Forecast Period | 2026-2030 |
Market Size (2024) | USD 2.18 Billion |
CAGR (2025-2030) | 3.42% |
Fastest Growing Segment | Food & Beverages |
Largest Market | West India |
Market Size (2030) | USD 2.64 Billion |
Market Overview
India Rigid Plastic Packaging Market was valued at USD 2.18 Billion in 2024
and is expected to
reach USD 2.64 Billion by 2030 with a CAGR of 3.42% during the forecast period.
Rigid plastic packaging provides robust and protective containers for a range
of products. Unlike flexible plastic, which can be easily bent, or shaped, rigid
plastic maintains its form and is valued for its strength, protective
qualities, and versatility in molding into various shapes and sizes. The growth
of the rigid plastic packaging market is driven by increasing demand across
several sectors, including food and beverages, healthcare, personal care, and
household goods. Key materials used include polyethylene (PE), polypropylene
(PP), polyvinyl chloride (PVC), and polyethylene terephthalate (PET), each
chosen for their unique properties such as transparency, rigidity, and chemical
resistance.
In India, the expanding economy and a
rising middle class are significantly boosting the demand for packaged goods,
thereby increasing the need for rigid plastic packaging. Factors contributing
to market growth include a rising GDP, higher per capita income, growing
e-commerce sales, and shifting consumer preferences. However, managing plastic
waste and enhancing recycling efforts remain major challenges. India is
addressing these issues through improved waste management practices and new
recycling technologies, with increased pressure from regulators and
environmental groups to reduce plastic waste and enhance recycling rates.
Recent regulations, such as the Plastic Waste Management (Amendment) Rules,
2022, aim to curb plastic use and promote sustainable packaging solutions,
making compliance crucial for manufacturers.
Ongoing
investment in infrastructure and industrial development in India is expected to
bolster the rigid plastic packaging market by enhancing production capabilities
and distribution networks. Technological advancements in packaging, including
better barrier properties, innovative design features, and smart packaging
solutions, are poised to drive market growth and create new opportunities.
While urban areas are leading in demand due to higher disposable incomes and
evolving consumption patterns, the market is also expanding in rural areas.
The
rigid plastic packaging market in India is set for continued growth, supported
by economic development, urbanization, and changing consumer demands.
Addressing environmental concerns and adapting to regulatory changes will be
essential for sustaining this growth.
Key Market Drivers
Rising Disposable Incomes
As
disposable incomes increase, consumers are likely to invest more in a range of
packaged products, including food, beverages, personal care items, and
household goods. This uptick in spending drives a higher demand for packaging
solutions, especially rigid plastics, known for their durability and
convenience. With rising incomes, spending on both traditional retail and
e-commerce platforms also grows. Rigid plastic packaging plays a crucial role
in safeguarding products during transit and ensuring they arrive in optimal
condition, thus supporting growth across these retail channels. According to
IBEF, India has approximately 936.16 million internet subscribers, including
around 350 million active online users engaged in transactions.
The
government revised the per capita disposable income forecast to USD 0.0026 Million
for 2023-24, up from the previous estimate of USD 0.0025 Million, based on the
corrected GDP data released in March 2024. This correction reflects changes in
gross national disposable income, net national disposable income, and per
capita disposable income at current prices for 2022-23 and 2023-24. The updated
data shows an 8% increase in per capita disposable income for FY24 and a 13.3%
rise in the previous year.
With
higher disposable incomes, consumers are expected to spend more on
convenience-oriented products such as ready-to-eat meals and snacks. Rigid
plastic packaging is essential for providing the necessary protection and
convenience for these products, further boosting demand. Additionally, a rise
in disposable income often aligns with a greater emphasis on health and
wellness, driving the demand for health-focused products with specialized
packaging, such as nutritional supplements and organic foods, which frequently
utilize rigid plastic packaging.
Thus,
increasing disposable incomes enhance consumers' purchasing power and
preferences for packaged goods, stimulate demand for higher-quality and premium
products, and support the growth of various product categories, all
contributing to the expansion of the rigid plastic packaging market in India.
