Sustainable Plastic Packaging Market Size
| Study Period | 2019 - 2030 |
| Market Size (2025) | USD 103.48 Billion |
| Market Size (2030) | USD 157.18 Billion |
| CAGR (2025 - 2030) | 8.72% |
| Fastest Growing Market | Asia |
| Largest Market | Asia |
| Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
.webp "Sustainable Plastic Packaging Market Major Players")
Sustainable Plastic Packaging Market Analysis
The Sustainable Plastic Packaging Market size is worth USD 103.48 Billion in 2025, growing at an 8.72% CAGR and is forecast to hit USD 157.18 Billion by 2030.
- Sustainable plastic packaging has gained prominence across various industries, including food and beverage, fast-moving consumer goods (FMCG), retail, wholesale, and healthcare. Companies are adopting sustainable packaging materials to enhance their brand reputation by demonstrating their commitment to environmental responsibility.
- This shift toward sustainable packaging is driven by increasing consumer awareness of environmental issues and regulatory pressures to reduce plastic waste. Sustainable packaging solutions often incorporate recycled materials, biodegradable plastics, or innovative designs that minimize material usage. These efforts appeal to environmentally conscious consumers and help companies reduce their carbon footprint and comply with evolving environmental regulations.
- The adoption of sustainable packaging practices extends beyond mere environmental benefits. Reduced material usage and improved supply chain efficiency can lead to cost savings. Many companies invest in research and development to create packaging solutions that maintain product quality and safety while minimizing environmental impact. This includes exploring alternatives to traditional plastics, such as plant-based materials or compostable packaging.
- Furthermore, sustainable packaging initiatives often align with broader corporate social responsibility (CSR) goals, enhancing a company's sustainability profile. This can attract socially responsible investors and improve access to capital. As sustainability becomes a critical factor in consumer purchasing decisions, businesses that invest in sustainable packaging may gain a competitive advantage in their respective markets, potentially leading to increased market share and customer loyalty.
- Sustainable plastic packaging has gained significant importance due to the growing awareness of the environmental impact of traditional, non-biodegradable plastics. Sustainable packaging helps reduce waste generation while maintaining product shelf life and minimizing environmental effects. This shift has increased consumer preference for recyclable and eco-friendly packaging options. Sustainable packaging solutions often incorporate biodegradable plastics, recycled plastics, or plant-based alternatives, which can decompose naturally or be more easily recycled, reducing the burden on landfills and oceans.
- Governments worldwide are implementing measures to promote sustainable packaging to reduce waste and environmental impact. These initiatives include bans on single-use plastics in numerous countries and regions to reduce plastic pollution, implementation of Extended Producer Responsibility (EPR) programs requiring producers to manage product disposal or recycling and encouraging sustainable packaging designs, introduction of taxes on non-recyclable or non-biodegradable packaging materials creating financial incentives for sustainable options, and funding for research and development of sustainable packaging materials and technologies.
- These government actions are expected to drive growth in the sustainable plastic packaging market. Many countries have set ambitious targets for plastic recycling and waste reduction, increasing demand for sustainable packaging solutions. The combination of regulatory pressure and consumer demand is compelling companies across industries to invest in and adopt environmentally friendly packaging alternatives.
- The adoption of bioplastics in beverage bottles and compact cosmetic packaging, including creams, lipsticks, and powders, is increasing. Bioplastic compositions incorporate materials such as PLA, bio-based PE, and bio-based PET. These products contain a high percentage of bio-based content and can be blended with recycled materials from conventional PE and PET, enhancing resource efficiency and reducing CO2 emissions. Furthermore, the growing global demand for flexible bioplastics will increase in the biodegradable plastics market during the forecast period.
- The market faces constraints due to limited awareness of sustainability's importance in some emerging economies. This lack of understanding can lead to slower adoption of sustainable practices and technologies. Businesses and consumers may prioritize short-term economic gains over long-term environmental considerations in these regions. As a result, the demand for sustainable products and services may be lower, potentially slowing market growth in these areas. This limited awareness can also create challenges for companies attempting to implement global sustainability initiatives, as they may encounter resistance or indifference in specific markets.
