Global Industrial Sacks Market Outlook & Forecast 2024-2029 - Growing Demand for Lightweight Products and Increased Focus on Sustainable Packaging - ResearchAndMarkets.com

DUBLIN--(BUSINESS WIRE)--The "Global Industrial Sacks Market - Outlook & Forecast 2024-2029" report has been added to ResearchAndMarkets.com's offering.

The Global Industrial Sacks Market is forecast to grow from $14.55 Billion in 2023 to reach $18.6 Billion in 2028, growing at a CAGR of 4.2%

MARKET TRENDS & DRIVERS

Increased Focus on Sustainable Packaging

The environmental impact of plastic as a packaging material is high as plastic packaging accounts for a high share of the overall industrial sack packaging market. The pressure on food & beverages (F&B), consumer goods, and pharmaceutical companies to reduce dependency on plastic is rising, and the same applies to packaging vendors. Sustainability is not limited to materials but extends to the production process, logistics, functionality, and end-user of expired products. Both buyers and suppliers of industrial sack packaging products seek to make a positive impact on the environment. By 2030, the European Commission has confirmed that all plastic-based packaging will be recyclable or reusable. Currently, only around 30% of the plastic waste generated in Europe is collected to be recycled. These factors will help boost the sustainable industrial sacks market in the future.

Innovative Offerings Boost Industrial Sack Demands

Innovation has been and continues to be a key growth driver in the global industrial sacks market. With the changing market dynamics, sack manufacturers have witnessed a significant transformation in how sacks are delivered to customers. By ranging from varying customer needs to diverse geographic regulatory environments, the global industrial sacks market has witnessed considerable modifications in its product offerings. The need to innovate has become a necessity for vendors catering to the global industry. Several vendors launched innovative industrial sacks to meet the growing market demand. These innovations blend paper sacks, woven polypropylene (PP) laminated, and plastic sacks. Major global industrial sacks market vendors, such as Mondi PLC and BillerudKorsnas, made significant innovative contributions through their creative sack products.

INDUSTRY CONSTRAINTS

High Risks of Unfavorable Exposure to Products in Sacks

A crucial point to consider for packaging companies when selecting packaging is the material's durability when exposed to unfavorable conditions. Poor packaging often leads to damages and losses, and the replacement cost is always significant. Industrial sack manufacturers must consider the product for which the packaging is being made and the conditions to which it could be exposed. Global warming is another crucial factor often resulting in unexpected rains and hailstorms across regions. The unfavorable exposure of packaged products to rain, extreme climatic conditions, prolonged transportation, and unpredictable outdoor conditions could often damage goods before they reach the end of the supply chain. This unfavorable exposure is a prime restraint for the global industrial sacks market.

INSIGHTS BY SACK TYPE

The global industrial sacks market by sack types is segmented into WPP non-laminated, paper sacks, WPP laminated, FFS sacks, and other plastic sacks. The WPP non-laminated sack segment accounted for the largest share in 2023. These sacks are expected to remain two of the most significant segments of the global industrial sacks market until 2024 due to their demand and application advantages in end-user industries. Woven polypropylene (WPP) non-laminated sacks have acquired a lot of popularity in the industry over the years. More people are becoming familiar with PP/high-density polyethylene (HDPE) woven fabric and sacks. WPP non-laminated sack is made from polypropylene resin.

WPP non-laminated sacks have significant features and attributes. Woven polypropylene non-laminated sacks are 100% reusable, making them environmentally friendly; they are durable, lightweight, and flexible. They have higher strength than plastic sacks. WPP sacks can accommodate bulky items easily. All these factors propel the demand for polypropylene woven non-laminated sacks in the industrial sack market. Furthermore, the popularity of fast-moving consumer goods (FMCG) has increased retail outlets, pushing the demand for WPP non-laminated sacks. Moreover, the sale of WPP sacks is strongly fuelled by the ban on thin-film plastic bags.

