Kraft Paper Global Market Report 2024

The kraft paper market size has grown steadily in recent years. It will grow from $17.06 billion in 2023 to $17.88 billion in 2024 at a compound annual growth rate (CAGR) of 4.8%. The expansion observed in the historical period can be attributed to strong economic growth in emerging markets, a rise in demand for ready-to-eat food products, the growth of e-commerce, and an increasing inclination towards alternatives to plastics.

The kraft paper market size is expected to see steady growth in the next few years. It will grow to $21.29 billion in 2028 at a compound annual growth rate (CAGR) of 4.5%. The anticipated growth in the forecast period can be attributed to increasing government support, a rise in awareness, and rapid urbanization. Key trends expected in this period include a focus on new paper packaging, efforts to avoid the need for additional plastic in developing new products, the launch of new innovative products to attract more customers, technological advancements to provide advanced solutions, increasing investments to expand manufacturing capacities, and partnerships and collaborations to strengthen product portfolios and geographic presence.

The kraft paper market is experiencing significant growth, primarily propelled by the rapid expansion of the packaging industry. Kraft paper, known for its strength and durability, is widely used in various packaging applications, including industrial and commercial operations such as packing, wrapping individual items, bundling, and void fill. The packaging industry reached remarkable heights in 2021, evolving into a trillion-dollar industry, with substantial contributions from industrial packaging, food packaging, and beverage packaging, as reported by Packaging Digest. The soaring growth of the packaging business is expected to be a major driver for the kraft paper market.

The government support is anticipated to play a pivotal role in driving the future growth of the kraft paper market. Governments worldwide are extending their support to the kraft paper sector, encouraging the development of new solutions to better serve the industry. Notable examples include the Canadian government's announcement of a federal contribution of $10 million to Kruger Packaging L.P. for the transformation of the Kruger Place Turcot Mill in Montreal into North America's first mill to produce 100% recycled saturating kraft. Additionally, in the UK, the Forestry Commission unveiled a £4 million ($5.07 million) funding initiative to support projects aimed at improving tree planting stocks, enhancing woodland resilience, and contributing to the government's goal of achieving net-zero emissions by 2050. This funding is expected to foster innovation, stimulate commerce, and expand the economy by creating new markets for wood products, thereby driving the kraft paper market.

A key trend gaining popularity in the kraft paper market is product innovation. Companies within the market are actively introducing innovative specialty products that offer enhanced durability and versatile applications. For instance, Pregis, a US-based manufacturer of paper-based packaging materials, expanded its EasyPack portfolio with the introduction of GroTerra. GroTerra is a sustainable, expandable paper product designed to provide light cushioning and interleaving protection, showcasing the industry's commitment to innovation.

A noteworthy trend is the continuous focus on product innovation by companies in the kraft paper market. In this regard, Billerud, a Swedish pulp and paper manufacturer, launched a wrapping solution for toilet and kitchen rolls called GroTerra. This renewable, recyclable, and biodegradable solution aims to facilitate the transition from plastic to paper packaging without compromising quality, addressing the growing demand for sustainable alternatives.

In July 2021, ProAmpac, a US-based packaging company, acquired APC Paper. This strategic move enabled ProAmpac to bolster its paper manufacturing capabilities, particularly in the production of 100% recycled kraft paper products. The acquisition further strengthened ProAmpac's position in the market, emphasizing the ongoing growth and strategic initiatives within the kraft paper industry.

Major companies operating in the kraft paper market report are Mondi Group, Stora Enso, WestRock, Smurfit Kappa, Klabin S.A,Nine Dragons Paper Holdings, Billerud AB, Heinzel Group, Segezha Group, International Paper, JB Craft Paper LLP, BN Papers, Blue Mount Paper and Boards Limited, Shree Krishna Paper Mills and Industries Ltd., Millenium Overseas, Prima Papers LLP, Diyan Papers LLP, Shri Brahma Paper Mill Pvt, Kamishigen Co., Ltd., Arrowfield Co., Ltd., TF Group, Zhengzhou SF Paper Factory, Linqu Hengsen Packaging Materials Co., Ltd., Chengdu Qingya Paper Industries Co., Ltd., Golden Paper Co., Limited, Rise Star Holdings Limited, Hebei Feiyue Industry Co.,Ltd., Qiongdao Sanshi Paper Co., Ltd., Pg Paper Co., Ltd., Comet Packaging, Expack Uk, Somic Textiles Ltd., Varad Papers Pvt Ltd., Sunflower Packaging Co., Ltd., Skybridge Albion Ltd., Richmond Papers Ltd., Ecopacksnab, Chestnyi Chek LLC, Ilim Group, Veiro Pro, Meltic Ltd., Papertec, Inc., Deluxe Packaging, Steelson Packaging, KapStone Paper and Packaging Corporation, Georgia-Pacific LLC, Packaging Corporation of America (PCA), Domtar Corporation, Hood Packaging Corporation, Norampac Inc., Klingele Paper and Packaging Group, Paper Excellence, Santher, gKraft paper, Paperindex, CMPC Biopackaging, Andritz Chile Ltd., Arabian Kraft Paper Manufacturing LLC, Kraft Paper and Paper Liners, R3s Paper Bags Works, Al Wahdania Shipping and Cargo, Aetreum, APL International, Zdpacks Manufacturing Llc, CPpack, RBE Stationery Manufacturers, Corruseal Group.

North America was the largest region in the kraft paper market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the kraft paper market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the kraft paper market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

The main types of kraft paper encompass virgin natural kraft paper, natural recycled kraft paper, black kraft paper, colored kraft paper, white or bleached kraft paper, and printed kraft paper. Virgin natural kraft paper is composed of clean and durable fiber content, making it suitable for heavy-duty applications. Kraft paper is utilized in the production of various packaging forms such as corrugated boxes, grocery bags, industrial bags, wraps, pouches, and envelopes. Different grades of kraft paper include unbleached, bleached, wrapping & packaging, sack kraft paper, and others. Kraft paper finds applications in various industries, including food and beverages, building and construction, electronics and electricals, cosmetics and personal care, textile manufacturing, and others.

The kraft paper market research report is one of a series of new reports that provides kraft paper market statistics, including kraft paper industry global market size, regional shares, competitors with a kraft paper market share, detailed kraft paper market segments, market trends and opportunities, and any further data you may need to thrive in the kraft paper industry. This kraft paper market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The kraft paper market consists of sales of printed kraft paper, colored kraft paper, vegetable parchment kraft paper, greaseproof kraft paper, and glassine kraft paper. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.