Packaging adhesives are used to bond packaging components and materials together. They are widely used in food & beverage, healthcare, e-commerce, construction, and other industries. Commonly used packaging adhesives include hot-melt adhesives, water-based adhesives, solvent-based adhesives, and UV-cured adhesives. Some key applications include case and carton sealing, flexible packaging bonding, label applications, and specialty applications such as cold-glue roller coaters and packaging machinery.
The global packaging adhesives market is estimated to be valued at US$ 8.51 billion in 2023 and is expected to exhibit a CAGR of 5.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
Increasing Demand for Sustainable and Environment-Friendly Packaging Materials: The rising environmental concerns among consumers have increased the demand for sustainable and eco-friendly packaging materials and solutions. This has propelled packaging manufacturers to adopt greener packaging adhesives made from renewable resources. For instance, hot melt adhesives made from plant-based resins instead of petroleum-based polymers. Water-based adhesives are also gaining popularity due to their lower VOC emissions. The growth in sustainable packaging trends is expected to drive the demand for bio-based and green packaging adhesives over the forecast period.
Rising E-Commerce Sales Boosting Demand for Specialty Adhesives: The significant rise in e-commerce sales during the pandemic has boosted the demand for specialty packaging adhesives that can provide high-speed processing and ensure safety during product transportation. Key considerations in e-commerce packaging include impact resistance, flexibility, burst strength, and moisture resistance. Adhesive manufacturers are focusing on developing innovative adhesive solutions tailored for the e-commerce industry. This rapid growth of the e-commerce sector is anticipated to offer lucrative opportunities for specialty packaging adhesives market over the forecast timeframe.
Segment Analysis
The packaging adhesives market can be segmented into water-based, solvent-based, hot melt and others. Water-based segment dominates the market with around 40% share as these adhesives have low VOC emissions and are easily washable. They also do not contain hazardous solvents, making them environment-friendly.
PEST Analysis
Political: Stringent regulations regarding VOC emissions is driving the demand for eco-friendly water-based and hot melt adhesives.
Economic: Growing e-commerce industry is boosting the demand for efficient packaging solutions using advanced adhesives.
Social: Rising health awareness is increasing the preference for non-toxic packaging among consumers.
Technological: Developments in hot melt and reactive adhesives technologies allow application in varied temperatures and substrates.
Key Takeaways
The Global Packaging Adhesives Market Growth is expected to witness high between 2023-2030. The Asia Pacific region dominates with over 35% share due to strong growth in e-commerce and manufacturing sectors in countries like China and India.
Regional analysis: The Asia Pacific region is the fastest growing market for packaging adhesives due to rapid industrialization. China dominates the regional market owing to presence of domestic packaging converters and adhesive manufacturers.
Key players: Key players operating in the packaging adhesives market are Phytex Australia, Aspen Holdings, LGM Pharma, Midas Pharma GmbH, Transo-Pharm Handels-GmbH, Aktin Chemicals,Inc, Merck KgaA, Alchem International Pvt. Ltd., Tiefenbacher API + Ingredients GmbH & Co. KG, Spectrum Chemical, Vital Laboratories Pvt Ltd, Clearsynth, Prism Industries Ltd, Alkaloids Corporation., and Manus Aktteva Biopharma LLP.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it