In 2012, the global market for paper packaging stood at US$254.80 billion and and has been growing at a 4.4% CAGR since 2013—a rate that will continue through 2019. The value is estimated to reach US$344.43 billion by 2019. In 2012, the overall demand for paper packaging stood at 181.48 billion tons (in terms of volume).That’s according to a new research report, “Paper Packaging Materials Market - Global Industry Analysis, Size, Share, Growth, Trends and Forecast, 2013 - 2019,” from Transparency Market Research.
Notes the report, paper is the largest material type in the packaging market. Bans on the use of lightweight plastic bags and a rising awareness of ecological issues around the world are expected to boost the demand for paper packaging materials. Critical factors such as volatility in raw material prices, energy costs, and global economic slowdown have had an enormous impact on the global packaging market in the past few years. To overcome this, more companies have been aiming to develop sustainable and eco-friendly packaging materials, which can be recycled and reused.
The report further indicates that the market for paper packaging materials is among the most economic and eco-friendly industry segments and is growing due to consumer awareness and demand for paper-based flexible packaging materials. Paper packaging materials are used for cushioning, bracing, and blocking in applications such as pharmaceuticals, cosmetics, foods, beverages, and pet food.
The report provides information on a range of product segments, which include liquid packaging cartons, corrugated cases, cartons, and folding boxes. While liquid packaging cartons held over 40% of the market share in 2012, corrugated cases are the upcoming product segment expected to catch up by 2019. A rise in carton and folding box segments is also expected to grow significantly due to a growing demand for decorative bulk packaging.
Regionally, Asia Pacific held more than 35% of the market share in 2012 due to rapid development of paper packaging and demand for the same. North America and Europe were also dominant regions for paper packaging materials in the same year. However, in the next few years the rest of the world is anticipated to gain a substantial share of the market because of the rising per capita spending of consumers and upcoming packaging industries in different regions.
Owing to the presence of many regional small and medium-scale manufacturing industries, the paper packaging materials market is highly fragmented in nature. According to the report, Hood Packaging Corp., DS Smith Plc, OJI Holding Corp., and Smurfit Kappa Group Plc are some of the most prominent players in the global market.