Growing Urbanization and
Population
As
urban areas expand and populations grow, there is an increasing demand for
packaged goods such as food, beverages, and household products. Rigid plastic
packaging is extensively utilized to meet this demand due to its durability and
convenience. In 2023, India surpassed China to become the world's most
populous country. The World Bank reports that India is urbanizing rapidly, with
projections indicating that by 2036, its towns and cities will be home to 600
million people, or 40% of the population, up from 31% in 2011. Urban areas are
expected to contribute nearly 70% to GDP.
With
a population of 1.2 billion and the world’s third-largest economy in purchasing
power parity terms,
India’s urbanization drives the development of extensive retail and
distribution networks, including supermarkets, convenience stores, and online
platforms. Rigid plastic packaging is essential for these retail formats,
providing effective protection and presentation for a wide range of products.
The
increase in population and urbanization leads to higher production and
distribution of goods. Rigid plastic packaging ensures products are
well-protected during transportation and storage, minimizing damage and
spoilage, which is critical for maintaining product quality in a more complex
supply chain. The pressures of catering to a large urban population often spur
innovation in packaging solutions. Rigid plastics benefit from technological
advancements, such as improved barrier properties, which support market growth
and attract investment.
In
densely populated urban areas, there is a heightened emphasis on health and
safety. Rigid plastic packaging helps maintain product hygiene and extends
shelf life, which is increasingly important in urban environments with high
product turnover. Additionally, urbanization brings lifestyle changes,
including a greater preference for ready-to-eat meals and premium products.
Rigid plastic packaging meets these evolving consumer preferences by offering
convenience, quality, and protection.
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Key Market Challenges
Environmental Concerns
Rigid
plastic packaging significantly contributes to the escalating issue of plastic
waste. Improper disposal and inadequate recycling result in plastics
accumulating in landfills and natural environments, leading to pollution and
threatening wildlife and ecosystems. According to the Confederation of
Indian Industry, nearly one-third of plastic packaging in India is used for
rigid applications, such as bottles for personal and homecare products,
drinking water, and carbonated soft drinks. In total, 56% of the plastic market
in India is dedicated to packaging applications. While packaging is intended to
protect products and reduce waste, a concerning 95% of plastic packaging
material is lost to the economy after a short use cycle. Globally, one-third of
plastic packaging remains uncollected, further exacerbating environmental
pollution.
The
Indian government and local authorities have introduced several regulations to
address plastic waste. These include bans on specific plastic products,
restrictions on single-use plastics, and recycling mandates. In 2022, the
Government of India issued new Extended Producer Responsibility (EPR)
Guidelines under the Plastic Waste Management Rules. These guidelines place a
statutory obligation on manufacturers to collect, recycle, and reuse plastic
packaging, and to incorporate recycled content into new packaging. The
Guidelines aim to enhance packaging sustainability through ambitious targets
and better packaging design. Adhering to these regulations often
necessitates significant adjustments in packaging materials and processes,
resulting in increased operational costs.
Despite
efforts to improve recycling practices, India's recycling infrastructure
remains underdeveloped. Inefficient collection, sorting, and recycling
processes limit the effectiveness of recycling programs, contributing to
environmental degradation. Additionally, the production and disposal of rigid
plastic packaging have a considerable environmental impact, including high
energy consumption and greenhouse gas emissions. Addressing these issues
requires the adoption of more sustainable manufacturing practices and efforts
to reduce the overall carbon footprint.
Volatility in Raw Material
Prices
The
cost of raw materials for rigid plastic packaging, such as petroleum-based
polymers, can be highly unpredictable. Variations in crude oil prices and
disruptions in the global supply chain can lead to volatile material costs,
impacting overall production expenses. As raw material costs rise,
manufacturers face pressure on their profit margins. Companies often find it
difficult to absorb these increased costs or pass them onto customers without
affecting demand, which can lead to financial strain and potential
profitability issues.
