THAILAND CONTRACT PACKAGING MARKET

KEY FINDINGS

• The Thailand Packaging Market size is estimated at USD 15.04 billion in 2024, and is expected to reach USD 18.71 billion by 2030, growing at a CAGR of 4.46% during the forecast period (2024-2030).
• The country's growing middle class has led to increased demand for packaged goods, such as food, beverages, and personal care products.
• Contract packaging allows companies to outsource non-core activities, reducing overhead costs and improving operational efficiency.
• The rise of online shopping has increased the need for reliable packaging solutions to protect products during shipping.
• There's a growing trend towards sustainable packaging materials and practices, which contract packaging providers are increasingly addressing.
• The market holds a considerable size due to the presence of a large number of manufacturing and consumer goods companies.
• The adoption of automation technologies is helping contract packaging companies improve efficiency and reduce costs.
• A trend towards greater integration between contract packaging companies and their clients' supply chains.

THAILAND CONTRACT PACKAGING MARKET DYNAMICS

Thailand's economic expansion has led to a steady rise in both the production and consumption of packaging goods throughout time. The Thailand packaging industry is expanding and making a substantial economic contribution. This is a result of the growing need for packaging supplies that are appropriate for anything and can be used to pack anything.

• The Thai packaging industry has consistently grown over the past 10 years due to changes in substrate preferences, the opening of new markets, and shifting ownership dynamics.
• Sustainability and environmental concerns may still be highlighted, especially in developed nations, and the industry is seeing a variety of technologies that cater to paper and plastic packaging.
• Consumption of non-recyclable plastic packaging is on the rise. As a result, there could be less need for secondary packaging and increasing demand for environmentally friendly packaging materials, including paper and board, recovered PET (rPET), and bioplastic.
• Flexible packaging may eventually supplant conventional packaging. For a variety of food goods, high-barrier films and stand-up retort pouches may compete with rigid pack forms like metal cans and glass jars. 
• The complexity and level of competition in the retail industry are other important aspects that influence the market. Modern retail trade shops, such as supermarkets and convenience stores, which may stock a wider variety of frozen food goods, are more widely used. Flexible packaging for frozen foods, such as shrink films, flexible bags, lidding films, high barrier thermoforming films, and skin films, are being adopted at previously unheard-of rates in a number of growing countries.
• With regulations emerging on plastic usage could restrain the growth of flexible packaging in Thailand, for instance, in January 2023, the Thai Industrial Standards Institute (TISI) released the Draft Ministerial Regulation on Plastic Bags for Food. This outlines safety requirements for substances in the material, as well as specifications for marking, labeling, and testing criteria. It specifically applies to plastic bags made from virgin resin as single-layer plastic films for food packaging. It's important to note that this standard does not apply to custom-printed plastic bags with ink.

INTRODUCTION TO THAILAND CONTRACT PACKAGING MARKET

The Thailand Plastics Industry Association reports that there is a growing market for plastic packaging in Thailand. Pharmaceuticals, home goods, food and beverage, and flexible plastic-based projects are among the items and industries that are projected to witness demand. Plastic is convenient and often used in food packaging because it is inexpensive, easily processed, formable, chemically resistant, lightweight, and has a wide range of physical qualities.

Over the past few years, Thailand has seen a significant increase in spending on bakery goods and cereal bars, short-run ready meals and coffee or hot chocolate sticks and pouches, dry foods (instant soup, gravy and sauce packets, rice, and food mixes), snack foods and nuts, spice foods, chocolates and sweets, ice-cream novelty items, and bakery goods like cookies (biscuits), cakes, and chips.

The market is now experiencing a rise in demand for frozen food packaging as a result of customer appreciation of the product quality. The need for frozen food packaging has expanded in Thailand due to the country's expanding economy and evolving lifestyles, and the industry is anticipated to expand profitably over the next few years.

THAILAND CONTRACT PACKAGING MARKET TRENDS 

The Thai packaging market is distinguished by packaging that improves the usefulness of goods through, among other things, on-the-go packs, sustainable packs, or customized packs. The polyethylene (PE) market in the area is expanding as a result of this tendency. 

Plastic bags, plastic films, and geomembranes are commonly packaged with polyethylene. This thermoplastic resin is thin, somewhat crystalline, and has strong chemical resistance, little moisture absorption, and sound-insulating qualities.

The country's need for PE resin for packaging is expected to soar during the forecast period, mostly because of the intelligent value chain. Industrial production is changing as a result of Automation and the Internet of Things (IoT), and this is opening up new prospects for the PE value chain. 

The greater traceability provided by Automation is expected to play a significant role in ensuring that the package composition can be monitored, particularly where recycled content is present, from the creation of the package through the end product being put on the retail shelf.

The risk of health problems brought on by prolonged use of the materials is included in the usage of plastics with hot meals. TSH, HCY, and A1C are all favorably correlated with daily usage of plastics with hot meals, but vitamin E, zinc, and selenium concentrations are adversely correlated. The complicated hormonal and metabolic anomalies connected to the release of certain components caused by the usage of plastics with hot meals are the main focus of future studies on the technology.

Linear low-density polyethylene (LLDPE) bags feature moderate clarity and are used to manufacture food bags, newspaper bags, shopping bags, and garbage bags. Medium-density polyethylene (MDPE) is commonly used to manufacture garbage bags and in consumer packaging for paper products, such as toilet paper or paper towels.

THAILAND CONTRACT PACKAGING MARKET SEGMENTATION 

By Packaging Materials 

• Plastic
• Paper
• Paperboard
• Glass
• Metal

By Packaging Type 

• Flexible Packaging: Pouches, Bags, Flims
• Rigid Packaging: Bottles and Jar, Corrugated Boxes, Metal Cans, Drum, etc

By End User 

• Food
• Beverage
• Beauty and Personal Care
• Industrial
• Pharmaceutical
• Others 

KEY PLAYERS IN THAILAND CONTRACT PACKAGING MARKET

• TPBI Public Company Ltd.
• TPAC Packaging
• SCG Packaging
• Dainichiseika Color & Chemicals Mfg. Co. Ltd.
• Eastern Polypack Co. Ltd.

THIS THAILAND CONTRACT PACKAGING MARKET REPORT WILL ANSWER FOLLOWING QUESTIONS

1. What is the current size and growth rate of the Thailand Contract Packaging Market?
2. What are the major drivers and challenges influencing the market's growth?
3. What are the key trends shaping the market, such as sustainability and technology?
4. What are the key regulations and standards governing the Thailand Contract Packaging Market?
5. What are the emerging trends in usage of Packaging that are impacting the market?
6. What are the latest technological advancements used in Packaging?
7. How are the technological advancements impacting the market, in terms of cost, storage, and customization?
8. What are the environmental concerns associated with Packaging, and how are owners addressing these concerns?
9. What are the trends in the use for sustainability aligned with Packaging?
10. What are the key opportunities and challenges for the Thailand Contract Packaging Market in the coming years?
11. How will the market evolve in response to changing usages, technological advancements, and regulatory developments?
12. What are the potential growth areas and emerging markets within the region?