Global Milk Packaging Market Grows Steadily at a CAGR of 4.4%

Introduction

Milk packaging is the process of enclosing and protecting milk and milk-based products from production through consumption to retain freshness, quality, and safety. Packaging is essential for preserving milk's nutritional content, avoiding contamination, and allowing for easy storage and transportation. Several milk packaging materials and forms are used to fulfill the diverse needs of customers and the dairy industry.

The key driver of market expansion is increased demand for milk in ice cream, cheese, butter, curd, and other goods. One of the primary elements driving demand for milk packaging products is that milk products are often fast-moving consumer commodities that are easily consumed and in high demand. However, the global population's growing lack of toes in toddlers (i.e., unable to consume dairy products) limits milk product consumption, functioning as a limiting factor that reduces milk packaging market share.

Market Dynamics

Rising Global Milk Consumption Drives the Global Market

Population growth and food changes have boosted milk consumption. As more people eat milk and dairy, the need for efficient and effective milk packaging grows. Milk consumption has increased in China due to its large population and expanding middle class. Chinese consumers eat more dairy products as they learn about its nutritional benefits. Statista reports that Chinese liquid milk consumption has grown considerably. China produced the most cow's milk in recent years in 2022, 39.3 million metric tons.

India is also booming in dairy. Rising population and urbanization in India are driving milk and dairy product consumption. The National Dairy Development Board (NDDB) data shows massive milk production growth in India. India will be the world's greatest milk producer in 2021-22, producing 221 million metric tons. The milk packaging industry is driven by rising global milk consumption. Data showing increased per capita consumption in China and India supports it. The milk packaging market trend stresses inventive and sustainable ways to suit rising dairy product demand and provide global accessibility.

Sustainable Packaging Solutions Creates Tremendous Opportunities

Dairy companies can encourage sustainable Packaging due to the worldwide sustainability movement. These methods satisfy customers and conserve the environment. Tetra Pak, a leading packaging producer, has advanced sustainable Packaging. They sell boxes made from paperboards from ethically managed forests and plant-based plastic caps. In 2022, Tetra Pak reduced operating greenhouse gas (GHG) emissions by 39% and used 84% renewable energy. This puts the company on track for net zero by 2030. Tetra Pak and other large companies support sustainable milk packaging solutions. Milk Packaging market insights predict that dairy companies can meet consumer needs while helping the environment as customers prioritize sustainability.

Regional Insights

Asia Pacific is expected to remain dominant during the predicted period. Asia Pacific has the world's largest manufacturing food and beverage plant, comes up with a wide variety of milk products, more people moving to urban areas to generate more dairy product requirements due to lifestyle changes, and others contribute to market growth. The growing availability of packaged dairy products through retail channels and customer appetite for protein-based commodities are helping APAC adopt dairy-based Packaging. It should also boost market growth.

Furthermore, the region needs staple foods due to rising disposable incomes and population. Child nutrition and farmer livelihoods benefit from increased dairy product consumption. Rising living standards and an aging population make these firms desirable. Disposable income increases customers' purchasing power in developing countries like India and China. Thus, processed, pre-cooked, and packaged food consumption is expected to rise. Customer spending and taste adjustments should boost market growth.

North America has a large milk packaging market due to its high milk and dairy consumption. The U.S. and Canada dominate this sector. North American dairy producers have increasingly used recyclable plastic bottles and plant-based cartons to meet sustainability goals. The American Dairy Products Institute reports that the U.S. dairy industry has made great carbon reduction and packaging sustainability strides.

In addition, the USDA reported that U.S. dairy exports reached USD 9.5 billion last year, 25% more than the 2021 record and 85% higher in ten years. In 2022, U.S. dairy exports hit 2.82 million metric tons, a record high 52% higher than a decade earlier. Consumption trends, sustainability initiatives, and milk alternative demand affect North American milk packaging. Dairy producers in the region are using new Packaging while adhering to regulations to meet customer demand for safe, fresh, and environmentally friendly milk products.

Key Highlights

• The global milk packaging market size was valued at USD 43.23 Billion in 2022 and is projected to reach USD 63.69 Billion by 2031, registering a CAGR of 4.4%during the forecast period 2023-2031. 
• Cups, cans, bottles, and pouches are the subcategories of type. Pouches account for the lion's share of the market.
• The material further divides the sector into glass, plastic, metal, and paperboard. Paperboard has the lion's share of the market.
• Depending on the region, the market is analyzed in North America, Asia-Pacific, Europe, and LAMEA. North America is the most significant global cosmetic dyes market shareholder and is estimated to grow at a CAGR of 4% over the forecast period. Europe is anticipated to exhibit a CAGR of 4.3% over the forecast period. 

Competitive Players

1. Amcor Limited
2. Indevco
3. Evergreen Packaging
4. Stanpac Inc.
5. Elopak AS
6. Ball Corporation
7. Graham Packaging Company Inc
8. SF Holdings Group Inc.
9. RPC Group Plc
10. Blue Ridge Paper Products
11. Crown Holdings
12. CkS Packaging

Recent Developments

• May 2024 – Amcor established its European Innovation Center in Belgium. The facility will collaborate with brands and merchants throughout the region to create packaging that achieves improved consumer and environmental outcomes.
• May 2024 – Amcor (NYSE: AMCR; ASX: AMC), a prominent company specializing in the creation and manufacturing of sustainable packaging solutions, partnered with AVON, a long-standing industry leader in cosmetics, skincare, and personal care products with a rich history spanning 135 years. Together, they have introduced the AmPrima™ Plus refill pouch for AVON’s Little Black Dress classic shower gels in China. When the recycle-ready packaging is recycled, it will lead to a significant decrease in carbon footprint by 83%, as well as reductions of 88% in water consumption and 79% in renewable energy usage.

Segmentation

1. By Product Type
   1. Cups
   2. Cans
   3. Bottles
   4. Cartons
   5. Pouches
   6. Others
2. By Material Type
   1. Glass
   2. Plastic
   3. Metal
   4. Paper
   5. Paperboard
   6. Others