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AI in Packaging Market Outlook from 2024 to 2034

The global AI in packaging market is estimated to be worth US$ 1,790.8 million in 2024. The artificial intelligence (AI) in packaging market is expected to reach US$ 23,415.2 million by 2034. It is projected to surge at a CAGR of 29.3% in the forecast period 2024 to 2034.

Attributes Key Insights
Base Value (2023) US$ 1,468.7 million
Estimated Global AI in Packaging Market Size (2024E) US$ 1,790.8 million
Projected AI in Packaging Market Value (2034F) US$ 23,415.2 million
Value-based CAGR (2024 to 2034) 29.3%

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AI in Packaging Market Highlights

  • The AI in packaging industry is expected to see continued growth in the adoption of AI due to its significant value and benefits.
  • Increasing demand for smart and connected packaging and a growing emphasis on sustainability presents opportunities for AI-driven innovations.
  • Integrating AI with computer vision and machine learning is expected to enhance the accuracy and efficiency of inspection processes in packaging industry.
  • AI systems analyze images and detect defects in packaging materials, ensuring only high-quality products reach the market.
  • AI algorithms create personalized packaging designs by analyzing consumer preferences, market trends, and product data, recommending materials and structures that align with branding and customer needs.
  • AI can enhance packaging solutions like active monitoring systems, temperature-sensitive labels, and interactive experiences, improving product safety, traceability, and consumer engagement.

2019 to 2023 Global AI in Packaging Market Growth Outlook Vs. 2024 to 2034

The AI in the packaging market recorded a CAGR of 8.7% between 2019 and 2023.

  • Advancements in computer vision and picture recognition technologies have significantly enhanced the capabilities of packaging systems, enabling AI-powered systems to perform tasks like object classification, pattern recognition, and defect detection.
  • Integrating AI-driven robots and automation in packaging operations has revolutionized the industry, enhancing scalability, flexibility, and efficiency. These systems, equipped with AI vision systems, can perform tasks like palletizing, picking, packaging, and sorting, leading to increased output, reduced labor costs, and safer working conditions.
  • The packaging industry prioritizes sustainability and waste reduction, using AI technologies to create eco-friendly alternatives, optimize design, and reduce material usage. AI helps businesses design packaging that balances sustainability goals with practicality and aesthetics based on consumer preferences, material quality, and environmental impact.

The market is projected to surge at a CAGR of 29.3% from 2024 to 2034.

  • The AI market in the packaging sector is experiencing significant growth driven by growing demand for efficiency and quality assurance in the packaging process.
  • AI technologies are becoming crucial in several processes, including quality control, packaging design, customization, and supply chain optimization.
  • AI-driven supply chain optimization is expected to improve the safety of the packages by leveraging real-time tracking systems.
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Ismail Sutaria

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Semi-annual Market Update

The table presents the expected CAGR for AI in packaging market over several semi-annual periods spanning from 2023 to 2034. In the first half (H1) of the decade from 2023 to 2033, the market is predicted to surge at a CAGR of 28.7%, followed by a slightly higher growth rate of 31.2% in the second half (H2) of the same decade.

Moving into the subsequent period, from H1 2024 to H2 2034, the CAGR is projected to decrease slightly to 29.3% in the first half and surge at 32.3% in the second half.

Particular Value CAGR
H1 28.7% (2023 to 2033)
H2 31.2% (2023 to 2033)
H1 29.3% (2024 to 2034)
H2 32.3% (2024 to 2034)

Key Artificial Intelligence (AI) in Packaging Market Trends

  • The packaging industry is implementing AI-driven predictive maintenance systems to reduce downtime and increase production by analyzing sensor and equipment data to anticipate potential faults.
  • AI-powered vision technologies are increasingly used in packaging operations for quality control and inspection, ensuring higher standards and reducing waste by quickly identifying flaws or discrepancies.
  • AI algorithms are being utilized to enhance packaging design for various purposes, such as product protection, material consumption reduction, and shelf appeal improvement, by analyzing consumer preferences, environmental variables, and material attributes.
  • The rise of direct-to-consumer and e-commerce has led to a surge in the demand for customized packaging, with AI-driven solutions enabling tailored designs, messaging, and branding for specific customer segments.
  • AI is significantly aiding packaging companies in achieving sustainability goals by developing eco-friendly materials, conducting recycling activities, and optimizing packaging designs to minimize material utilization.

