Recycled Polypropylene in Packaging Market Surges USD 17.66 Bn at 6.73% CAGR

Recycled Polypropylene in Packaging Market 2025 Analysis: Flexible Packaging Leads, Rigid Segment Rising Rapidly

According to market projections, the recycled polypropylene in the packaging industry is expected to grow from USD 9.23 billion in 2024 to USD 17.66 billion by 2034, reflecting a CAGR of 6.73%. In 2025, North America led the market, with flexible packaging and food & beverage as top contributors. From 2025 to 2034, Asia Pacific, rigid packaging, and personal care & cosmetics are projected to grow at notable CAGRs.

 

Last Updated: 02 July 2025 Category: Material Packaging Insight Code: 5650 Format: PDF / PPT / Excel

The recycled polypropylene in the packaging market is set to grow from USD 9.85 billion in 2025 to USD 17.66 billion by 2034, with an expected CAGR of 6.73% over the forecast period from 2025 to 2034. The rising ecological regulations promoting sustainable resources and increasing customer demand for durable, compatible, and lightweight packaging have raised the influence of recycled polypropylene in the packaging market. The food and beverages sector has influenced the demand for this packaging for several appliances, such as flexible pouches, containers, caps, and trays. Due to a strong regulatory framework and consumer awareness, North America is dominating this market.

Recycled Polypropylene in Packaging Market Size 2024 - 2034

Key Insights

  • In terms of revenue, the market is valued at USD 9.85 billion in 2025.
  • The market is projected to reach USD 17.66 billion by 2034.
  • Rapid growth at a CAGR of 6.73% will be observed in the period between 2025 and 2034.
  • North America dominated the global market in 2024.
  • Asia Pacific is expected to grow at a notable CAGR from 2025 to 2034.
  • By packaging type, the flexible packaging segment contributed the biggest revenue share in 2024.
  • By packaging type, the rigid packaging segment is expected to expand at a significant CAGR between 2025 and 2034.
  • By end-use, the food and beverage segment dominated the market in 2024.
  • By end-use, the personal care and cosmetics segment is expected to expand at a significant CAGR between 2025 and 2034.

Recycled Polypropylene Packaging: Evolving Consumer Preference

Recycled polypropylene in packaging is the polypropylene plastic that is processed and reutilized instead of being discarded as waste. Growing ecological awareness and laws inspiring the usage of recycled plastics, in which rPP is a general resource in several packaging applications, are influencing this market. Both flexible and rigid packaging exist in the industry, and rPP is used for containers, pouches, films, bottles, and other packaging processes. The usage of polypropylene plastic, which has been collected, treated, and transformed into new packaging resources, is called recycled polypropylene in packaging. This process reduces the ecological consequences of creating virgin plastic, saves resources, and reduces plastic waste. Moreover, the driver pushing development is the rising consumer choice and consciousness for environment-friendly packaging. In response, corporations have reshaped their packing to include recycled resources and used labelling to transport these choices.

Key Metrics and Overview

Metric Details
Market Size in 2025 USD 9.85 Billion
Projected Market Size in 2034 USD 17.66 Billion
CAGR (2025 - 2034) 6.73%
Leading Region North America
Market Segmentation Packaging Type, End Use and By Region
Top Key Players Mitsubishi Chemical, ECOPLAS (HK) LIMITED, Pashupati Group of Industries, Formosa Plastics, Banyan Nation
  • Growing Demand for Recyclable Packaging

The growing demand for recyclable packaging materials has raised the innovation in this market to enhance the consumer experience.

  • Rising Ecological Awareness

The increasing awareness towards ecology has influenced the usage of packaging that can reduce waste generation is being adopted by several brands.

  • Strict Government Guidelines

Strict guidelines of the government aim to reduce the adverse effects of packaging on the ecology by low emission of carbon emissions.

How Can AI Improve the Recycled Polypropylene in the Packaging Market?

AI plays an important role in the recycled polypropylene in the packaging market by optimizing the quality of the materials utilized for the production process. It analyzes the data gathered and helps to identify the issues that help to bring the required innovation to the market. It helps in enhancing recycling and sorting methods and supports to generate high quality rPP for the usage of the food industry and the design of recycled packages. With the incorporation of advanced technologies, the generation of packaging that can be recycled several times and redesigned in several patterns becomes easy. Artificial intelligence helps to make the recycling process effective and ensure the production of high-quality packages.

