|
Forecast Period
|
2027-2031
|
|
Market Size (2025)
|
USD 612 Million
|
|
Market Size (2031)
|
USD 1061 Million
|
|
CAGR (2026-2031)
|
9.45%
|
|
Fastest Growing Segment
|
Residential
|
|
Largest Market
|
South India
|
Market Overview
India Bag-in-Box
Container Market was valued at USD 612 Million in 2025 and is expected to reach USD 1061 Million by 2031 with a
CAGR of 9.45% during the forecast period.
A Bag-in-Box (BiB) container is a type of packaging
system designed for the storage and dispensing of liquids. It consists of a
durable outer box, usually made of corrugated cardboard, and a flexible inner
bag made from layers of plastic films. The inner bag is fitted with a tap,
valve, or spout that allows controlled dispensing of the contents without
exposing the remaining product to air, reducing the risk of contamination and
oxidation.
The BiB system is widely used in various industries,
including food and beverage, chemicals, and pharmaceuticals. Common
applications include packaging for wine, juice, dairy products, water, liquid
detergents, and syrups. The outer box provides structural support and
protection during transport and storage, while the inner bag collapses as the
liquid is dispensed, maintaining product integrity and minimizing waste.
This container design is environmentally friendly
compared to rigid plastic or glass containers, as it uses less material and is
more space-efficient, especially in shipping and storage. Its lightweight and
compact design also contribute to lower transportation costs. The Bag-in-Box
container is valued for its convenience, hygiene, and sustainability, making it
a practical solution for both commercial and domestic liquid dispensing needs.
Key Market Drivers
Rising Demand for Hygienic and Convenient Packaging in
the Food & Beverage Industry
The Indian food and beverage industry is undergoing a
transformation driven by increased consumer awareness regarding hygiene, food
safety, and packaging convenience. This trend has significantly boosted the
demand for Bag-in-Box containers, particularly for liquid products like fruit
juices, wine, edible oils, dairy products, and syrups. BiB containers offer an
ideal packaging solution that minimizes exposure to air and contaminants,
keeping the contents fresh for longer periods after opening.
One of the key advantages of BiB packaging is its
aseptic filling capability. Manufacturers can fill the product in a sterile
environment, and the air-tight sealing of the bag prevents spoilage, oxidation,
and microbial growth. For a country like India, where maintaining a cold chain
during distribution is still a challenge in many regions, this feature makes
BiB especially valuable. For instance, juices and dairy-based drinks can be
distributed more effectively without significant quality degradation.
Urbanization, coupled with the fast-paced lifestyle of
India’s growing middle class, has also created a strong preference for
packaging that offers convenience and ease of use. BiB containers are
lightweight, easy to handle, and suitable for bulk consumption in restaurants,
hotels, and institutions. This is especially relevant in metro cities where the
foodservice sector is booming. Moreover, domestic wine production is growing in
regions like Maharashtra and Karnataka, and producers are increasingly turning
to BiB formats to serve both retail and institutional consumers. Unlike glass
bottles, BiB reduces breakage risk, shipping cost, and overall carbon
footprint. It also allows consumers to pour smaller portions at a time without
compromising the rest of the product.
Thus, the convergence of consumer demand for hygienic
packaging, the rise of ready-to-serve beverages, and the foodservice sector's
expansion has collectively positioned the BiB container as a high-growth
packaging solution in India’s food and beverage industry. The Indian government is
actively promoting food safety regulations and sustainable packaging solutions.
As the Food Safety and Standards Authority of India (FSSAI) tightens its
regulations on food packaging, hygienic, tamper-evident solutions like BiB
containers are gaining recognition as safe, compliant alternatives to
traditional packaging formats.
Growth of E-commerce and Modern Retail Distribution
Channels
India's rapidly expanding e-commerce ecosystem and the
modernization of retail infrastructure are playing a pivotal role in shaping
the packaging industry, including the Bag-in-Box segment. As more consumers
shift to online platforms for their grocery and daily-use purchases, there is
an increasing need for packaging solutions that are compact, durable, and
shipping-friendly. BiB containers meet these criteria, offering a strong value
proposition for both retailers and end consumers.