Sustainable Plastic Packaging Market Trends
Biodegradable Segment to Hold Significant Market Share
- Biodegradable plastic packaging is gaining significant attention in the market, leading to increased demand. This trend is driven by growing environmental concerns and consumer preferences for sustainable packaging solutions. Manufacturers are responding by developing innovative biodegradable materials that offer similar performance to traditional plastics while reducing environmental impact.
- As regulations on single-use plastics tighten globally, biodegradable alternatives are becoming more attractive to businesses across various industries, including food and beverage, cosmetics, and consumer goods. The shift towards eco-friendly packaging options will continue influencing market dynamics and driving growth in the biodegradable plastic packaging sector.
- Geographically, Europe and North America are leading markets for biodegradable plastic packaging, driven by stringent regulations and high consumer awareness. However, the Asia-Pacific region is expected to witness the fastest growth, fueled by rapid industrialization, increasing environmental concerns, and government initiatives promoting sustainable practices.
- Key players in the biodegradable plastic packaging market invest heavily in research and development to improve material properties, reduce costs, and expand their product portfolios. Collaborations between packaging manufacturers, raw material suppliers, and end-users are becoming more common to develop tailored solutions that meet specific industry needs while adhering to sustainability goals.
- As the market continues to evolve, innovations in biodegradable additives, bio-based feedstocks, and circular economy models are expected to drive the adoption of biodegradable plastic packaging further. Integrating innovative packaging technologies with biodegradable materials is also emerging as a trend, offering enhanced functionality and traceability alongside environmental benefits.
- Bioplastics gained momentum in food and grocery delivery, as smaller-scale adoption in cities is more feasible than a complete enterprise transition. This trend is particularly evident in urban areas where local governments implement stricter environmental regulations. The planned phase-wise ban on single-use plastic is expected to boost biodegradable plastics adoption, as administrations have implemented penalties for non-compliance. These penalties vary by region but often include fines and restrictions on business operations. These developments will likely drive market growth in the long term as companies seek to avoid penalties and improve their environmental image.
- Global bioplastics production capacity increased to 1.8 million metric tons in 2022, with biodegradable bioplastics accounting for 864 thousand metric tons. This growth represents a significant increase from previous years, reflecting the rising demand for sustainable packaging solutions. Growth is projected to continue, with global bioplastics production capacities potentially reaching 7.4 million metric tons by 2028. This projected increase is driven by factors such as technological advancements in bioplastics production, increasing investment in research and development, and supportive government policies.
Asia Expected to Have Significant Growth
- In Asia, sustainability is rapidly gaining importance among companies due to increasing customer demand for environmentally friendly products. This shift is particularly evident in the packaging industry, where firms reevaluate their choices to align with eco-conscious consumer preferences.
- Many companies are now basing their packaging decisions on environmental considerations, moving away from single-use packaging toward more sustainable alternatives. The transition involves adopting various sustainable packaging solutions, including biodegradable materials that naturally decompose, reducing long-term environmental impact; recyclable packaging options that support circular economy principles; and reusable containers that allow multiple uses, extending product lifecycles.
- Companies are implementing several strategies to advance sustainability efforts. These include adopting eco-friendly packaging materials such as plant-based plastics, recycled paper, and other renewable resources; redesigning packaging for reusability by creating durable, multi-use packaging that consumers can repurpose; implementing recycling programs by establishing collection and processing systems to ensure proper recycling of packaging materials; reducing overall packaging waste through innovative design and efficient use of materials; and educating consumers by providing clear information on proper disposal and recycling of packaging materials. These initiatives address environmental concerns and cater to the growing consumer preference for sustainable products, potentially offering companies a competitive advantage in the Asian market.
- The adoption of recycled PET (rPET) in carbonated soft drinks and bottled water packaging is a significant trend in the sustainable plastic packaging market. This shift towards recycled materials demonstrates the industry's commitment to environmental sustainability and circular economy principles. Recycled PET bottles offer several advantages, including reduced carbon footprint, decreased reliance on virgin plastics, and improved recyclability.
