Various governments and organisations around the globe are becoming stricter and framing rigid regulatory policies for sustainable packaging solutions. Global warming, mainly caused by harmful gases from various industries, puts pressure on every industry to choose sustainable packaging solutions.
While the efforts for sustainable packaging are getting momentum across the globe, Australia also has geared up for its sustainable mission. Melissa Price, the environment minister of Australia, declared in September this year that it would ensure 100% sustainable packaging by 2025.
Besides Australian food packaging, retail, logistics, recycling, manufacturing and all the other major industries made a commitment for eco-friendly packaging solutions as part of the mission.
Demand For Biodegradable And Environmentally Friendly Packages
The Australian government has spoken its mind that it wants recyclable, reusable, or compostable packaging solutions for all the industries. In reality, the growth of packed foods industry and personal care products around the globe accelerated the need for sustainable solutions in the packaging industry.
Today, a vast majority of food companies use biodegradable or recyclable stand-up pouches and other packaging bags to improve their environmental footprint. These pouches and packaging bags are made from kraft papers, biodegradable plastic, biodegradable bubble wraps, and more.
A recent report by Transparency Market Research confirms that the green packaging market is expected to grow at 6.20% of CAGR during the period 2015-21.
The Factors That Influence The Growth Of Sustainable Packaging
The following five factors become crucial and influence sustainable packaging in the coming years:
- The growing environmental concerns combined with regulatory policies of various governments will push industries to grab sustainable packaging in the coming years.
- Technology innovation in the manufacturing of eco-friendly packaging materials that can reduce the emission of toxic gases will rule the market.
- However, the increased production costs for sustainable packaging materials will affect the profit margins of companies. It can limit the accelerated growth of green packaging.
- Due to the limited awareness regarding the importance of sustainable packaging among people, the industry may see reduced growth. However, the efforts of governments, including framing policies, educating people, and green initiatives, can make a difference.
- Countries with significant manufacturing and industrial sectors will become the leaders of sustainable packaging. It includes the U.S, Australia, and many countries in the Asia Pacific region.