Food Contact Paper Market - Global Industry Analysis, Growth, Trends, Forecast 2024

Any paper that is intended to come in direct contact with food or other consumables is known as food contact paper. This paper is usually used in packaging edibles such as confectioneries, bakery products, dairy products, frozen food, groceries, fresh food, takeaway food, liquids, or beverages. Food contact paper is widely used across the food and beverages industry. Major market segmentation is done on the basis of type of paper and presence of coating. Three major types of paper used in food packaging include corrugated paper, kraft paper, and wrapping paper. Paper packaging materials used in packaging of liquid food and beverages have an inner lining on the surface that directly comes in contact with consumables. This is done to avoid direct contact between paper and food items and prevent spoilage of both food and paper. This type of paper is said to be poly-coated, while dry edibles can be stored in simple food-grade papers, known as non poly-coated papers.

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Food Contact Paper Market: Segmentation

Food contact paper is used in varied packaging applications across bakeries, dairies, beverages, confectioneries, groceries, fresh food, and other applications. Packaging of fresh food, groceries, and beverages accounted for approximately two-third share of the market in terms of application in the year 2014. Fresh food packaging held substantial share of the food contact paper market, with nearly one-third of the global share in various applications, while groceries and beverages packing applications together accounted for nearly about one-third share of the market in 2014. Packaging of bakery products, takeaway food, ready-to-eat meals, frozen food, and non-liquid dairy products constituted remaining market share in terms of application. In terms of type of paper used, corrugated paper was the key product type, accounting for significant share of the market. This was followed by kraft paper, while the remaining share was occupied by wrapping paper. Wrapping paper has developed into the most popular food contact paper type during the past few years; a similar trend is expected to continue due to its easier availability and recyclability. Poly-coated papers are used in packaging of beverages, takeaway food, frozen food, and ready-to-eat meals, while rest of the market is dominated by non poly-coated paper packaging.

Food Contact Paper Market: Trends and Opportunities

There has been growing concern over the usage of poly-coated paper in food packaging. Poly-coated papers are non-biodegradable; hence, they pose environmental concerns. Numerous key players in the market have initiated research and development projects to find a sustainable alternative to poly-coated paper to avoid environmental restraints. Growing urbanization has been chiefly driving the food contact paper market during the past few years. There has also been rising demand for good quality paper to be used in food packaging due to growing consumer awareness toward food security and health concerns. This trend is expected to further augment the food contact paper market. This, in turn, would compel producers to come up with sustainable alternatives to existing low-quality and non-biodegradable papers.

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Food Contact Paper Market: Geographical and Competitive Dynamics

Asia Pacific is expected to be the fastest growing market for food contact paper followed by Middle East & Africa due to presence of strong middle class population in growing economies such as China, India, South Africa, and countries in ASEAN. Increasing disposable income and flourishing food and beverages industry are expected to primarily boost the market in this region. Stringent norms for food packaging in North America are likely to fuel the food contact paper market in this region. Europe is anticipated to witness sluggish growth due to stringent environmental norms in the region. Latin America is estimated to witness steady growth in the food contact paper market led by developing economies in the region such as Brazil.

Major players in the food contact paper market include International Paper, HUHTAMAKI GROUP, Mondi, Smurfit Kappa Group, Georgia-Pacific, Glatfelter, Burrows Paper Corporation, Seaman Paper Company, Nordic Paper, Pactiv LLC and Cascades Inc.

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