Global Paper Packaging Materials Market to Reach $344.43 Billion in 2019

According to a new report published by Transparency Market Research, Albany, N.Y., USA, titled  Paper Packaging Materials (Liquid Packaging Cartons, Corrugated Cases, Carton & Folding Boxes, and Others) Market for Beverages, Fast Foods, Fresh Foods, Dairy & Bakery, Frozen Foods and Other Applications—Global Industry Analysis, Size, Share, Growth, Trends and Forecast, 2013-2019, the global market for personal care packaging was valued at $254.80 billion in 2012 and is estimated to be $344.43 billion by 2019, growing at a CAGR of 4.4% from 2013 to 2019. In terms of volume, the demand was 181.48 billion tons in 2012. 

 

Increasing demand for paper-based flexible packaging is expected to be one of the primary factors driving the growth of this market. Additionally, increasing GDP growth of the emerging BRIC (Brazil, Russia, India, China) market has been driving the disposable income of consumers and trade activities in these countries. This in turn is driving the demand for cartons and corrugated boxes. Furthermore, increasing awareness regarding the harmful effects of plastic packaging on the environment is expected to drive the market towards low-cost ecological solutions. 

 

As paper packaging is lightweight, biodegradable, and can be recycled, the aforementioned factors are expected to augment the growth of paper packaging materials market across the globe over the forecast period. However, stringent regulations regarding deforestation is expected to hamper the growth of the market. Bans on lightweight plastics and an increasing focus by manufacturers on recycling is expected to open new opportunities for the growth of the market in the near future.

 

Liquid packaging cartons such as pouches and tetra packs were the largest product types of the market due to their significant demand for beverage packaging, and the trend is expected to continue into the forecast period. However, corrugated cases are expected to be the fastest growing segment of the market due to the increasing trade activities, where corrugated cases are primarily used as they provide lightweight protection during transportation. The segment is expected to grow at a CAGR of 4.8% between 2013 and 2019.

 

Beverages were the largest application segment of the market and accounted for more than 40% of the market demand in 2012. Additionally, beverages are expected to be the highest generating segment of the market over the forecast period on account of the high demand for paper packaging material such as tetra packs. However, foods such as frozen foods, fast foods, and fresh foods are expected to be the fastest growing segments of the market as paper packaging offers lightweight, easy to handle, and high durable packaging solutions. Furthermore, rising consumer demand for eco-friendly economical packaging coupled with technological advancement for paper as a packaging solution is expected to fuel the demand for paper packaging. Growth of the foods market is expected to contribute significantly to the demand for paper packaging over the forecast period.

 

Asia Pacific was the largest market for the paper packaging materials market in 2012, and the market was valued at $90.84 billion in the same year. Additionally, Asia Pacific is expected to be the fastest growing market for paper packaging over the forecast period on account of growing demands for packaging for retail products and trading. Regions present in the Rest of the World are expected to gain significant market share in the paper packaging market. Rapid industrialization in this region is expected to augment trade activities where corrugated cases are the majorly used material for packaging. Moreover, favorable economic conditions due to rapid industrialization in this region are expected to result in increased per capita income and spending of consumers, in turn driving the retail market. All of the aforesaid factors are expected to boost the global paper packaging industry.

 

 More information on the paper is available online.