The Botanical Packaging Market is estimated to be valued at US$ 120.0 Mn in 2023 and is expected to exhibit a CAGR of 11.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Botanical packaging refers to packaging materials derived wholly or partly from plants or other renewable plant resources, excluding forestry or wood-derived resources. It includes materials such as corn starch, wheat straw, rice hulls, bagasse, and bamboo. These packaging materials are compostable, renewable, and biodegradable. They provide an eco-friendly alternative to plastics. Main products offered in the botanical packaging market are bags, pouches, wrapping films, boxes, trays, etc. made from materials such as paper, pulp, and other plant-based fibers for food, pharmaceuticals, cosmetics, and other industries.
One of the key drivers for the botanical packaging market is the increasing awareness about environmental sustainability and biodegradability. Plastic packaging has emerged as a major source of pollution worldwide. Hence, companies and consumers are shifting their focus towards sustainable and eco-friendly packaging alternatives. According to a report by The European Bioplastics e.V, bioplastics production capacity in Europe reached around 1.6 million tons in 2020, reflecting a 6% increase from 2019. Secondly, stringent government regulations regarding single-use plastics is also fueling the demand for botanical packaging solutions. Many countries have either imposed partial or complete bans on single-use plastics. This is expected to create more opportunities for biodegradable and plant-based packaging materials.
The Global Botanical Packaging Market is dominated by the plant-based plastics sub-segment. This sub-segment uses raw materials like paper, sugarcane and vegetable fibers and thus offers more eco-friendly packaging solution as compared to plastic and aluminum foils packaging. A growing focus towards sustainable packaging due to rising environmental concerns is driving the growth of plant-based plastics in botanical packaging.
Political: Regulations like single-use plastic ban imposed by various countries are encouraging the use of alternative sustainable packaging like botanical packaging.
Economic: High disposable income coupled with growing health and wellness trend is increasing the demand for botanical supplements globally which is scaling up the botanical packaging market size.
Social: Increased awareness about benefits of botanical supplements and rising preference for natural and eco-friendly products are positively impacting the growth of botanical packaging market.
Technological: Advancements in plant-based plastic production methods are helping botanical packaging providers to offer low-cost, lightweight yet robust packaging solutions.
The global botanical packaging market is expected to witness high growth, exhibiting CAGR of 11% over the forecast period, due to increasing consumer preference for sustainable and eco-friendly packaging. Regionally, the North America botanical packaging market is projected to dominate during the forecast period owing to rising expenditure on health and wellness products in the region. Also, developed packaging infrastructure and presence of major botanical packaging providers will drive the regional market.
Key players operating in the botanical packaging are Amcor Limited, Ball Corporation, Smurfit Kappa Group, Ardagh Group, Gerresheimer AG. Theses players are extensively using plant-based plastics like paper, sugarcane and vegetable fibers for packaging which are renewable and biodegradable. Amcor Limited is utilizing recyclable plastic materials for manufacturing flexible packaging solutions targeting botanical supplement market.