Global Craft Bags Market Growth, Share, Size, Trends and Forecast (2025 - 2031)
By Type;
Paper Carry Bags, Block Bottom Craft Bags, Confectionery Craft Bags, Checkout Craft Bags, and Others.By Application;
Food, Customer Goods, Pharmaceutical, Confectionary, Personal Use Product And Cosmetic, Home Care Products, and Others.By Geography;
North America, Europe, Asia Pacific, Middle East & Africa and Latin America - Report Timeline (2021 - 2031).Introduction
Global Craft Bags Market (USD Million), 2021 - 2031
In the year 2024, the Global Craft Bags Market was valued at USD 1,691.31 million. The size of this market is expected to increase to USD 2,166.42 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 3.6%.
Craft bags, also known as paper bags, are versatile packaging solutions that have gained widespread popularity across various industries. Craft bags are typically made from Kraft paper, a durable and eco-friendly material derived from wood pulp. These bags are favored for their natural, rustic appearance and their ability to convey an environmentally conscious message to consumers. Craft bags come in a variety of sizes, shapes, and designs, making them suitable for packaging a wide range of products, including groceries, retail merchandise, gifts, and promotional items.
One of the key characteristics of craft bags is their sustainability. As consumers become increasingly concerned about environmental issues and seek out eco-friendly alternatives, craft bags offer a renewable and biodegradable packaging option. Unlike plastic bags, which contribute to pollution and environmental degradation, craft bags are made from renewable resources and can be recycled or composted after use. This eco-friendly attribute has made craft bags a popular choice for retailers and businesses looking to align with sustainable practices and reduce their carbon footprint.
Craft bags are also prized for their strength and durability. Kraft paper is known for its robustness, making craft bags capable of holding heavy items without tearing or breaking. This durability is particularly advantageous for retailers who need packaging that can withstand the rigors of transportation and handling. Additionally, craft bags can be customized with handles, closures, and printing options to meet specific branding requirements and enhance the overall presentation of packaged products. Whether used for carrying groceries, promoting a brand at trade shows, or packaging retail purchases, craft bags offer a combination of strength, versatility, and sustainability that appeals to both businesses and consumers alike.
Global Craft Bags Market Recent Developments
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In October 2022, DS Smith Plc introduced a new craft bag design for retail packaging, offering increased durability and sustainability.
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In March 2024, Smurfit Kappa Group launched a new range of sustainable craft bags made from recycled and renewable materials.
Segment Analysis
Paper carry bags provide a sustainable and convenient solution for transporting groceries, clothing, and other items. They are eco-friendly alternatives to plastic bags, aligning with the growing consumer demand for environmentally responsible packaging options. Block bottom craft bags, on the other hand, offer stability and durability, making them suitable for packaging bulkier or heavier items such as grains, flour, or pet food. Confectionery craft bags and checkout craft bags are tailored for specific retail purposes, providing attractive and functional packaging solutions for confectionery products and checkout counters, respectively. Additionally, there are various other types of paper bags available in the market, each designed to meet specific packaging requirements across different industries and applications.
In terms of applications, paper bags find extensive use across a wide spectrum of industries. The food sector is a prominent consumer of paper bags, utilizing them for packaging fruits, vegetables, bakery items, and takeaway meals. With the increasing emphasis on sustainable packaging and food safety, paper bags offer a viable solution that meets both environmental and regulatory standards. Furthermore, paper bags are widely used in the packaging of consumer goods, pharmaceutical products, confectionery items, personal care products, cosmetics, and home care products. Their versatility and adaptability make them suitable for various packaging needs, ranging from retail to industrial applications.
The adoption of paper bags in different industries reflects the ongoing shift towards sustainable packaging practices and the increasing consumer preference for eco-friendly products. As businesses strive to reduce their environmental footprint and meet the demands of environmentally conscious consumers, paper bags offer a viable alternative to traditional plastic packaging. Moreover, advancements in paper bag manufacturing techniques, such as the use of recycled materials and water-based inks, further enhance their eco-friendly credentials while maintaining quality and performance standards. Overall, the diverse range of paper bag types and applications underscores their significance in the packaging landscape and their contribution to sustainable packaging solutions.
