Press release
Paper & Paperboard Trays Market Asia Pacific excluding Japan to Hold Major Share
The rising demand for semi-rigid structures for a cost-effective and versatile packaging applications in diverse industries such as consumer durables, electronics, personal care & cosmetics, and homecare products, is propelling the demand for these containers.
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In various parts of the world, recycled paperboard packaging solutions made from sustainable materials have gained traction for packing disposable foodservice products. This has bolstered the adoption of paper and paperboard trays in recent years.
The substantial benefits of on-the-go convenience of these packaging applications in the food service segment has boosted the demand for various paperboard trays, including corrugated boxes.
Advancements in molding and printing technologies has enabled manufacturers in various developed and developing regions to develop paper and paperboard trays that allow retail players achieve competitive branding.
The global paper and paperboard trays market is projected to rise from a valuation of US$4,444.3 Mn in 2017 to reach a worth of US$5,893.9 Mn by the end of 2022. The market is predicted to clock a CAGR of 5.8% during the forecast period of 2017–2022.
An in-depth insight into the key factors impacting the growth trajectory of the global paper and paperboard trays market is offered below:
The rising worldwide demand for sustainable and flexible packaging applications in various industries, notably in the food and beverages industry, is a key factor driving the global paper and paperboard trays market.
The rising demand for cost-effective paperboard packaging for food and beverages is a vital factor stoking the demand for paper and paperboard trays. A wide array of benefits offered by these containers to end-use industries, such as retail differentiation, thermal stability, and moisture benefits, is boosting the uptake in various regions.
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Stricter implementation of global food safety standards in several developed countries has led to a wider adoption of paper and paperboard trays for disposable foodservice packaging applications.
A number of supply chain concerns and cost constraints faced by players in the paper and paperboard packaging is a critical factor likely to negatively influence the growth of the market to an extent. On the other hand, several manufacturers are investing in new materials and better water technologies to address these concerns.
The advent of customizable trays for premium quality food grade packaging is a crucial trend expected to open exciting avenues during the forecast period. In addition, the striking flexibility of vast graphics printability possible with corrugated boxes helps in upping the brand appeal, thereby bolstering their demand.
Regionally, Asia Pacific excluding Japan (APEJ) holds the dominant revenue shares of the global market and is expected to retain its lead throughout the forecast period.
The APEJ paper and paperboard trays market is predicted to create an absolute opportunity estimated US$607 Mn during 2017–2022. The dominance of the regional market can be attributed primarily to the substantial demand for cost-effective and sustainable packaging, especially for food grade applications.
Of all the material types in making paper and paperboard trays, corrugated board is the leading segment and is projected to witness dominant growth, in absolute terms, over the assessment period. The segment is estimated to be worth US$3,344.1 Mn by the end of 2022.
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