Fluctuating
material costs pose challenges for budgeting and financial planning,
complicating forecasting and impacting strategic decision-making and long-term
investments. Supply chain disruptions, such as delays in transportation or
material shortages, can further exacerbate cost fluctuations, leading to higher
expenses and potential production delays.
To
address these challenges, companies must frequently adjust their pricing
strategies, which can result in pricing instability and affect customer
relationships and market perception. Investing in technology and innovation to
enhance efficiency and reduce reliance on unstable raw materials is crucial.
However, these investments require substantial capital and can strain financial
resources. Additionally, adapting to new regulations and compliance
requirements related to sustainability or recycling can add to the financial
burden. Companies need to implement effective cost control, supply chain
management, and resource optimization strategies to navigate these challenges
successfully.
Key Market Trends
Rise of Innovative Packaging
Consumer
awareness and demand for environmentally friendly products are on the rise.
Shoppers are actively seeking packaging solutions that reduce environmental
impact and promote sustainability. In response, companies are implementing
sustainable practices and incorporating eco-friendly features into their
packaging. Starting from 2023-24, all companies are mandated to collect and
recycle 100% of their plastic packaging material, as outlined by new guidelines
from the Union Environment Ministry aimed at regulating and reusing daily
plastic waste. New regulations, such as the Extended Producer
Responsibility (EPR) Guidelines, mandate that manufacturers oversee the entire
lifecycle of their packaging, including collection, recycling, and responsible
disposal of plastic waste. To support these efforts, there is a push to enhance
recycling infrastructure and technology, making it easier to process and
recover materials from rigid plastic packaging. Industry collaborations are
also being formed to improve recycling practices and waste management systems.
In
2024, GEM Enviro Management Limited, a waste management firm, announced that it
will recycle over 7,500 metric tons of plastic for Mamaearth, a brand of Honasa
Consumer Limited. This initiative has helped Mamaearth achieve plastic
neutrality, reflecting a strong commitment to environmental responsibility.
Advancements
in materials science are fostering the development of eco-friendly
alternatives, such as plant-based plastics and reduced plastic composites.
For example, in April 2024, SABIC and Pashupati Group announced a partnership
to convert plastic waste into pyrolysis oil, which will be used in the
production of SABIC’s certified circular polymers.
In
2023, Polymateria, in partnership with Toppan Specialty Films (TSP), introduced
packaging that fully biodegrades without leaving microplastics or toxins. This
innovation represents the fastest biodegradation of biaxially oriented
polypropylene used in food and cosmetic packaging, achieved through
Polymateria’s advanced biotransformation technology.
Additionally,
in 2023, sustainable packaging startup Fibmold secured $10 million in funding
from Omnivore and Accel. Fibmold produces eco-friendly molded fiber packaging
made from natural materials like bamboo, bagasse, husk, wheat straw, and wastepaper, offering an alternative to traditional rigid plastics.
There
is a notable shift towards using recycled plastics in rigid packaging.
Manufacturers are increasingly using post-consumer recycled materials to reduce
reliance on virgin plastics and minimize environmental impact. The emphasis is
on creating a circular economy where materials are reused and recycled,
reducing waste and the need for new raw materials. For instance, Coca-Cola
India launched Coca-Cola in rPET bottles in 250 ml and 750 ml sizes in 2023,
produced by bottling partners Moon Beverages Ltd. and SLMG Beverages Ltd. The
move towards sustainability and eco-friendly packaging in India's rigid plastic
packaging market is driven by consumer preferences, regulatory requirements,
and technological innovations. Companies are increasingly focused on reducing
their environmental footprint and adopting practices that support a sustainable
future.
