CAGR: 3.7%Current Market Size: USD 9.3 BillionFastest Growing Region: North America
Largest Market: APACProjection Time: 2022-2029Base Year: 2021
Global Coffee and Tea Packaging market is expected to grow from USD 9.3 billion in 2021 to USD 12.43 billion by 2029, at a CAGR of 3.7%% during the Projection period 2022-2029. The growth of this market is mainly driven owing to the rising awareness about preserving the freshness of beverages for a long time.
Tea and coffee are alcoholic-free drinks. They are non-alcoholic beverages with modest stimulants. Caffeine is found in coffee and tea. It is well recognized to act as a CNS stimulant (Central nervous system). The leaf of the Camellia sinensis bush is used to make tea, which is consumed by more than two-thirds of the world's population. The tea is normally served hot or over ice after being steeped in scorching hot water for a few minutes. In the case of coffee, the beans are produced on flowering trees that may be found in more than 50 nations, including the United States (Hawaii). Depending on the preferences of the people, they are roasted and ground before being boiled, dripped, steamed, or soaked to make coffee. Coffee and tea packaging have seen a lot of advancements throughout the years, from the beeswax-treated sacks of the 1700s to the airtight flexible pouches of today. Getting tea and coffee securely from point A to point B has always been its primary function. But as individuals have learned more, an emphasis on maintaining freshness and avoiding exposure to outside forces has given rise to ever-more inventive designs. Additionally, packaging's use as a tool for marketing has grown. What was initially only functional has evolved into the "secret salesperson," a very successful method of promoting a business and its identity to passing customers.
Sample Request: - Global Coffee and Tea Packaging Market
Market Dynamics:
Drivers:
Manufacturers are concentrating more on product packaging in addition to coffee and tea production to draw in more customers. To cut down on the costs of logistics and recycling, coffee and tea producers are seeking sustainable packaging materials. The demand for coffee and tea packaging that maintains the product's freshness and aroma over time has increased. Additionally, due to tea's antioxidant benefits and the increased prevalence of cardiovascular diseases and other weight-related illnesses, demand for coffee and tea packaging is anticipated to rise over the projection period.
Restraints:
Future market trends are hampered by the variable cost of raw materials used in coffee and tea packaging. For food makers and businesses, the price of raw materials continues to be the main source of worry. To remain competitive and provide sustainable margins in light of the significant price volatility of raw materials, it becomes a genuine problem for food firms.
Opportunities:
Due to rising demand for coffee and tea at coffee and tea chains, quick service restaurants, and workplace cafeterias, the global market for coffee and tea packaging is anticipated to expand significantly during the Projection period. A key element driving growth is how modern consumers' changing lifestyles are influenced by increased disposable money. Additionally, the global expansion of numerous multinational coffeehouse chains like Starbucks and Costa Coffee is expected to encourage the culture of coffee and tea drinking, driving the need for coffee and tea packaging throughout the Projection period.
Challenges
The price of the product rises as the packaging becomes more inventive, which is a deterrent for the market for coffee and tea packaging. As the food industry develops continuously, product packaging also advances, necessitating increased resources, technology, research, and other variables to satisfy consumer demand. All of these variables have a direct impact on the price or output of the product, which is likely to have an impact on the market throughout the Projectioned time.
Segmentation Analysis:
The global Coffee and Tea Packaging market has been segmented based on Material Type, application, and regions.
By Material Type
The material type segment is plastic, paper & paperboard, metal, glass, and others. The paper segment led the largest share of the coffee and tea packaging market with a market share of around 27.3% in 2021. This is due to the benefits and advantages it provides, as well as the fact that it is recyclable and environmentally beneficial. Due to its low resource use, low resource waste, and low cost of packaging, paper is growing significantly in the coffee and tea packaging sector. There are many different kinds of paper products on the market, including paper coffee and tea bags with windows and packaging with valves.
