Foodservice Paper Bag Market Growth – Demand & Forecast 2024-2034

Foodservice Paper Bag Market Outlook

The global foodservice paper bag market is expected to increase at a CAGR of 3.1% from 2024 to 2034, estimated at USD 953.1 million. By 2034, the sales revenue of foodservice paper bag is projected to be worth USD 1293.3 million. The main catalyst of increased foodservice paper bag sales is the growing consumer and food brand preference for eco-friendly packaging.

The foodservice business used conventional plastic bags to transport food items to customers. Later, government campaigns and prohibitions on plastic packaging opened up novel market expansion opportunities for foodservice paper bag. The opening of numerous new foodservice establishments fuels the demand for foodservice paper bag.

The foodservice paper bag demand is boosted by the prevalence of internet platforms for food delivery. An increase in online orders facilitates the growing potential for the global food business.

Attributes	Details
Market Value for 2024	USD 953.1 million
Market Value for 2034	USD 1293.3 million
Market CAGR from 2024 to 2034	3.1%

Emerging Opportunities in Foodservice Paper Bag Solutions

• The demand for eco-friendly packaging solutions is rising as environmental concerns increase. Paper bags are favored over plastic ones because they are recyclable and biodegradable, which presents a market expansion opportunity for foodservice paper bag.
• Numerous nations put regulations in place to lower the usage of single-use plastics. This includes levying taxes or outlawing plastic bags, which increases the demand for foodservice paper bags.
• The demand for foodservice paper bags is governed by the growth of meal delivery services, especially in urban areas. There's a growing demand for foodservice paper bag that are simple, and environmentally friendly as more eateries switch to delivery services.
• Companies portray themselves as ecologically conscious by including sustainable packaging in their branding strategy. Paper bags are becoming increasingly acceptable as a sustainable packaging option for foodservice outlets, which presents the potential for foodservice paper bag vendors.

Attributes	Details
Market Value for 2019	USD 816.8 million
Market Value for 2023	USD 919.9 million
Market CAGR from 2019 to 2023	2.4%

Constraints in the Foodservice Paper Bag Sector

• Global economic conditions and demand-supply dynamics are two factors that negatively impact the price of raw materials used to make foodservice paper bags. Fluctuating costs strongly impact the foodservice paper bag firm's stability and profit margins.
• The demand for foodservice paper bags is negatively affected by shifting consumer tastes and habits driven by convenience, style, and brand impression. Maintaining market relevance and customer loyalty requires an understanding of these changing tastes and the ability to adjust accordingly.
• The foodservice paper bag industry has increased due to environmental awareness. However, there are obstacles because of strict laws governing waste management, recycling, and sustainability. Investments in technology and procedures are necessary to comply with these laws, which raise operating expenses, hindering the market growth of foodservice paper bag.

Category-wise Outlook

The segmented foodservice paper bag market analysis is included in the following subsection. Based on comprehensive studies, the brown kraft sector is leading the material category, and the restaurants segment is commanding the end use category.

The Competitive Edge of Brown Kraft Paper Bags

Segment	Brown Kraft
Share (2024)	82.9%

• Brown kraft paper bags are considered more robust and long-lasting, offering superior food item protection during handling and transportation.
• Sophisticated consumers looking for organic and artisanal food options are likely to find the earthy tones of brown kraft paper bags appealing as they reflect authenticity and handcrafted quality.
• From bakeries and delis to food trucks and takeaway establishments, brown kraft paper bags are adaptable and ideal for various food service uses.

Restaurants as Pillars of the Foodservice Paper Bag Market

Segment	Restaurants
Share (2024)	50.7%

• The rise in takeout and restaurant meals has increased demand for long-lasting, environmentally friendly foodservice paper bags.
• Their practicality for restaurant operations maintains paper bags' market dominance, including effective handling and disposal.
• The restaurant sector is expanding quickly, and customers are becoming more interested in environmentally friendly packaging. This makes the restaurant industry a significant source of revenue for the foodservice paper bag sector.
• In line with changing customer expectations, paper bag restaurants can boost sales of foodservice paper bag by offering customization options and branding opportunities.

Country-wise Analysis

As per takeout paper bags industry analysis, the market has much potential in North America, Europe, and Asia Pacific. Upon deeper inspection, it is clear that the Asia Pacific area presents numerous opportunities for restaurant paper bag expansion.

This trend is highlighted by the data depicted in the tables that go with it and show the region's promising disposable paper bag market dynamics. The abundance of potential that foodservice paper bag providers in the Asia Pacific have to offer is highlighted in this thorough assessment.

