Food Contact Paper Market - Forecasts from 2024 to 2029

The food contact paper market is expected to grow at a CAGR of 4.14% reaching a market size of US$117.904 billion in 2029 from US$88.786 billion in 2022.

The food contact paper market is anticipated to grow at a steady pace throughout the forecast period. Plastics, rubber, paper, coatings, metal, and other materials can all be used to make food contact materials. Food packaging, such as that used for bakery goods, fruits, liquids and beverages, and takeaway food, frequently uses food contact paper. Food contact papers are showing an increase in demand due to their multiple benefits and sustainability. Moreover, the growing bakery industry and online food delivery system are further expected to bolster the food contact paper market in the coming years.

Growing demand for online food delivery

The e-commerce sector has grown significantly over the last several years, and this growth is anticipated to continue shortly. Demand for fresh produce, dry groceries, bakery goods, liquid food and drinks, and other items has skyrocketed in e-commerce portals. By altering consumer behaviour, online food delivery services like Licious, Swiggy, Foodpanda, Uber Eats, and others are gaining traction in the food market. Through these online meal delivery services, customers are placing orders for food and drink, as well as products made from meat, fish, and poultry. These businesses use food contact paper as a powerful marketing tool to draw in more clients with their eco-friendly, sustainable, and successful packaging.

To draw in more business, the food industry - which includes hotels, restaurants, and other establishments - is also implementing online meal ordering platforms. As a result, clients can now quickly and easily order meals online for delivery to their homes. Restaurant delivery services and online meal ordering have grown at an average annual rate of 20% over the past five years. Thus, there is a global market opportunity due to the rising demand for food products delivered online.

Increasing demand for eco-friendly packaging

The market is anticipated to be driven during the forecast period by the rising demand for environmentally friendly packaging. Paper for food contact is a flexible and affordable packaging option that can be used to transport, preserve, and safeguard a variety of food items. The market is being positively impacted by the major players in the food industry as well as smaller businesses that operate in the sector. These businesses are adopting sustainable packaging and promoting eco-friendly packaging for their food products. Paper packaging can be tailored to meet the needs of the consumer or a particular product. The product's attributes, like its light weight, biodegradability, and recyclable nature, are responsible for the surge in demand.

Food contact paper packaging has these benefits, which make it a vital part of the expanding food contact paper market. The strong standards and regulations imposed by environmental protection agencies worldwide regarding the use of environmentally friendly packaging products, along with rising customer awareness of sustainable packaging, are also propelling the global market.

Rising consumer awareness

Growing consumer awareness of environmental issues is having a big impact on market expansion. Growing awareness of the effects of consumer behaviour on the environment has made consumers more selective when it comes to sustainable and eco-friendly packaging. Food contact papers and boards, which are safe for food contact and have a small environmental impact, fit nicely into this expanding demand because they are frequently recyclable and biodegradable. Moreover, the market is expanding favourably due to recent innovations in product manufacturing, where businesses are creating new, sustainable materials that suit consumer preferences. The development of more robust and environmentally friendly packaging options is also aided by developments in pulp and paper technology, which are fueling the market's expansion.

Rising technological advancements

The growth of the market is being supported by technological advancements in barrier technologies that improve the functionality of paper and board. Accordingly, the growth of the market is being accelerated by the development of coatings and treatments that enhance resistance to water, oil, and grease - all of which are critical for preserving the integrity and safety of food products. Additionally, the market is expanding favourably due to the continuous enhancements of these materials' physical and aesthetic attributes, which make them more desirable to manufacturers and consumers alike. In addition, the market is expanding due to recent developments in printing and finishing methods, which have made it possible to create detailed, colourful, and high-quality packaging designs. Moreover, efforts to develop more environmentally friendly production methods and recyclable materials have centred technological advancements on sustainability.

North America is witnessing exponential growth during the forecast period

Due to several factors, including a strong food service sector, high consumer spending power, and strict food safety regulations, North America makes up the largest portion of the market. In addition, the market is expanding as a result of the growing trend toward convenience and on-the-go eating packaged food consumption, and the prevalence of fast food chains, all of which are driving up demand for food packaging solutions. In addition, the market is growing because of the growing emphasis on sustainability and consumer preference for eco-friendly packaging options, which is driving innovations in recyclable and biodegradable materials. Major market players are also present in the area, which supports advanced manufacturing skills and technological advancements and promotes market expansion.

Product Offerings

• Westrock Company: Westrock Company is one of the leading paper packaging companies with nearly 300 production facilities worldwide. EverGrow® recyclable packaging solutions are offered by the company keeping in mind the sustainability goals and meeting consumer demand for plastic alternatives.
• Ahlstrom: Ahlstrom offers a range of solutions in media, life sciences, food packaging, and bakery industry. The company offers food packaging papers for butter, margarine, confectionery, baked products, dairy, meat, and several others. The ideal packaging option for the fast-service restaurant business is Ahlstrom's Servera® paper which was recently developed by the company.

Market key launches

• In April 2023, Leading producer of films and packaging, Bischof + Klein SE & Co. KG, relaunched its brand under the new tagline, "Packed with innovation." Combining state-of-the-art technologies and expertise, the innovation centre at the company's Lengerich headquarters functions as a development platform for clients, vendors, and machine manufacturers.
• In March 2023, Mondi declared that it would invest €400 million in a new paper machine at our mill located in the Czech Republic, Št?tí. Because of the advantages of a vertically integrated value chain, the new machine will support Mondi's Paper Bags business by producing about 210,000 tonnes of sack kraft paper annually. 

Segmentation:

By Type

• Kraft Paper
• Greaseproof Paper
• Parchment Paper
• Others

By Application

• Bakery & Confectionary
• Dairy Products
• Fruits & Vegetables
• Poultry
• Others

By Geography

• North America
• USA
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• Germany
• France
• United Kingdom
• Spain
• Others
• Middle East and Africa
• Saudi Arabia
• UAE
• Others
• Asia Pacific
• China
• Japan
• South Korea
• India
• Taiwan
• Thailand
• Others