Paper-Based Packaging Trends Set to Grow
In recent times, companies like Paperlinx UK and Tullis Russell have attributed their downfall to the declining demands for graphic papers.
As a result, they have decided to increase the prices of their products. Sappi Europe calls this decision response to “unsustainable” margins in the market of graphic paper.
Sappi Europe has said they would try to innovate at least one new paper-based product packaging every year so that they are known as innovators in the packaging industry.
It will soon create a division of specialty papers at its Germany-based Alfeld Mill. At present, this is a 100% specialty paper mill, after reconstruction of its PM2 paper machine worth £60m was finished last year.
According to Thomas Kratochwil – the sales and marketing director of Speciality Papers, the company wants to get away from being a pure substrate supplier to emerge as a pioneer in packaging solutions.
Asia Pulp and Paper (APP) echoes a similar sentiment, as said by Lee Henderson – UK & European sustainability director. However, he adds that one has to offer advancement, technological expertise, and value for money to survive in the market.
According to a recent report, paper along with the board contributes to 35% of international packaging sales at present. The report also mentioned that container board and carton boards constitute 31% of the packaging market.
Experts predict that paper-based packaging will grow over the years due to a number of reasons.
Will Paper-Based Packaging Steal the Packaging Crown
The factors that will foster growth in paper-based packaging include changing demographics, technological advancement, growing GDP, security, a higher number of single packs being served, recycling concerns, and added innovations in luxury packaging.
Dominic Cakebread – a packaging consultant with Smithers Pira, has said that till some time back, board and paper were not a preferred option for packaging as much of the focus of R&D was given to plastic.
However, he said that board and paper are slowly evolving as a more attractive and sustainable packaging option, with innovations in coatings paving the way for them to be used in more applications.
The growth rate of paper-based packaging is the highest in Central and South America at 9%, while in Western Europe and North America, it stands at around 3%. Another important factor that is making companies choose paper packaging is the environmental concern. It has been noticed that even consumers prefer to buy products with recycled packaging.
Strategic Partnership Between Sappi and Rovema
Sappi and Rovema have teamed together in a strategic alliance to provide customers with dependable, eco-friendly packaging options. As two of the most internationally acknowledged frontrunners in sustainability, the partnership between Sappi and Rovema is a natural fit.
Sappi provides high-quality, Environmentally friendly Packaging papers, while Rovema manufactures innovative packaging machines that reduce waste and increase efficiency. Together, Sappi and Rovema are committed to helping customers reduce their environmental impact while still meeting their packaging needs.
The partnership between Sappi and Rovema is just one example of the growing trend toward sustainable packaging solutions. As more and more companies recognise the importance of sustainability, we can expect to see even more innovative partnerships between leading manufacturers.
Future of Paper-Based Packaging
The online shopping industry has boomed in recent years, with people of all ages turning to the internet to purchase items ranging from clothes to books to electronics. Naturally, this increase in online shopping has led to a corresponding increase in the demand for paper packaging products.
While many online retailers use plastic packaging, an increasing number are now turning to paper packaging to be more environmentally friendly. Paper packaging is not only recyclable, but it is also biodegradable, meaning that it will break down naturally over time.
Less Expensive
Paper packaging is often less expensive than plastic packaging, making it a more budget-friendly option for many businesses. Given these factors, it is little wonder that the paper packaging market is currently experiencing such rapid growth.
This packaging has become a major asset of the food industry. First and foremost, it is environmentally friendly. Unlike plastic or styrofoam packaging, paper packaging can be easily recycled without damaging the environment.
Perceived Quality
Additionally, paper packaging helps to keep food fresh and raises the perceived value of the food for consumers. Studies have shown that consumers perceive foods packaged in the paper as higher quality than those packaged in plastic or styrofoam. As a result, paper packaging & companion products have become the preferred option for food companies looking to differentiate their products from the competition.
Many companies are competing for market share in the highly fragmented paper packaging market. Given how fierce the competition is, they continue to develop new technologies to keep ahead.
As a result, the paper packaging market is constantly evolving, with new products and technologies being introduced regularly. This makes it a very exciting market to be involved in, as there are always new opportunities to explore.
However, it also makes it a very challenging market to operate in, as companies need to be constantly on the lookout for new trends and developments. Nevertheless, the paper packaging market offers immense growth potential and provides an excellent opportunity for companies to gain a competitive edge.
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