Sustainability and financial viability join forces to drive demand for Kraft paper sacks (industrial bags) across selected end-user segments, according to CW Research's Global Kraft Paper Bag Market and Forecast Report.
Asia-Pacific has evolved into the main demand driver over the forecast period, with Western Europe remaining a major market in terms of consumption and importantly, innovation.
“While building materials industry will remain the dominant end user globally, food, agriculture and animal feed have the potential to contribute sustained growth helping cement the growing demand for Kraft paper sacks. Despite the short-term slowdown caused by Covid-19, there is a strong demand for a sustainable, yet cost competitive option to ubiquitous PP Woven bags. This is driven by a combination of consumer behavior and legislation that will ensure the prospect for robust demand for this product”, stated Carolina Pereira, Manager, Advisory & Research at CW Group.
Building materials and food to account for majority of market size in 2025F
The global market size for Kraft paper sacks is estimated at USD 19.6 billion in 2025F with the building materials industry expected to account for close to two-thirds of the market size. Food is expected to contribute close to one-fifth of the market size at the end of the forecast period.
Innovations in terms of product development, changes to the existing supply chain and legislation are key market drivers helping accentuate the adoption of Kraft paper sacks. The use is not only across additional industries in developed markets, but especially in the major end user segments of building materials, agriculture, food, chemicals and animal feed in the major emerging markets, including the Asia-Pacific region, including China.
The Global Kraft Paper Bag Market and Forecast Report helps address important market dynamics and includes a 5-year outlook (2020-2025) for industrial Kraft paper bag market size (USD millions) by product type, application and market participants on a national, regional and global level to ensure granularity and specificity required by businesses to make strategic and operational plans. A detailed overview of the major challenges and opportunities for Kraft paper by industry and region matrix allows market participants to assess relevant opportunities.
Find out more about the report here.