The Cold Chain Packaging Market is estimated to be valued at US$ 26.94 Bn in 2023 and is expected to exhibit a CAGR of 9.7% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The cold chain packaging market includes packaging solutions that maintain the required temperature of perishable products. Common cold chain packaging products include insulated shipping containers, bags, boxes, cold packs, bio-degradable insulation material among others. These packaging solutions play a critical role in maintaining the shelf-life and preventing spoilage of temperature sensitive products such as food, pharmaceuticals and chemicals during transportation and storage.
Market key trends:
There is a rapid transition towards sustainable and biodegradable materials for cold chain packaging. Materials such as bamboo, sugarcane, and paper have emerged as alternatives to plastic packaging. For instance, Cryopak developed bamboo-based cold packs that are compostable. Similarly, Pelican Biothermal launched insulated shipping containers made from sugarcane waste that reduces plastic usage by 80%. The growing environmental concerns and stringent regulations have accelerated the demand for bioplastics and biodegradable materials within cold chain packaging. Further, technological advancements in phase change materials and advance cooling solutions have improved temperature maintenance and reduced product spoilage during transportation.
Porter's Analysis
Threat of new entrants: Low economies of scale in the cold chain packaging industry pose a barrier to new entrants. Growing awareness about food safety also drives adoption of packaging solutions compliant with stringent global quality standards.
Bargaining power of buyers: Presence of several regional and global level vendors enhances buyer bargaining power. Buyers can negotiate on pricing and supply contracts with alternative vendor options.
Bargaining power of suppliers: Established global presence gives packaging material suppliers an edge in negotiations over pricing and production schedules. However rising competition among suppliers balances their bargaining power.
Threat of new substitutes: Limited substitutes available as cold chain is essential for temperature sensitive products and regulated by compliance norms. New technologies pose threat in long term.
Competitive rivalry: Intense competition exists among existing vendors to expand market share through new product development, mergers & acquisitions and regional expansion plans.
SWOT Analysis
Strengths: Growing demand for temperature controlled packaging from food & pharma industries. Vendors offer customized solutions and integrated cold chain services.
Weaknesses: High R&D and capital investment requirements for new product development pose challenges for small players. Dependence on raw material price volatility impacts profits.
Opportunities: Expanding into emerging economies in Asia Pacific and Middle East & Africa presents large untapped market potential. Adoption of smart packaging technologies provides new growth avenues.
Threats: Stringent environmental regulations on non-biodegradable plastics and polystyrene packaging restrict usage. Substitutes like reusable boxes threaten profit margins of vendors.
 
Key Takeaways
The global cold chain packaging market is expected to witness high growth, exhibiting CAGR of 9.7% over the forecast period, due to increasing demands for temperature sensitive drugs and vaccines globally amid COVID-19 pandemic. Strict quality and safety regulations mandate installation of cold chain infrastructure across pharmaceutical supply chains, fueling market growth.
Regional analysis North America dominates the cold chain packaging market currently owing to strong healthcare infrastructure and stringent FDA regulations. Asia Pacific is expected to grow at fastest pace due to improving cold chain networks, rising vaccine demand in populous nations like India and China.
Key players operating in the cold chain packaging market are Pelican BioThermal LLC, Sonoco Thermosafe, Cold Chain Technologies Inc., Cryopak, Sofrigam Company, Intelsius (A DGP Company), Coolpac, Softbox Systems Ltd, Clip-Lok SimPak, and Chill-Pak. The market is consolidated with top 5 players accounting for over 50% share. Key players are expanding through acquisitions and new production facilities to strengthen regional presence.
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https://www.ukwebwire.com/cold-chain-packaging-market-size-share-growth-outlook-2023/