Market Opportunities for Foodservice Paper Bag in North America

Countries	CAGR (2024 to 2034)
United States	2.4%
Canada	2.1%

United States Industry Outlook

• The United States foodservice paper bag industry is expanding due to growing customer demand for easy takeout and delivery choices.
• As fast-casual restaurants proliferate, paper bags are progressively prevalent in the United States for packaging and branding reasons.

Canada Industry Outlook

• The growth in demand for foodservice paper bags in Canada, encourages restaurants and foodservice providers to improve their environmental sustainability initiatives.
• The foodservice paper bag producers in Canada are encouraged by government programs that support recycling and waste reduction to switch from plastic to paper bags for their foodservice operations.

Opportunities in the Europe Foodservice Paper Bag Industry

Countries	CAGR (2024 to 2034)
Germany	2.0%
United Kingdom	2.6%
France	1.6%
Italy	1.8%
Spain	3.5%

Spain Industry Outlook

• The growth of tapas establishments and street food vendors in Spain stimulates the foodservice industry's need for small, durable food delivery paper bags.
• The cultural relevance of communal eating experiences in Spain shapes the demand for large-format foodservice paper bags appropriate for sharing meals among groups.

United Kingdom Industry Outlook

• The growth of artisanal and gourmet food outlets in the United Kingdom prompts the need for premium-quality foodservice paper bags.
• Foodservice paper bag market dynamics in the United Kingdom are motivated by shifting customer preferences toward eco-friendly and biodegradable packaging options.

Germany Industry Outlook

• Environmental concerns have led to a growing desire for eco-friendly packaging alternatives, which has boosted Germany's foodservice paper bag industry.
• Strict restrictions that encourage sustainable packaging practices impact Germany's eco-friendly paper bags market dynamics.

Italy Industry Outlook

• The demand for foodservice paper bags in Italy is growing as cafés and restaurants look for eco-friendly substitutes for plastic packaging to appeal to the nation's environmentally concerned clientele.
• The industry's need for robust and aesthetically beautiful biodegradable paper bags is propelled by the Italian custom of "al fresco" dining.

France Industry Outlook

• French foodservice paper bag manufacturers’ growing emphasis on corporate social responsibility (CSR) altered adoption of foodservice paper bags.
• The growing consumer preference for locally sourced and organic food products is creating opportunities for foodservice paper bag producers in the French foodservice industry.

Sales Analysis of Foodservice Paper Bag in Asia Pacific

Countries	CAGR (2024 to 2034)
India	6.7%
China	5.9%
Japan	2.6%
South Korea	2.1%
Thailand	5.5%

India Industry Outlook

• The foodservice paper bag market is increasing in India because of rising disposable incomes and shifting consumer preferences toward hygienic and easy packaging choices.
• Indian restaurateurs and foodservice operators are drawn to the cutting-edge designs and personalization options in biodegradable paper bags.

China Industry Outlook

• The foodservice paper bag sector is growing rapidly in China due to urbanization and changing lifestyles, boosting the rapid rise of the food delivery industry.
• The foodservice industry in China is seeing a trend toward eco-friendly foodservice paper bags due to increased public awareness of the harmful effects of plastic bags on the environment.

Thailand Industry Outlook

• The increasing popularity of street food culture and the expanding food delivery industry in Thailand are compelling demand for foodservice paper bags and other handy, hygienic packaging choices.
• The foodservice paper bag manufacturers are producing high-quality and aesthetically beautiful paper bags to meet the various demands of the Thai foodservice industry, owing to the availability of raw materials and technological improvements in printing.

Japan Industry Outlook

• The expansion of Japan's foodservice paper bag market results from industry participants and government agencies working together to encourage the use of recyclable materials.
• Japan's foodservice paper bag industry is expanding due to increased investments in research and development aimed at improving the bags' strength, resilience, and visual appeal.

South Korea Industry Outlook

• Opportunities for the growth of the restaurant paper bags market in South Korea are created by the emergence of online meal delivery platforms and the spread of convenience stores.
• Foodservice paper bags in South Korea are becoming more environmentally friendly due to technological developments in the manufacturing process, such as the creation of biodegradable coatings and inks.

Competitive Analysis

Prominent foodservice paper bag vendors like WestRock Company, Hutamaki Oyj, and Novolex Holdings LLC stand out as sector leaders in the competitive market by fostering innovation and establishing high standards for dependability. The foodservice paper bag manufacturers use their worldwide reach and wealth of knowledge to stay ahead of the competition.

Producers of foodservice paper bags, such as Ronpak Inc., Mondi Group, and Amcor Ltd., contribute their advantages and capabilities, enhancing the range of goods and services accessible to customers. The innovative ideas and customer-centric tactics employed by International Paper Company and Smurfit Kappa Group significantly contribute to shaping the restaurant paper bag market landscape.

Gerhard Schürholz GmbH, ProAmpac LLC, Welton Bibby, and Baron Limited add to the competitive dynamics with their dedication to sustainability. With their varied product portfolios and emphasis on catering to the changing requirements of foodservice organizations, Toybe Global Packaging, AB Group Packaging, and Smith Anderson Group Ltd. broaden the foodservice paper bag market.

Driven by ongoing innovation and strategic activities of major foodservice paper bag suppliers, the market is characterized by fierce competition and a broad range of services. These foodservice paper bag businesses stay adaptable and receptive to the ever-changing consumer tastes and industry trends, guaranteeing their success and relevance in the fast-paced market.

Latest Advancements

Company	Details
Novolex Holdings LLC	Novolex Holdings LLC announced the debut of revolutionary paper bags in August 2022 to help shops and restaurants make safer deliveries. The paper bag has a large aperture for simple loading, a flat bottom to keep objects secure, and strong paper twist handles for quick and dependable transportation.
WestRock Company	WestRock Company upgraded their production facilities in Claremont in March 2022, investing USD 47 million.
Huhtamaki Oyj	Huhtamaki Oyj bought Smith Anderson Group Ltd., a Portland-based corporation, in January 2022. The company makes and sells paper bags in Eastern Europe.
Mondi Group	Mondi Group and South African business Taurus Packaging cooperated in October 2021 to create reusable paper shopping bags.
Smurfit Kappa	To strengthen its paper sacks business, Smurfit Kappa invested USD 40 million in Latin America in February 2021.
Novolex Holdings LLC	Novolex acquired B&H Bag in December 2020 to expand its production capacity.

Key Foodservice Paper Bag Vendors

• WestRock Company
• Hutamaki Oyj
• Novolex Holdings LLC
• Ronpak Inc.
• Mondi Group
• Amcor Ltd
• International Paper Company
• Smurfit Kappa Group
• Welton Bibby And Baron Limited
• ProAmpac LLC
• Gerhard Schürholz GmbH
• Toybe Global Packaging
• AB Group Packaging
• Smith Anderson Group Ltd.
• Milhe & Avons

Key Coverage in Foodservice Paper Bag Market Report

• Adjacent Study on Foodservice Paper Bag Market, Kraft Paper Bags Market, and Paper Bags Market
• Market Trends Spurring Foodservice Paper Bag Sales
• India’s Opportunity to Become a Global Frontrunner in Foodservice Paper Bag
• Demand for Foodservice Paper Bag in Spain
• Strategies for Foodservice Paper Bag Vendors
• Competitive Analysis of Leading Foodservice Paper Bag Producers with Focus on Novolex Holdings LLC, WestRock Company, Huhtamaki Oyj, and Others.

Table of Content

• 1. Executive Summary
• 2. Market Overview
• 3. Market Background
• 4. Global Market Analysis 2019 to 2023 and Forecast, 2024 to 2034
• 5. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Material Type
  • 5.1. Brown Kraft
  • 5.2. White Kraft
• 6. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Bag Type
  • 6.1. Handle Bags
  • 6.2. Non-Handle Bags
• 7. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By End User
  • 7.1. Foodservice Outlets
  • 7.2. Online Food Delivery
  • 7.3. Institutional
• 8. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Region
  • 8.1. North America
  • 8.2. Latin America
  • 8.3. Western Europe
  • 8.4. Eastern Europe
  • 8.5. South Asia and Pacific
  • 8.6. East Asia
  • 8.7. Middle East and Africa
• 9. North America Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 10. Latin America Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 11. Western Europe Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 12. Eastern Europe Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 13. South Asia and Pacific Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 14. East Asia Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 15. Middle East and Africa Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 16. Key Countries Market Analysis
• 17. Market Structure Analysis
• 18. Competition Analysis
  • 18.1. WestRock Company
  • 18.2. Hutamaki Oyj
  • 18.3. Novolex Holdings LLC
  • 18.4. Ronpak Inc.
  • 18.5. Mondi Group
  • 18.6. Amcor Ltd
  • 18.7. International Paper Company
  • 18.8. Smurfit Kappa Group
  • 18.9. Welton Bibby And Baron Limited
  • 18.10. ProAmpac LLC
• 19. Assumptions & Acronyms Used
• 20. Research Methodology