- As consumers become more environmentally conscious, beverage manufacturers increasingly adopt rPET packaging to meet sustainability goals and consumer preferences. This trend is expected to continue growing, driving innovation in recycling technologies and collection systems to support the increased demand for recycled materials in the packaging industry. For instance, in June 2024, Coca-Cola India launched its Affordable Small Sparkling Package (ASSP) in 250 ml bottles made from 100% recycled polyethene terephthalate (rPET).
- The non-alcoholic beverage market in India serves a diverse consumer base, offering a wide range of options from chilled lassi to aromatic tea. As of 2023, the consumption volume of these beverages in the country reached approximately 33 billion liters. This growth is reflected in the increasing revenue from these drinks. The market's diversity caters to various consumer preferences, including traditional favorites and modern alternatives. Factors such as changing lifestyles, increasing health consciousness, and a growing young population contribute to the market's expansion. India's rising urbanization and disposable income levels also significantly drive the demand for non-alcoholic beverages.
- In 2023, carbonated beverages dominated the Indian non-alcoholic drink market, accounting for more than 40% of the market share. This significant portion highlights the continued popularity of fizzy drinks among Indian consumers despite growing health concerns. Packaged water was the second most popular choice, holding a 30% market share during the same period. The high demand for packaged water reflects increasing awareness of hygiene and safety in drinking water consumption. The non-alcoholic beverage sector in India generated a total revenue of approximately USD 17 billion that year, indicating its substantial economic impact and potential for further growth.
- The growth of the non-alcoholic beverage segment presents opportunities for the sustainable plastic packaging market. As consumer awareness about environmental issues increases, there is a growing demand for eco-friendly packaging solutions. This trend pushes beverage manufacturers to explore innovative, sustainable packaging options that maintain product quality while reducing environmental impact. The intersection of the beverage industry and sustainable packaging creates a dynamic market space, encouraging research and development in recyclable and biodegradable materials.
Sustainable Plastic Packaging Industry Overview
The Sustainable Plastic Packaging Market is fragmented. Several global and regional players, such as Berry Global Inc., Amcor Group GmbH, Huhtamäki Oyj, Hotpack Packaging Industries LLC, and more, are vying for attention in this contested space. This market is characterized by low product differentiation, growing product penetration, and high competition.
- July 2024- Berry Global Group, Inc.'s Circular packaging range of beauty and personal care products innovates with Berry's CleanStream recycled plastic for many items manufactured with polypropylene (PP).
- May 2024 - Amcor, a global player in developing and producing responsible packaging solutions, and AVON, a cosmetics, skincare, and personal care pioneer with a 135-year history, announced the launch of the AmPrima Plus refill pouch for AVON's Little Black Dress classic shower gels in China. The recycle-ready packaging will result in an 83% reduction in carbon footprint, 88% reduction in water consumption, and 79% reduction in renewable energy use when recycled.
Sustainable Plastic Packaging Market Leaders
-
Berry Global, Inc.
-
Amcor Group
-
ALPLA GROUP
-
Taghleef Industries
-
Novolex
- *Disclaimer: Major Players sorted in no particular order
.webp "Sustainable Plastic Packaging Market Concentration")
Sustainable Plastic Packaging Market News
- June 2024: Berry Global Group Inc., a global company in sustainable packaging, introduced a customizable, rectangular Domino bottle for the beauty, home, and personal care markets. This new product is available with up to 100% post-consumer recycled (PCR) plastic content.
- April 2024: Amcor, a global leader in developing and producing sustainable packaging solutions, introduced a one-liter polyethene terephthalate (PET) bottle for carbonated soft drinks (CSDs) made entirely from post-consumer recycled (PCR) content. This innovative stock option aims to help customers meet their sustainability goals and regulatory requirements. Amcor Rigid Packaging (ARP) is expanding its portfolio of responsible packaging made from recycled materials by adding this one-liter CSD 100% PCR bottle to its stock offerings.
