Foodservice Paper Bags Market Projected to Reach US$ 1,575.9 Million by 2032, Driven by Increasing Demand for Sustainable Packaging Solutions.

Market analysts predict continued growth in the foodservice paper bag market, with an expected value of US$958.4 million in 2022 and a projected CAGR of 5.1% from 2022 to 2032. By the end of 2032, the market is anticipated to reach US$1,575.9 million.

In terms of market share, it is predicted that the top three countries will control approximately 25-30% of the global market for paper bags used in the foodservice industry by the end of 2022. Non-handle bags are expected to dominate around 70% of the foodservice paper bag market by the same time. This preference for non-handle bags can be attributed to the strong inclination of restaurants and foodservice providers towards conventional paper bags.

The recent growth in foodservice paper bag sales is driven by the increasing demand for eco-friendly packaging among consumers and the food industry. Government initiatives and restrictions on plastic packaging have also created new opportunities for the global foodservice paper bag market. Additionally, the emergence of new foodservice businesses worldwide is expected to drive the demand for foodservice packaging, specifically paper bags.

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Overall, the foodservice paper bag market has exhibited steady growth, with a CAGR of 4.1% from 2015 to 2021. The market is well-positioned for further expansion in the future due to factors such as growing environmental concerns, government regulations, and the continued growth of the foodservice industry

Key Takeaways

  • Brown kraft-based paper bags are expected to account for more than 4/5th of market value, owing to their stiffness.
  • Non-handle bags will remain the most sought type, capturing nearly 2/3rd of market value, backed by their convenience and low cost.
  • On the basis of end-use, restaurants are poised to capture more than half of overall global value, ascribed to the rising trend of take-away.
  • Europe is projected to spearhead the regional landscape of the market, capturing more than 1/3rd of market value.
  • East Asia will prevail as the second most lucrative regions through the forecast period, holding a quarter of the market value.

Competitive Landscape

Major players operating in the global foodservice paper bags market are trying to expand their capacities by developing their facilities. Also, several key players are adopting the merger and acquisition strategy to strengthen and increase their resources. These players are focusing on developing innovative paper bags to gain more market shares.

Some of the latest developments by key players are as follows–

In August 2022, Novolex Holdings LLC announced the launch of innovative paper bags for more secure deliveries for retailers and restaurants. The paper bag offers a wide opening for easy loading, a flat bottom to keep items secure, and sturdy paper twist handles for easy & reliable carrying.

In March 2022, WestRock Company expanded its production facility by investing US$ 47 Million at its consumer facility in Claremont.

In January 2022, Huhtamaki Oyj acquired a company named Smith Anderson Group Ltd. in Portland. The company manufactures and sells paper bags in Eastern Europe.

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Key Players:

  • WestRock Company
  • Hutamaki Oyj
  • Novolex Holdings LLC
  • Ronpak Inc.
  • Mondi Group
  • Amcor Ltd
  • International Paper Company

Foodservice Paper Bags Market Outlook by Category

By Material Type:

  • Brown Kraft
  • White Kraft

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By Bag Type:

  • Handle Bags
  • Non-handle Bags

By End User:

  • Foodservice Outlets
  • Online Food Delivery
  • Institutional

By Region:

  • North America
  • Latin America
  • Europe
  • South Asia
  • East Asia
  • Middle East & Africa
  • Oceania

About Us:

Future Market Insights (ESOMAR certified market research organization and a member of Greater New York Chamber of Commerce) provides in-depth insights into governing factors elevating the demand in the market. It discloses opportunities that will favor the market growth in various segments on the basis of Source, Application, Sales Channel and End Use over the next 10-years

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About the Author

Ronak Shah

Associate Vice President at Future Market Insights is deeply committed to uncovering actionable insights for consumer and food and beverage players. She brings a unique blend of analysis, industry trends, and consumer behavior to put data into perspective.

What she makes out of data becomes a delight to read. She has authored many opinions, including for publications like Process Industry Informer and Spinal Surgery News, as she understands the market pulse and consumers' shifting preferences.

She likes to bring experts to a roundtable to weigh the impact of a trend on an industry. Catch up with her discussion on the impact of AI in packaging.

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