Graphic Paper Market - Trends 2019

Posted by Kishor on December 20th, 2019

Graphic Paper Market: Introduction and Need of the Product

For more than hundred years, graphic paper has been a useful carrier of information across the world. It is used extensively for information storage for long period of time. Different grades of paper such as printing paper, writing papers, newsprint, etc. comes under this category. From newspaper to high glass magazine paper, the graphic paper has played an important in information sharing.

Manufacturing process of graphic paper is highly energy intensive and requires significant resources. Raw material for graphic paper is fibre pulp which is obtained from a variety of species of plantations, depending on the paper grade and manufacturer’s requirement. Graphic paper market has witnessed significant technological advancements and new product launches since its beginning. Graphic paper accounts for noticeable market share in the global paper industry. Infrastructural improvements and process optimization has played a crucial role in increasing profitability margins of graphic paper manufacturers.

Graphic Paper Market: Market Dynamics

The demand for graphic paper has become stagnant since the evolution of technology for information sharing in electronic formats. Fast adoption of consumers for electrical and electronic devices resulted in decline in demand for graphic paper globally. Propagation of information through electronic media has been the major restraint for the global graphic paper market. From newspaper to book, everything is being shared through electronic media which is a cheaper solution and requires minimal efforts to store information for long period of time.

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Electronic information sharing through internet which is easily accessible on mobile phones and other devices will continue to weaken the demand for graphic papers in developed as well as in developing countries. However, there are moderate sign of growth in some of the developing countries where the penetration of electronic media is still in growth phase. Manufacturers share concern over cost-competitiveness and availability of resources for production of graphic papers.

Graphic Paper Market: Regional Overview

On the basis of region, the Graphic Paper market is segmented as North America, Latin America, Eastern Europe, Western Europe, APEJ (Asia-Pacific Excluding Japan), Middle East & Africa, and Japan. Graphic paper market is witnessing steep decline in its market share in global paper industry due to changing consumer inclination towards reading and sharing information through electronic media. The North America and European market is expected to witness decline in the coming years. Declining use of graphic paper is concerning leading manufacturers who are now planning to shift their production from graphic papers to other products.

The graphic paper market has witnessed capacity shutdowns in the last 4-5 years which in turn hampering revenue growth and profitability margins of manufacturers. It is becoming difficult for the small-scale and medium-scale manufacturers to stay competitive in the market. However, some of the large players are planning to seize as much opportunities generated due to less number of choices available to the demand-generating customers. In Asia-Pacific region, the market is growing but at a lower rate which in turn create short-term growth opportunities in the graphic paper market. Japan and MEA offer untapped growth opportunities in the global graphic paper market.

Graphic Paper Market: Market Players

Some of the key players in the Graphic Paper Market are Ballarpur Industries Limited (BILT), Sappi Limited, Perlen Papier AG, SCA Forest Products AB, UPM-Kymmene Oyj, Burgo Group, International Paper Company, Mondi Group, The Navigator Company, Arctic Paper, and Stora Enso Oyj among others