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Restraining Factors in the AI in Packaging Market

  • Integrating AI technology into packaging operations require significant upfront investments in infrastructure, software, and training, which is set to be challenging for smaller businesses or those with limited resources to justify.
  • AI-driven packaging solutions face data privacy and security challenges due to their reliance on data analysis, making it challenging for businesses to adhere to strict rules for managing sensitive data.
  • AI technologies in the packaging sector require skilled staff for design, implementation, and maintenance. However, professionals with AI, machine learning, and data science experience are scarce, making it difficult to find and retain competent employees, especially in smaller businesses or areas with limited training programs.

Comparative View of Adjacent AI in Packaging Market

The section highlights the key attributes of the AI in packaging market and two other markets that have the potential to compete rigorously with the packaging automation market and the intelligent packaging market. The growth rates and current market valuation are mentioned in the tables below. The respective markets' growth factors and critical challenges are also discussed below.

AI in Packaging Market:

Attributes AI in Packaging Market
CAGR (2024 to 2034) 29.3%
Growth Factor AI technology is revolutionizing packaging operations by integrating automation and robots for tasks like picking, packaging, palletizing, and sorting, reducing labor costs and improving operational efficiency.
Artificial Intelligence Trends in Packaging AI technologies are optimizing multiple components of the packaging supply chain, including inventory control, logistics, and route optimization, by analyzing large data volumes to identify inefficiencies, predict demand changes, and streamline processes.

Packaging Automation Market:

Attributes Packaging Automation Market
CAGR (2024 to 2034) 8.05 %
Growth Factor E-commerce expansion is boosting packaging automation, prompting businesses to seek scalable and efficient packaging process management solutions to handle the surge in online orders.
Key Trend The market is gaining traction for packaging automation solutions that promote sustainable practices, reduce waste, and optimize resource consumption, driven by environmental concerns and consumer preferences.

Intelligent Packaging Market:

Attributes Intelligent Packaging Market
CAGR (2024 to 2034) 9.0%
Growth Factor Smart packaging solutions, including oxygen scavengers, antibacterial agents, and moisture absorbers, are being increasingly used in food and pharmaceutical packaging to enhance the shelf life and freshness of perishable goods by altering the container's environment.
Key Trend Blockchain technology is being explored for its potential to enhance supply chain security, transparency, and traceability by securely recording and verifying product-related information using intelligent packaging solutions.

Country-wise Insights

The table below shows the estimated growth rates of the leading countries. India, Canada, and Japan are set to record high CAGRs of 39.6%, 32.3%, and 33.8%, respectively, through 2034.

Countries Value-based CAGR (2024 to 2034)
United States 25.9%
Canada 32.3%
Brazil 29.4%
Mexico 28.2%
Germany 20.1%
France 15.7%
United Kingdom 18.0%
China 31.6%
India 39.6%
Japan 33.8%
United Arab Emirates 29.6%
South Africa 31.8%

Rapid Growth of Food and Beverage Sector Driving Demand in China

Over the forecast period, demand for AI in packaging in China is set to rise at 31.6% CAGR, driven by factors like:

  • China AI in packaging market is rapidly growing due to the widespread adoption of advanced technologies in several industries, including food and beverage, pharmaceuticals, consumer products, and logistics, with significant investments from established enterprises and start-ups.
  • China is a global leader in technical innovation, particularly in the packaging sector, using AI algorithms, machine learning, computer vision, robots, and language processing to optimize design, production, quality control, supply chain management, and other packaging operations.
  • Artificial intelligence (AI) is being utilized in packaging industries for quality control, regulatory compliance, counterfeit detection, packaging design optimization, and customized packaging, thereby improving logistics and efficiency.

