Converted Flexible Packaging Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Material (Plastic Film, Paper, Aluminum Foil, Others), By Application (Retail, Food & Beverage, Pharmaceutical, Non-Food, Others), By Region and Competition, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 313.01 Billion
CAGR (2026-2031)	5.52%
Fastest Growing Segment	Food & Beverage
Largest Market	North America
Market Size (2031)	USD 432.08 Billion

Market Overview

The Global Converted Flexible Packaging Market will grow from USD 313.01 Billion in 2025 to USD 432.08 Billion by 2031 at a 5.52% CAGR. Converted flexible packaging is defined as the transformation of raw materials, such as plastic films, paper, and aluminum foil, into finished containment solutions like pouches, bags, and sachets through processes including printing, laminating, and coating. The market is primarily supported by the rising demand for extended product shelf life, which aids in reducing food waste, and the material's lightweight nature that yields significant cost efficiencies in transportation and logistics compared to rigid alternatives.

However, the sector faces a significant challenge regarding the recycling of complex multi-layer structures, as current infrastructure often lacks the capability to process these materials efficiently. Illustrating the sector's substantial economic footprint, according to the Flexible Packaging Association, in 2023, the value-added segment of the United States flexible packaging industry was estimated to generate $35.6 billion in sales. This figure highlights the market's scale even as it navigates intense pressure to improve circularity and comply with evolving environmental regulations.

Key Market Drivers

The expansion of the processed food and beverage industry acts as a primary catalyst for the global converted flexible packaging market, driven by consumer demand for convenient, shelf-stable, and lightweight containment solutions. This sector relies heavily on flexible formats like pouches and films to extend product shelf life through advanced barrier properties while reducing transportation costs compared to rigid alternatives. Highlighting the dominance of this end-use segment, according to the Flexible Packaging Association, August 2024, in the 'State of the U.S. Flexible Packaging Industry' presentation, food packaging applications accounted for approximately 52% of the total industry revenue. The sheer scale of demand from this sector supports substantial revenues for leading global converters; for instance, according to Mondi Group, February 2024, in the 'Full Year Results 2023', its Flexible Packaging business segment alone generated revenue of €3.9 billion.

Simultaneously, technological innovations in sustainable and biodegradable materials are reshaping the market landscape as manufacturers pivot toward circular economy models to address environmental concerns. Converters are increasingly replacing traditional, difficult-to-recycle multi-layer structures with high-performance mono-material films that maintain essential barrier qualities while facilitating efficient recycling. This strategic shift is evident in the product portfolios of major industry players who are aggressively investing in R&D to meet new regulatory standards and consumer expectations. According to Amcor, October 2024, in the '2024 Sustainability Report', 94% of the company's flexible packaging portfolio by area was classified as recycle-ready, demonstrating the rapid industry-wide transition toward more sustainable material architectures.

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Key Market Challenges

The inability to efficiently process complex multi-layer structures constitutes a formidable barrier to the growth of the converted flexible packaging market. These materials, which typically fuse layers of plastic, paper, and aluminum to ensure barrier protection, are incompatible with most existing mechanical recycling systems that require mono-material inputs. Consequently, the lack of capable infrastructure renders a vast majority of flexible packaging unrecyclable in practice, creating a critical bottleneck that contradicts the global industrial shift toward circular economy models. As consumer goods companies face intensifying regulatory mandates to demonstrate packaging recyclability, the absence of viable end-of-life solutions for multi-layer films forces them to reconsider these formats, thereby stalling market adoption rates in sustainability-sensitive regions.

The severity of this infrastructure deficit is underscored by recent industrial data which illustrates the economic instability of processing these materials. According to 'Plastics Recyclers Europe', in 2024, the European plastics recycling sector experienced a significant contraction, with polyolefin films accounting for 25% of the total recycling facility closures observed between 2023 and 2024. This trend highlights that even where processing capacity exists, the technical and financial complexity of recycling flexible films often leads to operational failure. Such instability in the waste management supply chain heightens the investment risk for manufacturers and directly hampers the industry's ability to position converted flexible packaging as a long-term, sustainable solution.

Key Market Trends

The emergence of barrier-coated paper-based packaging solutions is a critical shift as manufacturers combine the sustainability of cellulosic fibers with protective functionality traditionally reserved for plastics. This trend features the development of advanced coatings that provide essential oxygen and moisture resistance, enabling the replacement of non-recyclable multi-layer plastic structures with renewable alternatives. Major converters are aggressively scaling production capabilities to meet this surge in demand for functional paper formats. For instance, according to Mondi Group, February 2025, in the 'Integrated report and financial statements 2024', the company commenced operations of a new paper machine at its Štětí mill in December 2024, designed to produce 210,000 tonnes per annum of kraft paper to support the growing market for functional barrier grades.

