Packaging

The Indian packaging industry was estimated at  USD 24.6 billion in FY 2017 and is expected to grow at a CAGR of 13% to 15% over the next 3 years. Plastic packaging comprises 53% of the Indian packaging industry, while paper-based packaging has the second highest share of ~18%. Flexible plastic packaging was the fastest growing category in India, achieving a CAGR of 16.6 per cent in 2017.  
In recent times this sector has seen several private equity investments. Although rigid packaging holds the major market share, trends have shown an increase in the market share of flexible as well as laminate packaging. This is one of the industries that is directly related to the output of the food processing and the pharmaceuticals industry, both being high growth industries themselves. As a result of the availability of inexpensive labour and a wide spectrum of resources, India is able to produce packaging material at prices much lower than its European and American counterparts making it one of the major export hubs. Continuous innovation and high growth in this sector have allowed for innovation in other sectors. This sector is expected to reach USD 73 billion by 2020.
India's per capita consumption of packaging material is ~4.3 kg which is comparatively low compared to neighbouring countries in the APAC (Asia Pacific) region.