By Packaging Type
The packaging type includes vacuum pouches & bags, stand-up pouches, side gusseted bags, flat bottom bags, cans, bottles, bags in boxes, and other segments. The stand-up pouches segment led the Coffee and Tea Packaging market with a market share of around 13.08% in 2021. The stand-up pouches, which keep coffee and tea fresh and stop bags from tearing, are compact, lightweight, and highly flexible items. Compared to other forms of packages, these use over 75% less material. The multiple layers of stand-up pouches prevent the contents from spilling out.
By Regional Analysis:
The regions analyzed for the Coffee and Tea Packaging market include North America, Europe, South America, Asia Pacific, the Middle East, and Africa. The Asia Pacific region dominated the Coffee and Tea Packaging market and held the 42.1% share of the market revenue in 2021.
Global Coffee and Tea Packaging Market- Country Analysis:
Germany's Coffee and Tea Packaging market size was valued at USD 0.068 billion in 2021 and is expected to reach USD 0.089 billion by 2029, at a CAGR of 3.5% from 2022 to 2029.
In Germany, the advent of western culture increased the demand for tea and coffee filter bags. According to the German Coffee Association, Germany's per-capita consumption of coffee was roughly 169 liters in 2021, which is a rapid increase when compared to other nations across the world. In 2021, Germany exported over 255 tons of coffee worldwide. In the country, every fifth cup of coffee drank is at outside eateries because more and more young people are emulating western culture and preferring coffee which boosts the demand for packaging.
China Coffee and Tea Packaging’s market size was valued at USD 0.156 billion in 2021 and is expected to reach USD 0.125 billion by 2029, at a CAGR of 4.8% from 2022 to 2029. The market is being driven by increased disposable incomes, particularly in urban areas. Additionally, China's enormous pool of affordable and competent employees allows the nation to sell its goods on the worldwide market at extremely competitive prices, which increases regional product demand.
India's Coffee and Tea Packaging market size was valued at USD 0.139 billion in 2021 and is expected to reach USD 0.226 billion by 2029, at a CAGR of 4.3% from 2022 to 2029. The selling of coffee and tea brewer bags in India is fueled by exports of both beverages. According to the tea board government, India has reported that tea is consumed in over 88% of all homes (based on survey samples). The penetration of tea is almost 96% among potential tea drinkers in a home. In India, tea is consumed by roughly 64% of the country's population. As a result, there is an increasing need for coffee and tea packaging.
Key Industry Players Analysis:
To increase their market position in the global Coffee and Tea Packaging business, top companies focus on tactics such as adopting new technology, mergers & acquisitions, product developments, collaborations, partnerships, joint ventures, etc.
Latest Development:
Report Metrics
Report Attribute |
Details |
Study Period |
2021-2029 |
Base year |
2021 |
CAGR (%) |
5.7% |
Market Size |
148.90 billion in 2021 |
Projection period |
2022-2029 |
Projection unit |
Value (USD) |
Segments covered |
By Material Type, By Packaging Type, By Capacity, and Region. |
Report Scope |
Revenue Projection, competitive landscape, company ranking, growth factors, and trends |
Companies covered |
Amcor Ltd, Mondi PLC, Graham Packaging Company, DS Smith PLC, Bemis Co Inc, ProAmpac LLC, L.P., Cascades Inc., Celestial Seasoning, Pacific Bag, Inc., Fpc Flexible Packaging Corporation, Hankuk Package Co Ltd., Aero-pack Industries Inc., among others |
By Material Type |
|
By Packaging Type |
|
By Capacity |
|
Regional scope |
|
Scope of the Report
Global Coffee and Tea Packaging Market by Material Type:
Global Coffee and Tea Packaging Market by Packaging Type:
Global Coffee and Tea Packaging Market by Capacity:
Global Coffee and Tea Packaging Market by Region:
Global Coffee and Tea Packaging market size was USD 9.3 billion in 2021.
Global Coffee and Tea Packaging market is expected to reach USD 12.43 billion by 2029, at a CAGR of 3.7% from 2022 to 2029.
United States, Germany, United Kingdom, China, and France.
Increasing preference for biodegradable packaging solutions is primarily driving the growth of the Coffee and Tea Packaging market.
