Global recycled paper packaging market to grow at 7.73% CAGR

SPOKANE (Scrap Monster): The latest research report released by ‘Research and Markets’ states that worldwide recycled paper packaging market is likely to grow at a CAGR of 7.73% over the period 2014-’19. Moreover, Asia-Pacific (APAC) region is expected to report robust demand growth of recycled paper packaging industry during this period.

According to the report titled “Global Recycled Paper Packaging Market 2015-2019”, recycled paper packaging reduces the cost of packaging material by as much as 40%. Recycled paper packaging uses paper products derived from waste paper as raw material. Waste paper is either generated by end-consumers or generated as wastage during production of other paper packaging products.

The report notes that paper can be recycled up to 10 times to produce new products. It limits environmental footprints through reduced emission of toxic chemicals. The environmental sustainability features of recycled paper packaging have led to its increased use in wide variety of sectors including Food and Beverages, Healthcare and Personal Care.

The increased production of paper and pulp in the Asia-Pacific region has resulted in substantial growth of recycled paper packaging industry there. The increasing demand in the emerging markets in the region has led to increased production of paper recycling materials by companies in the APAC region.

The efforts by several world countries to reduce plastic usage are expected to fuel the growth of recycled paper packaging. Increasing awareness about the threats posed by plastic waste is likely to trigger the demand for sustainable products. Expansion of recycling initiatives to more communities is likely to contribute much to market growth during the period.

However, the global recycled paper packaging market presently has a huge gap between demand and supply. Suppliers are seen unable to meet the demand from consumers and markets. Consequently, consumers are forced to switch to alternative products. The report identifies lack of proper infrastructure facilities and machinery as the key causes for the supply-demand gap.