Natural Greaseproof Paper Market 2024 – Market Size & Segments Analysis, Industry Trends, Manufacturers Analysis, Opportunities and Forecast 2034

The natural greaseproof paper is a type of paper that is made without any chemical coatings or treatment, it also resistant to grease and oil resistant by a process called calendaring. In this process the paper is feed through heavy steel rollers to compress it and make it smooth, making it shiny and non-porous. These papers are made from wood pulp and have a special coating which prevents it from the penetration of oil and grease, keeping it fresh and free from stains. These papers are compostable and recyclable and are widely used across vast industries for baking wrapping serving and packaging solutions, providing a sustainable and convenient solution.

MARKET OVERVIEW

The global market valuation of Natural Greaseproof Paper Market was valued at approximately USD 1.2 Billion in 2023 and is projected to reach USD 2.1 Billion in 2034 exhibiting a CAGR of 5.5% during the forecast period of 2024-2034. Natural Greaseproof Paper is an eco-friendly component for maintaining the freshness and quality of the product. The market is aligned with vast industries, which makes it a sustainable and growing market.

GROWTH DRIVERS

 The expanding and growing foodservice industry which includes restaurants cafes bakeries and fast-food chains requires efficient and sustainable packaging solutions, the natural greaseproof paper offers an ideal solution to maintain the quality and freshness of the food. It also helps to secure the food items from spillage and protects the food items from degradation. The global food service market reached approximately USD 2.5 trillion in2021 and it is expected to reach USD 4.4 trillion by 2028 with the CAGR of 9.9%, according to Statista.

The demand for online food delivery has increased significantly after pandemic which creates the demand for food packaging, contributing towards market growth. The natural greaseproof paper is grease-resistant which makes the packaging of the food items fresh and maintains the quality during transit. The expected revenue generated by online food industry is projected to reach USD1.2 trillion in 2024 and online grocery delivery is expected to grow by 20%, according to Statista.

The concerns regarding environmental impact, there is a demand for eco-friendly packaging solutions like grease proof paper. The strict regulations that are mandating food and safety standards, drives the adoption of packaging materials which ensures the hygiene and integrity of food products. The bodies like FSSAI, FDA and initiatives like WHO Global Strategy for Food Safety, WHO Global Strategy for Food Safety, Food Safety Modernization Act (FSMA), drives the adoption and contributes towards market growth.

The consumer preference for convenience foods like ready to eat or takeaway meals coupled with quick service restaurants (QSRs) like Subway and McDonalds fuels the demand for packaging materials, creating significant opportunities for the market. According to DTiq, the global QSR are expected to exhibit the CAGR of 9.2% by 2027. The global shift towards healthy eating or the consumers changing preference for clean label and transparency in the food label and packaging is also one of the significant drivers of the market.

MARKET SEGMENTATION:

·         By Type– Packaging paper, baking paper, parchment paper and wax paper

·         By Application – residential use, commercial use and industrial use

·         By Distribution Channel- Direct and Indirect

·         By End User Industry- Food and Beverages, Pharmaceutical, Cosmetics, Homecare, Electronics and others

·         By Region- North America, Europe, Asia Pacific, The Middle East and Africa, South America

Natural Greaseproof Paper Market By Product Type Segment Review:

The natural grease proof paper is widely used as packaging material for vast various food items like burgers, sandwiches, fries, pastries and confectioneries, its resistant properties helps to maintain the freshness and integrity of the food products. In baking, it serves as a nonstick and heat resistant lining for baking trays and pans and prevents baked goods from sticking to the surface during baking process. The parchment paper is a type of natural grease proof paper that is widely used in cooking and baking due to its non-stick and heat resistant properties.

It is used for lining baking sheets, wrapping food parcels for steaming or roasting or creating packets for cooking fish and vegetables. Wax paper is coated with a thin layer of wax, used for wrapping food items like baked goods, cheese slices or sandwiches, where it provides moisture resistant barrier to keep the food items fresh.

