Wood Pulp Market

Global Wood Pulp Market Size (2024 to 2029)

As per our analysis report, the global Wood Pulp Market is expected to reach USD 196.16 billion by 2029 from USD 164.84 billion in 2024, growing at a compound annual growth rate (CAGR) of 3.54% during the forecast period.

MARKET OVERVIEW

Wood pulp is fine wood fiber pulp disseminated in chemicals like soda ash and bleaching powder to make hardboards and reduced paper. Wood pulp is predominantly wood that is finely grounded into a pulp used to make hardboard, newspaper, and other reduced materials. Majorly two methods that can produce wood products: mechanical pulping and the other is synthetic pulping. A chemical reaction is used for cooking wood chips in a digester, or a pressure cooker. 

Finely pulped wood is cleaned after being digested by a substance containing something like caustic soda. In the robotic pulping process, the pulp is formed by milling the wood chips rather than burning them. Wood pulp can be divided into several types: softwood, hardwood, earlywood, and latewood Pulp.  

MARKET GROWTH

The pulp market is expected to grow steadily in the forecasted period due to the increasing need for paper due to the vast usage of paperboard in homes, kitchens, bathrooms, restaurants, and healthcare facilities.  

MARKET DRIVERS

One of the significant factors affecting the expansion of the wood pulp market is the rising demand for the paper production industry resulting from the widespread usage of tissue paper in homes, kitchens, restaurants, restrooms, and healthcare facilities.

In addition, the market's growth is helped by the use of wood pulp in producing soft furnishings and decor for homes. Moreover, there is expected to be a rise in the demand for wrapping paper, mainly utilized in residences, restrooms, and restaurants throughout the projection period. The need for pulp made from straw, wheat, maize, and rice is also predicted to increase during the forecast period. Moreover, a developing market for cotton pulp in various sectors will also fuel the wood pulp market in the upcoming years. 

Printing paper makers have a more robust demand for hardwood or short-fiber pulp due to its superior cleanliness quality and potent absorptivity. Moreover, products made from it are simple to recycle, and sales of hardwood pulp have grown over time in other industries.

In the future, a more favorable market for the sales of hardwood pulp is predicted due to growing concern over environmental contamination because of the increased volume of plastic waste.  

Market leaders are investing significantly in developing their production technologies and boosting their production capabilities to meet the increasing demand for pulp. To increase their global footprint, these companies also emphasize the diversification of their product line. Moreover, the global pulp market is predicted to be further stimulated by the packaging industry's growing trend toward sustainability.  

MARKET RESTRAINTS

However, it is expected that the implementation of strict environmental restrictions addressing deforestation will have a detrimental effect on the expansion of the wood pulp market in the upcoming years. 

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Wood Pulp Market By Type

During the forecasted period, non-wood pulp will be the most significant sector because of the rising demand for tissue paper. This demand is expected to fuel market expansion during the projected period. In addition, the restaurant and hotel industries are seeing a sharp rise in tissue use.

Global Wood Pulp Market By End-user Industry

Globally, wood pulp is the fastest-growing market for tissue paper. Furthermore, during the anticipated time, there will be a rise in the global supply of wrapping paper, mainly utilized in homes, restrooms, and restaurants. 

REGIONAL ANALYSIS

North America will have the fastest-growing market over the predicted time because of the abundance of coniferous forests that supply the materials to the paper industry.

Canada is one of the top suppliers of wood pulp. It is one of the largest pulp and paper markets and about a fourth of the world's most extensive boreal forests. As a result, the nation produces significant raw materials to meet internal and international demand. 

Asia-Pacific held the most significant share in 2023 and is predicted to continue to dominate in revenue by 2029.

The global wood pulp market is expanding in the region due to the rising demand from the paper sector and rising consumer demand for items made of tissue paper.  

In Europe, prices for wood pulp are anticipated to rise. However, the hardwood pulp and the softwood pulp market were highly constrained. Market participants concurred that ongoing logistics issues were a significant factor influencing the availability and supporting the most recent price increases, in addition to the continued vigor of the demand. Several contacts highlighted increasing rail transport challenges, particularly in Germany, and the continent's longstanding issues with maritime shipping and the trucking industry. 

In the Middle East and Africa, the wood pulp market is anticipated to grow at a CAGR of 3.2% from 2024 to 2029.

Growth in this region can be attributed to rapid lifestyle changes and rising consumer demand for packaged and fresh foods. In addition, the increasing number of youngsters is also one of the significant reasons that influence the growth of paper packaging and the region's pulp market's potential for growth.

South America exports 33% of the world's pulp, and the demand is still growing internationally. This shows the region's importance in the wood pulp industry. This situation offers a fantastic chance to influence the South American area through a market strategy that will promote sustainability in producing essential commodities like pulp and paper. 

KEY PLAYERS IN THE GLOBAL WOOD PULP MARKET

ARAUCO, UPM-Kymmene Oyj, Suzano Papel e Celulos, Mercer International, APRIL Group, Sappi, Nippon Paper, Sonoco Products, Canfor Corporation, International Paper are some of the notable companies in the global Wood Pulp market.

 RECENT DEVELOPMENTS IN THE MARKET 

• The Heinz Company is developing a ketchup bottle made of wood pulp. 
• The Estée Lauder Companies will market paper bottles made of pulp.

DETAILED SEGMENTATION OF THE GLOBAL WOOD PULP MARKET INCLUDED IN THIS REPORT

This research report on the global wood pulp market has been segmented and sub-segmented based on type, end-user industry, and region.

By Type

• Non-wood pulp
• semi-chemical pulp
• chemical pulp

By End-user Industry

• Packaging
• Paper 
• Others

By Region

• North America
• Europe 
• Asia Pacific 
• Latin America 
• Middle east and Africa