Industry Outlook: Pulp market to grow by US$43.2B from 2025 to 2029, reports Technavio

GLOBAL – According to Technavio, the global pulp market size is set to expand by US$43.2 billion between 2025 and 2029, growing at a compound annual growth rate (CAGR) of 3.8%.

This growth is fueled by rising demand for chemical wood pulp and the increasing use of fluff pulp, valued for its absorbent properties.

The pulp market is experiencing robust developments across sectors such as food and beverage, personal care, and paper packaging.

The push for eco-friendly solutions is a major driver, with green packaging becoming increasingly popular.

Leading paper manufacturers like International Paper and Stora Enso are investing in renewable energy and sustainable packaging innovations.

Trends driving growth

Food and beverage packaging: Consumer preference for paper-based packaging and growing anti-plastic sentiment are reshaping the food and beverage industry.

Materials like white paper, recycled paper, and specialty papers are in high demand for sustainable packaging solutions.

Personal care and FMCG innovations: Fast-moving consumer goods (FMCG) companies, such as Unilever, collaborate with initiatives like the Pulpex Consortium to develop packaging solutions using recycled paper pulp.

The personal care sector also prioritizes recyclable and sustainable packaging, with a high demand for toilet paper and antimicrobial tissue products.

Retail and e-commerce expansion: The retail sector is increasingly adopting paper packaging because it is lightweight, recyclable, and offers cost-saving benefits in logistics.

The rapid growth of e-commerce, fueled by internet penetration and smartphone adoption, has further accelerated demand for paper-based packaging solutions.

Challenges and sustainability efforts

While the paper industry plays a vital role in socio-economic development and job creation, particularly in developing countries, it must address environmental challenges like deforestation.

Sustainable forest management and reducing water and greenhouse gas emissions are becoming critical priorities.

The diaper and hygiene market is a key driver for fluff pulp demand, particularly in Latin America and Asia.

With a growing focus on health and hygiene, the market for disposable diapers is projected to expand by 50% by 2023.

Fluff pulp, derived from softwood, ensures superior absorbency and leak prevention, aligning with the needs of modern, convenience-focused consumers.

The global pulp market is evolving to meet consumer and industry demands for sustainability and innovation.

As companies invest in eco-friendly solutions and new applications for pulp, the industry is poised for steady growth while tackling environmental concerns to ensure long-term success.

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