Future of packaging industry in India: Top Trends driving the industryby Diksha Sharma Blogger and writer
Currently, packaging is one of India's highest growing sectors. It is the fifth-largest sector in the country's economy as it caters to almost every industry segment. The sector that grew at CAGR of 6.2% over the period 2011-16 is witnessing a growth of 8.9% currently; food, pharmaceuticals, health, beauty, beverages & Toiletries are amongst the top contributors to the growth of the packaging industry in India.
Beyond the segments that contribute towards sector’s growth, the rising graph of the Indian packaging industry is also heavily determined by factors such as changing demographics, growing urbanization and the rising proportion of middle class consumers for its low cost and flexible convenience.
These changes transform and drive the need for new packaging formats with varying shapes and sizes, materials, convenience (zip-locks, plastic closures), and tensile strength. Needless to say that due to the evolving role of packaging every day and with its ability to cater to diverse needs of both consumers and brands, the future of the packaging industry is going to be bright.
Below are a few trends that determine the northward movement of the sector.
Consumers today are more environment conscious than ever. They want products and their packaging to be eco-friendly and sustainable. This preference has taken a northward surge since the outbreak of covid19. With sustainability in focus packaging companies and brands now look to reduce single use plastic components in development of packaging and replace with Bio-plastic or paper.
It is also interesting to note that use of mono-materials from certified sources also helps in easy recycling and reducing carbon footprint in the environment. As per a research by Business News Daily almost 72% consumers are already buying sustainable packaged products from both online and offline channels while those shifting to adopt sustainable packaging has gone up to 81% in the next 5 years
Personalization is the trend that is here to stay for a long time and hence, brands must explore personalized packaging. The advent of technology is transforming products into personal experiences. Further, the trend of digital printing is making it easier to personalize products for clients and consumers. Of late a research by Researchscape International and Evergage inc states that almost 70% of marketers believe personalization has a substantial impact on customers as the consumers tend to perceive exclusivity for them by the brands in their offerings.
Packaging companies significantly rely on modern technology to come up with innovative concepts and designs. Digitization is adding to higher customer value and service through the integration of advanced technology in packaging. Furthermore, the emergence of interactive online experience and QR codes are helping brands educate consumers and ensure transparent communication.
Minimalistic designs and clean labels is what interest consumers today. They want products with accurate information on the labels pertaining to the ingredients and composition. Hence, to meet clean labelling requirements, companies are offering clean products images, easily identifiable ingredient lists with nutritional content.
Increased shelf life
With each passing day, E-commerce is getting bigger. As a result, there is a surge in demand for packaging that offers increased shelf life. Freshness is a major aspect in the packaging industry and will remain to be a trend driving packaging requirements in every age. With the outbreak of COVID19 packaging companies have geared up their research arm to delve into possibilities for having anti-microbial packaging that prevents harmful virus and bacteria to rest on the packaging surface, such offerings are expected to hit the shelves soon and will form a trend for the next decade.
As per a research by Research and Markets, the packaging film industry in India is forecasted to grow at a CAGR of 5% from 2020 to 2024. The rise of purchasing power due to the growth in the per-capita income of the Indian middle-class is adding fuel to the Indian packaging economy market to adopt better packaging methods, materials, and machinery to ensure quality for Indian businesses.
The leader in flexible packaging, UFlex invested in activities towards the equipment required for advanced polymeric research and barrier technologies. Today, UFlex is one of the largest flexible packaging film manufacturers trusted by leading brands in the country.
Created on Oct 13th 2020 08:16. Viewed 309 times.