Simultaneously, the optimization of flexible packaging for E-commerce distribution is reshaping the market as retailers prioritize material efficiency and waste reduction. This trend drives the adoption of right-sized flexible mailers and void-fill solutions that minimize dimensional weight, often replacing rigid boxes or unrecyclable materials to streamline logistics. The push for efficient fulfillment compels suppliers to innovate with protective formats that are both lightweight and curbside recyclable. Highlighting this impact, according to Amazon, July 2025, in the '2024 Sustainability Report', the corporation achieved a 16.4% global reduction in single-use plastic delivery packaging in 2024 by replacing plastic air pillows with paper fillers and optimizing fulfillment operations.

Segmental Insights

Based on comprehensive market analysis, the Food & Beverage industry stands as the fastest-growing segment in the Global Converted Flexible Packaging Market. This rapid expansion is primarily driven by the escalating global demand for convenient, ready-to-eat meals and portable snacking options necessitated by modern urban lifestyles. Manufacturers are increasingly adopting high-performance flexible films that offer superior barrier properties against moisture and oxygen, effectively extending product shelf life while ensuring compliance with rigorous safety standards set by the FDA. Additionally, the lightweight nature of these materials significantly optimizes supply chain logistics by reducing transportation costs compared to traditional rigid packaging.

Regional Insights

North America holds a dominant position in the global converted flexible packaging market, driven primarily by high consumption of processed foods and the growing demand for convenient, longer-lasting products. The established food and beverage industry in the United States and Canada relies on lightweight packaging solutions to minimize waste and reduce transport costs. Furthermore, strict adherence to safety and quality standards set by the Food and Drug Administration encourages the adoption of compliant materials. This regulatory framework supports market expansion by ensuring consumer safety and maintaining product integrity throughout the supply chain.

Recent Developments

• In December 2024, Toppan Holdings entered into a definitive agreement to acquire the Thermoformed & Flexible Packaging business of Sonoco Products Company for approximately $1.8 billion. This strategic acquisition was aimed at significantly expanding the company's footprint in the North American market and enhancing its capabilities in sustainable packaging solutions. By integrating Sonoco's established operations and customer base with its own proprietary technologies, Toppan Holdings sought to strengthen its position as a global leader in the converted flexible packaging sector. The transaction highlighted the ongoing consolidation in the industry as major players seek to scale their operations and broaden their portfolios of eco-friendly packaging products.
• In November 2024, Mondi officially opened FlexStudios, a new innovation hub located in Steinfeld, Germany, dedicated to the co-creation of sustainable flexible packaging solutions. The 2,300-square-meter facility was designed to foster collaboration between the company's experts and its customers, enabling the rapid development and testing of new packaging concepts. FlexStudios integrates pilot lines and extensive testing capabilities, allowing partners to simulate real-world production environments and accelerate the time-to-market for circular packaging innovations. This investment underscores the company's strategic focus on driving the transition toward more sustainable materials and designs within the global flexible packaging industry.
• In June 2024, Constantia Flexibles introduced EcoTwistPaper, an innovative confectionery packaging solution designed to support circular economy goals. This new product features a wax-free, paper-based twist wrap that is fully recyclable and free from plastic coatings, making it compatible with standard paper recycling streams. The development of EcoTwistPaper was driven by the need for sustainable alternatives in the confectionery market, offering high performance on existing packaging machinery while maintaining effective product protection. By eliminating the use of wax and polymeric coatings, the company provided a solution that meets strict regulatory standards and consumer expectations for reduced environmental impact in flexible packaging.
• In February 2024, American Packaging Corporation announced the launch of a new sustainable flexible packaging technology within its RE Design for Recycle portfolio. This innovation was specifically engineered for frozen food applications, such as frozen fruits and vegetables, to address the growing demand for environmentally responsible packaging in the frozen food sector. The new flexible packaging structure was designed to be fully compliant with the Association of Plastic Recyclers guidelines, ensuring it can be effectively recycled in existing streams. This development expanded the company's range of circular and renewable content solutions, offering brands a functional and sustainable alternative to traditional non-recyclable frozen food packaging.

Key Market Players

• ProAmpac Holdings Inc.
• Amcor plc
• Sealed Air Corporation
• Sonoco Products Company
• Constantia Flexibles Group GmbH
• Graphic Packaging Holding Company
• Bischof+Klein SE & Co. KG
• Honeywell International Incorporated
• Tekni-Plex, Inc.
• Transcontinental Inc

By Material	By Application	By Region
Plastic Film Paper Aluminum Foil Others	Retail Food & Beverage Pharmaceutical Non-Food Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Converted Flexible Packaging Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Converted Flexible Packaging Market, By Material:

• Plastic Film
• Paper
• Aluminum Foil
• Others

• Converted Flexible Packaging Market, By Application:

• Retail
• Food & Beverage
• Pharmaceutical
• Non-Food
• Others

• Converted Flexible Packaging Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE