MACHINE GLAZED KRAFT PAPER MARKET ANALYSIS

The machine glazed kraft paper market has been facing severe supply chain disruptions due to the COVID-19 pandemic and geopolitical issues. Lockdowns and mobility restrictions imposed by various governments disrupted manufacturing operations and transport networks globally. This led to shortages of raw materials for paper production. Additionally, the ongoing war between Russia and Ukraine has badly impacted the supply of pulp and other inputs which are largely sourced from these regions. Finding alternative suppliers at short notice has been quite challenging. Rising fuel and freight costs have also put pressure on manufacturers' margins. Meeting international quality standards and ensuring just-in-time deliveries to customers has become difficult. Many smaller players struggled to cope with these issues. Unless supply chains stabilize in the near future, it could negatively impact the growth prospects of this market.

Market Opportunities: Growing E-Commerce sector

The rapid growth of the e-commerce industry worldwide presents a massive opportunity for the machine glazed kraft paper market. Online shopping has seen a huge surge since the onset of the pandemic. More consumers are now preferring the contactless delivery of goods purchased on digital platforms. This has boosted the demand for secure, robust, and commercially-viable packaging solutions for shipping diverse products. Machine glazed kraft paper offers attributes like moisture resistance, strength, and printability which makes it ideal as the primary packaging material for e-commerce consignments. Manufacturers can gain by developing specialized grades, sizes, and designs optimized for the requirements of e-tailers and logistics companies. With digital commerce expected to steadily rise across regions, the market stands to benefit from strong volume growth in the coming years.