Plastic bans to spark $476b sustainable packaging surge by 2032

By product, the paper and paperboard segment dominated the market in 2025.

The global sustainable packaging market size is projected to reach $476.16b by 2032, exhibiting a compound annual growth rate of 5.4%, according to a Maximize Market Research report.

The report said market growth is being driven by increasing global attention on plastic pollution, governments implementing recycling laws and circular economy policies.

Corporate environmental, social, and governance strategies are also aligning with these regulations to improve sustainability performance.

By product, the paper and paperboard segment dominated the market in 2025 with a 22.8% revenue share.

Meanwhile, the rigid packaging segment accounted for 19.4% of the market in 2025 as recycled bottles, containers, and jars are increasingly preferred due to durability and compliance with environmental regulations.

Food and beverage leads the end-user segment, accounting for 57.6% of total demand in 2025, driven by rising packaged food consumption and heightened demand for eco-conscious packaging.  

By region, Europe dominated the market in 2025 with North America following closely. In the Asia Pacific, countries like China, India, and South Korea are emerging as hotspots for sustainable packaging due to regulatory support, urbanisation, and e-commerce growth.