Unlike rigid containers that are bulky and prone to
damage, BiB systems are lighter, stackable, and less likely to leak or break
during transit. This makes them ideal for e-commerce logistics, where handling
efficiency and packaging durability are critical. Additionally, the outer box
can be easily branded or labeled, providing opportunities for marketers to
communicate their value proposition and stand out on digital shelves.
Modern retail outlets such as supermarkets,
hypermarkets, and convenience stores are also reshaping how products are
displayed and consumed. BiB packaging allows retailers to offer products in
larger volumes at competitive prices, especially for institutional buyers or
households with higher consumption needs. For example, 5-liter or 10-liter BiB
juice packs or cooking oil containers are increasingly common in bulk-buying
segments.
Subscription models and direct-to-consumer services
for items like plant-based milk, cold-pressed juices, and liquid detergents
have further fueled demand for sustainable and refill-friendly packaging. The
BiB format fits seamlessly into this model, as the collapsible bag ensures less
residual waste and allows for easy disposal or recycling. Furthermore, the rise
in last-mile delivery services in urban and semi-urban areas has made logistics
a central concern for brands. BiB containers’ compact form factor reduces
volume and weight-related costs, providing a compelling reason for businesses
to adopt this format. The
number of online shoppers in India reached 210 million in 2021, with
expectations to increase to 500 million by 2030
Increasing Focus on Sustainability and Environmental
Regulations
India is witnessing a growing emphasis on
environmental protection and sustainable business practices. The government,
industry bodies, and consumers are all becoming increasingly conscious of the
environmental impact of traditional packaging materials, particularly
single-use plastics and non-recyclable rigid containers. This shift in mindset
is creating strong momentum for eco-friendly packaging alternatives such as
Bag-in-Box containers.
One of the key sustainability advantages of BiB
packaging lies in its efficient use of materials. The flexible inner bag uses
significantly less plastic compared to rigid containers of the same volume.
Additionally, the cardboard outer box is often made from recycled or recyclable
materials, further reducing the overall environmental footprint. This aligns
well with India’s “Swachh Bharat Abhiyan” (Clean India Mission) and plastic
waste management regulations.
Manufacturers are also under pressure to adopt
Extended Producer Responsibility (EPR) norms, which require them to take
responsibility for the entire lifecycle of their packaging materials. BiB
solutions support compliance by offering lightweight, low-waste, and recyclable
formats that are easier to collect, segregate, and recycle than conventional
alternatives like PET bottles or multilayer pouches. Moreover, many
multinational corporations operating in India have publicly committed to
sustainability goals that include reducing packaging waste, lowering carbon
emissions, and improving recyclability. BiB packaging helps them move closer to
these targets, especially in product categories like cooking oil, alcoholic
beverages, and institutional cleaning supplies.
Consumer preferences are also shifting. A growing
segment of Indian urban consumers is becoming more environmentally conscious
and is willing to support brands that demonstrate genuine commitment to
sustainability. BiB’s efficient design—where the bag collapses as the liquid is
dispensed—means less product waste and easier post-use disposal.
In rural and semi-urban areas, where access to waste
collection and recycling infrastructure is limited, lightweight BiB containers
offer practical advantages. They are easier to transport back for recycling or
reuse, compared to bulkier alternatives. India's government has introduced
stringent rules to regulate plastic waste management, emphasizing reducing
plastic consumption and promoting alternatives like biodegradable or recyclable
packaging. These regulations are encouraging the use of more sustainable
packaging formats, such as Bag-in-Box containers
Cost Efficiency and Supply Chain Optimization for
Businesses
For manufacturers and distributors in India, cost-effectiveness
and supply chain efficiency are key factors influencing packaging choices. The
Bag-in-Box system offers a unique combination of reduced material usage, lower
transportation costs, and simplified storage—all of which contribute to its growing
popularity across industries.
BiB containers are lighter than traditional rigid
containers, which translates into substantial savings in transportation. The
flexible inner bags are shipped flat to filling facilities, taking up minimal
space and lowering inbound logistics costs. Once filled and placed in their
outer boxes, these containers are still more compact and stackable than glass
or HDPE alternatives, allowing for more efficient palletization and warehouse
storage.
