In recent years, there has been a significant surge in the paper packaging industry. Factors such as a growing population that prioritizes environmental sustainability, expanding commerce, plastic bans, and increased focus on health and safety in the post-pandemic era are contributing to the widespread adoption of eco-friendly packaging solutions like sustainable paper cups, eco-friendly paper straws, etc.
India’s paper and packaging sector is expected to reach a valuation of $204.81 billion by 2025, showing an impressive compound annual growth rate of 26.7% from 2020 to 2025. Presently, it is the fifth largest in the Indian economy. India is also one of the top exporters of eco-friendly sustainable paper packaging products today.
Small food packaging start-ups in India – driving factors
1) Adverse Effect of Plastic
Due to heightening awareness campaigns from civil societies and public & international organizations regarding the atrocities of plastic pollution on our lands and oceans, a good proportion of demography is choosing eco-friendly food packaging in India.
2) Health Safety
You might have observed people refraining from sipping hot coffee from a plastic cup or packing hot food in plastic food cans. Many use steel bottles to drink even water! That is because chemicals present in plastic containers usually leach out contaminating food and beverages, thus posing serious health problems.
3) Government incentives for eco-friendly businesses
To foster the culture of eco-friendly, sustainable development, the government at the state and central levels has come up with many schemes such as Mudra Yojana, Make In India, etc. These are very noteworthy & progressive moves concerning the country’s budding entrepreneurs, MSMEs & small paper packaging industries.
4) Green manufacturing initiatives for MSME
MSME is an effective initiative of the government where individuals are trained & funded to realize self-employment. Through the government backing under MSME programs, even a fair share of entrepreneurs from women, rural, and economically vulnerable classes of society are in favorable situations to make it to the successful small and medium-scale startups in the paper packaging industry.
5) Easy to set up & cost-effective
A very impressive aspect of the paper-packaging industry is, it is easy to set up and flexible to maintain. The production costs are cheaper due to the easy & affordable availability of raw materials. With a decent production space and a piece of efficient machinery, one can start a unit. Nowadays, the government is increasingly pumping loans through convenient schemes under Atmanirbhar Bharat Abhiyan, Mudra, and many such entrepreneurial schemes.
With a promising future to look forward to and many governmental incentives toward renewable energy schemes for small businesses, the food packaging start-ups in India are poised to achieve new milestones with exciting opportunities. The potential for growth and innovation is vast that, it now rests in the hands of those who are willing to embark on this journey and shape their future in this thriving sector.