Bangladesh Paper Industry Research Report 2024-2033

Bangladesh Paper Industry Research Report 2024-2033

"Paper" generally refers to thin and smooth substances derived from cellulosic sources such as wood pulp, paper grass, or recycled paper. It serves as a versatile, biodegradable material used for writing, printing, drawing, and packaging. Known for its lightness, rugged flexibility, ease of manipulation, and cost-effectiveness, paper finds extensive use in various fields. In this context, the term "paper" extends beyond conventional sheets to include related cellulose-based products such as cardboard, pulp products, and similar materials.

Bangladesh's paper industry is highly concentrated. According to CRI, companies such as Bashundhara Paper Mills, Monospool Paper Manufacturing Company, Partex Pulp & Paper Mills, Meghna Paper Mills, and Papertech Industries have managed to capture a large share of the domestic market and establish a prominent presence in the industry.

Bangladesh is currently navigating through rocky roads and is in a precarious situation with continuous depletion of foreign exchange reserves and a dollar crisis leading to skyrocketing prices of imports. Amidst all the economic uncertainties, the paper and paper products industry are generating optimism in a period of declining export earnings for the country's manufacturing products and is currently emerging as one of the few bright sparks in Bangladesh's export segments.

Its meteoric rise in recent years can be attributed to the widespread need for paper products at home and abroad. Though paper manufacturing is largely synonymous with heavy imports of raw materials, i.e. pulp, the recent surge in paper exports tells a different story as Bangladesh has gained considerable ground in this area. In particular, the private paper mills have leapt ahead of the state-owned paper mills in meeting the local and foreign demand for high quality paper products with their modern technologies. According to CRI, of the 105 paper mills in Bangladesh, nearly 70 private paper mills are currently operating with a combined annual production capacity of more than 1.5 million metric tons of paper products.

Despite a demand of 900 thousand tons of different types of paper in Bangladesh, the country's 20-30 large and numerous small manufacturers have a production capacity of 1.6 million tons in 2023. With the local paper market size valued at around US$ 460 million, writing and printing papers dominate, accounting for 60-70% of the market share. While Bangladesh was completely dependent on paper imports a decade ago, the domestic industry has been developing since the 1980s, especially with significant investments by industrial groups in the 1990s, leading to self-sufficiency.

Currently, the country's paper mills not only meet local demand but also export surplus products, providing employment to around 150 million people. The sector has seen substantial investments, totaling US$ 6.44 billion, with around 300 sub-industries and ancillary businesses contributing to its ecosystem, including printing, publishing, ink production, decoration, packaging and binding.

While consumption of newsprint and publication paper has been steadily declining due to digital disruption and pandemic-related school closures. Diversified product segments such as tissue and hygiene are doing well and showing healthy growth. This shift presents both challenges and opportunities for the paper industry. While traditional paper products face declining demand, there is potential to innovate and adapt to meet the growing demand for hygiene and essential products. Paper manufacturers may need to diversify their product lines, invest in research and development, and explore new market segments to remain competitive in the evolving landscape.

According to CRI, due to the relatively small size of the paper industry in Bangladesh, there is significant room for development and an increasing number of paper mills are diversifying their product offerings. The paper market size in Bangladesh is projected to grow from US$ 485.3 million in 2024 to US$ 785.7 million in 2033, representing a compound annual growth rate (CAGR) of 5.5%.

Topics covered:

• Bangladesh Paper Industry Overview
• The economic and policy environment of Bangladesh's paper industry
• Bangladesh Paper Industry Market Size, 2023-2032
• Analysis of the main Bangladeshis paper production enterprises
• Key drivers and market opportunities for Bangladesh's paper industry
• What are the key drivers, challenges and opportunities for Bangladesh's paper industry during the forecast period 2023-2032?
• Which companies are the key players in the Bangladesh paper industry market and what are their competitive advantages?
• What is the expected revenue of Bangladesh paper industry market during the forecast period 2023-2032?
• What are the strategies adopted by the key players in the market to increase their market share in the industry?
• Which segment of the Bangladesh paper industry market is expected to dominate the market by 2032?
• What are the main negative factors facing the paper industry in Bangladesh?