In a country like India, where the transportation
infrastructure is often strained, these logistical efficiencies can be
game-changing. Reduced volume and weight mean lower fuel consumption and fewer
trips, which also supports companies’ efforts to cut carbon emissions and
distribution costs. Furthermore, BiB containers are less prone to breakage and
leakage, minimizing losses during shipping and handling. This reliability is
especially important for long-distance supply chains and rural distribution
networks, where access to replacement stock is limited and returns can be
costly.
The format also enables economies of scale in bulk
packaging. For example, BiB is widely used in institutional catering and
industrial cleaning where large volumes of liquids like sauces, oils, or
detergents are consumed. Businesses can save significantly on packaging costs
and handling time by switching from multiple small bottles or cans to a single
large BiB unit.
The BiB system also integrates well with automated
filling and dispensing systems, reducing labor costs and increasing operational
efficiency. In sectors like dairy or pharmaceuticals, where hygiene and
precision are critical, the closed-loop nature of BiB filling and dispensing
ensures minimal human contact and product loss. India has a large and complex
transportation network with high logistics costs. According to the India Brand
Equity Foundation (IBEF), logistics costs in India account for around 13-15% of
GDP, which is higher compared to developed economies where logistics costs
typically account for 8-10% of GDP. Optimizing packaging solutions like
Bag-in-Box (BiB) containers reduces these costs due to lighter packaging and
higher product-to-package ratios, lowering transportation expenses.
Download Free Sample Report
Key Market Challenges
Limited Consumer Awareness and Acceptance in the
Retail Segment
One of the primary
challenges in the growth of the Bag-in-Box (BiB) container market in India is
the limited consumer awareness and acceptance, particularly in the retail
segment. While BiB packaging is widely recognized in institutional and
commercial settings, it has yet to achieve widespread penetration in the
average Indian household. This is largely due to traditional preferences and a
general lack of familiarity with the format.
In India, consumers are
still more comfortable with conventional packaging formats like bottles, jars,
and cans—especially for liquids such as milk, juices, cooking oil, and wine.
Many associate large-format packaging with industrial or commercial use and may
perceive BiB containers as less premium or unsuitable for daily household
consumption. Additionally, the visual appeal of BiB packaging, though
functional, often lacks the polish and shelf-attractiveness of rigid packaging,
which affects consumer perception and brand identity in competitive retail
environments.
Retail infrastructure in
many parts of India is still fragmented and dominated by small kirana
(mom-and-pop) stores. These outlets often have limited shelf space and are not
ideally suited for larger BiB containers, especially when compared to modern
retail formats like supermarkets or hypermarkets. Smaller retailers may also be
hesitant to stock unfamiliar packaging formats that are not guaranteed to sell
quickly.
Another factor is the
limited scope for trial and small-quantity purchases. Since BiB containers are
often offered in larger volumes (e.g., 3L, 5L, or more), they may not appeal to
low-income or first-time consumers who prefer to test products in small quantities
before committing to bulk purchases. This creates a barrier to market entry for
BiB products in the price-sensitive Indian market.
To overcome this challenge,
manufacturers and brands will need to invest in consumer education, in-store
demonstrations, and strategic marketing campaigns that highlight the hygiene,
convenience, and environmental benefits of BiB containers. Offering smaller
trial packs and incorporating attractive, informative packaging design could
also help build trust and increase retail adoption.
Infrastructure and Recycling Challenges in Waste
Management
Despite the sustainability
advantages that Bag-in-Box (BiB) packaging offers, one of the key challenges in
the Indian market is the lack of adequate infrastructure for recycling and
waste management. While the outer cardboard box is typically recyclable, the
inner plastic bag—often made of multilayer films—is not easily processed in
conventional recycling systems. This undermines the environmental promise of
the BiB system, particularly in regions where waste segregation and advanced
recycling facilities are limited or nonexistent.
India’s recycling ecosystem
is still evolving, with much of the recycling work handled by an informal
sector that primarily focuses on easily recyclable materials like PET bottles,
paper, and aluminum. Multilayer flexible plastics, such as those used in BiB
bags, often end up in landfills or incineration due to their complex
composition. This complexity makes it difficult for recycling facilities to
extract usable materials, thereby reducing the appeal of BiB containers from a
sustainability standpoint in practice.
