Anti-counterfeit Packaging Market Size, Share & Trends Analysis Report By Technology (Overt, Covert, Forensic, Track & Trace), By Application (Automotive, Luxury Goods), By Region, And Segment Forecasts, 2023 - 2030

Market Size & Trends

The global anti-counterfeit packaging market size was valued at USD 135.73 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 12.1% from 2023 to 2030. The market is expected to register significant growth on account of the rise in the demand for brand protection solutions for the protection of pharmaceutical products. In addition, ease in product monitoring through the supply chain is expected to drive market growth over the next seven years. In addition, the market is expected to be driven by rising technological development enabling increased functioning of the technology.

The U.S. is one of the major producers and consumers of processed food products in the world. The food manufacturing industries in the country are dominated by capital-intensive, highly diversified corporations, and large-scale industries. The country has over 17,000 manufacturing locations and manufacturers are expected to adopt anti-counterfeit technologies to edge the growth of counterfeit products. As a result, the demand for covert, overt, and track & trace technologies is expected to witness significant growth in the region.

According to the data provided by the US Customs and Border Protection, over USD 2.0 billion worth of goods and USD 20 million worth of counterfeit drugs were seized on the country’s border in 2022. Increasing spending by drug manufacturing companies and the U.S. government to resolve issues related to goods counterfeiting is expected to drive industry growth over the forecast period.

The U.S.-based pharmaceutical company, Pfizer, has taken the initiative to protect its brand and consumers against counterfeit products. The company uses RFID tags on certain highly counterfeit products to further ensure patient safety in the United States. This enables consumers, wholesalers, medical stores, and distributors to track drugs from producer to pharmacy by verifying the EPC, a unique electronic product code placed over the product packaging.

DuPont offers an anti-counterfeit hologram technology under the brand name, Izon, which is used in various applications including electronics, food & beverage, and electronics products. These 3D holograms enable faster overt product authentication in the aforementioned application industries.

Pharmaceutical counterfeiting is on the rise in the U.S. and around the globe, potentially putting at risk the health of millions of patients who take for granted that the prescription medicines they buy are safe and effective. Though the U.S. pharmaceutical product distribution is one of the safest across the globe, increasing incidences of counterfeiting in the region are expected to drive the industry growth over the forecast period.

Technology Insights

The anti-counterfeit market is segmented based on four major technologies including covert, overt, forensic, and track & trace. Track & trace was the largest segment amongst all accounting for over 49.0% market share in 2022. The technology can be applied at any location during the delivery process which contributes to its high market share. Growing demand for techniques to control the sales of counterfeit pharmaceutical products, food items, and clothing applications is expected to drive demand for track & trace technology-based anti-counterfeit packaging products over the forecast period.

Overt technologies are expected to account for a significant share of the industry. The features offered by these technologies are apparent to all stakeholders and aim to educate and communicate with end-users about product authentication. Increasing consumer knowledge and rising concerns regarding product quality are anticipated to drive industry growth over the next years.

Covert technologies are widely accepted as beneficial for brand owners and manufacturers in terms of maintaining product authentication. The technology offers various benefits including ease of use in end-use verification and help in building appealing designs for products.

Forensic technology is expected to be one of the most secure anti-counterfeit services owing to its advanced nature and high security offered against copying. DNA, biological and chemical taggants, and isotope ratios are the key examples for the forensic anti-counterfeit industry.

Application Insights

The pharmaceutical segment accounted for the major share of over 27.0% in 2022. Counterfeiting of drugs has been a social and economic menace over the past several decades, which leads to increased criminal activities and low-quality drug production. As a result, various anti-counterfeiting technologies such as holograms, RDIFs, and invisible printing are expected to witness significant growth in pharmaceutical applications.

The growth of inadequate drug regulation and international free trade have resulted in the expansion of anti-counterfeit technologies in pharmaceutical applications. The technology can avoid drug imitation and track the products in the supply chain and storage. Growing demand for various anti-counterfeit techniques such as covert, overt, and track & trace across the world to detain illegitimate pharmaceutical products in their supply chain is expected to propel industry growth over the projected period.

Growing demand for anti-counterfeit technology in the food & beverage industry by manufacturers to maintain their brand image amongst consumers is expected to drive industry growth over the next nine years. Forged food products are packaged in such a manner that it is impossible to trace them, even with regular inspections. This results in high demand for anti-counterfeit covert and overt technologies in food and especially in the beverage industry.

Anti-counterfeit packaging market growth in apparel & footwear application is driven by the increasing demand for anti-counterfeit technologies by the manufacturers to maintain the brand value and consumer base. Anti-counterfeit labels are expected to gain high demand in the clothing market owing to increasing concern among manufacturers. To secure high-end luxury products, track, and trace technologies are regarded as one of the most promising solutions.

