Japan Water Soluble Packaging Market

Japan Water Soluble Packaging Market Size Insights Forecasts to 2035

• The Japan Water Soluble Packaging Market Size Was Estimated at USD 112.4 Million in 2024
• The Market Size is Expected to Grow at a CAGR of Around 5.75% from 2025 to 2035
• The Japan Water Soluble Packaging Market Size is Expected to Reach USD 207.9 Million by 2035

According to a Research Report Published by Decisions Advisors & Consulting, The Japan Water Soluble Packaging Market Size is anticipated to Reach USD 207.9 Million by 2035, Growing at a CAGR of 5.75% from 2025 to 2035. The Japan Water Soluble Packaging Market is growing due to the strong new government push towards Zero Sustainability, and companies are investing heavily in R&D on eco-friendly dissolvable plastics.

Market Overview

The Japan Water Soluble Packaging industry is an emerging, growing environmental concerns and the need for sustainable alternatives to traditional plastic. The term water soluble packaging refers to a type of material that is designed to completely dissolve in water and leave no waste behind. The water soluble packaging market is being driven by strong consumer demand for green solutions and government regulations regarding waste disposal. Water soluble packaging is being used in a wide variety of industries, including healthcare and food & beverage. Recent innovations in biodegradable plastics and the growing development of new materials such as PVA (Polyvinyl Alcohol) are further accelerating the growth of this market. The market is increasingly driven by sustainability, with growing adoption of biodegradable, compostable, polysaccharide, and protein-based films. In healthcare, dissolvable contaminated laundry bags are gaining traction to prevent cross-contamination, while in agriculture, water-soluble packaging, especially PVOH, improves safety and reduces environmental impact. Consumer convenience continues to fuel demand for detergent pods, personal care items, and pre-measured packaged foods, supported by ongoing material innovation led by PVOH and emerging bio-materials. This has also resulted in a strong boom in pods and capsules across laundry, dishwasher, and drain-cleaner applications.

In response to an increase in safety and sustainability measures with regards to packaging in Japan, the Japanese Government has been advancing new laws and will be implementing certification plans soon. As of 1st June 2025, the Japanese Ministry of Health, Labour & Welfare (MHLW) will publish a list of substances that it considers safe for use with food; this will encourage manufacturers to develop new materials that meet these standards. In addition to this action, the Japanese Ministry of Economy, Trade & Industry plans to create a set of certification requirements to be put into effect by January 2026, including a minimum percentage for recycled content (a minimum of 15%) and better recyclability options. Government agencies will have a preference for purchasing products that have been certified with these new requirements from manufacturers.

Report Coverage

This research report categorizes the market for the Japan water soluble packaging market based on various segments and regions, and forecasts revenue growth and analyses trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Japan water soluble packaging market. Recent market developments and competitive strategies, such as expansion, product launch, development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the Japan water soluble packaging market.

Driving Factor

The Japanese water-soluble packaging market is driven by increased awareness of environmental issues, subsequently driving the demand for eco-friendly and sustainable alternatives to plastic-based packaging, specifically within the household cleaning product and personal care markets. Additional factors leading to the rapid growth of this sector include the increased demand for convenience and efficiency driven by technological advancement and innovations such as single-use detergent pods, as well as advances in material science through the use of PVA (Polyvinyl Alcohol), and enhanced regulations from governmental organizations that support reducing plastic waste.

Restraining Factor

The Japanese water-soluble packaging market is restrained by the high cost of developing and manufacturing products, the limitations of storage capability, and the presence of cheaper alternative packages in traditional markets. Further constraints relate to the high levels of investment necessary to establish an R&D infrastructure keeping pace with changing environmental regulations, as well as the potential for variability in product quality when ramping production.

Market Segmentation

The Japan water soluble packaging market share is categorised by product type and end-use industry.

• The films segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period.

The Japan water soluble packaging market is segmented by product type into bags, pouches, sachets, films, and pods & capsules. Among these, the films segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. The segmental growth is driven by OTT platform dominance, changing consumer tastes to digital content consumption, advances in technology such as Virtual Production (VP) as well as AI integration, as well as demand for immersive experiences via ease of access online, popular IPs (Anime), convenience, and piracy issues are all driving the growth of both Theatrical and Streaming Releases.

• The household segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period.

The Japan water soluble packaging market is segmented by end-use industry into food, healthcare, agriculture, household, water treatment, building & construction, and others. Among these, the household segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. The segmental growth is driven by as disposable incomes continue to rise, more people will move into cities, and there will be many technological developments, e.g., the ability to integrate smart homes. There will also be a demand from consumers for convenience through maximizing and creating energy-efficient solutions to improve their lives.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Japan water soluble packaging market, along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborate analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• AICELLO CORPORATION
• Kuraray Co., Ltd.
• Mitsubishi Chemical Group Corporation
• SEKISUI CHEMICAL CO., LTD.
• Toyo Seikan Group Holdings Ltd.
• Rengo Co., Ltd.
• Mitsui Chemicals Tohcello, Inc.
• Takigawa Corporation
• Sumitomo Chemical
• Toyobo Co., Ltd.
• Other

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Development

In 2024, Kuraray expanded production capacity for its water-soluble PVOH/PVA films, including increasing output at its Japanese facilities to meet growing global demand.

Market Segment

This study forecasts revenue at the Japan, regional, and country levels from 2020 to 2035. Decisions Advisors has segmented the Japan Water Soluble Packaging Market based on the below-mentioned segments:

Japan Water Soluble Packaging Market, By Product Type

• Bags
• Pouches
• Sachets
• Films
• Pods & Capsules

Japan Water Soluble Packaging Market, By End Use Industry

• Food
• Healthcare
• Agriculture
• Household
• Water Treatment
• Building & Construction
• Others

FAQs

Q. What was the base year market size for the Japan Water Soluble Packaging Market?

A: The Japan Water Soluble Packaging Market was valued at USD 112.4 million in 2024, which is the base year.

Q. What CAGR is the Japan Water Soluble Packaging Market expected to grow at from 2025 to 2035?

A: The market is projected to grow at a CAGR of 5.75% during 2025–2035.

Q. What is the expected market value of Japan’s Water Soluble Packaging Market by 2035?

A: The market is forecasted to reach USD 207.9 million by 2035.

Q. What is one major factor driving growth in Japan’s water-soluble packaging market?

A: Growth is driven by strong government sustainability initiatives and rising demand for eco-friendly dissolvable plastics.

Q. Which product type held the largest market share in 2024?

A: The films segment held the largest revenue share of the market in 2024.