India Paper And Paperboard Packaging Market Size (2024 - 2029)

India Paper And Paperboard Packaging Market Analysis

The India Paper And Paperboard Packaging Market size is estimated at USD 12.87 billion in 2024, and is expected to reach USD 17.74 billion by 2029, growing at a CAGR of 6.63% during the forecast period (2024-2029).

The paper packaging industry experienced growth over the last decade, owing to substrate choice changes, new global market expansion, ownership dynamics, and government initiatives to ban plastic. Sustainability and environmental issues continue to be emphasized, and various innovations catering to paper and paper board packaging are expected to drive the industry trends in India. 

Paper-based packaging to preserve food products has advanced significantly in recent years. For example, corrugated board packaging for transporting fresh fruits and vegetables has become increasingly popular. The layers of the corrugated board need to bond at high temperatures to kill bacteria. The recyclability of grooved boards prevents repeated use, reducing cross-contamination. 

Several manufacturers have also started using aseptic paper packaging in recent years. This is done by sterilizing the food product and the packaging using a hot hydrogen peroxide bath. Aseptic paper keeps products like milk, coffee, and fruits and vegetables fresh for a longer period because there is no risk of pathogens entering the packaging. In line with this, players are increasingly investing in launching compostable packaging. For instance, in October 2023, Pakka collaborated with Brawny Bear, a date-based food manufacturer that aligns with Pakka's sustainability philosophy, to launch India's first compostable flexible packaging. The introduction of this compostable packaging marked a milestone in India's packaging industry, valued at over USD 70 billion. 

In addition, in an increasingly eco-friendly world, sustainable packaging plays a vital role in reducing the environmental impact of packaging materials. It reduces waste by using of biodegradable, recyclable, and compostable materials, contributing to the circular economy. Adopting sustainable packaging practices also increases customer loyalty, as customers are more likely to support businesses that share their environmental values. Such factors are propelling the demand for paper packaging in India. 

Similarly, the growing adoption of paper packaging has forced paper mills in India to ramp up capital expenditure to upgrade their plant to enter niche products such as carry bags and straw paper. In December 2023, Andhra Paper produced barrier-coated products and invested in capital expenditure to refurbish and modernize plants. APL leveraged its strength to change the product mix across machines to meet the needs of the hour. The company also took timely initiatives to develop new products and launched niche products like carry bags and straw paper. The company also manufactures value-added products such as cup stock, pharma print, and hi BF virgin kraft. 

Paper packaging has many benefits. It is entirely recyclable and cost-effective, making it more eco-friendly than most plastics. According to industry statistics, over the last few years, many organizations are transitioning from the use of plastic-based packaging products to more sustainable alternatives such as paper & sack-based packaging products. However, it is important to remember that paper packaging has its own set of environmental challenges, such as moisture and water damage, increased energy used during production, and a bigger footprint during transportation. 

India Paper And Paperboard Packaging Industry Segmentation

The study tracks the demand for paper and paperboard packaging products like folding cartons, corrugated boxes, and others, which are frequently used for packaging food and beverage products, such as juices, milk, and cereals. There are numerous grades of paperboard packaging. Paperboard is the most common material used to make containers like folding cartons. Paperboard requires pulping, optional bleaching, refining, sheet forming, drying, calendaring, and winding to manufacture paper. 

The paper packaging industry in India is segmented by product type (folding cartons, corrugated boxes, and other product types) and by end-user industry (food, beverage, healthcare, personal care and household care, hardware and electrical products, and other end-user industries). The market size and industry forecast are provided in terms of value (USD) for all the above segments.