The root of packaging lies in the protection of products, equipment, and machinery from external damage during its storage and shipping. Many packaging options are available in the market that provides appealing values to products from various industries. Of which, loose fill packaging is the best packaging solution that provides protection to products during shipment between manufacturers, retailers, distributors, and consumers. Loose fill materials are used to fill the empty spaces in the box and protect products from damage during transportation. Many types of biodegradable loose fill packaging materials are available in the market.
Biodegradable loose fill packaging is increasingly growing in popularity worldwide due to growing awareness of environmental concerns such as increased pollution caused by plastic waste. Manufacturing of loose fill does not require chemical agents, thus avoid issues linked to harmful gas emissions. Such advantages of loose fill materials are one of the major driving factors for the growth of the biodegradable loose fill packaging market. Moreover, the growth of the packaging industry is also expected to drive the market growth. The packaging industry in India is expected to reach US$ 30 to 35 billion by 2020, growing at an annual rate of 15%.
Based on application, the biodegradable loose fill packaging market is divided into cosmetics and personal care products packaging, pharmaceutical packaging, consumer goods packaging, etc. Consumer goods packaging segment dominated the market in 2017 and is expected to maintain its dominance due to increasing sales of consumer goods. According to Statista, global retail sales of consumer goods are expected to reach US$ 26.7 trillion by 2022. Moreover, the increasing number of smartphones and internet usage is increasing the growth of e-retail sales, leading to market growth. According to Datareportal, there are around 4.66 billion internet users in the world and the number grew by 321 million in the past 12 months.
Shifting consumer preference from offline to online retail is expected to increase demand for protective packaging, leading to market growth. In terms of geography, the biodegradable loose fill packaging market is divided into six regions, such as North America, Europe, Asia Pacific, South America, the Middle East, and Africa. Key players active in the market are adopting various strategies such as product development, business collaboration, and Mergers & acquisitions to strengthen their product portfolio. For instance, in June 2018, Pregis signed an agreement to purchase Free-Flow Packaging International.