Paper Bags Packaging Market Size, Share & COVID-19 Impact Analysis, By Material (Brown Kraft and White Kraft), By Product Type (Sewn Open Mouth, Pinched Bottom Open Mouth, Pasted Valve, Flat Bottom, and Pasted Open Mouth), By End Use (Food & Beverages, Personal Care & Cosmetics, Agriculture, Pharmaceuticals, Retail, and Others), and Regional Forecast, 2024-2032

Paper bag packaging utilizes paper bags and is primarily used for goods transported or sold in retail sectors. It is generally made with recycled & virgin fibres or kraft papers to fulfill the rising customer demands. Paper bag packaging has gained massive traction in recent years as it allows more customization than any other packaging material and is an environmentally-friendly packaging solution. The rising demand for paper bag packaging from end users due to its reusable offering and more visibility to the brands, helps to reduce landfill thus driving market growth. Paper bag packaging is also crucial in minimizing greenhouse gas emissions, thus generating massive demand in retail industries worldwide. Manufacturers have increased their focus on investing in product development and R&D activities to offer recyclable and biodegradable products to the market.

• For instance, in December 2020, a leading global packaging and paper manufacturer, Mondi, launched a new paper EcoWicketBag for Drylock Technologies’ baby diaper ranges. The company used sustainable paper-based packaging for the hygiene market. It ensured that the EcoWicketBag fits with Drylock Technologies’ current plant processes.

The augmenting demand for efficient goods carriers and customizable packaging solutions are the key factors boosting the growth of the global paper bag packaging market. The widespread benefits offered by paper packaging also contribute to expand the paper bag packaging market. Massive demand for smaller-pack paper bags in several end-use industries is expected to cushion the market. They are increasing internet penetration, and online food ordering, leading to rising e-commerce sales which also aids market growth. Rising modernization, shifting consumer trends, changing lifestyles, a growing retail industry, and increasing income levels are also anticipated to drive the growth of the global paper bag packaging market over the forecast period.

Paper bag packaging is less durable than other packaging materials. It also costs higher than various other packaging solutions. Such factors are may limit the global paper bag packaging market growth. Moreover, the irregularity in the availability of wood pulp and the fluctuating raw material prices impede market growth. Dependence on imported wood pulp amongst manufacturers also limits product production, thus affecting the paper bags packaging market.

IMPACT OF COVID-19 ON THE PAPER BAGS PACKAGING MARKET

The emergence of the novel coronavirus led to a long-term effect on many industries worldwide. Many industries suffered from economic crises due to the spread of the virus. The imposed lockdown by governments and shutdowns of businesses impacted the global paper bag packaging market. Supply chain disruption caused by the emergence of the virus hampered market growth. Disturbance in retail sales, food & beverages, fashion and apparel, and many other industries was observed. However, the pharmacy and drugstore end users utilized paper bags on a large scale, thus positively impacting the market growth. The paper bag packaging industry is expected to grow in the forthcoming years due to the increasing e-commerce sector.

SEGMENTATION

KEY INSIGHTS

The report will cover the following key insights:

• Recent Advancements in the Paper Bags Packaging Market


• Key Industry Trends


• Regulatory Landscape for the Paper Bags Packaging Market


• Key Industry Developments (Mergers, Acquisitions, and Partnerships)


• Impact of COVID-19 on the Market

ANALYSIS BY MATERIAL

Based on material, the market is segmented into brown kraft and white kraft. Brown kraft dominated the material segment of the global paper bags packaging market. The brown kraft material is widely used among many end-use industries. The growing retail, food & beverages, and e-commerce sectors contribute mainly to the growth of this segment.

ANALYSIS BY PRODUCT TYPE

Based on product type, the market is segmented into the sewn open mouth, pinched bottom open mouth, pasted valve, flat bottom, and pasted open mouth. Flat-bottom paper bags hold the largest market share of global paper bags packaging. It can be attributed to the growing demand for flat-bottom paper bags in retail and grocery shops and the increasing consumer expenditure worldwide.

ANALYSIS BY END USE

Based on end use, the market is segmented into food & beverages, personal care & cosmetics, agriculture, pharmaceuticals, retail, and others. Food & beverages are the world's largest end-use segment of the paper bags packaging market. Using paper bags to maintain product quality and freshness is crucial for the segment’s growth. Food items are packed in paper bags to protect them from dust, moisture, and other external factors. Growth in online food delivery services also boosts the segment’s growth.

REGIONAL ANALYSIS

The paper bag packaging market has been studied across North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. Asia Pacific is the leading region of the global paper bags packaging market. The presence of key manufacturers and the growing retail sectors contribute to the growth. North America is the fastest-growing paper bags packaging region due to the significant increase in e-commerce and strict regulations on plastic consumption. The Europe paper bags packaging market is experiencing rapid demand owing to the presence of leading cosmetic brands. Latin America is anticipated to grow moderately due to the growing food and beverages industries. The paper bag packaging market in the Middle East & Africa will witness steady growth due to improving lifestyles & increasing consumer spending.

KEY PLAYERS COVERED

The report will include profiles of key players such as Smurfit Kappa, International Paper Company, Westrock Company, Huhtamaki Oyj, Mondi Plc, Oji Holdings Corporation, Welton Bibby & Baron Ltd, Novolex Holdings Inc., Ronpack, Packman Packaging, Primepac Industrial Limited, and Bee Dee Bags, among others.

KEY INDUSTRY DEVELOPMENTS:

• October 2020 - BillerudKorsnäs, a Sweden-based pulp and paper manufacturer, and AB Group Packaging announced the reusable paper bags sale in the U.K. The reusable paper bags are developed with BillerudKorsnäs’ fiber-based raw material known as FibreForm recycled polyethylene terephthalate (rPET).


• September 2022 - The management team of Kevin Curran, Sally Gabbitas, and Kevin Prosser acquired Luton-based Seal Packaging as a key factor in launching new ranges of sustainable packaging. With the acquisition, the company launched its new Itsnotpaper bag range, which further boons as a sustainable alternative to traditional paper bags.


• August 2022 - Mondi and Fiorini International collaborated on a paper bag for Antico Pastificio Umbro’s pasta products. The collaboration consists of its recyclable paper streams, such as the transparent cellulose window. The companies further stated that the paper bag offers the same protective properties as the plastic packaging solutions, with the pasta being hygienic and safe during transport.


• October 2019 - Novolex announced the acquisition of the Zenith Specialty Bag, a leading specialty paper food packaging product provider. The acquisition helped the company provide a wide range of high-quality & innovative paper food packaging products and develop strong customer relationships