Paper Bag Market Report 2026

Paper Bag Market Overview

• Paper Bag market size has reached to $6.43 billion in 2025 • Expected to grow to $8.86 billion in 2030 at a compound annual growth rate (CAGR) of 6.7% • Growth Driver: Online Food Delivery Boom Fuels Growth In The Paper Bag Market • Market Trend: Advancing Sustainability Through Innovative Paper-Based Packaging • North America was the largest region in 2025 and Asia-pacific is the fastest growing region.

What Is Covered Under Paper Bag Market?

Paper bags are bags made of paper that are used for carrying or delivering groceries or other items. They are commonly used as an eco-friendly alternative to plastic bags as they are biodegradable, recyclable, and made from renewable resources. The main types of paper bags are flat-bottom bags, pinched-bottom bags, sewn open-mouth bags, pasted valve bags, and others. Flat bottom bags refer to a type of bag that stands upright on shelves or wherever they are placed because of their flat bottoms and they are used by takeout restaurants and culinary businesses in the packaging of many industries such as animal food packaging, organic product packaging, and many other uses. Major materials used are brown kraft and white kraft that are used for single use and reusable in various distribution channels such as convenience stores, supermarkets or hypermarkets, specialty stores, e-commerce, other distribution channels by food and beverages, pharmaceutical, retail, construction, chemicals, and other end-users.

What Is The Paper Bag Market Growth Forecast?

The paper bag market size is expected to see strong growth in the next few years. It will grow to $8.86 billion in 2030 at a compound annual growth rate (CAGR) of 6.7%. The growth in the forecast period can be attributed to increasing implementation of plastic ban regulations, rising demand for sustainable retail packaging, expansion of e-commerce packaging needs, growing investments in recyclable packaging materials, innovation in paper bag durability. Major trends in the forecast period include increasing adoption of eco-friendly packaging solutions, rising demand for reusable paper bags, growing use of custom printed paper bags, expansion of automated paper bag manufacturing, enhanced focus on strength and load-bearing capacity.

Global Paper Bag Market Segmentation

1) By Type: Flat Bottom Bags, Pinched Bottom Bags, Sewn Open Mouth Bags, Other Types 2) By Material Type: Brown Kraft, White Kraft 3) By Usage: Single Use, Reusable 4) By Distribution Channel: Convenience Stores, Supermarkets Or Hypermarkets, Specialty Stores, E-Commerce, Other Distribution Channels Subsegments: 1) By Flat Bottom Bags: Kraft Flat Bottom Bags, Colored Flat Bottom Bags 2) By Pinched Bottom Bags: Kraft Pinched Bottom Bags, Colored Pinched Bottom Bags 3) By Sewn Open Mouth Bags: Kraft Sewn Open Mouth Bags, Colored Sewn Open Mouth Bags 4) By Other Types: Recyclable Paper Bags, Biodegradable Paper Bags, Custom Printed Paper Bags

What Is The Driver Of The Paper Bag Market?

The increasing online food delivery services are expected to propel the growth of the paper bag market going forward. Food delivery services refer to online third-party food-ordering systems that deliver authorized food products. Paper bags are a versatile and eco-friendly packaging option that can provide a range of benefits for online food delivery services such as branding opportunities, moisture resistance, heat retention, and eco-friendly alternative to plastic bags and other packaging materials. For instance, in January 2024, according to the Food Standards Agency (FSA), a UK-based government agency, during 2022/23, ABC collaborated with Deliveroo, Just Eat and Uber Eats on the development of their proposed Food Safety Charter, which outlined the aggregators’ commitments to food safety and their intention to work with the FSA to help raise food safety standards. Over the same period, ABC delivered the agreed milestones, producing both a high-level framework and a more detailed policy proposal for the FHDM. Therefore, the increasing online food delivery services are driving the growth of paper bags.

Key Players In The Global Paper Bag Market

Major companies operating in the paper bag market are International Paper Company, WestRock Company, Smurfit Kappa Group plc, Oji Holdings Corporation, Mondi plc, Visy Industries Pty Ltd, Novolex Holdings LLC, Ronpak Inc., Paperbag Limited, Bagcraft Packaging LLC, Burgass Carrier Bags Ltd., Gilchrist Bag Manufacturing LLC, American Paper Bag LLC, Paperera de Girona SA, Sonoco Products Company, Genpak LLC, Champion Packaging & Distribution Inc., Packaging Pro Inc., International Converter Inc., Global-Pak Inc., CEE Schisler Packaging Solutions LLC, Ampac Holdings LLC, Emerald Packaging Inc.

Global Paper Bag Market Trends and Insights

Major companies operating in the paper bag market are focusing on developing advanced recyclable and biodegradable paper-based packaging solutions to strengthen their competitive positioning and meet rising sustainability expectations. Recyclable and biodegradable paper-based packaging solutions refer to packaging products made primarily from paper that can be safely decomposed by natural processes and reprocessed into new materials after use, thereby reducing environmental impact. For instance, in August 2025, Zeal X, a China-based paper-bag manufacturer, launched its FSC-certified Kraft Paper Bag, a fully recyclable, biodegradable, and plastic-free packaging solution designed for retail, apparel, footwear, and courier applications. The bag is manufactured using premium kraft paper sourced from sustainably managed forests, offers high tear resistance and strong load-bearing capacity, and supports full customization in size, printing, and handle formats to meet diverse branding needs. This launch reflects the accelerating shift toward eco-friendly, high-performance paper packaging that combines environmental compliance with functional durability in the paper bag industry.

What Are Latest Mergers And Acquisitions In The Paper Bag Market?

In October 2023, Rawlings & Son Ltd, a UK-based provider of glass packaging and drink-processing containers, acquired Paper Bag Co. for an undisclosed amount. With this acquisition, Rawlings aimed to extend its product portfolio to include sustainable, bespoke, and wholesale paper bags, thereby diversifying its packaging services beyond glass and strengthening its footprint in eco-friendly retail packaging. Paper Bag Co. is a UK-based manufacturer of a wide range of paper bags, including luxury laminated or unlaminated bags, kraft paper bags, twisted-handle and flat-handle carrier bags, catering bags, and bespoke printed paper bags for retail clients.

Regional Outlook

North America was the largest region in the paper bags market in 2025. Asia-pacific is expected to be the fastest-growing region in the global paper bag market report during the forecast period. The regions covered in this market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in this market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

What Defines the Paper Bag Market?

The paper bag market consists of sales of merchandise bags, euro tote, bakery bags, party bags, mailing bags, plain bags, printed bags, multi-wall bags, and laminated bags. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

How is Market Value Defined and Measured?

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified). The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

What Key Data and Analysis Are Included in the Paper Bag Market Report 2026?

The paper bag market research report is one of a series of new reports from The Business Research Company that provides market statistics, including Market Report 2026?global market size, regional shares, competitors with the market share, detailed market segments, market trends and opportunities, and any further data you may need to thrive in the paper bag Market Report 2026? The market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future state of the Market Report 2026?