Tissue Paper Market is Estimated To Witness High Growth Owing To Rising Demand for Feminine Hygiene Products
The Tissue Paper Market is estimated to be valued at US$ 84.372 Bn in 2023 and is expected to exhibit a CAGR of 6.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Tissue paper is made from wood pulp or recycled paper fibers. It is soft, absorbent and disposable. Tissue papers are used for personal hygiene such as facial tissues, toilet paper, kitchen rolls, napkins and wet wipes. Tissue paper is convenient, disposable and affordable. Their absorbency quality make them suitable to use for cleaning and hygiene purposes.
Market key trends:
Rising demand for feminine hygiene products is expected to drive the tissue paper market growth over the forecast period. According to the UNICEF report, it is estimated that over 800 million people around the world menstruate each month. In developing countries, lack of sanitary options like pads or tampons put constraints on women's participation in daily activities during menstruation. Thus, increasing awareness regarding feminine hygiene and availability of affordable sanitary products is fueling the demand for tissue paper. Tissue paper manufacturers are developing new innovations in tissues with advanced absorbency and added benefits to capture the women hygiene market potential. This rising demand for feminine hygiene products is estimated to boost the tissue paper market growth.
Porter’s Analysis
Threat of new entrants: The global tissue paper market is consolidated in nature with presence of few key players. High capital requirement and established brand value of existing players poses high threat for new entrants.
Bargaining power of buyers: Buyers have moderate bargaining power due to availability of substitutes. However, brand loyalty of customers increases switching costs.
Bargaining power of suppliers: Suppliers have low to moderate bargaining power due to availability of substitute raw materials. However, regulations associated with raw material production increase switching costs.
Threat of new substitutes: Substitutes like cloth towels, cotton towels pose threat. However, easy accessibility and low costs of tissue paper maintain its demand.
Competitive rivalry: Intense competition exists between major players to gain market share through product differentiation, brand promotions and geographical expansion.
SWOT Analysis
Strength: Product innovation, brand loyalty, geographic expansion, economies of scale.
Weakness: High capital requirement, raw material price volatility, trade barriers.
Opportunity: Growth in e-commerce, rising incomes in developing nations, innovation in sustainable products.
Threats: stringent environmental regulations, substitutes, fluctuating foreign currency exchange rates.
Key Takeaways
The Global Tissue Paper Market is expected to witness high growth, exhibiting CAGR of 6.8% over the forecast period, due to increasing disposable incomes and rapid urbanization in developing regions. Asia Pacific dominates the global market and is expected to grow at fastest CAGR during 2023-2030, owing to rising living standards and expanding middle-class population in China and India.
Regional analysis: Asia Pacific dominated the global market in 2023, accounting for over 35% of global revenue. China, India, Japan, South Korea and other Southeast Asian countries are anticipated to drive highest growth in the region during the forecast period. This can be attributed to growing health awareness and increasing focus of key players on expanding their operations in emerging Asia Pacific economies.
Key players: Key players operating in the global tissue paper market include Kimberly-Clark Corporation, Essity AB, Georgia-Pacific LLC, Asia Pulp and Paper Group, Procter & Gamble Co., Sofidel Group, CMPC Tissue S.A., WEPA Hygieneprodukte GmbH, Metsä Group, Cascades Inc. Major players are focusing on new product innovation, implementing sustainable production techniques and engaging in strategic joint ventures and mergers & acquisitions to strengthen their global presence.