Mar 08, 2021
Growing Roll Your Own Cigarette Trend to Aid Market Expansion Over Coming Years, Evaluates Fact.MR
by Team Fact.MR
The global cigarette paper market is poised to expand at a CAGR of a little over 2% during the forecast period of 2021-2031. Historically, the market has witnessed a growth rate of 1.4% over the past 5 years, owing to decreasing demand for cigarettes on the back of surging prices and taxes. However, demand for cigarette paper is still steady to trillions of units of cigarettes being manufactured across the globe.
Nearly 6.5 trillion cigarettes were sold in 2019, which translates to more than 80% of global cigarette paper demand. Even though the increasing popularity of e-cigarettes has created a critical situation for factory-made cigarettes, it is still not in a position to overtake actually cigarettes anytime soon
The COVID-19 pandemic exhibited an opportunity for cigarette manufacturers and suppliers to enhance their product offerings towards roll your own cigarette paper. While factory-made cigarette manufacturing facilities were shut down, the roll your own segment came as a saviour for the market.
Key Takeaways from Market Study
- The global cigarette paper market is anticipated to add 1.5X value by 2031.
- Unbleached cigarette paper is expected to expand at a substantial CAGR of 3.4% over the forecast period.
- East Asia is the supreme market with a value of more than US$ 500 Mn in 2020, and is projected to expand at a substantial CAGR of approx. 2% over the next ten years.
- The roll your own cigarette paper segment is projected to exhibit a higher growth rate of close to 4% CAGR, while cigarette manufacturing under application is projected to add 1.2X value by 2031.
- The market in South Asia is set to expand at a 2.6% CAGR, and is set to be valued at over US$ 370 Mn in 2031, owing to higher presence of manufacturers in the region, huge consumer base, and substantial consumption with streamlined supply chains.
- By refining segment, unbleached cigarette paper is poised to provide higher opportunity for cigarette paper manufacturers by virtue of increasing consumer inclination towards unbleached rolling paper due to its chemical-free and organic attributes. The segment is poised to progress at a CAGR of more than 3% over the forecast period
“The cigarette paper market flourishes on cigarette smoking patterns - higher the consumption, higher the growth,” says a Fact.MR analyst.
Collaborative Approach and Targeted End Users by Key Players
- Prominent players in the market such as SWM, Delfort AG, BMJ, and Miquel Y Costas have created a synergy in the demand and supply equation with cigarette manufacturers. This collaborative network has streamlined the supply chain of cigarette paper, set by relative demand for the production of cigarettes.
- Key players consider their intellectual property and patents to be their material assets. Market leader Schweitzer-Mauduit International, Inc. has been at the forefront of developing technologies, and has patented several innovations for the production of LIP cigarettes paper.
- Cigarette paper manufacturers are competing primarily on quality characteristics, pricing, innovation, and customer service.
More Valuable Insights
Fact.MR, in its new offering, presents an unbiased analysis of the global cigarette paper market, presenting historical demand data (2016-2020) and forecast statistics for the period of 2021-2031. The study discloses essential insights on the market on the basis of type (cigarette tissue, plug wrap paper, tipping paper, and rolling paper), pulp material (flax, wood pulp, hemp, rice straw, esparto, and mixed), basis weight range (23-40 gsm, 17-28 gsm, 28-40gsm, and 12-27 gsm), refining (bleached and unbleached), and application (cigarette manufacturing and roll your own), across major regions of the world (North America, Latin America, Europe, East Asia, South Asia, Oceania, and the Middle East & Africa).
About the Retail & Consumer Goods Division at Fact.MR
Expert analysis, actionable insights, and strategic recommendations – the Retail & Consumer Goods team at Fact.MR assists clients with unique business intelligence needs on a global level. With a repertoire of over 1,000 reports and 1 million+ data points, the team has analysed the Industrial lucidly in 50+ countries for over a decade. The Retail & Consumer Goods team at Fact.MR assists clients in their business expansion as well as new ventures, through hawk-eyed analysis and strategic recommendations.
For more information, refer to our market research report or contact the PR author.
Shambhu Nath Jha
Sr. Consultant –Retail & Consumer Goods
E-mail: [email protected]