The packaging industry in 2023 faced a multitude of challenges stemming from global influences such as environmental concerns, geopolitical conflicts, inflation, social issues, legal challenges, and extended producer responsibility.

These pressures forced the packaging sector to chart new and more challenging routes to market, compelling businesses to adapt and innovate in response to the changing landscape.

Economic uncertainty and rising costs of goods prompted consumers to reconsider budgets and discretionary spending.

In response, brands across various categories utilised messaging, technology, and retail strategies to demonstrate how packaging innovations could help consumers stretch their budgets.

Despite these efforts, many businesses experienced a decline in revenue compared to the previous year. Even those players deemed as ‘winners’ in the industry couldn’t avoid the impacts of a year full of adversities.

Regional dynamics: Asia-Pacific leading the way

The Asia-Pacific region emerged as the global leader in the packaging market, with China and India significantly contributing through their robust food and beverage sectors.

In China, changing consumer opinions led to the enforcement of bans on plastics, fostering a growing demand for recyclable flexible plastic packaging. India, the fifth-largest packaging industry globally, played a pivotal role in driving technology and innovation in manufacturing sectors.

Japan, conscious of sustainability and deforestation concerns, witnessed a rise in demand for paper-based packaging.

As Asia continued to dominate the world packaging consumption market, North America and Western Europe followed suit.