growth in the past. With consumers being highly budget-constrained, the demand for value-for-money products is high in the country. However, with the quality perception of consumers being heavily dependent on the packaging, companies are finding a balance between cost and quality for packaging.
