Paper Bags Market in North America Rising to US$ 4,295.1 Million by 2033: Exclusive In Depth Report by FMI

The Paper Bags Market in North America is a significant segment within the broader packaging industry, reflecting a growing preference for sustainable and eco-friendly packaging solutions. Paper bags have gained prominence as a preferred choice for packaging due to their biodegradability, recyclability, and reduced environmental impact compared to traditional plastic alternatives. As consumers and businesses alike increasingly prioritize sustainability, the Paper Bags Market in North America experiences a notable surge in demand, driven by environmental consciousness and regulatory initiatives.

Total sales of Paper Bags Market in North America are projected to reach an estimated value of US$ 3,203.8 million in 2023, with further revenue growth anticipated, aiming for a total of US$ 4,295.1 million by the conclusion of 2033. These sales are expected to demonstrate a steady expansion, maintaining a compound annual growth rate (CAGR) of 3.0% throughout the forecast period spanning from 2023 to 2033.

Among the various material types, the brown kraft segment stands out, commanding a significant share of nearly 56.1% in the North America paper bag market. This segment is predicted to maintain its lead, expanding at a CAGR of 2.0% over the forecast period from 2023 to 2033. In the category of thickness, the 101 to 150 microns segment is set to surpass expectations with a CAGR of 2.0% between 2023 and 2033, contributing to the industry’s sustained growth.

In 2022, the revenue generated from the sales of paper bags in North America was valued at US$ 3,093.6 million, with the retail segment, by end-use, claiming a substantial share of approximately 43.4% in terms of value by the end of 2023.

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Market Drivers:

  1. Consumer Preference: Many consumers prefer paper bags over plastic due to their biodegradability and recyclability, which align with their environmental values.
  2. Sustainability and Environmental Concerns: The increasing focus on sustainability and the reduction of single-use plastics has driven the demand for paper bags as an eco-friendly alternative. Consumers and businesses are looking for more sustainable packaging options.
  3. Regulatory Initiatives: Government regulations and policies aimed at reducing plastic waste and promoting environmentally friendly packaging solutions have encouraged the adoption of paper bags.
  4. Shift in Retail Practices: Many retailers are transitioning from single-use plastic bags to paper bags, responding to consumer preferences and reducing plastic pollution.
  5. Promotion of Local Manufacturing: Support for local manufacturing and the “buy local” movement has driven the production and use of paper bags within North America.
  6. Customization and Branding: Businesses are increasingly using paper bags for branding and customization, making them a popular choice for marketing and promotional activities.

End-Use Dynamics Shaping Sales

Paper bags serve as a versatile and eco-friendly solution that addresses a spectrum of environmental, economic, and hygienic concerns, extending their benefits to various industries in North America. These industries include foodservice, retail, e-commerce, agriculture, and building & construction, all of which actively seek dependable and environmentally responsible packaging choices.

The adoption of paper-based packaging, notably paper bags, aligns with stringent regulatory standards and complements the mounting awareness among consumers regarding environmental responsibilities. This makes paper bags an ideal substitute for plastic-based packaging in a wide range of applications, responding to the call for more sustainable packaging practices in North America.

The progression of paper bag manufacturing technology plays a pivotal role in enhancing the durability and versatility of these products. This technological advancement has fueled their adoption across diverse sectors, including retail, food service, and hospitality. Collectively, these factors exert a positive influence on the increasing demand for paper bags in North America, reflecting a growing shift toward sustainable and eco-conscious packaging solutions.

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Key Market Players

  • Mondi Plc
  • Smurfit Kappa
  • International Paper Company
  • JohnPac Inc
  • ProAmpac LLC
  • Stora Enso Oyj
  • Oji Holdings Inc
  • Novolex Holdings Inc
  • Conitex Sonoco
  • Ronopac Inc
  • Atlas Paper Bag Co Ltd
  • Huhtamki OYJ
  • Global-Pac Inc
  • United Bag, Inc
  • Material Motion Inc.

Key Segments

By Product Type:

  • Sewn Open Mouth
  • Pinched Bottom Open Mouth
  • Pasted Valve
  • Pasted Open Mouth
  • Flat Bottom

By Material Type:

  • Brown Kraft
  • White Kraft
  • Recycled Fiber

By Thickness:

  • Up to 50 Microns
  • 51 to 100 Microns
  • 101 to 150 Microns
  • Above 150 Microns

By Distribution Channel:

  • Direct Sale
  • Distributors
  • Bricks and Mortar
  • E-Retailers

By End Use:

  • Food Service
    • Restaurants
    • Hotels, Resorts and Institutions
    • Online Food Delivery
    • Food Courts
  • Retail
  • E-Commerce
  • Other Industries
    • Building & Construction
    • Chemical
    • Agriculture & Allied Industries

By Region:

  • United States
  • Canada

About Future Market Insights (FMI)

Future Market Insights, Inc. (ESOMAR certified, recipient of the Stevie Award, and a member of the Greater New York Chamber of Commerce) offers profound insights into the driving factors that are boosting demand in the market. FMI stands as the leading global provider of market intelligence, advisory services, consulting, and events for the Packaging, Food and Beverage, Consumer, Technology, Healthcare, Industrial, and Chemicals markets. With a vast team of over 5000 analysts worldwide, FMI provides global, regional, and local expertise on diverse domains and industry trends across more than 110 countries.

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About the Author

Nikhil Kaitwade

Associate Vice President at Future Market Insights, Inc. has over a decade of experience in market research and business consulting. He has successfully delivered 1500+ client assignments, predominantly in Automotive, Chemicals, Industrial Equipment, Oil & Gas, and Service industries.
His core competency circles around developing research methodology, creating a unique analysis framework, statistical data models for pricing analysis, competition mapping, and market feasibility analysis. His expertise also extends wide and beyond analysis, advising clients on identifying growth potential in established and niche market segments, investment/divestment decisions, and market entry decision-making.
Nikhil holds an MBA degree in Marketing and IT and a Graduate in Mechanical Engineering. Nikhil has authored several publications and quoted in journals like EMS Now, EPR Magazine, and EE Times.

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