Smart Plant-Based Food Packaging Market Size, Share, Analysis, Trends, Growth, 2032

Smart Plant-Based Food Packaging Industry Prospective:

The global smart plant based food packaging market size was worth around USD 254.36 billion in 2023 and is predicted to grow to around USD 469.60 billion by 2032, with a compound annual growth rate (CAGR) of roughly 7.05% between 2024 and 2032.

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Smart Plant-Based Food Packaging Market: Overview

Smart plant-based food packaging is a special segment of the broader packaging industry. It deals with integrating the two most important factors in the modern food packaging industry.

These technologies include intelligent systems and plant-based packaging solutions. The main objective of the smart plant-based food packaging industry is to improve the outcome of food sealing while also ensuring limited impact on the environment.

For instance, plant-based food packaging relies on biodegradable or plant-derived sources for food packaging. Common examples are molded fiber, cornstarch, and bagasse.

On the other hand, the packaging industry has taken one step further in the responsible production sealing sector by introducing smart solutions such as sensors, temperature-controlling devices, oxygen scavengers, and gas indicators to help customers ensure that the food quality is maintained while it is wrapped.

The smart plant-derived food packaging industry is growing and is expected to deliver significant results during the forecast period.

Key Insights:

• As per the analysis shared by our research analyst, the global smart plant based food packaging market is estimated to grow annually at a CAGR of around 7.05% over the forecast period (2024-2032)
• In terms of revenue, the global smart plant based food packaging market size was valued at around USD 254.36 billion in 2023 and is projected to reach USD 469.60 billion by 2032.
• The smart plant-derived food packaging market is projected to grow at a significant rate due to the increasing pressure on the food industry to reduce pollution levels.
• Based on the material, the papers & paperboard segment is growing at a high rate and will continue to dominate the global market as per industry projections.
• Based on the technology, the active packaging segment is anticipated to command the largest market share.
• Based on region, Europe is projected to dominate the global market during the forecast period.

Smart Plant Based Food Packaging Market: Growth Drivers

Increasing pressure on the food industry to reduce pollution levels will drive the market demand rate

The global smart plant based food packaging market is expected to be driven by the growing pressure on the packaging industry to reduce environmental damage.

According to market research, the global packaging sector is one of the largest contributors to environmental pollution, mainly due to the excessive use of non-biodegradable packaging solutions such as plastic.

For instance, the US packaging sector is governed by the Extended Producer Responsibility (EPR) laws which mandate producers in the company to become a part of the Producer Responsibility Organizations (PROs).

The laws define the framework for penalties against packaging producers depending on the amount and the type of packaging they produce in a jurisdiction.

In June 2024, the country witnessed the passing of the Packaging Reduction and Recycling Infrastructure Act (S4246D Harckham/A5322D Glick). The law is expected to shift the financial liability of using single-use plastics from the public to producers.

Similarly, other countries have launched new initiatives to ensure that the packaging industry does not get away with several environmental damages easily, thus encouraging them to introduce novel ways of packaging.

Growing awareness among consumers around smart packaging solutions will impact the demand rate in the industry

Modern consumers are actively demanding novel packaging products for food items. Traditionally used solutions for food packaging are produced using chemical processes. Such packaging runs the risk of chemicals leaching into the food products and causing contamination.

A recent study published in September 2024 by the Journal of Exposure Science & Environmental Epidemiology suggested that around 3600 chemicals used in food preparation or packaging are found in human bodies.

Some of these chemicals are hazardous to human health. Consumer awareness has helped raise the demand for safer food packaging tools, such as the ones derived from plants.

In addition, the global smart plant based food packaging market can benefit by integrating intelligent technologies to further promote safer packaging practices.

Smart Plant-Based Food Packaging Market: Restraints

High cost and limited availability of novel packaging solutions will limit the industry’s expansion rate

The global smart plant based food packaging industry is expected to be restricted due to the high cost of the novel methods. Plant-based packaging does not enjoy the benefits of a mature market since it is relatively new.

In addition to this, the volatility in terms of raw material availability further impacts the final price of the goods. The expenses increase further with the integration of miniaturized smart systems such as sensors and temperature-measuring tools. The price can range between USD 1800 and USD 4250, depending on the material and technologies used.

