Sack Kraft Paper Market Segmented By Size, Share, Trends, and Forecast to 2025


Posted April 23, 2019 by Pallavicoh

The sack kraft paper market was valued at US$ 8,886.51 Million in 2016 and is expected to expand at a CAGR of 3.55%, in terms of revenue, over the forecast period (2017–2025).

 
A sack kraft paper manufactured from paper or paperboard made of wood pulp is a porous paper with strong tear resistance and high elasticity. Kraft paper is designed for packing products packaging and storing powder materials such as cement, flour, and animal feed. The increasing demand for bio-degradable packaging, owing to use of environment-friendly material with properties such as porosity, durability, extensibility, and printability is a factor expected to drive growth of the market. According to Coherent Market Insights’ study, the global biodegradable packaging market was valued at US$ 3,927.0 million in 2016 and is expected to expand at a CAGR of 20.8% in terms of revenue. However, the lack of raw material and its high cost are some of the factors hindering growth of the sack kraft paper market.

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White sack kraft paper segment accounted for to the largest revenue share in 2016, owing to properties of white paper to enable halftone printing and enhance the printing appearance compared to brown sack kraft paper. Among end-use industries, cement and building materials segment accounted for the largest market share, owing to rapid growth in construction and increasing demand for building materials. Various properties are considered while choosing the paper grade for construction of cement sacks, as it must be able to provide high strength. According to Department for Business, Energy & Industrial Strategy, the production of cement material was 15,004 thousand tons in 2016 for use in the construction industry.

Asia Pacific was the dominant region in the global sack kraft paper market in 2016, valued at US$ 3,314.74 million and is expected to continue its dominance over the forecast period. The market in Asia Pacific is driven by growing construction activities in India and China. According to India Brand Equity Foundation (IBEF), a part of the Department of Commerce, Ministry of Commerce and Industry, Government of India, the Indian construction industry is expected to increase to a value of US$ 5 billion by 2020 and cement production capacity is expected to reach 550 million tons by 2025. According to Ministry of Commerce People’s Republic of China, in 2016, China introduced an anti-dumping duty on imports of unbleached sack kraft paper from the U.S, Europe, and Japan, which is expected to positively affect the market in the region.

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Categories Advertising , Business , Marketing
Tags brown sack kraft paper market , open mouth sack , paper or paperboard , sack kraft paper market , valve sack , white sack kraft paper market
Last Updated April 23, 2019