World Demand for Fibre-Based Packaging to Rise to $503.4B by 2027

The latest studies of Smithers Pira expect CAGR of 3.4% in value terms and 3.7% in total fiber packaging weight up to 316.3m tonnes. Consumption of corrugated packaging materials is likely to increase by nearly 4% (about 40m tonnes) over the same period by over $43bn at constant 2021 prices

“The largest end use for fibre-based packaging in 2022 will be consumer packaging and this will remain unchanged to 2027,” informs Peter Sorfa, author of the research.

“It is anticipated that coated fibre-based packaging will become more popular, driven by the development of recyclable/ re-pulpable coating products.”

Smithers has noted that the food sector has seen an uptake in functional barrier coatings to preserve perishable goods and resist grease, oil, and water damage. Specialty barrier paper grades are being utilised in pouch packaging and food service applications, and while they are currently gaining momentum to package fresh produce and confectionary, improvements in coating performance are expected to further expand their range of applications.

Meanwhile, removing aluminium barrier layers and trialling fibre-based bottles are innovations that the report attributes to the beverage industry. It is still facing the stumbling block of relying on polymer-based barrier layers, with the expectation being that future developments will find ways to remove them in material recovery streams without damaging the recovered fibres.

For personal care goods, there is a parallel trend to develop fibre-based packaging materials that can replicate the premium look and feel of existing polymer formats. Industrial and transit packaging is also using more fibre-based alternatives, especially in protective components and dunnage in direct-to-consumer e-commerce channels.

Moulded pulp and fibre are anticipated to see a strong growth trajectory in the run-up to 2027, although all fibre packaging types are expected to grow in demand. This is currently being accommodated by multiple ongoing line expansions.