Paper Straw Market Size To Reach $8.07 Billion By 2030

Paper Straw Market Growth & Trends

The global paper straw market size is anticipated to reach USD 8. 07 billion by 2030, registering a CAGR of 20.8% from 2022 to 2030, according to a new report by Grand View Research, Inc. The increasing global awareness and concern about the environmental impact of plastic waste has led to a rising demand for sustainable alternatives. Paper straws are considered an eco-friendly option, and these are biodegradable and compostable. Government regulations and bans on single-use plastics, including plastic straws, have prompted foodservice, food processing and hospitality industries to switch to paper straws to comply with the legislation. This has created a significant market opportunity for paper straw manufacturers.

The increasing demand for healthy sugar free or no calorie beverages intake is expected to propel the market growth. According to statistics from IGD ShopperVista Health, in 2022 around 85% of consumers are now focusing on some kind of healthy eating, either drinking more fluids (25%) or by lowering sugar (27% of people). For instance, in 2020, Dabur and Tetra Laval Pack entered into a partnership to launch a low calorie juice range.

The COVID-19 pandemic had both positive and negative impacts on the market. The closure of restaurants, cafes, and other food establishments during lockdowns has resulted in a decline in the overall demand for paper straws. On the positive side, with the heightened focus on hygiene and safety during the pandemic, there has been a shift towards single-use items and individually wrapped products. This trend has benefited paper straws, as they are often offered in individual packaging, ensuring cleanliness and reducing the risk of contamination.

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Paper Straw Market Report Highlights

• Based on material, the virgin paper segment accounted for the largest revenue share of 53.2% in 2022. Virgin paper is made from fresh wood pulp, offers superior strength and durability compared to recycled paper, which makes it the best choice for the production of paper straw

• Based on product type, the non-printed segment accounted for the largest revenue share of 57.4% in 2022. Non-printed straws eliminating the need for printing, which requires additional resources and materials, also contribute to waste reduction efforts

• Based on straw length, the 7.75-8.5 inches segment accounted for the largest revenue share of 39.8% in 2022. The demand for straws in this range is driven by the need to accommodate these taller and larger beverages. Paper straws within this length range offer ample space for customization and branding

• Based on diameter, the <0.15 inches segment is expected to grow at the fastest CAGR of 22.7% during the forecast period. The increasing government initiatives to spread consumer awareness on the usage of paper straws and rising ban on plastic straws worldwide are expected to boost the segment growth

• Based on the sales channel, the B2B segment dominated the market and is expected to continue over the forecast period owing to the increasing demand from end-use industries. The B2C segment is expected to grow at a CAGR of 22.0% over the forecast period

• Based on end-use, the food processing industry segment accounted for the largest revenue share of 38.2% in 2022. It is attributed to the booming growth of the industry and increasing demand for sustainable packaging options

• North America held the largest market share of 31.4% in 2022. Asia Pacific is anticipated to expand at a CAGR of 22.9% over the forecast period. This growth is attributed to increasing population and increasing number of foodservice startups in the region offering a range of beverages

• Mergers & acquisitions, agreements, R&D activities, and expansions are the key strategies adopted by the companies over the past years. For instance, in April 2022, UFlex-Asepto opened a new manufacturing facility in Sanand, Gujarat for the production of U-shaped paper straw in India. The strategy was adopted as a part of an initiative to bring sustainability

Paper Straw Market Segmentation

Grand View Research has segmented the global paper straw market based on material, product type, straw length, diameter, sales channel, end-use, and region:

Paper Straw Material Outlook (Revenue, USD Million, 2018 - 2030)

• Virgin Paper

• Recycled Paper

Paper Straw Product Type Outlook (Revenue, USD Million, 2018 - 2030)

• Non-printed

• Printed

Paper Straw Length Outlook (Revenue, USD Million, 2018 - 2030)

• <5.75 Inches

•  5.75-7.75 Inches

•  7.75-8.5 Inches

•  8.5-10.5 Inches

•  >10.5 Inches

Paper Straw Diameter Outlook (Revenue, USD Million, 2018 - 2030)

• <0.15 Inches

•  0.15 - 0.196 Inches

•  0.196 - 0.25 Inches

•  0.25 - 0.4 Inches

•  >0.4 Inches

Paper Straw Sales Channel Outlook (Revenue, USD Million, 2018 - 2030)

• B2B

• B2C

Paper Straw End-use Outlook (Revenue, USD Million, 2018 - 2030)

• Foodservice

• Institutional

• Household

• Food Processing Industry

Paper Straw Regional Outlook (Revenue, USD Million, 2018 - 2030)

• North America

  • U.S.

  • Canada

  • Mexico

• Europe

  • UK

  • France

  • Germany

• Asia Pacific

  • China

  • India

  • Japan

• Central & South America

• Brazil

• Middle East & Africa

• Saudi Arabia

List of Key Players in the Paper Straw Market

• Hoffmaster Group, Inc.

• Huhtamaki Group

• BioPak

• Novolex

• Footprint

• Matrix pack

• strawland

• Jinhua Suyang Plastic Production Co., ltd.

• Tetra Laval Group

• Transcend Packaging