Partnerships among Government and Research Institutes Fueling Growth in India

Demand for AI in packaging in India is set to grow at 39.6% CAGR by 2034. The key factors supporting the market growth are:

  • The AI packaging sector is undergoing significant innovation through partnerships between companies, technology providers, research institutes, and government agencies, focusing on creating integrated solutions, conducting research, exchanging best practices, and resolving regulatory issues.
  • AI packaging industry is focusing on ensuring compliance with regulations related to data privacy, environmental sustainability, product safety, and labeling. Successful negotiation of these hurdles is crucial for businesses investing in AI technologies to achieve market acceptance in India.

Technological Innovations in Japan Paving the Road for Market Success

The AI in packaging market is projected to increase in Japan at a CAGR of 33.8% through 2034. The factors driving the market growth are as follows:

  • Japan is prioritizing sustainability in packaging due to consumer demand, regulatory requirements, and business sustainability goals.
  • Artificial Intelligence (AI) technologies are being utilized to enhance package designs, reduce waste, and enhance recyclability, with companies investing in AI-powered solutions for sustainable packaging.
  • Japan packaging sector is highly competitive, with established companies and start-ups offering AI-driven products and services.

Category-wise Insights

The section below shows the machine learning segment dominating by technology. It is predicted to surge at a CAGR of 30.0% through 2034. Based on application, the quality control and inspection segment is anticipated to generate a dominant share through 2024. The segment is expected to rise at 29.0% CAGR through 2034.

Segment Value-based CAGR (2024 to 2034)
Machine Learning (Technology) 30.0%
Quality Control and Inspection (Application) 29.0%

Machine Learning Segment Tops the Technology Category

  • Machine learning models ensure efficient quality control and supply chain optimization in the packaging industry.
  • Packaging companies are expected to forecast equipment breakdowns or maintenance requirements by utilizing machine learning.
  • Machine learning algorithm helps in optimizing production uptime and minimize downtime by analyzing historical data, identifying trends of machine faults, and recommending maintenance activities.

Quality Control and Inspection Application Continue to Dominate the Industry

  • AI-assisted quality control techniques are reducing the risk of errors and increasing the streamline of the overall process.
  • Artificial intelligence (AI) systems identify products as acceptable or faulty by comparing collected photos or sensor data to reference standards. This allows for automatic rejection or sorting of products based on quality criteria.
  • AI technologies make it possible to monitor packaging operations in real-time, giving constant feedback on the final product's caliber and the process's efficiency.

Competitive Landscape

Key AI solution providers in the packaging industry include Amazon Inc., IBM, Microsoft Corporation, GE Digital, Open AI, Midjourney Inc., Canva, Adobe, ABB Group, Cognex Corporation, and others. Leading companies actively invest in research and development to enhance their AI capabilities and offer innovative packaging solutions.

For instance

  • In November 2021, ABB Robotics partnered with Zume to reduce their reliance on single-use plastics in their global continuous packaging production.
  • In October 2021, Schneider Electric Canada and OptiMach partnered to expand operational duties and provide customers with robotic and autonomous solutions.
  • In 2024, the Commission launched an AI innovation package to support AI start-ups and SMEs.

Key AI Developers

  • Amazon Inc.
  • Microsoft Corporation
  • GE Digital
  • Open AI
  • Midjourney Inc.
  • Canva
  • Adobe Inc.
  • ABB Group
  • IBM Corporation
  • Cognex Corporation

Key Packaging Manufacturers

  • Tetra Pak Group
  • Stora Enso OyJ
  • Greif Inc.
  • Ardagh Group
  • Sealed Air Corporation
  • Berry Global
  • OJI Holdings Corporation
  • Avery Dennison Corp.
  • Gerreshiemer AG
  • Georgia Pacific
  • Sonoco
  • Amcor Plc

