The converting paper market involves the manufacturing of various types of paper which is used for printing, writing or packaging purposes. Converting paper includes products such as folding boxboard, linerboard, corrugating medium, sack kraft paper and label paper. These papers find extensive usage in the packaging industry for making boxes, cartons, bags, labels etc. Increasing demand for consumer goods has fueled the growth of packaged food and beverage sectors which in turn has resulted in higher consumption of converting paper for packaging applications.
The Global Converting Paper Market size is estimated to be valued at US$ 498.41 Mn in 2024 and is expected to exhibit a CAGR of 8.0% over the forecast period 2024 to 2031.
Key Takeaways
Key players operating in the converting paper are GlaxoSmithKline plc, Pfizer Inc., Merck & Co. Inc., Sanofi Pasteur SA, Johnson & Johnson, Serum Institute of India Pvt. Ltd., Bharat Biotech International Limited, Biological E. Limited, Astellas Pharma Inc., Seqirus (CSL Limited), Mitsubishi Tanabe Pharma Corporation, Novavax Inc., Bavarian Nordic, Emergent BioSolutions Inc., Valneva SE. These companies are focusing on capacity expansion plans and new product launches to cater to the rising demand in developing regions.
There is a lot of potential for growth in emerging economies considering their growing middle class population and increasing disposable incomes which is translating to higher consumer spending on packaged goods. Key players are investing heavily in Southeast Asia, Latin America and Africa to tap into these lucrative opportunities.
Global players are actively pursuing mergers and acquisitions with local manufacturers to strengthen their foothold. They are also expanding their production and supply chain infrastructure across different geographies to serve global customers.
Market drivers:
The increasing demand for fast moving consumer goods such as packaged food items, beverages, personal care products etc. is a major market driver. Growing urbanization coupled with changes in lifestyle and food consumption patterns has led to higher demand for convenience packaging which uses converting paper. Stringent regulations regarding the usage of plastics is further propelling the growth of sustainable paper-based packaging.
Market restraints:
Availability of substitutes like plastics and rising environmental concerns over paper production are some of the challenges faced by the converting paper market. However, initiatives towards sustainable forestry and usage of recycled fibers are expected to reduce the environmental impact in the long run.
Segment Analysis
The converting paper market can be segmented into coated and uncoated paper. The coated paper segment dominates the market as it finds wide application in printing books, magazines and brochures. Coated paper provides superior print quality as compared to uncoated paper. Manufacturers are increasingly using coated paper to give visually appealing look and feel to publications.
Regional Analysis
The Asia Pacific region is the fastest growing as well as dominating region in the global converting paper market. China accounts for the major share in the region owing to large paper production facilities and burgeoning printing and packaging industry. The growth in the region is driven by increasing disposable incomes, rising literacy rates and expanding publishing industry. North America and Europe are other significant markets however the growth is expected to be slower as compared to Asia Pacific region.
Get more insights on Converting Paper Market