Smart Plant-Based Food Packaging Market: Opportunities

Rising introduction of new solutions and increased research will generate higher growth opportunities

The global smart plant based food packaging market will register higher demand due to the growing rate of research & development.

In August 2024, researchers at the City University of Hong Kong launched a new and affordable Smart Label. The researchers have been focusing on synthesizing specific molecule sensors and have managed to deliver a smart technology that can sense the protein freshness in uncooked or cooked meat or seafood.

The technology leverages biogenic amines that are generated when the food is spoilt. Similarly, 3M Global Packaging Services launched the company-owned 3M Integrated Packaging Tool. It is a web-based, centralized, and integrated packaging management solution developed for the food & beverages, chemicals, life sciences, and consumer goods industries.

In addition, market players are also focusing on developing biodegradable packaging tools, which is expected to shape the industry’s growth rate over the forecast period.

In December 2023, Melodea announced the launch of MelOx NGen following the introduction of cellulose-based food packaging. The latest offering is a superior-performance barrier product enabling the recycling of plastic food packaging and beyond.

Smart Plant Based Food Packaging Market: Challenges

Limited awareness and lack of consumer enthusiasm may challenge the market expansion trend

The global industry for smart plant-based food packaging is projected to be challenged by the limited awareness of the technology. Consumers in low or middle-income countries may not show keen interest in smart food packaging derived from plants. The industry offerings are not a basic necessity for many of the socio-economically struggling world population.

Smart Plant-Based Food Packaging Market: Segmentation

The global smart plant-based food packaging market is segmented based on material, technology, and region.

Based on the material, the global market segments are papers & paperboard, metal, polymer nanocomposites, glass, bioplastic, and others. In 2023, the highest growth was witnessed in the papers & paperboard segment due to the abundant availability of paper-based food packaging.

The increasing demand for plant-derived paper packaging solutions is led by the biodegradability quotient of the solutions. Additionally, these materials can be easily integrated with smarter systems for improved performance. Paper takes around 2 to 6 days to degrade.

Based on the technology, the smart plant-derived food packaging industry divisions are biodegradable packaging, aseptic packaging, controlled packaging & active packaging, and intelligent packaging.

In 2023, the highest demand was listed in the active packaging segment. It deals with technologies that assist in improving the preservation of food products by interacting with the environment.

Additionally, the intelligent packaging segment uses technologies to monitor food content and its nutrients. The average cost of smart food packaging sensors can reach up to USD 15 per unit.

Smart Plant-Based Food Packaging Market: Report Scope

Smart Plant-Based Food Packaging Market: Regional Analysis

Europe has higher demand across the global industry, as per research

The global smart plant based food packaging market will be led by Europe during the projection period. The region is a frontrunner in terms of sustainable growth.

The changing consumer preference toward brands and companies that adopt environmentally friendly practices in business operations is encouraging industry leaders to focus on integrating technology and sustainable tools for packaging food products. In a recent event, the European Union passed the Packaging and Packaging Waste Regulation.

According to official reports, Europe expected to reduce packaging waste by minimizing the use of harmful substances, mandating recyclability, and eliminating unnecessary packaging. The regulation also highlights the necessity to use bio-based plastic packaging for vegetables and fruits.

In addition to this, the European market is filled by some of the largest food companies with a global presence. These companies are constantly investing in research & innovation to deploy new tools that not only enhance product shelf life but also provide necessary information to the customers about the nutrient value of the food items.

In 2024, (the Active & Intelligent Packaging Industry Association announced the launch of the  Smart Food Chain (SFC) project to reinvent food supply chains across European nations.

Smart Plant-Based Food Packaging Market: Competitive Analysis

The global smart plant-based food packaging market is led by players like:

• Smurfit Kappa
• Tetra Pak
• Avery Dennison
• PlantPack
• BASF
• Stora Enso
• Biopak
• Eco-Products
• Loop Industries
• NatureWorks
• Cascades
• Mondi Group
• BioPak
• Pulpex
• Milea.

The global smart plant based food packaging market is segmented as follows:

By Material

• Papers & Paperboard
• Metal
• Polymer Nanocomposites
• Glass
• Bioplastic
• Others

By Technology

• Biodegradable Packaging
• Aseptic Packaging
• Controlled Packaging & Active Packaging
• Intelligent Packaging

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa