A Look Into Malaysia’s Plastic Packaging Manufacturing Industry

Malaysia is a thriving hub for the plastic packaging manufacturing industry, with numerous companies competing to offer quality products and services. In this article, we will delve into the details of the industry, exploring the trends, challenges, and opportunities that define it. Our aim is to provide you with a comprehensive guide that will help you understand this crucial sector of the Malaysian economy.

Industry Overview

The plastic packaging manufacturing industry in Malaysia has experienced significant growth in recent years, with a compound annual growth rate (CAGR) of 5.3% between 2016 and 2021. This growth can be attributed to factors such as increasing demand for packaged food and beverages, rapid urbanization, and the growth of e-commerce.

The industry is dominated by several key players, including Daibochi Berhad, Scientex Berhad, and Tomypak Holdings Berhad. These companies offer a range of products and services, including flexible packaging, rigid packaging, and labeling solutions.

Trends and Opportunities

One of the key trends in the Malaysian plastic packaging manufacturing industry is the increasing demand for sustainable and eco-friendly packaging solutions. Consumers are becoming more aware of the impact of plastic waste on the environment, and are looking for alternatives that are more environmentally friendly. This has led to an increase in the production of biodegradable and compostable packaging materials.

Another trend is the use of digital technologies in the industry. Many manufacturers are leveraging digital tools such as artificial intelligence (AI) and the Internet of Things (IoT) to improve their processes and enhance their products. For instance, AI can be used to optimize production processes and improve quality control, while IoT can be used to track and monitor products throughout the supply chain.

The industry also presents several opportunities for investors and entrepreneurs. With the increasing demand for plastic packaging, there is a need for innovative solutions that can improve efficiency and reduce costs. Additionally, the industry is still relatively fragmented, with many small and medium-sized enterprises (SMEs) competing alongside larger players. This presents an opportunity for consolidation and acquisition, as larger companies seek to expand their market share.


Despite the growth and opportunities in the industry, there are also several challenges that manufacturers must contend with. One of these is the increasing regulation of plastic packaging. Many countries are imposing restrictions on the use of certain types of plastic, such as single-use plastics, which can limit the market for manufacturers.

Another challenge is the cost of raw materials. The price of plastic resin, which is used to manufacture plastic packaging, is subject to fluctuations in the global market. This can impact the profitability of manufacturers and make it challenging to maintain consistent pricing.


The plastic packaging manufacturing industry in Malaysia is a dynamic and growing sector, with significant opportunities for growth and innovation. Despite the challenges presented by increasing regulation and volatile raw material costs, manufacturers can leverage trends such as the demand for sustainable packaging and the use of digital technologies to stay competitive and drive growth. As the industry continues to evolve, it will be interesting to see how manufacturers adapt to new challenges and seize emerging opportunities.