Additionally, waste
collection systems across Indian cities and towns are inconsistent and poorly
integrated. In many areas, there is minimal separation of dry and wet waste at
the source, and the informal nature of the sector means there is no standardized
process for handling flexible packaging waste. This is further complicated in
rural areas, where awareness of proper disposal and recycling practices is low
and infrastructure is often absent.
For manufacturers and brands
using BiB packaging, this presents a reputational and logistical challenge.
Companies that market BiB containers as “eco-friendly” may face consumer
backlash or regulatory scrutiny if the packaging ends up contributing to local
waste problems. The government’s growing focus on Extended Producer
Responsibility (EPR) puts the onus on companies to ensure that their packaging
is collected and recycled, but fulfilling these obligations can be particularly
difficult with the BiB format in India’s current waste management landscape.
Another concern is the lack
of public-private partnerships focused on building specialized recycling
systems for multilayer packaging. Without such collaboration, scaling up BiB
usage across India risks creating more post-consumer waste rather than solving
the sustainability issues it aims to address.
Key Market Trends
Expansion of Bag-in-Box Use in the Non-Alcoholic
Beverage Segment
One significant trend in the Indian Bag-in-Box
container market is the growing adoption of BiB packaging for non-alcoholic
beverages, such as fruit juices, flavored water, dairy-based drinks, iced
tea, and traditional Indian beverages like lassi and buttermilk. As
health-conscious consumption rises and consumers increasingly prefer
preservative-free, ready-to-drink beverages, brands are turning to BiB as a
practical and cost-effective packaging format.
Traditionally, juices and similar drinks have been
packaged in glass bottles or multilayer tetra packs. However, BiB containers
offer an edge in bulk packaging, allowing juice producers to supply large
quantities to foodservice providers, hotels, schools, and offices. These
institutions prefer large-volume packaging that’s hygienic, cost-efficient, and
easy to dispense—needs well served by BiB systems.
Moreover, BiB packaging provides an extended shelf
life, even after opening, without the need for chemical preservatives. The
air-tight nature of the container prevents oxidation and spoilage, which is
particularly important in India's hot climate. This makes it highly suitable
for perishable beverage products, especially in remote or rural areas where
cold chain logistics are limited.
Manufacturers are also leveraging the format for
institutional juice dispensers and refill stations—an emerging trend in
canteens, cafes, and QSRs (quick service restaurants). These setups reduce
single-use plastic waste while offering convenience and reduced operating
costs.
In addition, the rise of health-based beverages—such
as cold-pressed juices, kombucha, and herbal infusions—is creating demand for
packaging that supports minimal processing and zero contamination. Startups and
D2C brands in this space are adopting BiB for both delivery and subscription
models, especially for weekly or monthly juice cleanses.
As urban consumers become more quality- and
hygiene-conscious, the acceptance of BiB packaging in premium beverage
categories is also growing. The format is being tested in metro cities for use
in family-size juice packs and as refill options in eco-conscious households.
In summary, the increasing diversification of
non-alcoholic beverages in India, combined with institutional and urban demand
for bulk, safe, and eco-friendly packaging, is accelerating the use of
Bag-in-Box containers in this segment.
Integration of Bag-in-Box Packaging in E-commerce and
Refill Models
A noteworthy trend in India’s BiB market is the
integration of Bag-in-Box packaging in e-commerce supply chains and sustainable
refill systems. With the rise of online grocery platforms and doorstep delivery
services, there is a clear demand for packaging formats that are compact,
durable, and cost-effective to ship. BiB fits these criteria and is becoming a
popular choice for packaging household liquids such as cooking oil, milk,
detergents, and surface cleaners.
E-commerce businesses benefit from BiB’s light weight
and high product-to-package ratio. Compared to rigid containers, BiB solutions
significantly reduce logistics costs and risks related to breakage or leakage.
This makes them well-suited for direct-to-consumer (D2C) brands, which aim to
deliver high-volume liquid products quickly and affordably across diverse
geographies in India.
In parallel, a shift toward refillable
packaging—driven by sustainability goals and increasing consumer awareness—is
helping BiB gain traction in home-care and personal-care product categories.
Many brands are now offering 2L to 5L BiB pouches as refills for shampoo,
handwash, dishwashing liquids, and fabric softeners. This is particularly
appealing to environmentally conscious households looking to reduce plastic use
and packaging waste.