Market Dynamics

Driver

Demand for Safe Packaging Material

The necessity for recycled resources is growing in several industries, including food and beverage, and consumer goods. Due to the growing demand for food-safe packing resources, the usage of recyclable polymers is escalating in the food and beverage sector. These resources can proficiently replace outdated plastics as a barrier between food products and ecological components, growing market stake. Recycled polyethylene terephthalate is a component that is extensively utilized in the manufacture of bottles for water and beverage packing.

Aside from food and beverage packing, recycled polymers are used in the packing of goods like toys, sports equipment, and fashion accessories, which helps to increase the durability of the product. Because of their non-reactive property, these polymers have experienced increasing demand in the packing of goods such as shampoos, soaps, surfactants, and many other personal care goods. The growing usage of packaging resources in the manufacturing of customer products will influence the expansion of the market.

Restraint

Limited Availability of Materials

Despite the positive development route of the recycled polypropylene market, numerous challenges hinder its extensive acceptance. One of the key restraints is the inadequate availability of enhanced-quality recycled polypropylene. The recycling procedure for polypropylene components can be intricate, and sometimes the recycled resources do not fulfill the same value ideals as virgin polypropylene. Corruption of the waste stream, varied polymer mix can raise issues with the process of sorting and cleaning of the accumulated plastic waste, which can decrease the quality of the recycled polypropylene and make it inappropriate for several applications. This has resulted in unwillingness among some producers to utilize recycled polypropylene, as it may affect the presentation and sturdiness of their goods.

Opportunity

Rising Demand for Sustainable Packaging

The growing shift in the direction of sustainable practices offers several opportunities for the development of recycled polypropylene in the packaging market. One such opening deceit is in the rising trend of using recycled polypropylene in the automotive sector. Auto manufacturers are progressively utilizing recycled resources in vehicle machinery such as under-the-hood applications, bumpers, and interior panels. Additionally, the growth of event stream processing (ESP) in several sectors is correspondingly anticipated to positively influence the recycled polypropylene in the packaging industry. ESP permits corporations to analyse real-time information streams from recycling processes, providing insights into resource flows, waste management efficacy, and recycling charges. By applying ESP arrangements, companies can enhance their recycling procedures, progress quality control, and decrease material waste, making the recycling of polypropylene more effective. As industries progressively accept digital resolutions for sustainable performs, the incorporation of event stream handling can improve the overall worth chain of recycled resources.

Segmental Insights

Why the Flexible Packaging Segment Dominated the Market in 2024?

The flexible packaging segment is expected to have a considerable share of the recycled polypropylene in the packaging market in 2024 due to the easy customization option, which helps to redesign the product in several ways. Materials such as wraps, films, and pouches, which are easily formed or bent, are utilized in flexible packaging using recycled polypropylene. Products, comprising dry goods, personal hygiene products, snacks, and frozen meals, are often made with it. Recycled polypropylene in packaging is a sustainable alternative for virgin polymers due to its excellent moisture resistance, barrier qualities, and durability.

On the other hand, the rigid packaging segment is expected to grow at the fastest rate in the market during the forecast period of 2025 to 2034. This is due to the rising demand for the durability of the recycled packages. It includes trays, tubes, containers, caps, and bottles for the maintenance of a fixed shape. The demand for extended shelf life of the packaged products has enhanced the usage of rigid materials.

Why the Food and Beverage Segment Dominated the Market in 2024?

The food and beverage segment is expected to dominant the recycled polypropylene in packaging market in 2024 as it provides superior vapor and moisture barrier protection, and protects the quality of the food products. The strict regulation in the food packaging industry has raised the influence of recycled polypropylene in packaging. These recycled materials are safe for food products as well as the environment. On the other hand, the personal care and cosmetics segment is anticipated to grow at the fastest rate in the market during the forecast period of 2025 to 2034. In this segment, packaging for cosmetic caps, shampoo bottles, and cream jars is included. These packages require an aesthetic look to attract a huge number of people towards them.

Regional Insights

Presence of Strong Supervisory Frameworks in North America Promotes Dominance

The North America region held the largest share of the recycled polypropylene in the packaging market in 2024, due to the presence of strong supervisory frameworks. Growing consumer consciousness for using eco-friendly packaging has raised the demand for innovation in this market to fulfill the increasing demand of the consumers. Major market players are continuously working for the expansion of this industry by introducing enhanced technology that supports better recycling of the products. Companies such as Berry Global Inc., Procter and Gamble, and Unilever enhanced the demand for recycled polypropylene in packaging in the packaging industry.

Asia Pacific’s Expanding Packaging Sector Supports Growth

The Asia Pacific region is projected to develop at the fastest rate in the recycled polypropylene in packaging market during the forecast period. It is due to the continuous expansion of the packaging sector. The availability of several companies in countries like India, Japan, China, Thailand, South Korea, and several others has influenced the growth of this market in this region rapidly. The rising awareness towards sustainable packaging in the food and beverages industry has enhanced the expansion of this packaging market.

