SAN FRANCISCO, June 21, 2021 /PRNewswire/ — The global corrugated board market size is expected to reach USD 149.7 billion by 2028, according to a new report by Grand View Research, Inc., expanding at a CAGR of 6.5% over the forecast period. The product demand is projected to be driven by the growth in e-commerce packaging and the rising usage of eco-friendly packaging solutions across the world due to strict regulations by regional governments.
The increased dependency on e-commerce retail supported by growing smartphone and internet usage in countries, such as China and India, has resulted in the growth of home delivery services, accelerating the demand for safer packaging solutions. Increasing penetration of the e-commerce industry in emerging economies with a rising trend of m-commerce is expected to fuel the market growth.
Key Insights & Findings:
- The A-Flute type segment is projected to ascend at a CAGR of 7.3% over the forecast period
- A-flute is the thickest type among all flute types and provides an excellent cushioning effect, which makes it suitable for use in the packaging of fragile and delicate products
- The double wall board style segment accounted for 23% of revenue share in 2020
- It is suitable for shipping bulky or high-priced precious products due to a double layer of a corrugated medium that offers greater protection from stress and prevents breakage or damage to the packed items
- Companies have been trying to increase their production capabilities and expand their geographic reach
- For instance, in October 2018, Smurfit Kappa acquired a corrugated plant called Avala Ada d.o.o. Beograd and Fabrika Hartije d.o.o. Beograd (‘FHB’) in Belgrade to expand the footprint of Smurfit Kappa in Southeast Europe
Access 127 page market research report, «Corrugated Board Market Size, Share & Trends Analysis Report By Flute Type (A, B, C, E, F), By Board Style (Single Face, Single Wall, Double Wall, Triple Wall), By Region (Europe, APAC, North America), And Segment Forecasts, 2021 – 2028«, By Grand View Research.
Boxes made up of corrugated boards provide cost-effective and sustainable transportation of the goods, which drives their demand in the packaging industry. The lower weight of single-wall style boards is expected to drive the market. Lowering the packaging weight further reduces the space required for storage, eventually reducing the overall shipping cost of the products. Therefore, the single wall board style is likely to witness the fastest CAGR in the forecast period.
«Corrugated board packaging witnessed a surge in demand during the COVID-19 pandemic due to stockpiling of essential goods by consumers.»
The corrugated boards are deemed safe for packaging various goods and increasing their shelf life by protecting them from environmental conditions, such as temperature changes and external pressure. Therefore, paper-based packaging is being adopted in multiple end-use industries, such as food & beverages, pharmaceuticals, cosmetics, electronics, and others. The growing food service and FMCG markets globally are also among the key factors driving the product demand.
The market in Europe is expected to hold a market share of over 29% by 2028 due to a growing demand for the packaging of products like fresh food and personal care. Stockpiling of such essential products during the COVID-19 pandemic in 2020 further led to a surge in demand for packaging products. The spike in demand resulted in a gap between the supply of raw materials, such as Old Corrugated Containers (OCC), and the distribution of finished products.
Asia Pacific is expected to be the fastest-growing regional market for corrugated boards, from 2021 to 2028 due to supportive government initiatives that promote the usage of paper packaging solutions. Foreign Direct Investments (FDIs), as well as investments in the number of projects in the packaging in Asian countries, are likely to grow at a rapid pace fueling the market growth.
For instance, the report, ‘Global Forest Products Facts And Figures 2018’ of the Food and Agriculture Organization of the United Nations, states that China is one of the largest paper and paperboard producers globally accounting for 104 million tonnes of production in 2018. Therefore, increasing paperboard demand with rising production capacity would favor the growth of the market growth in the region.
Grand View Research has segmented the global corrugated board market based on flute type, board style, and region:
- Corrugated Board Flute Type Outlook (Volume, Million Tons; Revenue, USD Million, 2017 – 2028)
- Corrugated Board Style Outlook (Volume, Million Tons; Revenue, USD Million, 2017 – 2028)
- Single Face
- Single Wall
- Double Wall
- Triple Wall
- Corrugated Board Regional Outlook (Volume, Million Tons; Revenue, USD Million, 2017 – 2028)
- North America
- Asia Pacific
- South Korea
- Central & South America
- Middle East & Africa (MEA)
- South Africa
List of Key Players of Corrugated Board Market
- International Paper
- WestRock Company
- Packaging Corporation of America
- Stora Enso
- Oji Holdings Corp.
- Smurfit Kappa
- Port Townsend Paper Company
- DS Smith
Check out more studies related to Packaging Solutions:
- Fresh Food Packaging Market – Global fresh food packaging market size was estimated at USD 123.4 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 5.0% from 2021 to 2028.
- Molded Pulp Packaging Market – Global molded pulp packaging market size was valued at USD 3,811.1 million in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 6.1% from 2021 to 2028.
- Pharmaceutical Glass Packaging Market – Global pharmaceutical glass packaging market size was valued at USD 3.79 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 8.8% from 2021 to 2028.
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About Grand View Researc
Grand View Research, U.S.-based market research and consulting company, provides syndicated as well as customized research reports and consulting services. Registered in California and headquartered in San Francisco, the company comprises over 425 analysts and consultants, adding more than 1200 market research reports to its vast database each year. These reports offer in-depth analysis on 46 industries across 25 major countries worldwide. With the help of an interactive market intelligence platform, Grand View Research helps Fortune 500 companies and renowned academic institutes understand the global and regional business environment and gauge the opportunities that lie ahead.
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