Top Emerging Trends Of Cold Chain Packaging Market Progress Forecast 2027Posted by Mrudula Anil Karmarkar on April 29th, 2021 The global cold chain packaging market size is anticipated to reach USD 63.1 billion by 2027, expanding at a CAGR of 19.4% from 2020 to 2027, according to a new report by Grand View Research, Inc. The key drivers attributing to the market expansion include a significant boost in demand for cold chain packaging solutions from the pharmaceutical industry. Amidst the coronavirus pandemic, the trade and transit of temperature-sensitive drugs, medicines, and test samples are drastically increasing. Along with the pharmaceuticals market, the packaging market is anticipated to witness significant growth. The overall market growth is profoundly influenced by the high demand for perishable goods worldwide and the availability of fresh food and frozen food supplies. The growing popularity of e-commerce as a channel for purchasing fresh goods drives the market growth. The increasing usage of e-commerce websites and mobile apps has enabled customers to order preserved food, fresh vegetables, dairy products, and daily meals. Digital retailing has given enabled consumers to purchase products from anywhere they want. The rising trend of online purchases for perishable products has led to new opportunities and challenges. These include the need for innovative solutions to provide the critical service of last-mile delivery, automated warehouse facilities to manage inventories and to reduce per-item costs, and advanced cold chain packaging solutions that would maintain the safety of fresh food products. North America dominated the market for cold chain packaging in 2020 and is estimated to continue leading over the forecast period leveraging the high consumption rate of meat, processed food, and dairy products. Additionally, the regional market is highly fragmented with numerous market players, which has increased the regional market share. However, the current economic and political scenario has impacted industry growth. The trade conflict between the U.S. and China is expected to negatively impact the growth of the cold chain market in the U.S. In early 2018, China announced a 15% to 25% tariff on products imported from the U.S., including pork, fruits, wine, nuts, and vegetables. This high tariff imposed on food and agriculture products is expected to hinder the regional market growth. The Middle East and Africa market for cold chain packaging is anticipated to register the highest CAGR over the forecast period on account of significant improvements in material handling, warehousing, intralogistics, and supply chain solutions. The Asia Pacific regional market is estimated to witness a significant CAGR of more than 21% from 2020 to 2027. The growth is attributed to the ever-increasing population, rapid industrialization, continued rollout of transportation and warehousing networks, and the rise in demand for processed and canned food items. Cold Chain Packaging Market Report Highlights
Furthermore, New Zealand led the world in ice cream consumption in 2020 with a per capita consumption of over 28 liters per year, followed by the U.S. with more than 20 liters per capita per year. Therefore, such a rising demand for processed meat and food is driving the market. The retail sector in developed countries, such as the U.S., is witnessing a change in consumer behavior as shopping patterns continue to shift from conventional retail businesses to online shopping. Online grocery shopping is gaining popularity in line with increasing penetration of the Internet and the subsequent rise in the number of tech-savvy consumers. For instance, sales of packaged food products are contributing significantly toward Amazon’s online grocery sales. Rising demand for packaged food is expected to drive the market growth. The different food and safety regulations across countries have a significant impact on the future of the temperature-controlled packaging industry. Governments across the region have drafted various rules and guidelines for the storage and transportation of refrigerated products. Various regulations across countries related to food packaging include Food and Drug Administration’s regulations for frozen food in the U.S., India’s Food Safety and Standards (Packaging) Regulations (2018), China’s Food Safety Law, and Canada’s Food and Drugs Act, among others. Companies need to adhere to various standards that meet all the regulations regarding temperature-controlled packaging solutions. Moreover, the rising logistics cost across the globe is anticipated to impact the smooth growth of the market. Have a Query? Ask Our Expert: https://www.grandviewresearch.com/inquiry/450912/ibb The market is highly fragmented with the presence of numerous local companies, especially in the North American region. These companies are staying ahead of the competition by actively engaging in mergers and acquisitions. Such companies are focusing on enhancing their product portfolio as well as expanding the regional presence. For instance, In May 2020, Sealed Air announced the acquisition of Automated Packaging Systems, Inc. (U.S.), one of the leading manufacturers of automated bagging systems. The acquisition would help Sealed Air in the expansion of protective packaging, and it would, in turn, benefit from cross-selling opportunities in the market. In January 2018, Softbox Systems Ltd acquired TP3 Global, a provider of thermal protection covers for the pharmaceutical industry. The former aims to strengthen its product portfolio and expand its presence worldwide with this acquisition. Some of the prominent players in the cold chain packaging market include:
Grand View Research has segmented the global cold chain packaging market based on the product: Cold Chain Packaging Product Outlook (Revenue, USD Million, 2016 - 2027)
o Dairy o Pharmaceutical o Fisheries o Horticulture
o Large o Medium o Small o X-Small o Petite
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