Europe Flexible Packaging Market

Europe Flexible Packaging Market Size

The Flexible Packaging market size in Europe was valued at USD 35.31 billion in 2024. The European market is estimated to be worth USD 69.19 billion by 2033 from USD 38.05 billion in 2025, growing at a CAGR of 7.76% from 2025 to 2033.

Flexible packaging refers to materials that can be shaped or molded to fit the contents they enclose, typically comprising plastic films, aluminum foil, paper, and multi-layered laminates. These materials are widely used in industries such as food and beverage, pharmaceuticals, personal care, and industrial goods due to their ability to extend shelf life, reduce material waste, and enhance product convenience. According to the European Flexible Packaging Association (EFPA), the market witnessed a steady growth trajectory driven by consumer demand for eco-friendly and innovative packaging solutions. 

Europe’s stringent environmental regulations have positioned the region as a leader in adopting sustainable practices within the flexible packaging sector. The European Union’s Circular Economy Action Plan has mandated increased recycling rates and reduced plastic waste, prompting manufacturers to innovate with biodegradable and recyclable materials. For instance, the use of bio-based plastics in flexible packaging grew by 15% in 2022, as reported by the European Bioplastics Association. Additionally, the rise of e-commerce and on-the-go consumption patterns has further fueled demand for flexible packaging, particularly in stand-up pouches and resealable formats. Germany, France, and Italy are among the top contributors to this market, collectively accounting for over 60% of Europe’s total flexible packaging revenue. The European flexible packaging market is poised to expand significantly because of the growing emphasis on sustainability and functionality, reflecting both technological advancements and shifting consumer preferences. 

MARKET DRIVERS 

Sustainability and Environmental Regulations 

The increasing focus on sustainability is primarily propelling the development of the European flexible packaging market. It is driven by stringent environmental regulations. The European Union’s Circular Economy Action Plan mandates a reduction in plastic waste and promotes recyclable and biodegradable packaging solutions. According to the European Environment Agency, more than 30% of plastic packaging waste was recycled in 2021 which is reflecting the region’s commitment to sustainable practices. This regulatory push has encouraged manufacturers to adopt innovative materials like bio-based plastics, which are projected to grow considerably, as per the European Bioplastics Association. Consumers are also favouring eco-friendly packaging, with a Nielsen report indicating that 73% of European consumers are willing to pay more for sustainable products. These factors collectively drive demand for flexible packaging that aligns with environmental goals. 

Growing E-commerce and Convenience Trends   

The rapid expansion of e-commerce and changing consumer lifestyles are significant growth drivers for the Europe flexible packaging market. With online retail sales in Europe reaching EUR 822 billion in 2022, there is an increased need for durable yet lightweight packaging solutions to protect goods during transit, as reported by Eurostat. Flexible packaging such as stand-up pouches and resealable bags offers convenience and portability that is making it ideal for on-the-go consumption. According to the European Food Safety Authority, flexible packaging extends the shelf life of perishable goods by up to **30%**, reducing food waste. Furthermore, its lightweight nature lowers transportation costs and carbon emissions, aligning with sustainability goals. These advantages have made flexible packaging indispensable for industries like food, beverages, and personal care, ensuring steady market growth amidst evolving consumer demands. 

MARKET RESTRAINTS 

High Costs of Sustainable Materials   

The high cost associated with sustainable and recyclable materials is hindering the growth of the European flexible packaging market. The European Union’s Circular Economy Action Plan encourages the adoption of eco-friendly alternatives. However, the transition to biodegradable or bio-based plastics remains expensive. According to the European Commission, producing bioplastics can be 20-50% more costly than conventional plastics due to limited production capacity and higher raw material costs. This price gap poses challenges for small and medium-sized enterprises (SMEs) that struggle to absorb these additional expenses. Furthermore, the European Bioplastics Association notes that only 1% of global plastic production currently comes from bioplastics, indicating slow adoption rates. These financial barriers hinder widespread implementation, especially in price-sensitive industries like food and beverages, where profit margins are already narrow. 

Stringent Recycling Infrastructure Requirements   

The inadequate recycling infrastructure across many European countries which limits the effective processing of flexible packaging materials is notably restraining the market growth. As per the European Environment Agency, only 42% of plastic packaging waste was recycled in 2021 which is leaving a significant portion unrecycled due to technical challenges posed by multi-layered laminates commonly used in flexible packaging. These materials are difficult to separate and recycle, creating inefficiencies in waste management systems. Additionally, Eurostat reports that investment in recycling infrastructure varies widely across member states with Eastern European nations lagging behind Western counterparts. This disparity creates inconsistencies in compliance with EU recycling mandates, increasing operational complexities for manufacturers. As a result, companies face both regulatory pressure and logistical hurdles, slowing market growth despite rising demand for sustainable solutions. 