Some premium grocery outlets and eco-friendly stores
in Indian metros have even started introducing refill stations where customers
bring their own containers and refill from BiB reservoirs. These systems not
only reduce waste but also help build customer loyalty and brand reputation
among sustainability-focused consumers. Furthermore, the ability to customize
BiB packaging with user-friendly taps, valves, and nozzles makes it ideal for
subscription models. Companies offering regular delivery of items like cooking
oil, pet milk, or cleaning supplies can standardize their logistics using BiB
containers, which are stackable, easy to carry, and less prone to leakage.
This trend is also being supported by digital payment
and inventory management tools, which allow small retailers and households to
order refills in bulk directly from manufacturers or fulfillment centers.
Segmental Insights
Material Insights
The Polyethylene Terephthalate (PET) held
the largest market share in 2025. Polyethylene
Terephthalate (PET) dominates the India Bag-in-Box (BiB) container market due
to its strong combination of functionality, cost-effectiveness, and
sustainability. PET is a lightweight, durable, and highly versatile material
that is well-suited for packaging a wide range of liquid products, including
beverages, edible oils, dairy, and industrial fluids. Its strength and
transparency make it ideal for both protective and aesthetic purposes, offering
manufacturers a reliable and consumer-friendly packaging solution.
One of the key reasons for PET's dominance is its
excellent barrier properties. It effectively resists moisture, gas, and
contamination, helping to preserve the quality and shelf life of perishable
products. This is especially crucial in India, where high temperatures and
variable storage conditions pose challenges to product stability. PET ensures
that contents remain fresh and safe throughout transportation and storage.
PET is highly compatible with the aseptic filling
processes commonly used in BiB packaging. This compatibility supports the
growing demand for hygienic and contamination-free packaging in food and
pharmaceutical sectors. Moreover, PET containers are recyclable, which aligns
with India’s increasing focus on sustainable packaging practices. With
government regulations tightening around single-use plastics and increasing
consumer awareness of environmental issues, the recyclability of PET gives it a
distinct edge over other materials.
From a cost perspective, PET offers a favorable
balance between performance and price. It is more economical than aluminum and
has better strength and flexibility compared to polyethylene (PE) or
polypropylene (PP), especially in large-volume packaging. The established
supply chain for PET materials in India further supports its wide adoption.
Capacity Insights
The 5-10 Liters held the largest market
share in 2025. The 5–10 liter
segment dominates the India Bag-in-Box (BiB) container market due to its ideal
balance between volume, convenience, and cost-effectiveness, making it suitable
for a wide range of applications across both institutional and retail sectors.
This size range is especially favored in industries such as foodservice,
hospitality, dairy, edible oils, and household cleaning products, where bulk
purchasing is common, but excessive volume could lead to spillage or spoilage.
For institutional buyers like hotels, restaurants, and
catering services, 5–10 liter BiB containers offer significant logistical and
operational benefits. They are easier to handle and store compared to larger
industrial packs (e.g., 20L or 25L), while still delivering the economies of
scale needed for high-consumption use. Their size ensures manageable weight for
staff and allows integration with dispensing systems, reducing waste and
improving hygiene.
In the consumer market, especially among large
families and in semi-urban or rural regions, 5–10 liter BiB containers provide
a cost-efficient way to purchase essential liquids like cooking oil, milk, or
detergents in bulk. This helps reduce packaging costs per unit and minimizes
the frequency of purchases. The size is also compact enough for home storage
while being large enough to justify refill and e-commerce delivery models.
The format supports the growing sustainability trend
in India. Many brands are promoting BiB packaging in this size range as an
eco-friendly alternative to multiple single-use plastic bottles. The
packaging's lightweight structure and reduced material usage align with
Extended Producer Responsibility (EPR) norms and consumer expectations for
sustainable solutions.
Download Free Sample Report
Regional Insights
South India held the largest market
share in 2025. South India dominated the India Bag-in-Box (BiB) container market due to
several key factors, including its robust industrial base, high demand in the
beverage and dairy sectors, and the region’s strong emphasis on sustainability
and innovation.
South India, particularly states like Tamil Nadu,
Karnataka, and Andhra Pradesh, is home to a significant portion of the
country’s packaging industry. The region has well-established manufacturing
capabilities, with numerous companies specializing in the production of
packaging materials, including those for BiB containers. This concentration of
packaging expertise ensures a steady supply of high-quality BiB containers for
various sectors, such as food and beverage, pharmaceuticals, and chemicals.
