Global Kraft Paper Market Edition 2025: Industry Size to Reach USD 28.8 Billion by 2033, CAGR of 5.65%.

Market Overview

The global Kraft Paper Market was valued at USD 18.6 Billion in 2024 and is projected to reach USD 28.8 Billion by 2033, growing at a CAGR of 5.65% during the forecast period from 2025 to 2033. The market growth is driven by increasing preference for sustainable, compostable packaging materials, expanded e-commerce, rising urbanization, and consumer trends favoring lightweight, aesthetic, and eco-friendly packaging solutions.

Study Assumption Years

• Base Year: 2024
• Historical Year/Period: 2019-2024
• Forecast Year/Period: 2025-2033

Kraft Paper Market Key Takeaways

• The global kraft paper market size was USD 18.6 Billion in 2024.
• The market is expected to grow at a CAGR of 5.65% from 2025 to 2033.
• Asia-Pacific region dominates, holding over 40.0% market share in 2024.
• The United States accounts for over 72.80% of North America's kraft paper market in 2024.
• The expanding e-commerce sector across regions fuels demand for kraft paper packaging.
• The food and beverage sector leads application segments, with around 27.8% market share in 2024.

Sample Request Link: https://www.imarcgroup.com/kraft-paper-market/requestsample

Market Growth Factors

Rising demand for sustainable packaging is a key driver fostering the kraft paper market growth. With increasing awareness on environmental safety and plastic waste reduction, kraft paper is preferred for its biodegradability and recyclability. According to the World Bank, global annual waste is expected to reach 3.4 billion tonnes in 30 years, with 242 million tonnes plastic waste currently generated, boosting demand for ecological packaging alternatives. Industries such as food, beverages, and retail are steadily adopting kraft paper, contributing to market expansion.

The booming e-commerce sector significantly propels the kraft paper market. The global e-commerce industry is projected to grow at a rate of 27.16% annually, reaching USD 183.8 Trillion by 2032. Increasing online shopping demands durable and protective packaging, where kraft paper’s strength and cost-effectiveness make it a preferred choice for wrapping and cushioning goods in transit. The market benefits from consumer and business shifts towards sustainable, strong packaging materials.

Urbanization and lifestyle changes are influential forces accelerating the kraft paper market. About 56% of the global population resides in urban areas, with projections indicating that by 2050, 7 out of 10 people will live in cities. This urban growth boosts demand in sectors like food, beverage, retail, and electronics, all requiring reliable and eco-friendly packaging solutions. Consumers’ increasing preference for convenience, online shopping, and eco-conscious purchasing decisions further enhance the market potential for kraft paper.

Market Segmentation

By Product Type:

• Unbleached: Largest segment in 2024 with ~32.0% market share; valued for exceptional strength and tear resistance, used broadly in packaging and shipping.

By Packaging:

• Corrugated Box: Leading segment with ~36.5% market share in 2024; essential in protecting diverse products, customizable with eco-friendly attributes enhancing demand.

By Application:

• Foods and Beverage: Largest segment with ~27.8% market share in 2024; kraft paper is moisture, grease, and oil resistant, ideal for packaging baked goods, snacks, and confectioneries.

By Distribution Channel:

• Offline: Traditional outlets catering to business and consumers preferring direct purchase.
• Online: E-commerce platforms offering wide availability, convenience, and price comparison.

Regional Insights

Asia-Pacific dominates the kraft paper market with over 40.0% share in 2024, driven by robust manufacturing, industrialization, urbanization, and e-commerce growth in China, India, and Southeast Asia. The region's rising middle-class population and sustainability initiatives stimulate demand for eco-friendly and industrial packaging made from kraft paper.

Recent Developments & News

In October 2024, Lintec introduced an unbleached, water-repellent kraft paper suited for carrier bags and envelopes, targeting the logistics sector. Sales began on October 25th. In February 2024, Fourniture Industrie Service (FIS) launched a bubble wrap alternative made from recycled kraft paper, addressing sustainability demands in packaging. This development aligns with sector trends towards eco-friendly products, bolstered by collaborations like Amazon's initiative with the US Department of Energy’s BOTTLE Consortium to recycle mixed waste streams.

Key Players

• Ahlstrom-Munksjö Oyj
• BillerudKorsnäs AB
• Canadian Kraft Paper Ltd.
• Canfor Corporation
• CMPC
• Gascogne Papier
• International Paper Company
• Mondi PLC
• SCG International Corporation Co. Ltd.
• Segezha-Group
• Smurfit Kappa Group plc
• Stora Enso Oyj
• Tokushu Tokai Paper Co. Ltd.
• WestRock Company

If you require any specific information that is not covered currently within the scope of the report, we will provide the same as a part of the customization.

👉Get Custom Market Research for Your Business👈

About Us

IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provide a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.

Contact Us

IMARC Group,

134 N 4th St. Brooklyn, NY 11249, USA,

Email: sales@imarcgroup.com,

Tel No: (D) +91 120 433 0800,

United States: +1-201971-6302