According to Transparency Market Research’s recent report titled “Converting Paper Market Global Industry Analysis, Size, Share, Growth, Trends, Historic Analysis 2014–2018 and Forecast 2019–2027,” the growth of the paper packaging industry is attributed to boost the demand for converting paper during the forecast period. The global market for converting paper was valued at US$ 375.9 Bn in 2018 and is projected to expand at a poor CAGR of 1.9%, during the forecast period (2019-2027).
The global converting paper market is segmented on the basis of application, end-use, pulp type, and paper type. In terms of application, the converting paper market is segmented into printing paper, newsprint, writing paper, hygiene paper, packaging, and others. In the packaging segment, converting paper is used for manufacturing carton board, corrugated board, and flexible paper.
More than half of the converting paper is used in the packaging applications owing to low cost and eco-friendly packaging formats. In the global converting paper market, newsprints, printing papers, and writing papers application segments are expected to reduce in market size during the forecast period. The carton board segment is projected to witness fast-paced growth throughout the forecast period.
Converting Paper Is Repositioning the Paper Industry as “Fiber Industry”
The consumption of converting paper for tasks apart from writing and printing is increasing across the globe. For example, sanitary and packaging markets are becoming the emerging end users for the converting paper market. The adoption of converting paper for industrial packaging is increasing owing to low cost and sustainability as compared to plastic, metal, and glass. The use of converting paper material for manufacturing of intermediate bulk containers, liners, sacks, and absorbents has considerably increased in the past few years owing to the high-quality products offered by packaging leaders such as Sealed Air, Mondi, DS Smith, and others.
Expansion of E-Commerce Packaging Sector Fueling Demand for Converting Paper
The evolving e-commerce industry is embracing converting paper for shipment packaging owing to the quality expectations of customers and the need for lightweight packaging formats. Penetration of E-Commerce in the retail market is growing at a substantial rate. With this growth, the demand for efficient packaging solutions is also increasing. Packaging is one of the key factors influencing consumer preference. Companies want to stay a step ahead of their competitors to ensure maximum market share, which is why, they are willing to invest in superior packaging solutions. Also, using sturdy corrugated boxes for transit ensures safe delivery of the product.
Digitalization Compelling Converting Paper Manufacturers to Incorporate Innovative Features
The growing adoption of digitalization is expected to reduce the demand for printing and writing paper. Digital media and paperless communication are replacing paper, and threatening the traditional market for newsprint and office paper. The market share of printing and writing paper is shifting to packaging paper owing to the growth of the e-commerce market and consumer preference for converting paper packaging formats. Digitalization is negatively affecting printing and writing paper markets, but it still has benefits for converting paper manufacturers and suppliers. With the help of digital tools, converting paper and packaging companies are improving their customer services and manufacturing activities to ensure improved product quality, tracking information of shipped goods, and convenient customer support.
Global Converting Paper Market: Recent Developments
- In October 2018, GP (Georgia Pacific) Pro introduced Dixie Ultra® Insulair Paper Hot Cup, which is equipped with air pockets that insulate the hot beverage from the cup holder’s hands
- In February 2018, Canfor Corporation announced the establishment of a new sawmill in Georgia with an approximate investment of US$ 120 Mn, and production capacity of 275 Mn board feet
- In November 2017, Stora Enso launched a new product called fiber cup, a paperboard-based product, for use in packaging dairy products and other chilled foods
- In September 2017, International Paper Company invested around US$ 300 Mn for converting its paper machine at Riverdale Mill from uncoated freesheet to high-quality whitetop linerboard and containerboard. The investment will add 450,000 tons of annual capacity, with the flexibility to shift between containerboard products
- In July 2017, UPM Paper ENA introduced a magazine paper, UPM Impresse Plus C, a super-calendared paper custom-developed for coldest offset printing, which offers smooth finish, solid images, and a velvety touch.
Global Converting Paper Market: Competitive Landscape
The global converting paper market critically analysed key players during the course of the study. These include Stora Enso Oyj, Georgia-Pacific LLC, Canfor Corporation, International Paper Company, Clearwater Paper Corporation, UPM-Kymmene Oyj, P.H. Glatfelter Co., Domtar Corporation, Mitsubishi Paper Mills Limited, Verso Corporation, BillerudKorsnäs AB, Burgo Group SPA, Twin Rivers Paper Company Inc., American Eagle Paper Mills, Delta Paper Corp., Catalyst Paper Corporation, Asia Pacific Resources International Holdings Ltd., Rolland Enterprises Inc., Alberta Newsprint Company Ltd., and Finch Paper LLC.
In this report, Transparency Market Research offers a 5-year historic analysis between 2014 and 2018, and an eight-year forecast of the global converting paper market between 2019 and 2027. In terms of value, the global converting paper market is expected to expand at a value CAGR of 1.9% during the forecast period. The study reveals the dynamics of the converting paper market in five geographic segments, along with market analysis for the current market environment and future scenario over the forecast period of the global converting paper market.