MARKET OPPORTUNITIES 

Innovation in Smart and Active Packaging   

The development of smart and active packaging solutions enhances product safety and consumer engagement presents major growth prospect for the market players. The European Food Safety Authority stated that active packaging, such as oxygen scavengers and moisture absorbers, can extend the shelf life of perishable goods by up to 25% and is reducing food waste significantly. Additionally, smart packaging technologies like QR codes and NFC tags are gaining traction, with 60% of European consumers prefer interactive packaging for better traceability and product information. These innovations align with the EU’s focus on sustainability and digital transformation which is creating a lucrative market for manufacturers. Demand for real-time monitoring and enhanced functionality is growing. Therefore, companies investing in these technologies are poised to capture a competitive edge in the flexible packaging sector. 

Expansion of Biodegradable and Compostable Solutions   

The growing emphasis on environmental sustainability provides a key opportunity through the expansion of biodegradable and compostable flexible packaging. The European Bioplastics Association projects that the global production capacity for bioplastics will increase by 30% by 2026 and that is driven by advancements in bio-based materials. In Europe, countries like Germany and France are leading this shift, with the French Ministry of Ecology reporting that compostable packaging adoption grew by 18% in 2022 alone. Furthermore, the European Commission’s Single-Use Plastics Directive mandates the reduction of conventional plastics and is encouraging businesses to adopt eco-friendly alternatives. These regulatory tailwinds coupled with rising consumer awareness, create a fertile ground for innovation and market growth in biodegradable solutions, positioning them as a key revenue stream for the market. 

MARKET CHALLENGES  

Balancing Cost and Sustainability   

Balancing the cost of sustainable materials with affordability for businesses and consumers is largely hampering the expansion of the European flexible packaging market. The European Commission reported that transitioning to eco-friendly alternatives such as biodegradable plastics can increase production costs by 20% to 50% compared to traditional plastics. This financial burden disproportionately affects small and medium-sized enterprises (SMEs), which account for more than  99% of businesses in the EU, according to Eurostat. Additionally, the European Environment Agency notes that only 30% of plastic packaging waste is currently recycled and is leaving a significant gap in achieving circular economy goals. Demand for sustainable packaging is rising but high costs deter widespread adoption. This creates a challenge for manufacturers who want to meet regulatory requirements without compromising profitability. 

Addressing Recycling Infrastructure Gaps   

The lack of adequate recycling infrastructure to process flexible packaging materials effectively is notably derailing the growth of the European flexible packaging market. The European Environment Agency reports that multi-layered laminates, commonly used in flexible packaging, are difficult to recycle due to their complex composition, resulting in only 42% of plastic packaging waste being recycled in 2021. Furthermore, Eurostat reveals disparities in recycling capabilities across member states with Eastern European countries lagging behind Western Europe in terms of infrastructure investment. This inconsistency creates compliance hurdles for manufacturers aiming to meet EU recycling mandates. The French Ministry of Ecology emphasizes that inadequate sorting and processing facilities hinder the scalability of recyclable packaging solutions, posing a barrier to achieving sustainability targets and reducing environmental impact. 

REPORT COVERAGE

SEGMENTAL ANALYSIS

By Material Insights

The plastic films segment ruled the European flexible packaging market and accounted for 60.8% share in 2024. Their versatility, lightweight nature, and cost-effectiveness are basically influencing the growth of this segment in the global market. Polyethylene (PE) and particularly LDPE is the most widely used type making up 40% of all food packaging materials in Europe, according to Eurostat. Plastic films are essential for extending shelf life and protecting products from moisture and contamination. Their widespread adoption in industries like food, beverages, and pharmaceuticals ensures their prominence. Despite recyclability challenges, innovations in multi-layered films and barrier properties continue to reinforce their importance in meeting consumer and industrial demands. 

However, the Bioplastics segment  is estimated to register the fastest CAGR of 12% from 2025 to 2033 owing to the rising environmental concerns and regulatory mandates under the EU’s Circular Economy Action Plan. According to the French Ministry of Ecology, bioplastic adoption grew by 18% in 2022 which is driven by demand for compostable packaging in food and personal care sectors. Bioplastics, derived from renewable sources like corn starch, reduce reliance on fossil fuels and lower carbon footprints. Their importance lies in addressing sustainability goals while offering innovative solutions for eco-conscious consumers, making them a critical focus for future packaging advancements. 

By Product Type Insights 

The stand-up pouches segment dominaed the European flexible packaging market and captured 35.6% share in 2024. Their convenience, resealability, and superior shelf appeal drive their popularity. They are ideal for food, beverages, and household products. Retort stand-up pouches and in particular extend the shelf life of perishable goods by up to 25%, according to the European Food Safety Authority. Their lightweight design reduces material usage and transportation costs, aligning with sustainability goals. Widely adopted for their functionality and aesthetic appeal, stand-up pouches are critical for meeting consumer demands for innovative and eco-friendly packaging solutions. 