Global Craft Bags Segment Analysis
In this report, the Global Craft Bags Market has been segmented by Type, Application and Geography.
Global Craft Bags Market, Segmentation by Type
The Global Craft Bags Market has been segmented by Type into Paper Carry Bags, Block Bottom Craft Bags, Confectionery Craft Bags, Checkout Craft Bags and Others.
Paper Carry Bags represent one of the primary segments, characterized by their versatility and eco-friendly nature. These bags are commonly used in retail environments, offering a convenient and sustainable solution for carrying groceries, clothing, and other goods. With increasing awareness about environmental conservation, paper carry bags have gained traction as an alternative to single-use plastic bags, driving their demand in markets worldwide.
Block Bottom Craft Bags constitute another important segment within the global craft bags market. Known for their sturdy construction and flat-bottom design, these bags are widely used for packaging bulkier items such as grains, flour, pet food, and other commodities. The block bottom design provides stability and strength, allowing the bags to stand upright on retail shelves and storage spaces. This segment caters to industries such as food and agriculture, where durable and reliable packaging solutions are essential for preserving product freshness and integrity.
Confectionery Craft Bags form a specialized segment within the craft bags market, tailored to the needs of the confectionery industry. These bags are designed to showcase and protect delicate confectionery products such as chocolates, candies, and baked goods. With attention to detail in design and materials, confectionery craft bags offer an attractive presentation while ensuring product safety during transportation and display. This segment reflects the market's ability to cater to specific requirements of different industries, demonstrating the versatility and adaptability of craft bags in packaging solutions.
Global Craft Bags Market, Segmentation by Application
The Global Craft Bags Market has been segmented by Application into Food, Customer Goods, Pharmaceutical, Confectionary, Personal Use Product And Cosmetic, Home Care Products and Others.
One prominent application of craft bags is in the food sector, where they are extensively used for packaging items such as grains, flour, rice, nuts, and other dry food products. Craft bags offer durability, moisture resistance, and breathability, making them ideal for preserving the freshness and quality of food items during storage and transportation. Moreover, the eco-friendly nature of craft bags aligns with the growing consumer preference for sustainable packaging solutions in the food industry.
Another significant application area for craft bags is in the packaging of consumer goods. These bags are commonly employed for packaging items like apparel, accessories, electronics, toys, and household products. Craft bags provide a cost-effective and environmentally friendly packaging solution for various consumer goods, offering protection against dust, moisture, and other external factors while also serving as a branding platform through customizable printing options. With the rise of e-commerce and online shopping, craft bags play a vital role in ensuring the safe and attractive packaging of products for delivery to customers worldwide.
The pharmaceutical industry represents another key segment for craft bags, where stringent packaging requirements necessitate high-quality, tamper-evident solutions. Craft bags are utilized for packaging pharmaceutical products such as tablets, capsules, powders, and medical devices, providing a reliable barrier against contamination and tampering. Additionally, craft bags can be customized to incorporate features such as child-resistant closures, anti-counterfeiting measures, and moisture barriers, ensuring the safety and integrity of pharmaceutical products throughout their lifecycle. The versatility, sustainability, and protective properties of craft bags make them indispensable in the pharmaceutical sector, where product safety and compliance with regulatory standards are paramount.
Global Craft Bags Market, Segmentation by Geography
In this report, the Global Craft Bags Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Global Craft Bags Market Share (%), by Geographical Region, 2023
North America is emerging as an opportunistic market for craft bags, driven by a growing demand for eco-friendly packaging solutions. With North America accounting for a significant 25% share of the global craft bags market, the region showcases substantial potential for growth. The leading position of craft bag packaging within the paper industry is particularly noteworthy, with a considerable portion of paper production in the United States dedicated to crafting these bags. The region benefits from a rapidly expanding retail sector and increasing consumer preference for biodegradable and environmentally friendly packaging products, which further propels market growth.
Europe contributes significantly to the growth of the craft bags market, holding a 20% revenue share of the global market. The expansion of the food and beverage sectors in Europe serves as a key driver for craft bag sales in the region. Craft bags play a pivotal role in the packaging solutions for restaurants and other food businesses, offering versatility, durability, and eco-friendliness. The growing trend of ready-to-eat, frozen, and packed food items in Europe underscores the increasing demand for craft bags as a packaging solution across various food segments. Moreover, technological advancements have encouraged market players to diversify their product portfolios, further fueling the growth of the craft bags market globally.
