The global packaging paper market size was estimated at USD 192,629.0 million in 2024 and is projected to reach USD 354,529.2 million by 2030, growing at a CAGR of 10.4% from 2025 to 2030. This growth is primarily driven by the increasing global emphasis on sustainability and environmental responsibility.

Governments, corporations, and consumers are collectively moving away from plastic-based packaging due to its detrimental environmental effects. In its place, biodegradable and recyclable alternatives such as kraft paper, testliner, and fluting paper are gaining popularity. The enforcement of stricter regulations on single-use plastics, exemplified by the EU’s ban on plastic packaging for certain items, has further accelerated the transition to paper-based solutions. As companies aim to meet sustainability targets, paper packaging is experiencing rising demand across sectors including food & beverage, e-commerce, and consumer goods.

Significant investments by both governments and private entities in recycling technologies and waste management infrastructure are bolstering the paper packaging market. Enhanced recycling capabilities now allow for the production of high-quality recycled paper packaging, thereby reducing reliance on virgin pulp. Leading paper mills are increasingly adopting energy-efficient and water-saving production technologies, reinforcing the market’s sustainability goals while addressing rising consumer and industrial demand. This collective push toward a circular economy positions packaging paper as a preferred material for businesses looking to reduce carbon emissions and strengthen their corporate social responsibility strategies.

The rapid expansion of the e-commerce sector has also played a key role in propelling the packaging paper industry. The increase in online shopping has heightened the need for durable, lightweight, and eco-friendly packaging materials. Corrugated boxes and paper-based fillers are essential components of e-commerce shipping due to their strength and affordability. As major players like Amazon and Alibaba expand globally, the demand for high-quality packaging paper continues to climb. Furthermore, many retailers are leveraging custom-printed paper packaging to enhance brand identity, further driving growth in the market.

Despite this positive outlook, the industry faces challenges such as fluctuating raw material costs—particularly those of pulp and recycled paper. These price variations stem from regulatory restrictions on deforestation, international trade dynamics, and supply chain disruptions. Additionally, geopolitical instability and rising transportation costs affect raw material availability and pricing, making it difficult for manufacturers to maintain consistent production costs and margins, potentially leading to price increases for end consumers.

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Key Market Trends & Insights

• Region-wise, Asia Pacific emerged as the largest revenue-generating region in 2024.

• Country-wise, India is expected to register the highest CAGR between 2025 and 2030.

• Product segment, kraft liners generated USD 103,093.5 million in revenue in 2024 and are projected to be the fastest-growing segment through 2030.

Market Size & Forecast

• 2024 Market Size: USD 192,629.0 Million

• 2030 Projected Market Size: USD 354,529.2 Million

• CAGR (2025–2030): 10.4%

• Largest Regional Market in 2024: Asia Pacific

Key Packaging Paper Company Insights

Major players in the market include International Paper Company, WestRock Company, Smurfit Kappa Group, Mondi Group, and DS Smith.

• International Paper Company provides a broad portfolio of renewable fiber-based packaging products across 24+ countries, including containerboard and kraft liner solutions.

• Smurfit Kappa operates more than 350 production sites in 36 countries, offering kraft liner, testliner, and fluting paper to industries like retail and e-commerce.

• Georgia-Pacific LLC offers containerboard and kraft liner packaging with a strong sustainability focus.

• Stora Enso Oyj specializes in renewable packaging and paper solutions, including kraft and containerboard, serving the food and retail sectors.

• Other notable companies include BillerudKorsnäs AB, Oji Holdings Corporation, and Nippon Paper Industries Co., Ltd.

Leading Companies in Packaging Paper Market:

• International Paper Company
• WestRock Company
• Smurfit Kappa Group
• Mondi Group
• DS Smith
• Georgia-Pacific LLC
• BillerudKorsnäs AB
• Stora Enso Oyj
• Oji Holdings Corporation
• Nippon Paper Industries Co., Ltd.

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Conclusion

The global packaging paper market is experiencing robust growth fueled by rising environmental consciousness, regulatory shifts, and expanding e-commerce. As industries and consumers increasingly prioritize sustainable alternatives, paper-based packaging solutions have become essential. Despite challenges such as raw material price volatility, technological advancements and supportive policies are expected to sustain market momentum. The industry's long-term outlook remains positive, driven by innovation, global sustainability goals, and expanding applications across multiple sectors.