Molded Pulp Packaging Market Size, Share & Trends Analysis Report By Source (Wood Pulp, Non-Wood Pulp), By Molded Type (Thick Wall, Thermoformed, Transfer, Processed), By Product, By Application, By Region, And Segment Forecasts, 2023 - 2030

Report Overview

The global molded pulp packaging market size was estimated at USD 5,113.1 million in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 7.6% from 2023 to 2030. The factors attributing to the market growth are the increasing demand for sustainable & eco-friendly packaging solutions and increasing demand from the Application industries such as food packaging, healthcare, food service, electronics, and others. However, poor barrier properties from oxygen, water, and microbes are restraining the market to some extent.

Food packaging and foodservice industries together dominated the North America market. This dominance can be correlated to the huge demand for packaged food and on-the-go food serving. In 2020, North American food marketing system including food service and food retailing supplied over USD 1.69 trillion worth of food. Commercial food service establishments accounted for over USD 813.4 billion of the total food marketing system market and thus, emerged as a major segment of the industry. Commercial food service category includes restaurants, caterers, cafeterias, fast-food outlets, and other institutions that prepare, sell, and serve food. With such institutions looking forward to new packaging solutions having minimal carbon footprint, the molded pulp packaging industry is expected to witness strong growth over the coming years.

The trays dominated the product segment in the U.S. This is attributed to the growing awareness of the environmental benefits of using sustainable packaging solutions, the increasing demand for convenient and lightweight packaging options, and the rise in e-commerce activities. Trays are widely used for packaging a wide range of products, including food items like fruits, vegetables, eggs, and meat. The demand for molded pulp trays is expected to continue to grow due to the increasing demand for eco-friendly and sustainable packaging solutions.

Source Insights

Based on source, the wood pulp segment accounted for over 85.0% of the revenue share in the year 2022. This is owing to its abundant availability, cost-effectiveness, and customizable to have different depths, sizes, and shapes to fit various food items which also makes them a popular choice for packaging manufacturers. Wood pulp molded packaging has a wide application in various Application industries. For instance, it is widely used in the food & beverage industry as it offers excellent protection for food products during shipping and storage.

The non-wood pulp segment is anticipated to record the highest growth rate during the forecast period. The growth of the non-wood pulp segment is owing to the growing concern about deforestation. This pulp is produced with not-wood cellulosic plant material or agricultural waste such as cereal straws, grasses, sugarcane, and others.  This is gaining popularity in the production of pulp due to its high availability, lower cost, and growing concerns about deforestation.

Molded Type Insights

Based on molded type, the transfer molded segment type held the largest market share of over 57.0% in 2022. Transfer molded pulp has a wide application in the food packaging industry due to the hygroscopic property of the material, and air permeability which results in the longer shelf life of beverages and food products that are to be further shipped. Moreover, molded pulp packaging protects from shocks that cause breakage or damage to the products, especially fruits, vegetables & eggs, and non-alcoholic, and alcoholic beverages.

The thermoformed segment is anticipated to grow at the fastest CAGR over the forecast period. This is attributed to the rising concerns about the environmental impact of single-use plastics which resulted in a shifting trend of consumers from plastic thermoformed packaging to sustainable molded thermoformed pulp packaging.

Product Insights

Based on products, the tray sub segment dominated the market with over 41.0% revenue share in 2022 owing to the wide application of these trays in food packaging and food service industries. These trays are molded pulp trays that are widely used for packaging of eggs in retail distribution channels as it provides protection from breakage and keeps the product safe.

Molded pulp clamshells are projected to grow at a fast CAGR of 8.5% over the forecast period. Eggs are either packed in plastic clamshells or in molded pulp clamshells. The demand for plastic clamshells has been declining for the past few years owing to the increasing demand for molded pulp clamshells. This can be attributed to the convenience, in terms of carrying and disposing of, offered by molded pulp clamshells.

Application Insights

Food packaging emerged as a dominating application for molded pulp packaging application segment with a market share of over 44.0% in 2022. Molded pulp packaging is mainly used for the packaging of fruits, vegetables, and eggs. Clamshells and trays are considered the primary packaging types for eggs due to the low price and cushioning offered. In addition, molded pulp trays and clamshells offer the extended shelf life of the eggs keeping them fresh by the ventilation provided in this packaging.

Electronics application is expected to witness a CAGR of 9.0% over the forecast year owing to high demand from the packaging of sensitive electronic devices such as laptops, smartphones, and others. The electronics require molded pulp packaging to transport and store delicate electronic devices that keep them safe from any external damage which is anticipated to drive the demand for molded pulp packaging products.

Regional Insights

Asia Pacific held the largest market share of over 41.0% in 2022. The region is segmented into China, Japan, and India. China accounted for the largest market share of molded pulp packaging industry in 2022 in the Asia Pacific region. This is attributed to the large food & beverage industry followed by the electronics market owing to the high population and increasing disposable income of consumers in the country. Moreover, the country is home to several electronic companies such as Huawei Technologies Co., Ltd, Lenovo, Xiaomi, and others which gives rise to the demand for molded pulp packaging to store and transport delicate electronic goods.

North America was the second leading region for molded pulp packaging in terms of revenue in 2022. The region is home to many food service companies including fast food chains, restaurants, catering services, and others. The trend of on-the-go food or snack consumption gives rise to molded pulp packaging such as trays, bowls, and cups, as consumers are becoming aware of sustainable packaging and prefer it over single-use plastic packaging.

Key Companies & Market Share Insights

The molded pulp packaging market is highly competitive with the presence of both global and regional companies. Companies operating in the market offer a wide range of products that are available in a variety of shapes, sizes, and colors. Moreover, they offer custom packaging products to suit customer-specific requirements.

The market has also witnessed several new product launches and mergers and acquisitions over the last few years. For instance, in February 2023, Huhtamako Oyj announced the acquisition of a joint venture foodservice distribution in Australia. With this acquisition, the company is serving food services packaging solutions to a wide network of regional and metropolitan wholesalers, restaurant businesses, and others. Some of the prominent players operating in the global molded pulp packaging market are:

• Brodrene Hartmann A/S

• Huhtamaki Oyj

• CKF Inc

• Thermoform Engineered Quality LLC

• Genpak, LLC

• Eco-Products, Inc.

• Pro-Pac Packaging Limited

• Fabri-Kal

• Hentry Molded Products, Inc.

• Sabert Corporation

 Molded Pulp Packaging Market Report Scope

Global Molded Pulp Packaging Market Report Segmentation

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

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

  • Wood Pulp

  • Non-wood Pulp

• Molded Type Outlook (Revenue, USD Million, 2018 - 2030)

  • Thick Wall

  • Transfer

  • Thermoformed

  • Processed

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

  • Trays

  • End Caps

  • Bowls & Cups

  • Clamshells

  • Plates

  • Others

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

  • Food Packaging

  • Food Service

  • Electronics

  • Healthcare

  • Industrial

  • Others

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

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • France

    • UK

    • Italy

  • Asia Pacific

    • China

    • India

    • Japan

  • Central & South America

    • Brazil

  • Middle East & Africa

    • Saudi Arabia