Asia Pacific is poised to emerge as an attractive market for craft bags, buoyed by manufacturing economies such as China and other emerging countries. The demand for craft bags in the region is expected to witness significant growth, driven by factors such as the rising literacy rate, increasing environmental awareness, and stringent regulations on plastic consumption. The robust growth of e-commerce, coupled with regulations prohibiting plastic bags in some regions, further accentuates the market's potential in Asia Pacific. For instance, in India, regulations such as the Plastic Waste Management Amendment Rules, 2021, have banned the use of plastic carry bags below a certain thickness, thereby promoting the adoption of alternative products like paper and craft bags.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Craft Bags Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.
Drivers, Restraints and Opportunity Analysis
Drivers:
- Growing Awareness of Environmental Concerns
- Rise in Demand for Eco-Friendly Packaging Materials
- Adoption of Circular Economy Principles
- Growing Demand for Eco-friendly Packaging -
The surge in demand for eco-friendly packaging solutions has propelled the popularity of craft bags in both manufacturing and consumer spheres. Craft bags offer a trifecta of advantages: affordability, ease of use, and recyclability. Their cost-effectiveness makes them an attractive option for businesses looking to reduce packaging expenses without compromising on quality. Additionally, their simplicity in design and versatility in application make them a convenient choice for various industries, from retail to food and beverage, where they serve as reliable packaging solutions for a wide array of products. Moreover, their recyclability aligns with the growing consumer preference for sustainable packaging options, further driving their adoption in the market.
The escalating demand for craft bags is also fueled by the consumer trend towards smaller pack sizes and the expanding availability of grocery and personal care products in the market. As consumers seek convenience and portability in their purchases, brands are responding by offering products in compact, easily transportable packaging formats, such as craft bags. This trend towards smaller pack sizes not only caters to the on-the-go lifestyle of modern consumers but also contributes to reducing waste and optimizing resource utilization. Consequently, the demand for craft bags is projected to continue rising as manufacturers adapt to meet evolving consumer preferences and market demands.
The anticipation of exceeding demand for craft bags in the coming years reflects the growing consciousness about environmental sustainability among consumers and businesses alike. With increasing awareness about the importance of nature conservation and the adverse impacts of non-biodegradable packaging materials, there is a growing inclination towards eco-friendly alternatives such as craft bags. Paper industries are poised to capitalize on this trend by investing in craft bag packaging solutions to meet the rising demand from environmentally conscious consumers. As a result, the global craft bags market is expected to witness significant growth, driven by the convergence of consumer preferences, industry initiatives, and regulatory measures aimed at promoting sustainable packaging practices.
Restraints:
- Regulatory Compliance and Certification Requirements
- Challenges in Recycling and Disposal Practices
- Limited Durability and Strength for Heavy or Bulky Items
- High Cost of Bags -
Despite the diverse range of end uses for craft bags, several obstacles pose challenges to the growth of the overall market. One significant challenge arises from the availability of alternative packaging materials such as paper and plastic. These alternatives offer different characteristics and benefits that may compete with craft bags in various applications. For instance, paper bags are often considered a sustainable alternative due to their biodegradability and recyclability, while plastic bags may offer superior durability and moisture resistance in certain contexts. The availability of these alternatives presents consumers and businesses with choices, potentially diverting demand away from craft bags and impacting market growth.
Another obstacle to the development of the craft bag market is the high cost associated with craft bag packaging. Craft bags are typically made from specialty paper or other materials, which can be more expensive compared to conventional paper or plastic packaging options. The higher production costs of craft bags may translate into higher prices for consumers, making them less competitive in price-sensitive markets. Additionally, businesses may be reluctant to adopt craft bags due to concerns about cost-effectiveness and their impact on profit margins. As a result, the perceived high cost of craft bag packaging acts as a restraining factor, limiting the market's potential for growth.
