Machine Glazed Kraft Paper Market Influenced by Introduction of Sustainable Production and Printability Features

Growing consumer preference towards flexible packaging formats with improvements in durability and aesthetics for myriad end user industries are generating demand and sales opportunities for machine glazed kraft paper manufacturers. The machine glazed kraft paper market is likely to reach a valuation of around US$ 14.5 Bn by the end of 2030. Increasing use in the production of small and medium sized bag packaging formats, and metal working applications are playing major roles in influencing the industry.

“Machine glazed kraft paper manufacturers are promoting the use of paper as a sustainable alternative to conventional packaging solutions. Demand is rising strongly from the medical and healthcare, food and beverage, automotive, textiles, construction, personal care, and electrical and electronics sectors are increasingly relying on paper packaging options. A combination of aesthetics and sustainability, has made machine glazed kraft papers a popular choice,” says the FMI study.

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Machine Glazed Kraft Paper Market – Primary Takeaways

  • Unbleached machine glazed kraft paper will hold major share, owing to consumer preference for sustainable packaging solutions.
  • Food & beverage and healthcare sector applications are key revenue generators owing to increased use of small bag packaging formats.
  • United States reflects key growth opportunities on the back of demand from a massive processed food sector.
  • China is a high potential market, supported by a massive paper consumption and production rate in the country.

Machine Glazed Kraft Paper Market – Growth Factors

  • Wide scope of applicability for machine glazed kraft paper products with improvements in sustainability and durability support growth.
  • Innovations in printability of glazed paper products and the resultant benefits in branding are driving growth.
  • Ease of managing hygiene and sanitization standards for food and medical packaging standards create lucrative opportunities.

Machine Glazed Kraft Paper Market – Major Constraints

  • Competition from low cost paper packaging alternatives hinders adoption and limits profitability.
  • Concerns over deforestation for paper production remains an area of concern for manufacturers.

Expected Impact on Market by Coronavirus Outbreak

The covid-19 pandemic has moderately impacted players participating in the machine glazed kraft paper market. Increased use in essential sectors such as food and beverage and medical and healthcare industries are driving demand during the crisis. On the other hand, disrupted supply chains for raw materials and reduced demand from non-essential end use industries have been a major point of concern for manufacturers during the pandemic.

Growth and recovery is expected to be steady through 2021 and beyond. Product improvements in terms of aesthetics and printability in line with changing consumer preferences will generate major opportunities for sales in years to come.

Competition Landscape

Leading manufacturers operating in the machine glazed kraft paper market include but are not limited to Asia Pulp & Paper (APP) Sinar Mas, Mondi Plc, BillerudKorsnäs AB, Smurfit Kappa Group plc, Heinzel Group, Sappi Ltd., Stora Enso Oyj., and Nippon Paper Group.

Major players in the machine glazed kraft paper market are increasingly engaged in product development and launch strategies to widen their portfolios, to meet end user industry specific requirements. In addition, strategic mergers and acquisitions are gaining ground to consolidate market position.

In November 2020, Holmen Paper announced the launch of Holmen PACK, a machine glazed kraft paper offering, which is smooth on both sides owing to a double calendaring process, as an alternative conventional MG paper. In February 2021, Mondi launched a range of paper based release liners certified by PEFC and FSC, under the EverLiner brand with transparency and mechanical characteristics comparable to 58gsm glassine. In November 2019, Pixelle Specialty Solutions signed an agreement to purchase specialty paper mills from the Verso Corporation. The transaction was closed in early 2020.

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More on the Report

FMI provides in-depth insights on the machine glazed kraft paper market. The market is segmented in terms of basis weight (18 to 30 GSM and above 30 GSM), grade (unbleached and bleached), end-use (food & beverages, healthcare, electrical & electronics, automotive, personal care & cosmetics, textile, building & construction, and household), and application (bags & pouches, sacks, wraps, labels & release liners, envelops, coating & lamination, trays cups & bowls, and others), across seven regions (North America, Latin America, Europe, East Asia, South Asia, Oceania, and Middle East & Africa).

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Future Market Insights (FMI) is a leading provider of market intelligence and consulting services, serving clients in over 150 countries. FMI is headquartered in London, the global financial capital, and has delivery centers in the U.S. and India. FMI’s latest market research reports and industry analysis help businesses navigate challenges and make critical decisions with confidence and clarity amidst breakneck competition. Our customized and syndicated market research reports deliver actionable insights that drive sustainable growth. A team of expert-led analysts at FMI continuously tracks emerging trends and events in a broad range of industries to ensure that our clients prepare for the evolving needs of their consumers.

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