Market Size of North America Retail Bags Industry
Study Period | 2019 - 2029 |
Base Year For Estimation | 2023 |
Forecast Data Period | 2024 - 2029 |
Historical Data Period | 2019 - 2022 |
CAGR | 5.57 % |
Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
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North America Retail Bags Market Analysis
The North American retail bags market is expected to record a CAGR of 5.57% over the forecast period (2022-2027). The rapidly increasing number of supermarkets, shopping malls, and developed retail sectors has been significantly feeding the global demand for retail bags. The retail bags market is increasing exponentially due to grown retail industries linked with the growing choice for eco-friendly packaging among customers.
- Increasing bans and regulations for plastic material usage in retail bags have incrementally pushed paper material usage, which is expected to drive the retail bag market during the forecast period. Also, increasing bio-based plastic use and recycling is expected to play an essential role in the plastic material segment in the retail bag market.
- As of 2020, nine U.S. states have restrictions or bans on plastic bag use, and 13 states have local ordinances about bag use (Sea Grant Law Center 2020). Recently, Ohio has been in the process of eliminating the local plastic bag ban for Cuyahoga County, which the Governor has currently paused because of the pandemic. The establishment of preemption laws in Ohio is contrary to what has been shown by several studies in Ohio ( Hardy and Bartolotta, 2021). The study reflects that most of the respondents favor the plastic bag ban. This will increase the retail bag industry as a more environmentally friendly option and drive the sector in the near future.
- As per the FDEP 2021 report on retail bags, in the 2021 Legislative Session, Section 403.7033, F.S. was amended to require DEP to review and update the 2010 Retail Bags Report and submit this report to Legislature by December 31, 2021. The Statute directed the report to include an analysis of the need for new or different regulations of wrappings and auxiliary containers. The new report is expected to suggest the use of an alternative method of carrying products from the perspective of benefits of using retail bags being more environmentally friendly, and the use of retail bags will increase, which will further drive the market.
- The covid pandemic has offset the driving factors for reusable bags and has caused a setback in the ban on single-use plastics. With early 2021 concerned about the risks of infection spread, the allied consumers of retail goods went back to throwaway packaging.
- Due to the pandemic in the North American region, many states in the United States and Canada implemented bag ban preemption laws (Sea Grant Law Center 2020), preventing local governments from enforcing plastic bag bans or bans on other single-use plastic items such as Styrofoam or carryout containers. For instance, recently, Ohio has been in the process of eliminating the local plastic bag ban for Cuyahoga County, which the Governor has currently paused because of the pandemic.
North America Retail Bags Industry Segmentation
The North American retail bags market considers the sales of single-use paper-based retail bag products. The study considers only the revenue that is generated at the first point of sale-direct sales to the final end-users, distributors, etc. The study offers the global trends pertaining to the technological innovations, major trends, factors influencing the demand, strategies of the key players, and market size in terms of various end-users, regions, and product types.
By End-User | |
Grocery Stores | |
Food Service | |
Other Emd-users |
By Country | |
United States | |
Canada |
North America Retail Bags Market Size Summary
The North American retail bags market is experiencing significant growth, driven by the increasing number of supermarkets, shopping malls, and a developed retail sector. This growth is further fueled by a rising consumer preference for eco-friendly packaging solutions. The market is witnessing a shift from plastic to paper and bio-based materials due to increasing regulations and bans on plastic bag usage. These regulatory measures are encouraging the adoption of paper bags, which are viewed as a more environmentally friendly alternative. The trend towards recycling and the use of recycled materials is also gaining momentum, with paper being one of the most recycled materials in North America. This shift is supported by high recycling rates and the availability of community recycling programs, which are contributing to the growing demand for paper-based retail bags.
The market landscape is highly fragmented, with numerous players competing for market share. The demand for paper shopping bags is on the rise, particularly as more states implement bans on single-use plastic bags. This has led to increased acquisitions and expansions among key players in the industry, as companies seek to strengthen their positions and expand their product offerings. The market is characterized by low entry barriers, which intensifies competition, especially from large packaging companies. Innovations in sustainable packaging solutions, such as water-resistant paper and compostable wraps, are also shaping the market dynamics. As the focus on sustainability continues to grow, the retail bags market in North America is poised for further expansion, driven by regulatory changes and evolving consumer preferences.
North America Retail Bags Market Size - Table of Contents
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1. MARKET INSIGHTS
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1.1 Market Overview
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1.2 Industry Attractiveness - Porters Five Force Analysis
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1.2.1 Threat of New Entrants
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1.2.2 Bargaining Power of Buyers/Consumers
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1.2.3 Bargaining Power of Suppliers
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1.2.4 Threat of Substitute Products
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1.2.5 Intensity of Competitive Rivalry
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1.3 Assessment of Impact of COVID-19 on the Market
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2. MARKET SEGMENTATION
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2.1 By End-User
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2.1.1 Grocery Stores
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2.1.2 Food Service
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2.1.3 Other Emd-users
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2.2 By Country
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2.2.1 United States
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2.2.2 Canada
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North America Retail Bags Market Size FAQs
What is the current North America Retail Bags Market size?
The North America Retail Bags Market is projected to register a CAGR of 5.57% during the forecast period (2024-2029)
Who are the key players in North America Retail Bags Market?
NovolexHoldings Inc, Smurfit Kappa Group PLC, Mondi Group PLC, el dorado packaging inc (ProAmpac) and International Paper company are the major companies operating in the North America Retail Bags Market.