INSIGHTS BY PRODUCT TYPE

The sewn open-mouth product type segment dominated the global industrial sacks market share in 2023. Sewn open-mouth (SOM) and multi-wallpaper sacks are industrial packaging bags or sacks designed to package various dry-flowable products. The industry growth can be attributed to the growing demand for SOM bags due to transport, packaging, and other global applications. The SOM bags industry is undergoing significant growth and is expected to continue growing in the foreseeable future. Several influences, including rising industrialization, construction activities, and the growing demand for sustainable industrial packaging solutions, drive the market growth.

Furthermore, the growth of modern trade formats, such as hypermarkets and supermarkets, coupled with the growth in urbanization and disposable incomes, has resulted in the growing demand for industrial-sewn open-mouth sacks for packaging consumer goods.

INSIGHTS BY END-USERS

The global industrial sacks market by end users is segmented into building & construction, food & beverages, chemicals & fertilizers, retail, animal feed, and others. Regarding value, the building & construction segment dominated the industry with a share of over 35% in 2023. The building & construction segment is set to drive the demand for industrial sacks during the forecast period. The construction sector is expected to grow rapidly with rapid urbanization and significant infrastructure investments supporting this trend. This rise in construction activities is bound to push the demand for cement, which is the key product in this sector. The growing demand for cement will boost cement production across geographies, thereby boosting the production of cement packaging sacks. Vendors of industrial sacks will have ample growth opportunities in this sector worldwide.

GEOGRAPHICAL ANALYSIS

The global industrial sacks market is directly influenced by regional-level industrial application performances that directly correlate to the region's economic environment. In addition, government regulations play an important role in boosting sales of industrial sacks. Furthermore, APAC holds the most prominent share of the global industrial sacks market by value and volume in 2023. High domestic demand and the disposal of low-cost labor make the APAC region the most attractive industry for industrial sack producers. Hence, industry players focus on this region to gain a large share and increase profitability.

In APAC, differentiation is the key factor, as the packaging market and end-user industries are highly fragmented. Being a vast geography including China and India, supply chain challenges exist in procuring raw materials. Brand owners in India and China prefer packaging companies with the least supply chain risk (diversified procurement). APAC has demand for both low-cost sachets and premium luxury packaging. The demand for industrial sacks packaging in the food and industrial secondary/tertiary packaging is expected to fuel market growth during the forecast period.

Market Opportunities & Trends

• Growth of E-Commerce Industry
• Technological Advances Fueled by Customer Demand
• Profit Volatility in APAC
• Packaging Transformation from Protection to Promotion
• Increase in Focus on Sustainable Packaging

Market Growth Enablers

• Innovative Offerings Boost Demand for Industrial Sacks
• Consumer Preference for Sustainable Packaging
• Demand for Lightweight Products
• India Emerges as New Driving Force in Cement Industry
• Preference for Industrial Paper Sacks
• Progress Driven by Growth in End-user Industries
• Increase in Demand for Packaged Food

Market Restraints

• Risks of Unfavorable Exposure to Products in Sacks
• Regulatory Landscape Poses Hurdles to Market Growth
• Price Inflation Driven by Supply Shortage
• Global Cement Demand Hampered by Slowdown in China

COMPETITIVE LANDSCAPE

Key Company Profiles

• Berry Global
• BillerudKorsnas
• Mondi
• Segezha Group
• Smurfit Kappa
• Sonoco
• Westrock

Other Prominent Vendors

• Amcor
• Al-Tawfiq
• American Packaging
• Bischof+Klein
• ProAmpac
• Huhtamaki
• International Paper
• ITP
• Palmetto Industries International
• Southern Packaging
• United Bags, Inc.
• Nilay Paper Products
• SHU Packaging
• RKW Group
• Global-Pak
• Polypack Packaging
• Walki Group
• Ringmetall SE
• El Dorado Packaging
• DS Smith
• E.I. Du Pont de Nemours
• Emmbi Industries
• Hood Packaging
• INDEVCO
• Knack Polymers
• LC Packaging
• Maruti Bulk Packaging
• Muscat Polymers
• Nampak Packaging
• Nihon Matai
• Oji Holdings
• QTL Bags

Key Attributes:

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