Alcohol Packaging Market Size

Alcohol Packaging Market Size

Alcohol Packaging Market size was USD 62,223.9 million in 2021 and will grow at a CAGR of 2.8% from 2022 to 2028. It is projected that industry share will witness around 2.1% CAGR in terms of volume over the forecast timeframe, reaching 85,248.6 Kilo Tons by 2028.

Alcohol is developed through a fermentation process that makes use of sugar and yeast. Alcohol packaging is the art and technology of enclosing or protecting alcohol for storage, distribution, sale, and use.

Glass is emerging as one of the most popular and fastest-growing materials used in alcohol packaging owing to its attributes such as recycling, reusability, and neutral reactivity. It preserves alcohol for longer terms and avoids contamination. Glass is highly permeable to oxygen and carbon dioxide, which makes it preferable for storing spirits for a longer period.
 

Glass provides high resistance to leaching as it undergoes a process of dealkanization. The non-porous and impermeable nature of glass prevents interaction between glass packaging and alcohol, which in turn, does not affect the alcohol flavor. It does not affect the strength, aroma, and flavor of the alcohol as it has a zero rate of chemical interaction.
 

Increasing popularity of metal cans will drive the alcohol packaging market. Metal can is a packaging container used for the storage and distribution of alcoholic beverages. Metal cans are highly durable and cost-effective. Owing to its strength and rigidness, it is easy to fill cans faster without any loss of alcohol. Beautiful metallic luster coupled with colorful graphic printing makes it an attractive form of packaging, which favors its demand.
 

Metal cans can be recycled again and again where not only recycled resources but also energy is saved along with the elimination of environmental pollution. Besides these, metal cans meet the requirements of safety & hygiene. Owing to the above-stated factors, metal cans are becoming popular and thereby support the alcohol packaging market growth during the forecast period.
 

The COVID-19 impact adversely affected the alcohol packaging industry growth during 2020. The virus has stalled production activities in different regions across the world. Disruptions have led to delays in the raw material availability, transportation restrictions, and growing absenteeism among workers. However, the market is returning to normalcy as lockdowns & transportation restrictions are lifted. Moreover, fluctuations in prices of raw materials may affect industry growth during the forecast period.