Packaging Paper Market Benefits from Changing Consumer Lifestyle Needs

In 2024, the global packaging paper market was estimated at USD 192,629.0 million, and it is projected to grow to USD 354,529.2 million by 2030, reflecting a compound annual growth rate (CAGR) of 10.4% from 2025 to 2030. Key drivers of this expansion include mounting environmental concerns and a worldwide push toward sustainability.

Key Market Trends & Insights and Market Size & Forecast

• Regionally, Asia Pacific was the top‐revenue region in 2024, and India is forecasted to post the highest growth rate between 2025 and 2030.
• Among product segments, kraft liners led with revenue of USD 103,093.5 million in 2024, and are also expected to be the fastest growing segment during the forecast period.
• The market’s move away from plastic toward more biodegradable and recyclable alternatives—such as kraft paper, testliner, and fluting paper—is being driven by stricter regulations on single-use plastics and escalating environmental awareness.
• Industries including food & beverage, e-commerce, and consumer goods are increasingly preferring paper packaging to align with sustainability strategies and reduce plastic usage.
• Investment trends include greater development in recycling infrastructure and waste management systems; improvements in paper production using recycled fibers are helping reduce reliance on virgin pulp. Energy and water efficiency improvements are also being implemented in paper mills to meet both regulatory and environmental goals.
• The rapid growth of e-commerce has further boosted demand for strong, protective, lightweight, and environmentally friendly packaging. Corrugated boxes, paper fillers, and customized printed paper packaging are increasingly in demand.
• Despite strong growth, challenges remain: raw material costs—especially for wood pulp and recycled paper—are volatile, influenced by trade restrictions, supply chain disruptions, regulations related to forestry, as well as rising transportation costs. These factors make cost stability and margin maintenance difficult.

Product Insights

In 2024, kraft liners claimed 47.4% of market revenue, being widely used as the outer layer in corrugated boxes due to their durability, strength, and excellent printability.

Testliners are expected to grow at a CAGR of 10.6% from 2025 to 2030, favored for low cost, use of recycled fibers, and sufficient durability for many common packaging needs.

Fluting paper, which forms the wavy middle layer in corrugated board, provides cushioning and strength; its thickness and density can be modified based on application requirements.

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Regional Insights

• Asia Pacific led in both size and growth in 2024, valued at USD 59.67 billion within the global market. Rapid urbanization, increasing e-commerce activity, and stronger sustainability policies in countries such as China, India, and Japan drive this.
• In India, the market is expected to grow at the highest CAGR of 14.2% through 2025-2030, driven by expanding e-commerce, retail modernization, stronger environmental awareness, and government policy encouraging reduction of plastic packaging.
• North America held about 25.3% share of global revenue in 2024, led by consumer demand for recyclable materials, regulatory pressure, and major retailers adopting eco-friendly packaging.
• In Europe, strict environmental regulations, strong recycling systems, and bans on single-use plastics are boosting demand. The UK market is anticipated to grow at around 6.5% CAGR during the forecast period.
• Central & South America is forecast to grow at 10.0% CAGR from 2025 to 2030, supported by rising exports of packaged goods and shifting demand in retail and food & beverage toward paper packaging.
• The Middle East & Africa region is growing more gradually: constrained by limited local production, variability in regulations, and reliance on imported raw materials; still, investment in retail, logistics, and sustainability is increasing demand.

Key Companies & Market Share Insight

Some of the major players in this market are International Paper Company; WestRock Company; Smurfit Kappa Group; Mondi Group; DS Smith; Georgia-Pacific LLC; BillerudKorsnäs AB; Stora Enso Oyj; Oji Holdings Corporation; and Nippon Paper Industries Co., Ltd.

International Paper Company supplies renewable fiber-based packaging and pulp products across over 24 countries, with offerings that include containerboard, kraft liner, and corrugated packaging.

Smurfit Kappa operates more than 350 production sites in 36 countries with over 48,000 employees; its product portfolio includes kraft liner, testliner, and fluting paper, serving sectors such as food & beverage, retail, and e-commerce.

Other significant participants like Georgia-Pacific, Stora Enso, and the rest are also notable for their involvement in sustainable packaging technologies, innovations in materials, and wide geographic presence.

Key Companies List

• International Paper Company
• WestRock Company
• Smurfit Kappa Group
• Mondi Group
• DS Smith
• Georgia-Pacific LLC
• BillerudKorsnäs AB
• Stora Enso Oyj
• Oji Holdings Corporation
• Nippon Paper Industries Co., Ltd.

Conclusion

The packaging paper market is in a period of robust growth, spurred on by global shifts toward sustainability, regulatory pressure to reduce plastics, and rising demand from sectors like e-commerce and consumer goods. With kraft liners leading in market share and Asia Pacific—especially India—showing the fastest growth, manufacturers are investing in recycling, efficiency, and innovation to capture opportunity. Challenges around raw material cost volatility and supply chain constraints remain, but the overall trajectory points toward a significantly larger market by 2030.

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