Paper Straw Market Size, Share & Trends Analysis Report By Product Type, By Material Type, By Sales Channel, By End User, Regional Outlook, And Segment Forecasts, 2020 To 2027

The global paper straw market is set to witness significant gains over the forecast period owing to the initiatives taken to minimize the environmental impact of plastic waste. Latex and plastic straws are widely available in the market owing to their low cost and easy manufacturing process. However, sustainability targets to meet environment-friendly goals set by the governments across all the countries and are expected to propel the growth of the paper straw industry globally.

In the past decade, the food & beverage industry has witnessed significant growth and rapid development with the increase in several restaurants, hotels, food wagons, catering services, and food stalls serving millions of customers. This has led to an increase in the use of paper straws in the food & beverage industry globally. Advancements in technology have led to the emergence of online food delivery platforms, which are aiding the paper straw market to grow tremendously.

Ban on plastic products in many countries across the globe owing to their non-degradable properties is a major market driver. Food delivery platforms are positively impacting the demand for paper straws. Consumer perception toward the preference of the printed paper straws has increased and has boosted the growth of the industry.

Paper straw manufacturing is quite expensive as compared to plastic or latex straws due to its complex processes such as cutting trees and production of pulp and paper, which is then molded to manufacture straws of desired size, shape, and color. Paper straws are biodegradable and get completely dissolved in a liquid within three days. However, most of the variants of paper straws tend to lose 70% to 90% of their compressive strength with exposure to a liquid for less than 30 minutes, which creates difficulty for consumers while using them. These straws are also capable of absorbing 30% of the liquid in which they are being used within 30 minutes, which is another factor restraining the market growth.

Plastic products are non-biodegradable, thus, the governments of many countries have planned to eradicate their use as they have seemingly increased the pollution rates in the past decades. This scenario is likely to open new opportunities for paper-based straws. Furthermore, increasing consumer awareness regarding the environmental impact of plastic products is likely to propel acceptance of paper straws in various end-use segments.

Paper straws are manufactured in two ways, one is using virgin kraft paper produced by the extraction of virgin pulp from the tree and the other is using recycled paper, which is a used material recycled through various processes to generate a new product. Based on their type of manufacturing, these straws are available in printed and non-printed forms. The paper straws are distributed through a direct sales channel including manufacturers, distributors, and retailers, but with the advancement in technology e-commerce has become a popular platform to increase sales domestically as well as internationally. The food services, institutional use, and households are the end-use segments of paper straws.

In the Asia Pacific, the rise in ban and restrictions on the use of plastic by governments across various countries is set to pave the way for market growth. China remains the dominant country, accounting for the maximum consumption of paper straws and India is expected to outnumber all other countries in terms of growth rate due to the rapid expansion of the food & beverage sector. North America is a remarkable shareholder of a paper straw industry. Vancouver has become the first major Canadian city to completely ban single-use plastic. The U.S. government’s initiative to ban plastic straws in some states has increased.

Major players in the paper straw industry are Huhtamaki, Footprint, Hoffmaster Group, Inc., Biopak, Vegware, TIPI Straws Co, OkStraw Paper Straws, Tetra Pak, Hello Straw, Bygreen, Nippon Paper Group, Canada Brown Eco Products Ltd., Fuling Global Inc., Soton Daily Necessity Co., Ltd., Y.W., and Shenzhen Grizzlies Industries Co., Ltd. With the popularity of e-commerce, online advertisements and by targeting big restaurants and outlets across the globe, the paper straw industry has been keen on adapting themselves to the latest market trends to grow rapidly.