Leading market players active in the global Coffee and Tea Packaging market are Amcor Ltd, Mondi PLC, Graham Packaging Company, DS Smith PLC, Bemis Co Inc, ProAmpac LLC, L.P., Cascades Inc., Celestial Seasoning, Pacific Bag, Inc., Fpc Flexible Packaging Corporation, Hankuk Package Co Ltd., Aero-pack Industries Inc.
Political Factors- The factors that can affect Packaging industry long-term profitability in a particular nation or market are heavily influenced by political issues. Operating in the Coffee and Tea Packaging Packaging industry in more than a dozen nations exposes Packaging to a variety of political system and environment concerns. Diversifying the systemic risks of the political environment is necessary to succeed in such a dynamic industry as packaging and containers across numerous nations. Political stability and importance of Coffee and Tea Packaging in the country's economy. Trade regulations & tariffs related to Consumer Goods and coffee and tea packaging also affects the market’s growth.
Economical Factors- The economic growth and overall investment in an economy are determined by the macroenvironmental factors, such as the inflation rate, savings rate, interest rate, foreign exchange rate, and economic cycle. While microenvironmental elements like industry norms have an impact on the firm's competitive edge. Coffee and Tea Packaging can Projection not only the growth trajectory of packaging sector but also that of the organisation by using country-level economic factors like growth rate, inflation, and industry-level economic indicators like Packaging & Containers industry growth rate, consumer spending, etc. Exchange rates impact an economy's supply and price of imported commodities as well as the costs associated with exporting goods.
Social Factor- The manner of life and culture of the society have an effect on the organisational culture in a given setting. When Coffee and Tea Packaging creates a marketing message for consumers in the Packaging & Containers industry, shared beliefs and attitudes of the populace play a significant influence in how marketers at that company comprehend the clients of a specific market. Education level as well as education standard in the Coffee and Tea Packaging also affects the market’s growth. In addition to cultural features, social variables also take into account age distribution, career attitudes, health consciousness, and emphasis on safety. Social trends have an impact on a company's operations and the demand for its products. An ageing population, for instance, can indicate a smaller and less willing workforce (thus increasing the cost of labor). In addition, businesses may alter their management tactics to reflect these social trends (such as recruiting older workers).
Technological Factors- Technological features including R&D effort, automation, technology incentives, and the pace of technological progress are examples of technological factors. They can establish entry barriers, the minimum effective production level, and have an impact on outsourcing choices. Additionally, changes in technology can have an impact on prices, quality, and innovation. A company should analyse the industry's technological state as well as how quickly it is being disrupted by technology. Slow technological disruption will allow more time, whereas rapid disruption may give a firm little time to adapt and be profitable.
Environmental Factors- Environmental considerations include ecological and environmental elements including weather, climate, and climate change, which may have a particularly negative impact on some sectors of the economy like tourism, agriculture, and insurance. Additionally, as people become more aware of the possible effects of climate change, it is changing how businesses run and the products they offer, creating new markets but also eroding or eliminating existing ones. Climate changes such as climate change, greenhouse gas emissions, and growing pollution, effectively by prominent market players. It should put more emphasis on waste management, recycling, renewable energy sources, and food coffee and tea packaging that decomposes naturally. It should also be aware of how its resources and waste are being used up, as this could have a detrimental effect on its brand reputation and consumer loyalty.
Legal Factors- Legal considerations include those related to discrimination, consumers, antitrust, employment, and health and safety laws. These elements may have an impact on a company's operations, expenses, and product demand. The packaging industry are subject to very strict legislative requirements. Market players to gain consumer loyalty and their faith in its brand products, it is crucial that it abide by all laws and binding rules and regulations. Nearly all nations now have laws that must be followed for consumer protection, data privacy, intellectual property rights (IPR), health and safety, employees and the workplace, and other topics. Therefore, it becomes essential for this business to conduct itself in a lawful and ethical manner in order to prevent any legal proceedings or penalties or punishments from a court of law. Like in India, FSSAI is in charge of monitoring food product adulteration, safety, and standards. All food businesses are required by law to comply with this requirement.
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