Regional Insights

North America dominated the anti-counterfeiting market in 2022, accounting for over 42.0% market share. North American countries such as Mexico signed the Anti-Counterfeiting Trade Agreement (ACTA) in 2012 to stop crimes associated with counterfeit product trades and supplies. As the ACTA is an international agreement of the public kind, the country had to implement it into the domestic law.

The Asia Pacific was the fastest-growing region in the anti-counterfeit packaging market in 2022. The rapid growth of the food & beverage, pharmaceuticals, clothing & apparel, and consumer electronics industry in the region is expected to drive industry growth over the forecast period. Increasing per capita disposable income along with strong manufacturing sector growth are the key drivers for industry growth in the region.According to World Footwear, in 2022 Asia’s footwear consumption accounted for more than half of the worldwide total. North America and Europe followed with second and third positions, respectively.

China is expected to account for the largest share of the anti-counterfeit market owing to numerous activities associated with product imitation in the region. Various initiatives taken by the Chinese government to stop counterfeit crimes coupled with increasing consumer awareness are expected to have a positive impact on industry growth over the forecast period. The Chinese government has introduced several regulations to govern counterfeiting in the region such as the Trademark Law, Copyright Law, and Criminal Law which are likely to have a positive impact on the anti-counterfeit technology industry over the forecast period.

Anti-counterfeit industry in Europe is expected to grow at a significant rate owing to the high adoption of new technologies coupled with the high spending capacities of manufacturers in the region. A stringent government regulatory framework in the region is expected to be a key factor for industry growth over the projected period. In Europe, at least 5% of the products that are imported are counterfeit and registering an increase with growing imports demand. As a result, strict regulations against counterfeit products remain a necessity in the region, which is anticipated to have a positive impact on industry growth over the forecast period.

In Latin America, the government of Argentina has signed the World Trade Organization Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPs). TRIPs (approved by Law 24,425) led to the implementation of various laws, particularly legislation governing the involvement of Argentine Customs in anti-counterfeiting actions.

In Middle East & Africa region, increasing crimes associated with electronic counterfeiting are expected to propel the demand for anti-counterfeiting technologies. Mobile phones were notified as the topmost counterfeit seized product in the region with a volume of over 65 million pieces. In the UAE, the Federal Law No. 37 of 1992, which deals with trademarks, has assigned suitable penalties for various trademark immigrants for selling and offering for various purposes.

Key Companies & Market Share Insights

The anti-counterfeit packaging market is fragmented across the globe as many small manufacturers are trying to enter the market with new production technology. Competition between companies is completely based on the technology offered and the innovation implemented.

Companies are investing huge amounts in mergers & acquisitions and R&D activities and innovation to gain competitive advantage. For example, In December 2022, Rieke Corp launched a next-generation IMF-5 FLEXSPOUT for plastic pails, which is molded directly into the pail lid during the injection molding process. This permanent bond between the closure and lid makes it impossible to manipulate or break without detection, ensuring maximum product and brand protection for manufacturers. Additionally, the IMF-5 excels with its premium leak-resistant design and integrated tamper-evident pull ring, ensuring secure product delivery every time. Some prominent players in the global anti-counterfeit packaging market include:

• 3M

• Avery Dennison Corporation

• CCL Industries Inc.

• DuPont

• Zebra Technologies Corporation

• Intelligent Label Solutions

• SML Group

• SATO Holdings

• Sicpa Holding S.A.

• Systech International

• Applied DNA Sciences Inc.

• AlpVision SA

• Applied DNA Sciences Inc.

• Authentix Inc.

• Atlantic Zeiser GmbH

Anti-counterfeit Packaging Market Report Scope

Global Anti-Counterfeit Packaging Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global anti-counterfeit packaging industry report based on technology, application, and region:

• Technology Outlook (Revenue, USD Million, 2018 - 2030)

  • Covert

    • Security Labels

    • Invisible Printing

    • Others

  • Overt

    • Holograms

    • Color Shifting Inks

    • Others

  • Forensic

  • Track & Trace

    • Machine Readable Data

    • RFID

    • Others

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Pharmaceutical

  • Food & Beverage

  • Apparel & Footwear

  • Automotive

  • Personal Care

  • Electrical & Electronics

  • Luxury Goods

  • Others

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • UK

    • France

    • Italy

    • Spain

  • Asia Pacific

    • China

    • India

    • Japan

    • South Korea

    • Taiwan

  • Central & South America

    • Brazil

    • Argentina

  • Middle East & Africa

    • GCC Countries

    • South Africa