The global returnable packaging market size is expected to reach USD 173.0 billion by 2030. The market is expected to expand at a CAGR of 5.9% from 2022 to 2030.
Rapid industrialization, increasing trade activities, and rising demand for robust, long-term, and eco-friendly packaging for the transportation of finished and semi-finished goods in multiple end-use industries is expected to augment growth to the market.
Returnable packaging consists of sturdy products such as pallets, crates, IBCs, and drums & barrels that are intended to use for multiple trips. These products are designed to withstand harsh handling within the supply chain, thus are made up of robust materials such as polypropylene, high-density polyethylene, metal, and wood, which also result in their high cost as compared to single-use packaging.
However, however, returnable packaging is reused multiple times which eliminates the recurring costs of packaging products and makes them lucrative in the longer term.
Globally, end use companies or consumer brands are increasingly pledging to switch to reusable or recyclable packaging products owing to sustainability issues and also to improve brand equity. Besides, growing favorable government regulations such as European Union’s Circular Economy Action Plan that focuses on sustainable practices are expected to favor the market growth in the coming years.
Flourishing e-commerce across the world is likely to augment growth to the market as the product distribution through e-commerce consists of extensive logistics wherein returnable packaging products.