The rollstock segment is predicted to witness the highest CAGR of 8% throughout the forecast period. This growth is fueled by its compatibility with automated form-fill-seal systems which is enabling efficient production of customized packaging formats. As per the French Ministry of Industry, rollstock usage increased by 10% in 2022 and is driven by demand for scalable and sustainable packaging solutions. Its adaptability to various materials and applications, such as snacks and pet food which makes it indispensable for high-speed manufacturing processes. By reducing labor costs and enhancing operational efficiency, rollstock is pivotal in addressing the growing need for cost-effective and innovative packaging technologies. 

By Application Insights 

The food and beverages segment dominated the market by capturing 60% share in 2024 because of the critical role of flexible packaging in preserving freshness, extending shelf life, and ensuring product safety. For instance, Retort pouches can extend the shelf life of perishable goods by up to 25% which is significantly reducing food waste. According to Eurostat, flexible plastics account for 40% of all food packaging materials in Europe. Rising demand for convenience, e-commerce, and sustainable solutions makes this segment pivotal in driving innovation and meeting consumer expectations. 

However, the cosmetics and toiletries segment  is expected to exhibit a noteworthy CAGR of 7.5%. over the forecast period. This growth is fueled by increasing consumer demand for eco-friendly and visually appealing packaging. The adoption of biodegradable wraps and pouches grew by **18% in 2022**, reflecting heightened environmental awareness. Lightweight designs enhance portability, while advanced barrier properties protect sensitive formulations. As brands focus on sustainability and premium aesthetics, this segment is poised for rapid expansion, making it a key driver of innovation in the flexible packaging market. 

REGIONAL ANALYSIS 

Germany spearheaded the European flexible packaging market and held a 25% share in 2024. Its established manufacturing base, advanced recycling infrastructure, and high demand from industries like food, beverages, and pharmaceuticals are the main contributors to its rise. Germany’s commitment to sustainability is evident in its adoption of eco-friendly materials, with the European Environment Agency noting that the country recycles over 50% of its plastic packaging waste and that is the highest in Europe. Additionally, Germany’s focus on innovation in bioplastics and smart packaging solutions has positioned it as a pioneer in meeting EU circular economy goals. 

France is expected to be the most lucrative region for flexible packaging worldwide and is predicted to expand at a 5.2%. The country’s prominence is caused by its thriving cosmetics and food industries which extensively use flexible packaging for premium and sustainable products. France’s proactive approach to environmental regulations, such as banning single-use plastics, has accelerated the adoption of biodegradable packaging. The French Ministry of Ecology reports that compostable packaging usage grew by 20% in 2022 which is reflecting consumer demand for greener alternatives. This regulatory push and market innovation have solidified France’s role as a key player in the market. 

The UK follows closely in this market. The growth is fuelled by rising e-commerce activities and demand for convenience-driven packaging solutions. Online retail sales reached EUR 200 billion in 2022. Flexible packaging has become essential for protecting goods during transit. The UK’s stringent quality standards and emphasis on recyclability have also encouraged manufacturers to adopt sustainable practices. According to Eurostat, the UK recycled 45% of its plastic packaging waste in 2021 that aligns with EU sustainability targets. These factors collectively enhance the UK’s prominence in the flexible packaging market. 

KEY MARKET PLAYERS

Companies such as Amcor plc, Mondi plc, Constantia Flexibles Group GmbH, Huhtamäki Oyj, Coveris Holdings S.A., Sealed Air Corporation, Berry Global Group, Inc., Sonoco Products Company, Clondalkin Group Holdings BV, Schur Flexibles Group, DS Smith Plc, RKW Group, Smurfit Kappa Group, UFlex Limited, Wipak Group, Flex Films (Europe) Ltd., Taghleef Industries Group, Bischof + Klein SE & Co. KG and Plastopil Europe BVBA are playing a leading role in the Europe flexible packaging market.

MARKET SEGMENTATION

This research report on the Europe Flexible Packaging market is segmented and sub-segmented into the following categories.

By Material 

• Plastic films 

• Polypropylene 

• Polyethylene 

• HDPE 

• LDPE 

• Polyvinyl chloride (PVC) 

• (biaxially oriented polyethylene terephthalate (BOPET) 

• Ethylene vinyl alcohol (EVOH) 

• Polyamide 

• polystyrene 

• Paper 

• Aluminium foils 

• Bioplastics 

By Product Type 

• Stand-Up Pouches 

• Standard Stand-Up Pouches 

• Retort Stand-Up Pouches 

• Flat Pouches 

• Standard Flat Pouches 

• Retort Flat Pouches 

• Gusseted Bags 

• Wicketed Bags 

• Wraps 

• Rollstock 

By Application 

• Food And Beverages 

• Healthcare 

• Cosmetics And Toiletries 

• Other   

By Country

• UK
• France
• Spain
• Germany
• Italy
• Russia
• Sweden
• Denmark
• Switzerland
• Netherlands
• Turkey
• Czech Republic
• Rest of Europe