Sustainable Plastic Packaging Industry Segmentation
Sustainable plastic packaging refers to packaging materials and designs that minimize environmental impact throughout their lifecycle. This includes using recycled or bio-based plastics, reducing material usage, improving recyclability, and ensuring proper disposal or reuse. The goal is to create packaging solutions that meet functional requirements while addressing plastic waste and pollution concerns. These packaging solutions often incorporate innovative technologies and materials to enhance sustainability. For example, some sustainable plastic packaging uses biodegradable polymers that break down naturally in the environment. Others are designed for easy disassembly and recycling, promoting a circular economy approach. Sustainable plastic packaging also optimizes production processes to reduce energy consumption and greenhouse gas emissions.
Sustainable plastic packaging market by packaging type (rigid, flexible), by packaging format (primary, secondary, and tertiary), by process (recyclable, reusable, and biodegradable), by end-user verticals (food and beverage, personal care, and healthcare, industrial and other end-user industries) and by Geography (North America [United States, Canada], Europe [Germany, United Kingdom, France, Rest of Europe], Asia [China, Japan, India, Australia and New Zealand, Rest of Asia], Latin America [Brazil, Mexico, Columbia, Rest of Latin America], Middle East and Africa [United Arab Emirates, Saudi Arabia, South Africa and Rest of Middle East & Africa]) The market sizes and forecasts are provided in terms of value in (USD) for all the above segments.
| By Packaging Type | Rigid | ||
| Flexible | |||
| By Packaging Format | Primary | ||
| Secondary | |||
| Tertiary | |||
| By Process | Recyclable | ||
| Reusable | |||
| Biodegradable | |||
| By End-User Industries | Food & Beverage | ||
| Personal Care | |||
| Healthcare | |||
| Industrial | |||
| Other End-User Industries | |||
| By Geography*** | North America | United States | |
| Canada | |||
| Europe | Germany | ||
| United Kingdom | |||
| France | |||
| Spain | |||
| Asia | China | ||
| India | |||
| Japan | |||
| Australia and New Zealand | |||
| Latin America | Brazil | ||
| Mexico | |||
| Columbia | |||
| Middle East and Africa | United Arab Emirates | ||
| Saudi Arabia | |||
| South Africa | |||
| Rigid |
| Flexible |
| Primary |
| Secondary |
| Tertiary |
| Recyclable |
| Reusable |
| Biodegradable |
| Food & Beverage |
| Personal Care |
| Healthcare |
| Industrial |
| Other End-User Industries |
| North America | United States |
| Canada | |
| Europe | Germany |
| United Kingdom | |
| France | |
| Spain | |
| Asia | China |
| India | |
| Japan | |
| Australia and New Zealand | |
| Latin America | Brazil |
| Mexico | |
| Columbia | |
| Middle East and Africa | United Arab Emirates |
| Saudi Arabia | |
| South Africa |
Sustainable Plastic Packaging Market Research FAQs
How big is the Sustainable Plastic Packaging Market?
The Sustainable Plastic Packaging Market size is worth USD 103.48 billion in 2025, growing at an 8.72% CAGR and is forecast to hit USD 157.18 billion by 2030.
What is the current Sustainable Plastic Packaging Market size?
In 2025, the Sustainable Plastic Packaging Market size is expected to reach USD 103.48 billion.
Who are the key players in Sustainable Plastic Packaging Market?
Berry Global, Inc., Amcor Group, ALPLA GROUP, Taghleef Industries and Novolex are the major companies operating in the Sustainable Plastic Packaging Market.
Which is the fastest growing region in Sustainable Plastic Packaging Market?
Asia is estimated to grow at the highest CAGR over the forecast period (2025-2030).
Which region has the biggest share in Sustainable Plastic Packaging Market?
In 2025, the Asia accounts for the largest market share in Sustainable Plastic Packaging Market.
What years does this Sustainable Plastic Packaging Market cover, and what was the market size in 2024?
In 2024, the Sustainable Plastic Packaging Market size was estimated at USD 94.46 billion. The report covers the Sustainable Plastic Packaging Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Sustainable Plastic Packaging Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
Sustainable Plastic Packaging Industry Report
Statistics for the 2025 Sustainable Plastic Packaging market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Sustainable Plastic Packaging analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
