Food contact paper market is anticipated to grow at a CAGR of 4.8% during the forecast period. Food contact paper refers to papers that are likely to come into contact with food during manufacture, processing, serving, or storage. This comprises kraft paper, greaseproof paper, and parchment paper, among others. Paper is made of cellulose fibers, which are generally generated from wood making it biodegradable and renewable. Thus, to meet current packaging requirements, paper is treated with coatings, fillers, coatings, and synthetic binder, making it ideal for a wide range of applications, including those that need interaction with liquid and semifluid meals. 

Market Dynamics  

Growing Demand for Online Food Delivery Services

The growth in the food contact paper market is driven by the rising adoption of on-demand delivery services and off-premise eating habits. The drastic change in eating habits has led to increased utilization of paper in food storage and delivery, stimulating demand. For instance, according to the National Restaurant Associations Survey, as the convenience and speed of online and app-based ordering in other industries continue to influence consumer habits, nearly 60% of restaurant visits are now off-premises in all forms, including drive-thru, takeaway, and delivery. Customers are especially interested in consumer-facing solutions like drive-thru upgrades, order accuracy tracking, and seamless mobile ordering. Key areas for growth include: 92% of consumers use drive-thru at least once a month., 34% of consumers utilize delivery more often., 79% of consumers use restaurant delivery, and 53% use third-party) at least once a month.

Growing Demand for Eco-Friendly Packaging

Increasing demand for environment-friendly packaging is projected to boost the market during the forecast period. Paper for food contact is a versatile and cost-effective packaging option for protecting, preserving, and transporting a wide variety of food products. The adoption of sustainable packaging and promotion of eco-friendly packaging for food goods by important players and small-scale industry participants is having a beneficial impact on the market. For instance, in July 2023, Mondi, a leader in packaging and paper invested $17.5 million in innovative technologies to create a new packaging line called Functional Barrier Paper Ultimate. The innovation is intended to comply with industry standards for achieving the stipulated level of barrier protection including non-recyclable plastic or aluminum-lined solutions, and recyclable paper waste streams across Europe while also providing critical product protection.

Segmental Outlook 

Our in-depth analysis of the global food contact paper market includes the following segments by type and application.

• Based on type, the market is sub-segmented into kraft paper, greaseproof paper, glassine paper, parchment paper, and others.

• Based on application, the market is sub-segmented into ready meals, dry groceries, bakery products, liquid food & drinks, takeaway & vending foods, and others.

Kraft Paper is the Dominant Sub-Segment

Kraft paper has the biggest market share due to its widespread use in food packaging applications. It is made utilizing the kraft process, which creates a material that can resist more weight and strain than its counterparts. The paper is highly valued for its eco-friendliness, which aligns well with rising consumer and governmental expectations for sustainable packaging solutions. Furthermore, the adaptability of kraft paper in combination with different thicknesses and coatings, makes it ideal for a variety of food contact applications. 

Bakery Products is the Most Prominent Application

The bakery products sector has a prominent market share, owing to the substantial usage of food contact paper and board in packaging a wide range of bakery items. This category contains bread, pastries, cakes, biscuits, and other confectionary items. Food contact paper is frequently utilized to preserve the freshness and integrity of bakery products while also making them visually appealing to consumers. They are frequently built to be grease-resistant and capable of withstanding fluctuating temperatures, which is critical for preserving the quality of baked items.

Regional Outlook 

The global food contact paper market is further segmented based on geography including North America (the US, and Canada), Europe (UK, Italy, Spain, Germany, France, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, and Rest of Asia), and the Rest of the World (the Middle East & Africa, and Latin America).  

North America Holds Highest Share in Global Food Contact Paper Market  

North America holds the highest share of the global food contact paper market. The key factors contributing to the growth include the increasing investment in packaging R&D, the presence of prominent market players, stringent government policies, the growing trend toward convenient on-demand and off-premises food services in the region, and the demand for eco-friendly packaging alternatives. For instance, in February 2024, the US Food and Drug Administration announced that grease-proofing polymers containing per- and polyfluoroalkyl substances (PFAS) will no longer be sold for use in food packaging in the US. This implies that fast-food wrappers, microwave popcorn bags, take-out paperboard containers, and pet food bags, which are the most common sources of dietary exposure to PFAS, are being eliminated.

Global Food Contact Paper Market Growth by Region 2024-2031 

Asia-pacific is the Fastest Growing Food Contact Paper Market 

• Asia (specifically India and China) are huge exporters of food products to Western countries, creating a big market for sustainable packaging in the region.

• Asia-Pacific region is also a growing market for online food delivery services stimulated by overall economic development, changing lifestyle patterns, rising disposable income, and spending.

Market Players Outlook

*Note: Major Players Sorted in No Particular Order. 

The major companies serving the global food contact paper market include Mondi PIC, Twin Rivers Paper Co., Westrock Co., and Schweitzer-Mauduit International (Mativ Holdings, Inc.) among others. With growing demand, market players are focusing on capitalizing on growth by adopting strategies such as collaboration, partnerships, and market expansion among others. For instance, in July 2022, Mativ Holdings, Inc. announced the successful completion of the merger of equals between Schweitzer-Mauduit International, Inc. and Neenah, Inc., two leading global makers of specialized materials. Mativ has about $3 billion in revenue, serving customers in over 100 countries, with manufacturing capacities on four continents.

The Report Covers 

• Market value data analysis of 2023 and forecast to 2031. 
• Annualized market revenues ($ million) for each market segment. 
• Country-wise analysis of major geographical regions. 
• Key companies operating in the global food contact paper market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report. 
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future. 
• Analysis of market-entry and market expansion strategies. 
• Competitive strategies by identifying ‘who-stands-where’ in the market.