Key Coverage in the AI in Packaging Industry Report

  • Sales of Artificial Intelligence in Packaging
  • Insights of Artificial Intelligence in Packaging
  • Analysis of Artificial Intelligence in Packaging
  • Growth Forecast for AI in Packaging
  • AI-enabled Packaging Adoption
  • Detailed AI-enabled Packaging Market Outlook
  • Applications of Advanced Packaging Solutions in Food and Beverage Industry
  • Future Outlook of the Packaging Technology Market
  • Opportunities for Machine Learning in Packaging Market in India

Global AI in Packaging Market Segmentation by Category

By Technology:

  • Machine Learning
  • Computer Vision
  • Natural Language Processing
  • Predictive Analysis
  • Others

By Application:

  • Quality Control and Inspection
  • Packaging Design and Customization
  • Supply Chain Optimization
  • Smart Packaging

By End-use:

  • Food and Beverage
  • Healthcare
  • Personal Care & Cosmetics
  • Other Industrial
  • Consumer Goods
  • E-commerce

By Region:

  • North America
  • Latin America
  • East Asia
  • South Asia and Pacific
  • Western Europe
  • Eastern Europe
  • Middle East and Africa

Frequently Asked Questions

How big is the AI in packaging market?

The market is set to reach US$ 1,790.8 million in 2024.

What is the forecast for the AI in packaging market?

Demand for AI in packaging is slated to expand at a 29.3% CAGR by 2034.

What is the outlook for the AI in packaging market?

The market is set to reach US$ 23,415.2 million in 2034.

Who are the key players in the AI in packaging market?

Microsoft Corporation, Amazon Inc., and IBM are the key players.

Which technology would lead the AI in packaging market?

Machine learning segment is estimated to hold a significant market share in 2024.

