Paper is a thin material produced by pressing cellulose pulp together, which might be derived from rags, wood, or grasses. After pressing they are dried into flexible sheets, which then is used for writing, packaging, cleaning, and printing. Paper is majorly used for writing to note down thoughts, historical events, etc. Packaging is a process, in which different types of products are protected for sale, storage, transportation, distribution, etc. The packaging industry includes various applications including transportation, logistics, end-use, warehousing, etc. Materials such as paper, aluminum, plastics are used for packaging. However, in the recent past, the paper has replaced plastic in packaging industry gradually, owing to increasing environmental concerns. Moreover, there are a variety of options available in paper packaging such as green packaging, high-performance films, and more.
Global paper and packaging market size was valued at US$ 175.05 billion in 2017, and is expected to exhibit a CAGR of 4.84% during the forecast period (2019-2027). Increasing demand for paper packaging among consumers is expected to boost the market growth in the near future. Furthermore, growing awareness regarding sustainable packaging is expected to boost the demand for paper packing and subsequently support growth of the market during the forecast period. High-performance, eco-friendly paper packaging introduced by MWV Rigesa in 2014, offers damage-resistance packaging, which has reduced greenhouse gas emissions by 10%. Paper packaging offers sustainable, lightweight packaging, which can easily be crafter, molded and cut. Mover, the food and beverage industry is opting for paper and paperboard packaging, owing to a huge range of applications. This is expected to increase the demand for paper packaging and thereby, boost the market growth during the forecast period. Moreover, flexible packaging has found applications in various industries, as it possesses the best qualities of aluminum foil, paper, and plastic.
However, the inability of paper packaging to store heavy materials is expected to hinder the demand for paper packaging and subsequently restrain the global paper and packaging market growth.
Market Regional Analysis
Asia Pacific is expected to hold significant market share in the global paper and packaging market during the forecast period. This is owing to increasing demand for packaged food and personal care products from emerging economies such as India and China. Moreover, North America and Europe are expected to hold significant market share, owing to recycling capabilities in developed economies such as the U.S., U.K.
Major players operating in the global paper and packaging market include Mondi Group, International Paper, Packaging Corp. of America, Sappi Limited, ITC Limited, Smurfit Kappa Group Plc, and Amcor Limited.