Segmental Insights
Raw Material Insights
Based
on Raw Material, the Polyethylene Terephthalate (PET) emerged
as the dominating segment in the Indian market for Rigid Plastic Packaging in
2024. PET
is widely utilized across various applications, such as beverage bottles, food
containers, and household items, thanks to its adaptability for diverse
packaging requirements. Its clarity and strength make it a favored option for
consumer products, enhancing its market presence. As one of the most frequently recycled
plastics, PET can be reprocessed into new products, supporting a circular
economy and reducing environmental impact. Companies are increasingly investing
in recycled PET (rPET) to achieve sustainability objectives, which further
boosts PET’s market appeal. For instance, in June 2024, German recycling
equipment and technology firms Coperion and Herbold Meckesheim are partnering
with Indian preform and plastic packaging manufacturer Magpet Polymer Pvt. Ltd.
to establish a PET bottle-to-bottle recycling facility. This new system
will handle all processing stages, including extrusion with a ZSK twin-screw
extruder, pelletizing, and solid-state polycondensation (SSP), with a
throughput of 5,500 kilograms (12,125 pounds) per hour. The recycled PET
produced will meet the standards of both the European Food Safety
Administration (EFSA) and the U.S. Food and Drug Administration (FDA) for
direct food contact and will also be approved by brand owners.
PET's
exceptional durability and impact resistance ensure that products are
safeguarded during handling and transportation. Its effective barrier
properties against moisture and gases help maintain freshness and extend the
shelf life of packaged goods. The cost-effectiveness of PET, due to its
large-scale production capabilities, supports its widespread use and
competitive pricing. The growing market for bottled beverages, especially
carbonated drinks and water, drives considerable demand for PET packaging.
Combining its aesthetic appeal with functional benefits, PET aligns well with
consumer preferences for convenience and safety, making it the preferred choice
for numerous packaging applications.
End User Insights
Based
on End User, Food & Beverages emerged as the fastest growing segment in the
Indian market for Rigid Plastic Packaging during the forecast period. The
rising demand for convenient, ready-to-eat, and on-the-go food and beverage
items is fueling the need for efficient packaging solutions. The growing
variety of packaged products, including drinks, snacks, and processed foods,
significantly drives this expansion. Increased emphasis on food safety and
quality assurance further heightens the demand for high-quality, secure
packaging that maintains product integrity. Additionally, the shift towards
eco-friendly and sustainable packaging materials within the food and beverage
industry supports this segment's growth.
In
2024, Zomato, India’s leading food ordering and delivery service, collaborated
with Startup India to launch the ‘Plastic-Free Orders Packathon,’ aimed at
fostering innovation in sustainable packaging solutions for food deliveries. Furthermore, frequent innovations and
new product introductions in the food and beverage sector necessitate diverse
and advanced packaging solutions. For example, in May 2024, researchers from
Panjab University's Institute of Forensic Science, DAV College, and NIT
Srinagar received an Indian patent for their biodegradable food packaging film
designed to replace conventional plastic-based films. Investments in
cutting-edge packaging technologies and infrastructure are also driving growth
in this sector.
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Regional Insights
Based
on Region, West India emerged as the dominant region in the Indian market for Rigid
Plastic Packaging in 2024. West India is a key industrial hub, encompassing
sectors such as food and beverage, pharmaceuticals, personal care, and
automotive. This diverse industrial activity drives a strong demand for rigid
plastic packaging. The region benefits from advanced port infrastructure,
including Jawaharlal Nehru Port and Kandla Port, which streamline the import
and export of packaging materials and products.
Maharashtra
and Gujarat have experienced substantial industrial growth. Gujarat’s efforts
to foster industrial development, through initiatives like Special Economic
Zones (SEZs) and industrial parks, have attracted many packaging companies. For
instance, in 2023, SIG, a leading Swiss packaging solutions provider,
announced an investment of USD 65.56 million to establish its first aseptic
carton plant in Ahmedabad, Gujarat. Aseptic cartons, which combine layers of
paperboard, plastic, and aluminum, are used for packaging liquid foods and
beverages.
The
region has also drawn significant foreign direct investment (FDI) across
various sectors, including packaging, which supports the expansion and
advancement of the rigid plastic packaging market. The favorable business
environment in West India, marked by supportive government policies and robust
infrastructure investments, encourages growth and innovation in the packaging
industry. Additionally, Mumbai-based Creative Propack, a part of Creative
Group, showcased its 100% recycled HDPE, PP, and PET bottles at the 8th
Injection, Blow, Roto Moulding & PET International Summit 2023 in Mumbai. West
India’s large and varied consumer base further drives demand for packaged
goods, with strong consumer spending on products like food, beverages, and
personal care items. The growth of e-commerce in cities such as Mumbai and Pune
also fuel the need for durable and innovative packaging solutions.
Recent Development
- In
July 2024, Advent International plans to sell its portfolio company, Manjushree
Technopack, with an expected valuation between USD 1 billion and USD 1.2
billion.
- In
April 2024, Manjushree Technopack Limited acquired the plastics packaging
division of Oricon Enterprises Limited. Oriental Containers, a leading producer
of plastic caps, closures, and preforms commonly used in beverage PET bottles in
India, is now part of MTL’s portfolio. This acquisition includes two
manufacturing facilities located in Goa and Odisha, which will enhance MTL's
current production capabilities.
- In
January 2024, Mold-Tek Packaging Ltd announced an investment of USD 14.32 Million
to expand its production capacity by 5,500 metric tonnes per annum (MTA) for
injection-molded products serving the paints, food, FMCG, and pharmaceutical
sectors. The company has already upgraded its Sultanpur facility in Telangana
to focus on high-value pharmaceutical packaging and has begun trial production.
At Sultanpur, Mold-Tek will produce tubes for effervescent tablets, silica gel
canisters, and molded bottles for OTC products.
- In
October 2023, Manjushree Technopack Limited formed a partnership with the
bottle-to-bottle grade recycling division of Ganesha Ecosphere Group to
co-develop and supply packaging products for both food and non-food
applications using recycled plastic. This collaboration aims to deliver
high-quality plastic packaging with up to 100% recycled content.
Key Market Players
- Time Technoplast Ltd.
- Manjushree Technopack Limited
- Mold-Tek Packaging Limited
- Hitech Corporation Limited
- Amcor Rigid Plastics India Private
Limited
- Pearl Polymers Limited
- Parekhplast India Limited
- EPL Limited
- Chemco Group
- Regent Plast Private Limited.
|
By
Raw Material
|
By
Production Method
|
By
End User
|
By Region
|
- Polyethylene (PE)
- Polyethylene
Terephthalate (PET)
- Polypropylene (PP)
- Polystyrene (PS)
- Expanded
Polystyrene (EPS)
- Others
|
- Blow Molding
- Injection Molding
- Rotomolding
- Others
|
- Food &
Beverages
- Industrial
- Healthcare
- Cosmetics &
Toiletries
- Others
|
- West India
- North India
- South India
- East India
|
Report Scope:
In this report, the India Rigid Plastic Packaging
Market has been segmented into the following categories, in addition to the
industry trends which have also been detailed below:
- India Rigid Plastic Packaging Market, By Raw Material:
o Polyethylene (PE)
o Polyethylene Terephthalate (PET)
o Polypropylene (PP)
o Polystyrene (PS)
o Expanded Polystyrene (EPS)
o Others
- India Rigid Plastic Packaging Market, By Production Method:
o Blow Molding
o Injection Molding
o Rotomolding
o Others
·
India Rigid
Plastic Packaging Market, By End
User:
o Food & Beverages
o Industrial
o Healthcare
o Cosmetics & Toiletries
o Others
- India Rigid Plastic Packaging Market, By
Region:
o West India
o North India
o South India
o East India
Competitive Landscape
Company Profiles: Detailed analysis of the major companies presents in the India Rigid
Plastic Packaging Market.
Available Customizations:
India Rigid Plastic Packaging Market report with
the given market data, Tech Sci Research offers customizations according to a
company's specific needs. The following customization options are available for
the report:
Company Information
- Detailed analysis and profiling of additional
market players (up to five).
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