Paper & Paperboard Packaging - Global Market Outlook (2021-2028)

Paper & Paperboard Packaging - Global Market Outlook (2021-2028)

According to Stratistics MRC, the Global Paper & Paperboard Packaging Market is accounted for $203.69 billion in 2021 and is expected to reach $327.07 billion by 2028 growing at a CAGR of 7.0% during the forecast period. Paper-based packaging is a lightweight and cost-efficient packaging solution that provides proper protection to a wide range of products. Paper & paperboard packaging material constitutes of pulp that is derived from wood as well as a non-wood sources. Sustainable nature and reduced cost of the wood pulp makes paper & paperboard packaging suitable for end-use industries.

Market Dynamics:

Driver:

Increasing awareness pertaining to sustainable packaging material

Sustainable nature and low cost of the wood pulp makes paper & paperboard packaging an ideal packaging for end-use industries. The waste or recovered paper market is expected to grow, and the consumers have also shown an increased interest in purchasing products that are recycled. Currently, paper and paperboard containers are biodegradable and are more sustainable than plastic, making them more acceptable to consumers. Government regulations being enforced by various countries are also leading to the demand for more sustainable and eco-friendly packaging solutions. Some factors that make paper and paperboard containers environment-friendly are that they are recyclable, reusable, save energy, and conserve natural resources.

Restraint:

Competition from flexible plastic packaging

Flexible plastic packaging provides the advantage for manufacturers as it reduces the weight of packaging, which can result in reduced shipping and warehousing costs, thereby creating more space. For customers, it provides convenience features such as single-serve portions, easy-to-open, and easy-peel options, and the food tastes better in retort pouches than that in traditional tin cans. Hence, factors such as convenience, portability, cost savings, sustainability, and health benefits push product packaging manufacturers and packaging converters to move away from standard rigid materials to flexible materials.

Opportunity:

Rising R&D activities
Increasing adoption of paper recycling technologies and rising R&D activities by the government and manufacturers are expected to present lucrative opportunities to the market. A lot of effort has been put into innovation to provide cost-effective products that have similar utility and add satisfaction to the consumers. The growing demand for paper packaging to provide an aesthetic look to the packaged product is also expected to augment the market growth of paper-based packaging.

Threat:

Environment concerns during production & recycling of paper

The manufacturing cycle of paper involves a range of natural resources and environmental impacts because fiber supply relies on trees, paper manufacturing requires fuel inputs, and paper waste disposal can contribute to emissions of methane (CH4). Paper and paperboard packaging products have high demand among consumers. However, it’s high consumption of energy and its impact on the environment act as a major hindrance for it being considered as the most sought-after raw material for making packaging products.

The corrugated box segment is expected to be the largest during the forecast period

The corrugated box segment is estimated to have a lucrative growth owing to the growing demand for packaging in the key end-use sectors, low-cost and optimum protection characteristics of corrugated boxes and cartons. Recycled paper packaging offers distinct cost advantage for the production of corrugated boxes and cartons and the other paper packaging solutions. Increasing demand for corrugated cases for shipping of material in bulk amount is further likely to drive the market growth.

The electronics segment is expected to have the highest CAGR during the forecast period

The electronics segment is anticipated to witness the fastest CAGR growth during the forecast period. The increasing global electronics industry due to the technological advancement has been expanding the size of the electronics industry, which in turn, providing ample opportunities for paper & paperboard packaging manufacturers. Moreover, increasing developments of compact and lightweight electronics and scope for printing innovations is propelling growth in electronics segment.

Region with highest share:

Asia Pacific is projected to hold the largest market share during the forecast period due to high demand from countries such as China, Japan, and India, increasing disposable income of people in developing countries and more dependence on convenience food, the packaging industry is booming in the Asia-Pacific region.

Region with highest CAGR:

North America is projected to have the highest CAGR over the forecast period owing to the presence of a large number of players operating in the country, rising demand for packaged food in the U.S. and shifting consumer preference towards food & beverages products. Moreover, increasing environmental concerns regarding the use of plastics and various organizations and governments' focus on the development of sustainable packaging materials are other factors likely to further promote the growth of the market in this region.

Key players in the market

Some of the key players profiled in the Paper & Paperboard Packaging Market include WestRock Company, Smurfit Kappa Group Plc., Clearwater Paper Corporation, Packaging Corporation Of America, Nippon Paper Industries Co. Ltd, Mondi Group, ITC Limited, International Paper, DS Smith, Metsa Group, Cascades Inc., Amcor plc and Sappi Limited.

Key Developments:

In March 2021: International Paper has acquired Spain-based two state-of-the-art corrugated box plants in a bid to expand its capabilities in the country’s largest industrial regions, Madrid and Catalonia. Corrugated packaging business provides strategic growth scope for International Paper in the EMEA region.

In August 2021: Mondi group launched seven new packaging solutions to meet the growing demand for online grocery (eGrocery) delivery services. Sustainable eGrocery portfolio offers a packaging solution for a range of delivery channels including click & collect to local or nationwide deliveries.

Products Covered:
Boxboard
Paper Cups
Corrugated Box
Flexible Paper

Grades Covered:
White Lined Chipboard (WLC)
Solid Bleached Sulfate (SBS)
Label Paper
Glassine & Greaseproof Paper
Folding Boxboard (FBB)
Coated Unbleached Kraft Paperboard (CUK)
Other Grades

Types Covered:
Stickers
Coating
Packaging
Invitations / Envelopes / Notepaper
Labels
Covers
Catalogues
Digital Print
Shopper

Weights Covered:
70 G/M2 to 100 G/M2
101 G/M2 to 150 G/M2
151 G/M2 to 200 G/M2
201 G/M2 to 250 G/M2
More than 250 G/M2

Properties Covered:
Texture
Colored
Natural
Cotton
Pearlescent
Coated
Recycle

End Users Covered:
Transportation & Logistics
Pharmaceuticals
Chemicals
Automotive
Food and Beverages
Homecare
Healthcare
Consumer Goods
Personal Care and Cosmetics
Electronics
Other End Users

Regions Covered:
North America
US
Canada
Mexico
Europe
Germany
UK
Italy
France
Spain
Rest of Europe
Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
South America
Argentina
Brazil
Chile
Rest of South America
Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements

Free Customization Offerings:
All the customers of this report will be entitled to receive one of the following free customization options:
Company Profiling
Comprehensive profiling of additional market players (up to 3)
SWOT Analysis of key players (up to 3)
Regional Segmentation
Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
Competitive Benchmarking
Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances