South Africa’s packaging industry is undergoing a green transformation, with sustainable packaging solutions gaining rapid momentum across food, retail, and e-commerce sectors. According to GlobalData, the market reached $5.8 billion in revenue by 2023, growing at a CAGR of 4.5% between 2018 and 2023. Consumption volumes also rose, hitting 11.3 million tonnes.
Why sustainable packaging matters
Sustainable packaging uses renewable, recyclable, or compostable materials designed to reduce environmental impact. As climate change concerns rise and government regulations tighten, businesses are embracing eco-friendly alternatives to conventional plastic and packaging waste.
South Africa’s fast-growing e-commerce sector, which surged by 25.3% in 2022 to $785.7 million, has further fueled demand for greener, efficient packaging solutions.
Key drivers of growth
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Rise in online shopping and fast-moving consumer goods.
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Consumer awareness around environmental responsibility.
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Government initiatives banning single-use plastics and encouraging recycling.
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Corporate ESG commitments across leading retailers and manufacturers.
Leaders in the green shift
Several South African companies are pioneering sustainable practices:
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Woolworths South Africa: A pioneer with its ‘Good Business Journey’, the retailer phased out single-use plastic bags by 2020 and introduced in-store recycling machines.
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Mondi: The global paper and packaging leader continues to invest in recyclable, bio-based solutions aligned with global climate goals.
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Nampak: Africa’s largest packaging manufacturer, producing sustainable products across paper, glass, metal, and plastic formats.
Challenges and the road ahead
Despite growth, the industry still faces hurdles:
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Insufficient recycling infrastructure for processing increased recyclable waste.
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Consumer education is needed to improve recycling behaviour and awareness.
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Costs of bio-based materials remain higher, limiting adoption for smaller brands.
Still, the outlook remains positive. With private sector innovation and public policy alignment, South Africa is poised to lead the region in sustainable packaging—paving the way for a greener, circular economy.