Global Kraft Paper Market

Kraft Paper Market Size Analysis

According to a research survey conducted by ChemView Consulting, in 2022, the Global Kraft Paper Market was worth US$ 15,941.3 Mn and is expected to grow at a CAGR of  2.2% over the forecast period. The market is expected to hit US$ 18,972.8 Mn by 2030 end.

Kraft paper is widely utilized in packaging, transforming into bags, pouches, wrapping papers, cans, cartons, corrugated sheets, and other products. Kraft’s technique outperforms other pulping methods, implying that it is used in around 80% of total paper production.

Bags and pouches, corrugated sheets, cartons, sacks, envelopes, and composite cans are all examples of Kraft Paper applications.

Consumers’ demand for compostable and sustainable packaging is rising, as is their understanding of the negative environmental effect of packaging solutions based on plastic and other non-biodegradable items and their preference for paper-based packaging. Consumers’ tastes are changing toward ecologically friendly items.

Market Dynamic

CONSUMERS’ DEMAND FOR NATURAL AND ENVIRONMENT-FRIENDLY PACKAGING SOLUTION DRIVE THE MARKET GROWTH

Kraft Paper is a raw material in the packaging sector because of its exceptional folding resistance and toughness. It is required to have high-strength compression performance for packaging because several products are to be transported by logistics. The transport process causes some packaging problems, which increases the demand for kraft paper in the market for packaging and is expected to drive the market growth rate.

Natural kraft paper is one of the strongest paper types and is commonly used for packaging foods like sugar, wheat, and dried fruits and vegetables. Food safety requires the use of Kraft paper in the packaging of food goods. As the need for food packaging materials rises, so will the market for food packaging kraft paper.

ATTEMPTS TO CURB DEFORESTATION HAMPER THE MARKET GROWTH

During the forecast period, access to low-cost, high-quality raw materials is also expected to challenge the kraft paper market. Furthermore, kraft paper price increases and ongoing attempts to curb deforestation may restrict the growth of the global kraft paper market.

Segment-Wise Analysis

Which application type Kraft Paper is projected to have the highest CAGR?

Regarding value and volume, kraft papers for corrugated boxes are predicted to lead the market. Corrugated boxes not only protect transported items from harm, but they are also easy to handle.

Corrugated boxes are reusable and recyclable; they help to decrease packaging waste. Corrugated boxes are in great demand across many industries, including food and beverage, building and construction, textiles, logistics services, communications, cosmetics and personal care, and pharmaceuticals.

Why is the Construction segment expected to expand the fastest during the forecast period?

In terms of value, the construction sector in the kraft paper market is expected to develop at the fastest CAGR during the forecast period. The benefits of kraft paper packaging solutions, such as resistance to temperature, water, and chemicals, are credited to the segment’s rise. Furthermore, kraft paper packaging is lightweight and can be molded into various forms.

Region-Wise Analysis

The regions analyzed for the market include North America, Europe, Latin America, Asia Pacific, Middle East, and Africa.

• In terms of value, the Asia Pacific kraft paper market is expected to develop fastest from 2022 to 2030. The rising demand for kraft papers in highly populated nations such as India and China is credited to the market’s growth in the Asia Pacific region, as it is employed in creating packages to ensure cost savings, sustainability, and safety of packaged items.
• The rising use of kraft papers in the food and beverage, healthcare, consumer durables, building, and construction sectors is expected to fuel the growth of the Asia Pacific kraft paper market.
• The European kraft paper market accounted for 0% of the worldwide market in 2021. This region is predicted to increase steadily between 2022 and 2030. Because of the region’s developing food sector, these areas are expected to see modest growth in the global kraft papers market.

Competition Analysis

Mondi Group Plc. operates throughout the value chain, from wood to pulp and paper production, including raw materials like the wood yard, the pulping process, and the chemical cycle of the pulp mill. It has two business divisions that sell products and services: Specialty Kraft Paper and Sack Kraft Paper. The company sells unbleached Kraft paper, bleached Kraft paper, white paper, and pulp. Mondi developed a specialized kraft paper grade, advantage formable brown, which is used in a variety of food packaging applications such as packing fish and meat. Because of its multilayered and thermoformable properties, it is used in the packaging industry.

Some of the key developments that have taken place in the Kraft Paper Market include:

• In September 2018, Due to its symmetrical stretch qualities, Mondi created a specialist kraft paper grade, advantage formable brown, which is utilized in numerous food packaging applications such as packing fish and meat. It is employed in packaging because of its multilayered and thermoformable properties.
• In 2018, Fibria Celulose merged with Suzano Papel e Celulose, a Brazilian pulp and paper company, merged with Fibria Celulose, a Brazilian pulp fiber producer, in a transaction valued at US$15.3 billion.

A list of some of the key suppliers present in the market are:

• Mondi
• Segezha Group
• Klabin SA
• Billerudkorsnas
• Stora Enso
• Daio Paper constrution
• Nordic Paper
• Glatfelter
• Gascogne Papier
• Glatfelter Corporation
• Tokushu Tokai Paper Co., Ltd.
• Goodwin Robbins Packaging Company Inc
• Oji Holdings Corporation
• CTI Paper USA
• Canfor
• Genus Paper & Boards Limited
• Georgia-Pacific
• Canadian Kraft Paper Ltd
• Fujian Qingshan Paper Co., Ltd.
• Smurfit Kappa
• WestRock Company
• SCG PACKAGING
• International Paper

Market Segments Covered in Report

By Product Type:

• Specialty Kraft Paper
• Sack Kraft Paper

By Application:

• Corrugated Boxes
• Grocery & Shopping Bags
• Multiwall Sacks
• Carryout Bags
• Other Applications

By Grades:

• Bleached
• Unbleached
• Coated
• Uncoated

By End-User:

• Food & Beverages
• Electronics
• Construction
• Cosmetics and Personal Care
• Textile Manufacturing
• Other End Uses

By Region and Country:

• North America (U.S., Canada)
• Latin America (Brazil, Mexico, Rest of Latin America)
• Europe (Germany, Italy, France, UK, Spain, Netherlands, Norway, Russia, Rest of Europe)
• Asia-Pacific (China, Japan, South Korea, India, Indonesia, Thailand, Vietnam, Australia & New Zealand, Rest of Asia-Pacific)
• Middle East (Saudi Arabia, Turkey, UAE, Rest of Middle East)
• Africa (South Africa, Nigeria, Egypt, Rest of Africa)

Global Kraft Paper Market 2022-2030: Report Coverage and Highlights

• Assessment of the historical and current market size (2017-2021), market projections (2022-2030), and its contribution to the parent market
• Key drivers, restraints, opportunities, and key emerging trends impacting market growth
• Predictions on critical supply, demand, and technological trends and changes in consumer behavior
• Value chain analysis (list of manufacturers, distributors, end-users, average profitability margins, etc.)
• Segment-wise, country-wise, and region-wise market analysis
• Competition mapping, market share analysis, key strategies adopted by top players, and competitive tactical intelligence
• Key product innovations and regulatory framework
• Covid-19 impact on the market and how to navigate
• Strategic market analysis and recommendations on crucial winning strategies