Table of Content

1. Executive Summary

    1.1. Market Outlook

    1.2. Market Analysis

    1.3. Analysis and Recommendations

2. Market Overview

    2.1. Market Coverage / Taxonomy

    2.2. Market Definition / Scope / Limitations

3. Key Market Trends

    3.1. Key Trends Impacting the Market

    3.2. Product Innovation / Development Trends

4. Key Success Factors

    4.1. Product Adoption / Usage Analysis

    4.2. Product USPs / Features

    4.3. Strategic Promotional Strategies

5. Global Market Demand Analysis 2019 to 2023 and Forecast, 2024 to 2034

    5.1. Current and Future Market Volume (000’ tons) Projections, 2024 to 2034

    5.2. Y-o-Y Growth Trend Analysis

6. Global Market - Pricing Analysis

    6.1. Pricing Analysis

    6.2. Average Pricing Analysis Benchmark

7. Global Market Demand (in Value or Size in US$ million) Analysis 2019 to 2023 and Forecast, 2024 to 2034

    7.1. Historical Market Value (US$ million) Analysis, 2019 to 2023

    7.2. Current and Future Market Value (US$ million) Projections, 2024 to 2034

        7.2.1. Y-o-Y Growth Trend Analysis

        7.2.2. Absolute $ Opportunity Analysis

8. Market Background

    8.1. Parent Market Overview

    8.2. Macro-Economic Factors

    8.3. Forecast Factors - Relevance & Impact

    8.4. Value Chain

        8.4.1. List of AI developers

        8.4.2. List of Packaging Manufacturers (End users)

    8.5. Case Based Scenario - Impact Assessment

        8.5.1. Current Statistics

        8.5.2. Short-Mid-Long Term Outlook

        8.5.3. Likely Rebound

    8.6. Market Dynamics

        8.6.1. Drivers

        8.6.2. Restraints

        8.6.3. Opportunity Analysis

9. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Technology

    9.1. Introduction / Key Findings

    9.2. Historical Market Size Value (US$ million) Analysis By Technology, 2019 to 2023

    9.3. Current and Future Market Size Value (US$ million) Analysis and Forecast By Technology, 2024 to 2034

        9.3.1. Machine Learning

        9.3.2. Computer Vision

        9.3.3. Natural Language Processing

        9.3.4. Predictive Analysis

        9.3.5. Others

    9.4. Y-o-Y Growth Trend Analysis By Technology, 2019 to 2023

    9.5. Absolute $ Opportunity Analysis By Technology, 2024 to 2034

10. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Application

    10.1. Introduction / Key Findings

    10.2. Historical Market Size Value (US$ million) Analysis By Application, 2019 to 2023

    10.3. Current and Future Market Size Value (US$ million) Analysis and Forecast By Application, 2024 to 2034

        10.3.1. Quality Control and Inspection

        10.3.2. Packaging Design and Customization

        10.3.3. Supply Chain Optimization

        10.3.4. Smart Packaging

    10.4. Y-o-Y Growth Trend Analysis By Application, 2019 to 2023

    10.5. Absolute $ Opportunity Analysis By Application, 2024 to 2034

11. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By End Use

    11.1. Introduction / Key Findings

    11.2. Historical Market Size Value (US$ million) Analysis By End Use, 2019 to 2023

    11.3. Current and Future Market Size Value (US$ million) Analysis and Forecast By End Use, 2024 to 2034

        11.3.1. Food and Beverage

        11.3.2. Healthcare

        11.3.3. Personal Care & Cosmetics

        11.3.4. Other Industrial

        11.3.5. Consumer Goods

        11.3.6. E-commerce

    11.4. Y-o-Y Growth Trend Analysis By End Use, 2019 to 2023

    11.5. Absolute $ Opportunity Analysis By End Use, 2024 to 2034

12. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Region

    12.1. Introduction / Key Findings

    12.2. Historical Market Size Value (US$ million) Analysis By Region, 2019 to 2023

    12.3. Current and Future Market Size Value (US$ million) Analysis and Forecast By Region, 2024 to 2034

        12.3.1. North America

        12.3.2. Latin America

        12.3.3. East Asia

        12.3.4. South Asia and Pacific

        12.3.5. Western Europe

        12.3.6. Eastern Europe

        12.3.7. Middle East and Africa

13. North America Market Analysis 2019 to 2023 and Forecast 2024 to 2034

    13.1. Introduction / Key Findings

    13.2. Historical Market Size (US$ million) Analysis by Market Taxonomy, 2019 to 2023

    13.3. Current Market Size (US$ million) Analysis and Forecast by Market Taxonomy, 2024 to 2034

        13.3.1. By Country

   United States



        13.3.2. By Technology

        13.3.3. By Application

        13.3.4. By End Use

    13.4. Market Attractiveness Analysis

        13.4.1. By Country

        13.4.2. By Technology

        13.4.3. By Application

        13.4.4. By End Use

14. Latin America Market Analysis 2019 to 2023 and Forecast 2024 to 2034

    14.1. Introduction / Key Findings

    14.2. Historical Market Size (US$ million) Analysis by Market Taxonomy, 2019 to 2023

    14.3. Current Market Size (US$ million) Analysis and Forecast by Market Taxonomy, 2024 to 2034

