Articles
04 May 2026
The Greek packaging sector remained under pressure in Q1 2026, as rising input costs and geopolitical uncertainty weighed on margins, particularly for plastic packaging producers. Plastic prices reached four-year highs amid supply disruptions in oil and petrochemical inputs, prompting companies to assess alternatives, including paper-based packaging.
Regulatory developments continued to reshape investment priorities, with the EU Packaging and Packaging Waste Regulation driving increased focus on eco-design, reduced material usage, secondary materials and digital traceability. Greek paper packaging companies also called for closer collaboration between municipalities, waste managers and industry to improve separate waste collection, sorting and recycling infrastructure.
Greek packaging companies continued to expand their product lines, with a focus on sustainable products aligned with EU regulatory standards. Investments in advanced machinery also remained a priority, as companies sought to modernise operations, increase capacity and reduce costs through automation.
On the public markets, the Global Containers & Packaging index lagged both the US large-cap and Euro Stoxx 600 indices in Q1 2026. At the sub-sector level, rigid plastics was the only category to post marginal quarterly gains, while metal and glass remained the only sub-sector with positive performance over the last twelve months.
Valuation multiples increased across all packaging sub-sectors during the quarter, with most exceeding their twelve-month averages. Rigid plastics recorded the largest increase, supported by better-than-expected earnings and improving sentiment around input cost normalisation.
M&A activity in European packaging remained flat versus Q4 2025 but significantly below Q1 2025 levels, reflecting geopolitical uncertainty, weak demand and increasing competition from Asia. Deal flow has shifted toward smaller, more targeted transactions.