The global coffee packaging market is expected to see remarkable growth throughout the forecast period, primarily due to the increase in demand for coffee in institutional sales such as hotels, restaurants, office cafeterias, and others. Coffee packaging keeps coffee fresh for longer time and has a direct impact on the taste of the beans. In addition, every coffee producing company needs to distinguish itself from its competitors and packaging is one of the easiest ways to achieve it. The companies are thus striving to introduce innovative, airtight, and attractive coffee packages since recent past.
Manufacturers in coffee packaging market are inclined more towards making their products user friendly. They are taking efforts in promoting their packaging products in diverse geographies, without any language barrier. In addition, due to the growing concern towards obesity and other health problems, the demand for functional beverages such as ready-to-drink (RTD) coffee is recently gaining popularity worldwide. Owing to its low calorie content, there are increasing chances of bolstering adoption of ready-to-drink coffee in near future.
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Market Taxonomy Overview
Major coffee packaging types include pouches, side gusseted bag, block bottom bag, stick pack, bag in box, bottles, cans, containers & boxes, sacks, and others. The pouches segment is further classified into stand up pouches and flat bottom pouches. Among all these segments, sacks and side gusseted bags are the key packaging types. Based on material type, the coffee packaging can be divided into plastic, metal, glass, paper and paper board, and others. The plastic segment is further classified into Polyethylene, Polypropylene, and Polyethylene Terephthalate. On the basis of distribution channel the coffee packaging market is classified into institutional sales and retail sales. Institutional sales segment is expected to dominate the global coffee packaging market by value share of over 62% by 2027 end.
Paper and paper board is expected to be the fastest growing material type segment during the forecast period. This segment is also expected to dominate the overall global coffee packaging market. Plastic is anticipated to be the second largest material type segment. PET provides a much better packaging solution for the various types of coffee available on the shop shelves such as whole or pre-ground beans as well as soluble coffee powder and granules. The advantages of PET jars include their light weight, virtually unbreakable nature, and re-sealable benefit. They are also available with wide necks for easy pouring and spooning, and the design possibilities are also unending. All these factors are expected to make this segment highly lucrative over the forecast period.
Regional Segmentation Overview
The global market has been segmented into five regions, i.e. North America, Latin America, Europe, Asia Pacific region (APAC), and Middle East & Africa (MEA). Europe dominates the global coffee packaging market by value and volume. The demand for coffee is huge in this region, as a large number of people prefer consuming coffee on a daily basis. Germany is the major contributor in the European coffee packaging market. The Asia Pacific region is anticipated to expand at a lucrative CAGR of 6.6% during 2017-2027, led by India and China as the major contributors. The RTD coffee is one of the major soft drinks category in Japan, and over half of global sales still occur there. This is expected to drive the demand for coffee packaging market in this region. Many countries around the world are increasingly implementing strict laws and regulations regarding coffee packaging. For instance, recent packaging directives from European Commission have led to the obligation of challenging targets for recycling, and national governments are also observing new ways to discourage packaging waste.
Key players in the global coffee packaging market include Amcor Limited, WestRock Company, Bemis Co Inc., Mondi PLC, DS Smith PLC, ProAmpac LLC, Graham Packaging Company, L.P., Pacific Bag, Inc., Crown Holdings Inc., Goglio S.p.A., Novolex Holdings, Inc., Sonoco Products Company, Co Pack, Inc., Sixto Packaging, PBFY Flexible Packaging, Dongguan Min Lee Packaging Materials Co., Ltd, Color Hoyo Paper & Plastic Products Co., Ltd, Dongguan Jmei Packaging Company Limited, Qingdao Dejili Packing Material Co. Limited, Shenzhen Packmate Packaging Co., Ltd. among others.
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Companies in Coffee Packaging Market Look to Leverage Resilience in Supply Chains in Post-Covid Era
Packaging companies see incredible avenues in the coffee industry. Some of the best and popular coffee manufacturers pull the levers on packaging for advancing unique brand positioning. The massive trade that coffee has doing year-over-year in pre-Covid era is key to expanding avenues in the coffee packaging market. New packaging designs have come to the fore for ensuring that the best quality coffee reaches the cup. There have as many permutations and combinations as are the ways of growing, roasting, and drying, and various other processes in the coffee production to consumption value chain. In the process, players in the coffee packaging market have aimed at different objectives that the packaging needs to fulfil. One of them is safety during shipping and logistics. Another area seeing lot of activities for disrupters in the coffee packaging market is the aesthetics. Packaging companies have shaped their offering to adopt colors and shades in order to make the coffee packaging look trendy, elegant, and exude a luxurious ‘feel’. All these also expanding branding opportunity in the coffee packaging market. Another area attractive interest of coffee makers is the choice of the packaging material. Kraft paper in this regard has gathered notable steam among consumers. A mix of maximalist and minimalist design is another key consumer value proposition in the coffee packaging market.
The Covid-19 pandemic caused a huge burden to economic activity, especially in the middle of the years 2024. Agricultural production also suffered heavily, with government restriction on stalling various non-essential crops. Further and more importantly, major coffee producing countries had to suffer the decline the migrant workforce. In addition, coffee and café shops closing down constrained coffee sales worldwide. However, coffee was considered an essential food item largely in various countries, and the supply chain was minimally affected. Thus coffee producers were able to leverage the resiliency of the supply chain in the wake of Covid-19. All this painted an optimistic picture for the growth of the coffee packaging market in the last few months. However, industry leaders are still skeptical whether the resiliency will continue to the post-Covid-era.
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