Foodservice Packaging Market – Growth, Trends, Impact of COVID-19 and Forecast (2022)

ReportLinker

Foodservice Packaging Market was valued at USD 114.28 Billion in 2021 and is projected to reach USD 148.25 Billion by 2027 and grow at a CAGR of 4.54% over the forecast period (2022-2027 ).

New York, June 21, 2022 (GLOBE NEWSWIRE) — Reportlinker.com announces the publication of the report “Food Service Packaging Market – Growth, Trends, COVID-19 Impact, and Forecasts (2022 – 2027)” – https://www. reportlinker.com/p06288100/?utm_source=GNW
Highlights
The restaurant industry has grown to become a major part of consumer spending. As this trend intensifies, the packaging industry is expected to play a crucial role in ensuring food safety and consumer convenience. For example, proper packaging and labeling lets food preparers know the source of the food, its proper storage temperature, and the required cooking time.
One of the most widely used products in catering packaging is paper cups, which have gained wide acceptance due to their important properties, such as ease of use, hygiene and safety. They also meet the needs of modern life in a cost effective manner. According to GreenMatch, an online service provider for green energy products, nearly 16 billion paper cups are used for coffee every year at the cost of 6.5 million trees every year.
However, the rising trend of takeout food amid COVID-19 movement restrictions has generated the need for disposable packaging. According to the US Census Bureau, nearly 225 million customers in the United States, one of the world’s largest fast food markets, are expected to use disposable foodservice packaging by 2023.
The main concern facing the flexible packaging industry globally is stringent environmental regulations. Bans on plastic products at the developed and developing country and state levels are expected to pose significant challenges to the market during the forecast period.
COVID-19 related lockdowns have had a significant impact on global foodservice, with repercussions for foodservice packaging suppliers. Despite a temporary decline in foodservice packaging volumes, the industry will rebound in stages amid economic adversity. Limited-service and full-service restaurants are expected to increase the volume of consumer-facing foodservice packaging, albeit more slowly. Foodservice packaging must adapt and evolve to meet the growing needs of the foodservice industry as local and global economies open up and consumers embrace new ways of dining.

Main market trends

Quick Service Restaurants (QSRs) Hold the Largest Share

Quick-service restaurants (QSRs) offer low-cost dining options, with an emphasis on speed of service. Minimal table service and an emphasis on self-service differentiate this group from traditional restaurants. Most single-use plastic catering products used in QSRs include rigid polystyrene (PS), expanded polystyrene (EPS), polypropylene (PP), polyethylene terephthalate (PET), and polylactic acid (PLA) .
Most of the menu items available in QSRs are consumed directly from containers or packaging. Consumers choose to eat fast food because it is convenient, quickly prepared, good value and inexpensive. Therefore, the packaging is an integral part of the food product and, from the consumer’s point of view, must be consistent with their motivations and expectations for choosing to eat fast food.
Single-use catering packaging in QSRs has become an essential part of a fast-paced global life. With less time to prepare meals at home, more people are relying on fast food for meals. Single-use packaging allows foodservice establishments to package meals in a sensible, safe and cost-effective way while providing customers with a convenient and efficient way to transport meals.
Most catering products used in QSRs are either paper, including paper, board, and molded pulp, or plastic, including expanded polystyrene (EPS), polypropylene (PP), polyethylene terephthalate ( PET) and polylactic acid (PLA). Quick service restaurants (QSR) are designed to serve less high quality food and beverages than typical restaurants or cafes. Many QSRs have implemented the use of dispensers that give a controlled volume to ensure even dispersion and a high level of consistency in the provision of these services. This can include items like flavored coffee syrup bottles that dispense a specific volume of syrup with each dispensing pump, ranging from 5ml to 30ml, ensuring that every customer gets the same flavor in their coffee.
Additionally, the market is witnessing an expansion of players to offer sustainable packaging options in the highly demanded flexible packaging market. For example, in June 2021, compostable packaging producer TIPA announced its expansion into North America with expert hires focusing on expanding its US-based capabilities as demand continued to grow for sustainable packaging.

Asia-Pacific accounts for the largest market share

Due to the presence of densely populated and emerging economies, such as Southeast Asian countries, China, and India, Asia-Pacific is expected to experience growth, registering the highest CAGR.
Packaging has always been an essential part of the success of food and beverage products. The Chinese packaging industry is heavily influenced by variables such as rising per capita income, changing social atmosphere and demographics. Due to this change, new packaging materials, processes and forms are required.
Japan is the country that consumes the most packaging materials per capita in the world. There is a close relationship between the food and packaging industries in Japan. There is a trend towards ingenuity in packaging design in Japan, and Japanese food manufacturers use high-tech packaging techniques.
The packaging industry in India has witnessed growth in recent years. The introduction of numerous manufacturing units, environmentally friendly materials and increased emphasis on research and development have resulted in attractive and innovative products. All of these are made locally at low cost. In addition, government initiatives such as “Make In India” are expected to help accelerate these initiatives.
In May 2022, R&R Smith, an Australian organic apple supplier, adopted TIPA’s home compostable bags to pack 1.5kg bags of Pink Lady and Royal Gala apples. TIPA would supply the brand’s home compostable product bags. When looking for compostable solutions, R&R Smith chose TIPA because of its high regulatory certifications to ensure authenticity, transparency, strength, quality and food safety from orchard to consumer.

Competitive landscape

The foodservice packaging market is fragmented, as most of the market is still dominated by a few players. With new innovations and market demand, the market is attractive for new players.

April 2022 – Amcor launches a new paper-based packaging product platform: AmFiberTM. The AmFiber platform demonstrates Amcor’s consumer-centric and adaptable approach to innovation, as it aims to redefine the capabilities of traditional paper packaging, offering a wider range of functional features and benefits to meet changing consumer needs.
February 2022 – Apollo and Novolex announced that the fund managed by Apollo’s subsidiaries (Apollo Fund) had entered into a final agreement to acquire most of the company from the fund managed by Carlyle. Carlyle will retain a minority stake in the company. Financial terms were not disclosed.
January 2022 – Huhtamaki announced that it had acquired full ownership of its Polish joint venture Huhtamaki Smith Anderson Sp. z oo from Smith Anderson Group Ltd SA. The company manufactures and sells paper catering bags in Eastern Europe at Huhtamaki’s factory in Czeladz, Poland.

Additional benefits:

The Market Estimate (ME) sheet in Excel format
3 months of analyst support
Read the full report: https://www.reportlinker.com/p06288100/?utm_source=GNW

About Reportlinker
ReportLinker is an award-winning market research solution. Reportlinker finds and organizes the latest industry data so you get all the market research you need – instantly, in one place.

__________________________

CONTACT: Clare: [email protected] US: (339)-368-6001 Intl: +1 339-368-6001