This Transparency Market Research report studies the global converting paper market for the period 2014–2027. The prime objective of this report is to offer insights and key market trends pertaining to the converting paper market that are gradually helping transform global businesses.
The global converting paper market report begins with the executive summary for various categories and their share in the converting paper market. It is followed by the market background section which includes market dynamics, an overview of the global packaging market, TMR analysis of the market drivers, restraints, opportunity analysis, prominent mergers and acquisitions in the paper packaging industry, Porter’s Five Forces analysis, PESTLE analysis of the U.S., India, China, Brazil, and Germany, Macro-economic indicators along with correlation analysis, value chain analysis, cost tear-down analysis, pricing analysis by application, and trends that are affecting the growth of the converting paper market. Furthermore, to understand the popularity of the various converting paper segments, an attractiveness index and BPS analysis with elaborated insights on the same is provided, which will show the market’s attractiveness based on factors such as CAGR, incremental opportunity, and estimated market share in 2019. To show the performance of the converting paper market in each country and region, BPS and Y-o-Y growth analysis are provided.
The global market for converting paper is segmented by application, pulp type, paper type, and end use. On the basis of application, the global market for converting paper is segmented into printing papers, newsprints, writing papers, hygiene papers, packaging, and others. The packaging segment is further categorised into carton board, corrugated board, and flexible papers. On the basis of pulp type, the global converting paper market is segmented into chemical wood pulp, mechanical wood pulp, non-wood pulp, semi-chemical pulp, and recycled pulp. The chemical pulp segment is further categorised into sulphate pulp and sulphite pulp. On the basis of paper type, the global converting paper market is segmented into coated paper and uncoated paper. On the basis of end-use, the global converting paper market is segmented into printing, packing & wrapping, consumer goods, food service, and others.
The next section of the report highlights the converting paper market by region and provides the market outlook for 2019–2027. The study investigates Y-o-Y growth regionally, as well as analyses the drivers that influence the regional converting paper market. The main regions assessed in the converting paper market report include North America, Latin America, Europe, Asia Pacific, and Middle East & Africa (MEA). The report evaluates the present scenario and growth prospects of the regional converting paper market for 2019–2027.
To ascertain the size of the converting paper market in terms of value and volume, the revenue generated by key manufacturers and their respective production capacities are taken into consideration. The forecast presented here assesses the total revenue generated by value, across the converting paper market. In order to provide an accurate forecast, we initiated by sizing up the current market, which forms the basis of how the converting paper market is expected to develop in the future. Given the characteristics of the converting paper market, we triangulated the outcome on the basis of three different types of analysis- based on the supply side, downstream industry demand, and economic envelope. In addition, it is imperative to note that, in an ever-fluctuating global economy, we not only conduct forecasts in terms of CAGR, but also analyse the converting paper market based on key parameters, such as year-on-year (Y-o-Y) growth rates, to understand the predictability of the converting paper market, and identify the right opportunities across the market.
The market segments for the global converting paper market have been analysed in terms of basis point share (BPS) to understand the individual segment’s relative contribution to market growth. This detailed level of information is important for identifying various key trends in the converting paper market. Another key feature of the global converting paper market is the analysis of key segments in terms of absolute dollar opportunity. Absolute dollar opportunity is critical for evaluating the scope of opportunity that a provider can look to achieve, as well as to identify potential resources, from a delivery perspective of the converting paper market. The overall absolute dollar opportunity along with the segmental split is mentioned in the global converting paper market report.
Transparency Market Research has developed the converting paper 'Market Attractiveness Index'. The resulting index should help providers identify real market opportunities.
In the final section of the converting paper market report, a 'dashboard view' of the companies is provided to compare the current industrial scenario and their contribution to the total converting paper market. Moreover, it is primarily designed to provide clients with an objective and detailed comparative assessment of key converting paper providers specific to a market segment. Converting paper report audiences can gain segment-specific manufacturer insights to identify and evaluate key competitors based on an in-depth assessment of their capabilities and success in the converting paper marketplace.
20 key players operating in the global converting paper market were critically analysed during the course of the study, which include Stora Enso Oyj, Georgia-Pacific LLC, Canfor Corporation, International Paper Company, Clearwater Paper Corporation, UPM-Kymmene Oyj, P.H. Glatfelter Co., Domtar Corporation, Mitsubishi Paper Mills Limited, Verso Corporation, BillerudKorsnäs AB, Burgo Group SPA, Twin Rivers Paper Company Inc., American Eagle Paper Mills, Delta Paper Corp., Catalyst Paper Corporation, Asia Pacific Resources International Holdings Ltd., Rolland Enterprises Inc., Alberta Newsprint Company Ltd., and Finch Paper LLC.