Demand for retail egg cartons is forecast to increase 3.6% a year to 2024, helped along by the pandemic, according to a new report.
The Freedonia Group report predicts that the market for egg cartons will reach 4.7 billion units, worth $612 million, over the next four years. The pandemic is a major contributing factor, as consumers boosted their in-home consumption of eggs, for both direct consumption and baking.
Packaging turned out to be a major concern in the first stages of the pandemic. As foodservice channels shut down, producers struggled to switch to retail, only to be stymied because not enough retail packaging was available. However, the surge in demand seems to be easing as panic buying by consumers has tapered off.
The Freedonia report identified other factors that will have a long-term effect on demand for egg cartons, including: an increase in premium eggs, like organic or cage-free, which usually come in premium packaging; other demands for premium packaging, for aspects like improved billboarding and better sustainability; and increased overall demand for eggs as an alternative protein.