Food Wrapping Paper Market Size, Share, Growth Analysis, By Product type(Plastic and Paper), By End use(Hotels, Restaurants, Cafes, Fast Food Outlets), By Region - Industry Forecast 2024-2031

Food Wrapping Paper Market Drivers

Sustainable Food Wrapping Options will Shape the Market’s Future

• The growing demand for sustainable food wrapping is one of the key factors driving the global food wrapping paper market growth. Food service disposables, such as polystyrene and polypropylene food wrappers, are difficult to decompose and pollute the environment. Food wrapping solutions, such as compostable wrapping paper and eco-friendly products, are being developed by vendors. Paper wrapping has emerged as an environmentally friendly and cost-effective alternative to other materials such as metals and plastics. The increased restrictions on the use of plastic products, as well as the ban on single-use plastics, will increase demand for sustainable food packaging solutions such as food wrapping paper. A significant factor driving food wrapping demand is the growing demand for sustainable food packaging.

Food Wrapping Paper Market Restraints

Fluctuating Prices of Raw Materials to Hinder Market Growth

• The rise in raw material prices is one of the major impediments to the global food wrapping paper market's expansion. Kraft papers, for example, are made from unbleached pulp. The producer price index (PPI) for pulp, paper, and allied products increased to 220.57 in May 2020 from 195.4 in May 2019. Some food wrapping paper manufacturers have raised their prices. For example, in March 2021, Sappi Europe, a European paper manufacturer, announced an increase in the prices of all packaging and specialty papers, effective April 1, 2021. All uncoated grades, including glassine, and all coated grades will see a 7%-11% price increase. Lecta Ltd. implemented an 8%-10% per tonne price increase on all packaging, technical, and label grades of paper in July 2021. These factors may stymie market growth during the forecast period.