Top Companies in the Recycled Polypropylene in Packaging Market

Recycled Polypropylene in Packaging Market Companies

Latest Announcements by Industry Leaders

  • In June 2025, Joint Secretary, Department of Chemicals and Petro-Chemicals, Government of India, Deepak Mishra, expressed, “As a regulatory authority, we recognise the significant progress the industry has made in enhancing recycling capacities, particularly for PET, to align with the objectives of the EPR framework. The recent policy facilitation, including exemptions in cases of technical non-feasibility, has been introduced to support a balanced and pragmatic transition.” (Source: Indian Chemical News)

New Advancements in the Market

  • In June 2025, the 6th Plastic Packaging Research and Development Centre (PPRDC) Summit will release a study on safe food-grade packaging from recycled polypropylene. (Source: Indian Chemical News)
  • In April 2025, UFlex announced plans to develop a new manufacturing facility in Mexico focused on producing woven polypropylene (WPP) bags for the pet food sector. (Source: Petfood Industry)

Recycled Polypropylene in Packaging Market Segments

Packaging Type

  • Flexible Packaging
  • Rigid Packaging

End Use

  • Food and Beverage
  • Personal Care and Cosmetics
  • Pharmaceuticals
  • Household Products
  • Industrial Goods
  • Others

By Region

  • North America
    • U.S.
    • Canada
  • Europe
    • Germany
    • UK
    • France
    • Italy
    • Spain
    • Sweden
    • Denmark
    • Norway
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • Thailand
  • Latin America
    • Brazil
    • Mexico
    • Argentina
  • Middle East and Africa (MEA)
    • South Africa
    • UAE
    • Saudi Arabia
    • Kuwait
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  • Insight Code: 5650
  • No. of Pages: 150
  • Format: PDF/PPT/Excel
  • Last Updated: 02 July 2025
  • Report Covered: [Revenue + Volume]
  • Historical Year: 2021-2023
  • Base Year: 2024
  • Estimated Years: 2025-2034

Meet the Team

Yogesh Kulkarni is an experienced Research Analyst specializing in the packaging sector, with a strong foundation in statistical analysis and market intelligence. He currently contributes his expertise to Towards Packaging.

Learn more about Yogesh Kulkarni

Aditi Shivarkar, with 14+ years in packaging market research, specializes in food, beverage, and eco-friendly packaging. She ensures accurate, actionable insights, driving Towards Packaging 's excellence in industry trends and sustainability.

Learn more about Aditi Shivarkar

Related Insights

FAQ's

The key growth drivers include rising ecological regulations promoting the use of sustainable materials, increasing consumer demand for eco-friendly and lightweight packaging, and strict food safety standards. Sectors like food and beverage, personal care, and industrial packaging are actively shifting towards recycled solutions to align with ESG goals and reduce carbon footprint.

The market is projected to grow from USD 9.85 billion in 2025 to USD 17.66 billion by 2034, registering a CAGR of 6.73%. This robust growth trajectory reflects increasing demand for sustainable packaging solutions across both developed and emerging markets.

Asia Pacific is expected to register the fastest CAGR due to a rapidly expanding packaging sector, growing consumer awareness, and governmental support for sustainability initiatives. Countries like India, China, and Japan are particularly ripe for investments in recycled packaging infrastructure and technology.

Governments are implementing stringent EPR (Extended Producer Responsibility) frameworks and imposing stricter environmental guidelines, especially in North America and Europe. These regulations are accelerating the adoption of recycled polypropylene, pushing companies to innovate and improve recycling efficiency to remain compliant.

AI enhances sorting and recycling processes, improves material quality through predictive analytics, and enables real-time monitoring of waste management efficiency. This leads to higher-grade rPP outputs and cost-optimized operations, making AI a strategic tool for scaling and innovation in this sector.

Flexible packaging is currently dominating due to its customizability and lightweight nature, which appeals to food, hygiene, and FMCG segments. Meanwhile, rigid packaging is expected to grow rapidly due to increasing demand for durability, extended shelf life, and structural integrity in packaging.

The food and beverage segment currently leads due to its strict quality and safety requirements. However, the personal care and cosmetics segment is poised for fast growth, driven by aesthetic packaging needs and sustainability preferences among eco-conscious consumers.

Key restraints include the limited availability of high-quality rPP, contamination in recycling streams, and performance concerns compared to virgin plastics. These factors can hinder widespread adoption and reduce the viability of recycled packaging in sensitive applications.