Sales of Barrier Coated Paper to See an Upward Rush; Water-Based Biodegradable Material Set to Gain Significant Traction, Finds FMI

VALLEY COTTAGE, N.Y. – According to Future Market Insights (FMI) study, the global market for barrier coated paper was valued at US$ 4 Bn in 2018, and is projected to record CAGR of 4.5% over the forecast period 2019-2029. Although growing intolerance of plastic has influenced a shift towards flexible packaging paper, it failed to provide a barrier against moisture. This, in turn, has been boosting the demand for barrier coated papers that offer heat resistance, aroma barrier, light protection, sealing, and other attributes.

“The barrier coated papers market growth remains driven by industries shifting from plastic to paper packaging solution to achieve their sustainability goals. With increasing use of plastics generating non-biodegradable waste and filling up the landfills, paper is becoming the most preferred option for packaging, thereby potentially augmenting the market growth,” says FMI analyst.

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Global Focus on Paper-based Packaging Solution to Offer Tailwinds

The packaging industry has been in the period of significant innovations and technological advancements since the last decade. One such innovation is barrier coated paper making headway in numerous industries for various applications such as frozen foods, dry fruits, and beverage packaging. Companies operating in different verticals of the packaging industry are making greater strides in their sustainable objectives. For instance, Kohler Co. is contributing towards sustainability drive by offering a range of eco-friendly packaging solutions. Such initiatives are expected to influence other market players to follow suit and reduce impact of their product on the environment.

Water-Based Barrier Coated Paper Redefining the Market Growth

New coating technology made from recycled PET bottles and plant-based oils are emerging as key trends in the barrier coated papers market, allowing restaurants to now select more ecological paper cups to serve beverages and other food items. Furthermore, manufacturers are developing barrier coatings made of approximately 95% renewable or sustainable material that protects the paper surface against moisture, water, and grease, and ensures significant reduction on plastic usage. Moreover, this will help cup producers and restaurant owners to reduce their waste.

Preview Analysis Of 2019 Analysis and Review of Barrier Coated Papers Market by Coating – Water-based, Solvent-based, and Wax for 2019 – 2029:

In terms of coating, water-based barrier coated paper is expected witness higher demand than solvent-based barrier coated paper and account for a revenue share of 49% by 2025.

Food Industry Leads the Total Adoption   

Increasing adoption of barrier coated paper is accelerating a new revolution in the food & beverage industry. Around 50% of the barrier coated papers were sold in food industry in 2018. An exponential increase in demand for functional and barrier coated paper within the industry is expected to reduce the usage of single-use plastic for packaging in near future. In addition to gradually penetrating in the beverage sector, application of barrier coated paper in the electrical industry is expected to grow at a moderate pace over the predefined timeframe.

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Developed Regions to Become the Most Attractive Markets

Collectively, North America and Europe hold close to 60% of the global market value. However, this proportion is expected to get slightly impacted in the latter half of the forecast period, as the demand from South Asia and East Asia has been on a significant rise. Market players are further witnessing lucrative opportunities in these regions, due to rapid expansion of retail and packaging industries.

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