Report: RFID in returnable transport packaging to boost market growth

The global returnable transport packaging market is expected to post a CAGR of close to 8% during the period 2019-2023, according to the latest market research report by Technavio.

A key factor driving the growth of the market is the long-term cost saving opportunities for buyers. Most of the returnable transport packaging products are manufactured using plastic materials that are lightweight, which saves transportation cost. The demand for returnable transport packaging products is expected to increase due to their space-saving benefits during transit. In addition, the use of returnable transport packaging products decreases the overall cost of packaging by around 20% to 25%, which further boosts the growth of the overall global returnable transport packaging market.

As per Technavio, the adoption of RFID technology in returnable transport packaging will have a positive impact on the market and contribute to its growth significantly over the forecast period. This global returnable transport packaging market research report also analyzes other important trends and market drivers that will affect market growth over 2019-2023.

The returnable transport packaging products such as pallets and containers are embedded with RFID technologies to monitor, control, and track the physical condition of the product, making it easier to be traced from the manufacturing unit to retail stores through the distribution centers. This RFID technology protects the pallets from being stolen or misplaced, also enhancing the supply chain visibility and to know the real-time status of the pallets. Currently, various companies are seen using pallets embedded with the RFID tags. This is expected to drive the growth of the global market during the forecast period.

“Apart from the adoption of RFID technology, the growing global e-commerce market, the increase in electronic components trade between India and China, the growing global packaged beverage consumption, and the advanced recycling technologies and programs for reducing plastic waste are some major aspects boosting the growth of the global market,” says a senior analyst at Technavio.

This market research report segments the global returnable transport packaging market by product (containers, pallets, drums and barrels, and other products) and geographical regions (North America, Europe, APAC, MEA, and South America).

The North American region led the market in 2018, followed by Europe, APAC, MEA, and South America, respectively. However, during the forecast period, the European region is expected to witness the fastest growth rate due to the increase in the number of free-trade agreements and the growth of the manufacturing industry.

The report analyzes the market’s competitive landscape and offers information on several returnable transport packaging companies including Brambles, DS Smith, Greif, NEFAB GROUP, and Schoeller Allibert.