Natural Greaseproof Paper Market By Application Segment Review:

In residential settings, these papers are widely used for various old household purposes, mainly in the kitchen, it is commonly used for wrapping sandwiches snacks and leftovers food to maintain the freshness. It is additionally used as non-stick lining for baking trays and pans, which ensures easy removal baked goods and simplifies the cleanup. In commercial settings, including restaurants, cafes, bakeries or food service uses natural grease proof paper for food packaging, storage and presentation. It is widely used for wrapping burgers, sandwiches, fries and other takeaway food items to preserve the quality during transportation and delivery of the food items.

In the bakery segment they are utilized for non-sticky surface for baking trays and in pastry boxes. In the industrial segment they find applications in various sectors like food processing, manufacturing and packaging. it is used for wrapping and interleaving food products during processing and packaging operations in order to prevent moisture loss and maintain the product integrity.

Natural Greaseproof Paper Market By Distribution Channel Segment Review:

The direct distribution channel, the manufacture of the product. Sell their products directly to the end users, bypassing the. middleman such as wholesaler distributors or retailers. This lets the manufacturers to establish direct relationships with the customers and provide customized solutions. The direct distribution channels are commonly utilized by large scale manufacturers or brands which often have dedicated sales teams or online platforms through which they sell the product. The indirect distribution involves the middleman or intermediates like wholesalers, distributors, agents or retailers to distribute their products to the end users. The middlemen or choosing products from manufacturers in bulk quantity and sells them to the retailers or the end users, making up their profit margin.

Natural Greaseproof Paper Market by End User Industry Segment Review:

The food and beverage sector is one of the major and primary sector of natural greaseproof paper, utilizing for packaging various food items including bakery products, fast food, confectionery, dairy products and frozen foods. In the pharmaceutical industry, it finds application in packaging medicines, tablets, capsules or other pharmaceutical products, providing a barrier against moisture and external contaminates. It is commonly used for blister packing, sachets, pouches and wrapping materials.

The cosmetic industry utilizes it for baggage, various beauty and personal career products like soap creams, lotions, perfumes, and other makeup items, it is valued for its ability to preserve the quality and integrity of the cosmetic product. In the homecare and electronics segment it is used for packaging items like batteries, electronic components, appliances and other household products

Natural Greaseproof Paper Market Regional Analysis:

North America is a significant market driven by the factors like strict regulations for food safety and packaging materials fuels the adoption of natural greaseproof papers. The demand for convenient and grab and go food items culture in the fast-food and QSRs, drives the market towards growth. Europe is another significant market driven by the factors like the presence of the European Union’s laws on food safety, fuels the market growth. The presence of bakery and food service industries is the significant driver of the market. 

Asia Pacific is a rapidly growing market due to the large population and changing lifestyles of the consumers. The urbanization and proliferation of QSRs, cafes and food delivery services drives the market towards growth. The Middle East and Africa is a growing market due to the growing tourism and hospitality. South America is a growing market due to the presence of food processing industries in this region.

Key Challenges:

The production cost of natural grease proof paper involves high manufacturing cost as compared to the alternative conventional paper products, which may pose a challenge for the manufacturers to offer competitive pricing in price sensitive market. The compliance with the strict laws and regulations really word safety packaging materials and coupled with environmental sustainability is crucial for natural grease proof paper manufacturers where ensuring these compliances may be complex and costly.

Competitive Landscape:

In the highly competitive Natural Greaseproof Paper market, companies are investing heavily in research and development to innovate and improve the product and services. They are also collaborating, forming strategic partnerships, or acquiring other companies to gain access to new market segments, enhance distribution networks, and increase market share. Recent developments includes – Nordic paper obtained certification for specialty products for industries and residential, in September 2022. Ahlstrom-munksjo launched a new range of products in North America, in May 2021.

Global Key Players:

·         Noridac paper

·         Ahlstrom-munksjo Oyj

·         Domtar Corporation

·         Metsa Group

·         Delfortgroup AG

·         KRPA Holdings CZ, a.s.

·         Vicat Group

·         Pudumjee Paper Products

·         DISPAPALI

·         Cheerver Specialty Paper and Film