Germany Packaging Market Data Review (2016 - 2027)

The Germany Packaging Market generated revenue of $33,562.5 Million in 2016 over the study period 2016-2020. Packaging refers to the act of covering a product to protect it from damage, leakage, dust, pollution, and contamination. It assists in the identification, definition, and advertising of a product while ensuring its safety and marketability. Packaging solutions are used in a variety of industries, including food and beverage, cosmetics, and healthcare. The packaging business is constantly and consistently developing more sustainable solutions for their products, with a growing number of reusable options. Packaging has grown in favor in a range of industries due to its advantages, including long shelf life and durability. The market for packaging solutions is growing rapidly due to a lack of a comparable level of replacement that is cost-effective in currently available solutions. In 2018, Germany produced 227.5 kilos of packaging waste per capita, more than any other country owing to changes in consumer behavior.

Rising trend of online shopping among consumers and increasing demand for convenient packaging were some of the factors that drove the German Packaging Industry during the historical period of 2016-2020.

The report: “Germany Packaging Market (2016-2020)", by Industry ARC covers an in-depth information on the following segments of the Germany Packaging Market.

By Packaging- Plastic, Paper, Metal, Wood, Glass, and Others

• Germany's packaging business is known for its extensive use in the food industry. Consumers are increasingly looking for items that provide convenience, protection, and ease of transportation, which is driving demand for rigid plastic packaging in food, particularly dairy, meat, and ready-to-eat meals. 
• The flexible packaging is cost-effective and lightweight, providing convenience (zip-locks, re-sealable seals, and easy to carry) while ensuring product freshness, especially in food products like a bakery as well as cereals, confectionery, and dairy food. Furthermore, the growing demand for food options that are easy to grab, hold, eat, or carry is driving up the product demand. So, in order to meet this need, manufacturers are putting in extra effort into making food packaging portable and so boosts the demand of the packaging sector in Germany.
• The rising need for packaging is driven by rising food and beverage consumption, as well as developing e-commerce trends.
• A detailed analysis of strengths, weaknesses, opportunities, and threats will be provided in the Germany Packaging Market Report. 

Plastics held a dominant market share in the year 2016. The demand for nutritious drinks and healthy food surged dramatically as a result of the COVID-19 pandemic. The majority of these items come in single-use plastic packaging. Plastics are sturdy and lightweight, which increases their use in packing. Consumers like packaging that is portable and easy to handle, therefore their demand in the packaging business has increased. Plastic packaging is becoming more popular in numerous industries owing to its cost-effectiveness and increased product shelf life. Owing to its unique features, plastic packaging has recently become more popular in the e-commerce industry.

However, Paper is the fastest-growing, during the historical period of 2016-2020. Paper-based packaging is made from renewable resources and recycled at a higher rate in Germany than any other type of packaging. Paper packaging is a sustainable, dependable, and cost-effective means to transport and preserve a wide range of products, including groceries, medication, animal feed, and cement, and its use in the packaging industry is growing.

The most popular product category in Germany is an online fashion, followed by consumer media and electronics. Consumers in Germany prefer to shop online rather than in stores, particularly in the areas of 'consumer electronics & computers' and ‘media' (books, music, movies, video games). In 2020, approximately 85% of German citizens had shopped online. This tendency is projected to continue in the coming years, resulting in the use of plastic packaging. Recently, consumers need products that are properly packed so, manufacturers offering innovative packing to attract consumers which in turn enhances the demand of the packaging industry.

In Germany, consumers have shown an increasing inclination toward plastic packaging, as plastic packages are lightweight and easier to handle. Similarly, even the major manufacturers prefer to use plastic packaging solutions, because of the low cost of production. Plastic packaging is becoming more popular among German consumers, as it is lighter and easier to handle. Similarly, owing to the low cost of production, even significant manufacturers prefer to adopt plastic packaging solutions. According to the German Plastics Packaging Industry Association, about a 5.1% increase in the sales of plastic packaging in Germany in 2020.

The German Packaging Law and its quotas primarily affect packaging makers who distribute packets, and they require a centralised register. In 2019, the new Packaging Act entered into force in Germany. The Packaging Act focuses on improving the recycling rate and recycling processes for packaging waste. These regulations reduce the use of plastic packaging among manufacturers and thus hamper the market growth.

Product launches, mergers and acquisitions, joint ventures, and geographical expansions are key strategies adopted by players in the Germany Packaging Market. The top 10- Germany Packaging Market companies are-

1. Greif, Inc.,
2. Alpa
3. Berry Global Inc.,
4. Auer Packaging,
5. Daklapack Deutschland,
6. Gerresheimer AG,
7. Plastibac,
8. SHB GmbH,
9. Klann Packaging GmbH,
10. Systempack Manufaktur GmbH.

• On September 28, 2020, ALPLA acquired the facility of AMCOR IN INDIA, ALPLA Group, and took over a plant for rigid plastics in India from the global packaging specialist Amcor.
• In November 2019, Greif Inc. completed its acquisition of Caraustar Industries, Inc where Greif financed the $1,800.0 million all-cash acquisition from the proceeds of the issuance of $500.0 million of new senior unsecured notes and from refinancing its secured credit facilities and new term loans in the principal amount of $1,675.0 million. As part of the transaction, Greif redeems its $250.0 million of 7.75 percent senior unsecured notes due August 2019. As a result of the new financing, Greif's overall weighted cash interest rate fell to approximately 4.90 percent.
• In February 2019, Amcor Limited launched Genesis, a new in-store recyclable laminate solution. The company, with this product, targets a wide range of segments, including fresh fruits and vegetables, frozen food, dried fruits, nuts, confectionery, chilled goods, and pet food. The product is adaptable to a variety of packaging types and is appropriate for use in the medical, home, and personal care markets.