In 2022, actual consumption of sack and kraft paper was valued at $11.4 billion, and is expected to see a 3.7% growth rate to 2027, where the market will be worth $13.2 billion (at constant 2021 prices). In 2022, at constant 2021 trade volumes, nearly 11 million tonnes of sack and kraft paper are being produced. With a growth rate of 2.8% this is expected to reach 12.6 million tonnes in 2027.
A strong recovery in demand for sack and bag kraft paper is anticipated during 2022, following a slight decline in the global market in 2021. This is especially noticeable in food packaging applications, whose share of the global market is expected to increase from under 60% of the total 2017 volume to more than 63% of the forecast volume demand in 2027.
The scope of this latest Smithers report has changed from previous editions, with the exclusion of speciality industrial papers and a revision of some end use application data, especially in the building materials sector, together with updated raw material pricing. While this report will not be directly comparable to previous editions, it does provide historical, current, and forecast demand data for the market from 2017 to 2027.
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What will you discover?
- The main driver for this growth is expected to be in the dry foods market, including products such as flour, sugar, rice, etc, as well as in fresh produce applications like vegetables and potatoes
- Growth is forecast on the back of significant developments in sustainability in the bag kraft market: paper retail shopping bags are enjoying sustained growth, with increased use of recycled materials.
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- Manufacturers such as Mondi have launched numerous new products during 2021 and 2022, and are making significant investments in their paper-making facilities
- Other producers such as Klabin in Brazil are developing new products with sustainability in mind, including sack kraft with sustainable resin barriers to eliminate the use of plastic films in the construction of sacks for the construction, fertiliser and seed markets in particular.
This report is based on extensive primary and secondary research. Primary research consisted of targeted interviews with material suppliers, converters and experts drawn from key markets. This was supported by secondary research in the form of extensive literature analysis of published data, official government statistics, domestic and international trade organisation data, company websites, industry reports, trade press articles, presentations, and attendance at trade events.
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About the author
- Raw materials suppliers
- Sack and kraft paper manufacturers
- Sack and kraft paper converters
- Analysts and industry consultants
Stephen Harrod spent 11 years building a market research company in South Africa, focused on the paper and packaging industry in that country, following which he spent six years in the paper industry with Mondi and JAC Labels before relocating to England. He has been authoring reports for Smithers since 2006, with a focus on global paper and packaging markets.