There are opportunities for the craft bag market to overcome obstacles and thrive. Innovations in manufacturing processes and materials could lead to cost reductions, making craft bags more competitive in the market. Moreover, increasing consumer awareness and demand for sustainable and eco-friendly packaging solutions may create a niche market for craft bags, particularly among environmentally conscious consumers and businesses. By addressing these challenges and capitalizing on emerging trends, the craft bag market can navigate obstacles and continue to evolve and expand in the future.
Opportunities:
- Growing Demand for Artisanal and Handcrafted Products
- Expansion of the Retail and E-Commerce Landscape
- Customization and Brand Differentiation
- Innovations in Material and Design -
Innovations in materials and design present significant opportunities for the global craft bags market, enabling manufacturers to enhance product functionality, sustainability, and aesthetic appeal. One area of innovation lies in the development of alternative materials that offer improved performance characteristics while maintaining environmental sustainability. For example, manufacturers are exploring the use of bio-based or compostable materials for craft bags, providing consumers with eco-friendly options that align with their preferences for sustainable packaging solutions. These innovative materials not only reduce the environmental footprint of craft bags but also appeal to environmentally conscious consumers, driving demand and market growth.
Advancements in design technologies enable manufacturers to create craft bags that are not only functional but also visually appealing and customizable. Digital printing techniques allow for intricate designs, vibrant colors, and personalized branding options, catering to the diverse needs and preferences of businesses and consumers. Creative packaging designs can differentiate products on store shelves, enhance brand recognition, and contribute to a memorable customer experience. By leveraging innovative design capabilities, craft bag manufacturers can stay ahead of the competition and capture market share in an increasingly competitive landscape.
Innovations in material and design also facilitate the development of craft bags with enhanced performance attributes, such as improved strength, durability, and barrier properties. Through the integration of advanced coatings, laminates, and reinforcement techniques, craft bags can withstand challenging transportation and storage conditions, ensuring the protection and integrity of packaged goods. Additionally, features such as resealable closures, tear-resistant materials, and ergonomic handles enhance user convenience and functionality, further enhancing the appeal of craft bags across a wide range of applications. As consumer preferences evolve and demand for high-performance packaging solutions grows, innovations in material and design will continue to drive opportunities for growth and expansion in the global craft bags market.
Competitive Landscape Analysis
Key players in Global Craft Bags Market include:
- International papers
- Stanpac
- Kent Paper
- Biopac
- Genpak
- Bemis Company Incorporated
- Berry Plastics Corporation
- Novolex
- Linpac Packaging Limited
- Biopac
- APL Packaging
- KP Films
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Type
- Market Snapshot, By Application
- Market Snapshot, By Region
- Global Craft Bags Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Growing Awareness of Environmental Concerns
- Rise in Demand for Eco-Friendly Packaging Materials
- Adoption of Circular Economy Principles
- Growing Demand for Eco-friendly Packaging
- Restraints
- Regulatory Compliance and Certification Requirements
- Challenges in Recycling and Disposal Practices
- Limited Durability and Strength for Heavy or Bulky Items
- High Cost of Bags
- Opportunities
- Growing Demand for Artisanal and Handcrafted Products
- Expansion of the Retail and E-Commerce Landscape
- Customization and Brand Differentiation
- Innovations in Material and Design
- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Global Craft Bags Market, By Type, 2021 - 2031 (USD Million)
- Paper Carry Bags
- Block Bottom Craft Bags
- Confectionery Craft Bags
- Checkout Craft Bags
- Others
- Global Craft Bags Market, By Application, 2021 - 2031 (USD Million)
- Food
- Customer Goods
- Pharmaceutical
- Confectionary
- Personal Use Product And Cosmetic
- Home Care Products
- Others
- Global Craft Bags Market, By Geography, 2021 - 2031 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Global Craft Bags Market, By Type, 2021 - 2031 (USD Million)
- Competitive Landscape
- Company Profiles
- International papers
- Stanpac
- Kent Paper
- Biopac
- Genpak
- Bemis Company Incorporated
- Berry Plastics Corporation
- Novolex
- Linpac Packaging Limited
- Biopac
- APL Packaging
- KP Films
- Company Profiles
- Analyst Views
- Future Outlook of the Market