South India is a major center for both the beverage
and dairy industries. Companies such as Amul, Britannia, and a plethora of
regional players are based in this region. These industries benefit from BiB
containers due to their cost-effectiveness, extended shelf life, and suitability
for bulk packaging, particularly in dairy products like milk and buttermilk, as
well as juices and flavored beverages. The large-scale production and
consumption of liquid products in the region create a strong demand for BiB
packaging.
The rise of e-commerce platforms, especially in cities
like Bangalore and Chennai, has bolstered the demand for BiB packaging. With
growing preferences for bulk buying and sustainable packaging solutions,
e-commerce businesses are increasingly adopting BiB containers for home
deliveries of liquid products like oils, cleaning agents, and beverages. The
presence of leading logistics companies and distribution networks in South
India further supports this trend.
South India has a growing emphasis on eco-friendly and
sustainable practices, making BiB containers an attractive option. The region
is witnessing a shift towards reducing plastic waste, and BiB's eco-friendly
benefits, such as recyclability and minimal material use, align with the
region’s environmental goals.
Recent Developments
- In November 2024, Smurfit WestRock proudly introduced
its innovative EasySplit Bag-in-Box design, specifically created to meet the
upcoming Packaging and Packaging Waste Regulation (PPWR) standards. The PPWR
requires that all packaging achieve at least 80% recyclability. For Bag-in-Box
products, this translates into the need for easy separation of the box and the
bag, enabling each component to be recycled through its appropriate stream.
When properly separated, the recyclability rate of these components can exceed
90%, significantly contributing to sustainability efforts.
- In August 2024, Alesayi Beverage Corporation, a
dominant player in Saudi Arabia’s energy drink market with a 60% market share,
announced its investment in a Bag-in-Box packaging system from SIG. This
strategic move reflects Alesayi's commitment to expanding its product range and
enhancing its packaging solutions, further strengthening its position in the
beverage industry.
Key Market Players
- Amcor
Ltd.
- Smurfit
Kappa Group
- DS
Smith Plc
- Liquibox
Corporation’s
- SIG
Group AG
- CDF
Corporation
- Arlington
Packaging (Rental) Limited
- Optopack
Ltd.
|
By Material
|
By Capacity
|
By End User
|
By Application
|
By Region
|
- Polyethylene Terephthalate (PET)
- Aluminum, Polypropylene
- Polyethylene (PE)
- Others
|
- Below 1 Liter
- 1-3 Liters
- 3-5 Liters
- 5-10 Liters
- Above 10 Liters
|
- Beverages
- Food Products
- Chemicals
- Personal Care &
Cosmetics
- Others
|
- Industrial
- Commercial
- Residential
|
- South India
- North India
- West India
- East India
|
Report Scope:
In this report, the India Bag-in-Box
Container Market has been
segmented into the following categories, in addition to the industry trends
which have also been detailed below:
- India
Bag-in-Box
Container Market, By Material:
o Polyethylene Terephthalate (PET)
o Aluminum, Polypropylene
o Polyethylene (PE)
o Others
- India
Bag-in-Box
Container Market, By Capacity:
o Below 1 Liter
o 1-3 Liters
o 3-5 Liters
o 5-10 Liters
o Above 10 Liters
- India
Bag-in-Box Container Market, By End User:
o Beverages
o Food Products
o Chemicals
o Personal Care & Cosmetics
o Others
- India
Bag-in-Box Container Market, By Application:
o Industrial
o Commercial
o Residential
- India
Bag-in-Box Container Market, By Region:
o South India
o North India
o West India
o East India
Competitive Landscape
Company Profiles: Detailed analysis of the major companies
present in the India Bag-in-Box Container Market.
Available Customizations:
India Bag-in-Box Container Market report
with the given market data, TechSci Research offers customizations according
to a company's specific needs. The following customization options are
available for the report:
Company Information
- Detailed analysis and
profiling of additional market players (up to five).
India Bag-in-Box Container Market is an upcoming report
to be released soon. If you wish an early delivery of this report or want to
confirm the date of release, please contact us at [email protected]