        14.3.1. By Country





   Rest of Latin America

        14.3.2. By Technology

        14.3.3. By Application

        14.3.4. By End Use

    14.4. Market Attractiveness Analysis

        14.4.1. By Country

        14.4.2. By Technology

        14.4.3. By Application

        14.4.4. By End Use

15. East Asia Market Analysis 2019 to 2023 and Forecast 2024 to 2034

    15.1. Introduction / Key Findings

    15.2. Historical Market Size (US$ million) Analysis by Market Taxonomy, 2019 to 2023

    15.3. Current Market Size (US$ million) Analysis and Forecast by Market Taxonomy, 2024 to 2034

        15.3.1. By Country



   South Korea

        15.3.2. By Technology

        15.3.3. By Application

        15.3.4. By End Use

    15.4. Market Attractiveness Analysis

        15.4.1. By Country

        15.4.2. By Technology

        15.4.3. By Application

        15.4.4. By End Use

16. South Asia and Pacific Market Analysis 2019 to 2023 and Forecast 2024 to 2034

    16.1. Introduction / Key Findings

    16.2. Historical Market Size (US$ million) Analysis by Market Taxonomy, 2019 to 2023

    16.3. Current Market Size (US$ million) Analysis and Forecast by Market Taxonomy, 2024 to 2034

        16.3.1. By Country






   Australia and New Zealand

        16.3.2. By Technology

        16.3.3. By Application

        16.3.4. By End Use

    16.4. Market Attractiveness Analysis

        16.4.1. By Country

        16.4.2. By Technology

        16.4.3. By Application

        16.4.4. By End Use

17. Western Europe Market Analysis 2019 to 2023 and Forecast 2024 to 2034

    17.1. Introduction / Key Findings

    17.2. Historical Market Size (US$ million) Analysis by Market Taxonomy, 2019 to 2023

    17.3. Current Market Size (US$ million) Analysis and Forecast by Market Taxonomy, 2024 to 2034

        17.3.1. By Country





   United Kingdom



   Rest of Western Europe

        17.3.2. By Technology

        17.3.3. By Application

        17.3.4. By End Use

    17.4. Market Attractiveness Analysis

        17.4.1. By Country

        17.4.2. By Technology

        17.4.3. By Application

        17.4.4. By End Use

18. Eastern Europe Market Analysis 2019 to 2023 and Forecast 2024 to 2034

    18.1. Introduction / Key Findings

    18.2. Historical Market Size (US$ million) Analysis by Market Taxonomy, 2019 to 2023

    18.3. Current Market Size (US$ million) Analysis and Forecast by Market Taxonomy, 2024 to 2034

        18.3.1. By Country





   Czech Republic

   Rest of Eastern Europe

        18.3.2. By Technology

        18.3.3. By Application

        18.3.4. By End Use

    18.4. Market Attractiveness Analysis

        18.4.1. By Country

        18.4.2. By Technology

        18.4.3. By Application

        18.4.4. By End Use

19. Middle East and Africa Market Analysis 2019 to 2023 and Forecast 2024 to 2034

    19.1. Introduction / Key Findings

    19.2. Historical Market Size (US$ million) Analysis by Market Taxonomy, 2019 to 2023

    19.3. Current Market Size (US$ million) Analysis and Forecast by Market Taxonomy, 2024 to 2034

        19.3.1. By Country



   Other GCC Countries




   North Africa

   South Africa

   Rest of Middle East and Africa

        19.3.2. By Technology

        19.3.3. By Application

        19.3.4. By End Use

    19.4. Market Attractiveness Analysis

        19.4.1. By Country

        19.4.2. By Technology

        19.4.3. By Application

        19.4.4. By End Use

20. Market Structure Analysis

    20.1. Market Analysis by Tier of Companies

    20.2. Market Share Analysis of Top Players

    20.3. Market Presence Analysis

21. Competition Analysis

    21.1. Competition Dashboard

    21.2. Competition Benchmarking

    21.3. Competition Deep Dive

   (Key AI developers)

        21.3.1. Amazon Inc.


   Product Portfolio

   Profitability by Market Segments

   Sales Footprint

   Strategy Overview

       Marketing Strategy

       Product Strategy

       Channel Strategy

        21.3.2. Microsoft Corporation

        21.3.3. GE Digital

        21.3.4. Open AI

        21.3.5. Midjourney Inc.

        21.3.6. Canva.

        21.3.7. Adobe Inc.

        21.3.8. ABB Group

        21.3.9. IBM Corporation

        21.3.10. Cognex Corporation

    (Key Packaging Manufacturers)

        21.3.11. Tetra Packa Group

        21.3.12. Stora Enso OYJ

        21.3.13. Greif Inc.

        21.3.14. Ardagh Group

        21.3.15. Sealed Air Corporation

        21.3.16. Berry Global

        21.3.17. OJI Holding Corporation

        21.3.18. Avery Dennison Corporation

        21.3.19. Gerresheimer AG

        21.3.20. Georgia Pacific

        21.3.21. Sonoco

        21.3.22. Amcor Plc

   *The above list is indicative in nature and is subject to change during the course of research

22. Assumptions and Acronyms Used

23. Research Methodology



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