Products and Markets

Packaging Paper*

*Packaging Paper includes market pulp, which accounts for approximately 13% of the sales volume.

Kraft paper (17% of sales volume)

Customers

Trends and drivers

BillerudKorsnäs’ position

Packaging for:
• Flour, sugar, grain, etc.
• Carrier bags
• Flexible packaging
•Formable packaging
• Medical packaging
• Steel interleaving

The rapidly growing economies in Asia, and Africa, for example, are driving demand for packaged food. Traditional open markets are increasingly being replaced by large retail chains, where the price and sustainability of the packaging is of great importance. The global packaging market for food is
expected to grow over 40% by 2024.2

GLOBAL MARKET VALUE OF FOOD PACKAGING

The market for food packaging has grown by around 3% per year since 2008. Growth is forecast at around 3.5% per year up until 2024, with the highest rate in the Middle East, Africa and Asia.

Read more

Leading producer of strong, high-quality kraft paper from primary fibre in Europe

Main competitors
The primary competition comes
from plastic packaging solutions


Other major kraft paper manufacturers:
Mondi and several of Europe’s
speciality paper manufacturers

Sack paper (11% of sales volumes)
 

Customers

Trends and drivers

BillerudKorsnäs’ position

Packaging for:

  • Building materials
  • Industrial minerals
  • Chemicals
  • Food
  • Animal
    feed

 

In countries where bulk distribution of cement is not possible, building materials are packaged in sacks made from either paper or plastic. Increased construction in growth countries is the primary driver of growing demand for sack paper. The cement producers’ efficiency requirements and a faster filling process mean that paper sacks, with their porous properties, offer a sustainable alternative to sacks
made from other materials.

ANNUAL ESTIMATED GROWTH IN
DEMAND FOR CEMENT

Global demand for cement is expected to grow by around 4.6% per year up until 20224. The greatest growth is expected in regions where cement products are supplied primarily in paper and plastic sacks.

Read more

Global leader in high-porosity sack paper from primary fibre

Main competitors
Mainly sack solutions in plastic and from bulk distribution.


Other major sack paper manufacturers
are Mondi, Canfor, Segezha, KapStone and
Smurfit Kappa

Consumer Board (38% of sales volume)

Liquid packaging board (34%) 

Customers

Trends and drivers

BillerudKorsnäs’ position

Packaging for

  • Milk
  • Juice
  • Other drinks and liquid
    foods
  • Preserved foods

Rising living standards and a growing middle-class primarily in Asia, Africa and South America are driving demand for convenience packaging for food and beverages. There is ever increasing demand for packaging to be easy to carry and open. In growth markets, liquid packaging needs to handle varying temperature conditions as well as giving the contents a long shelf-life.

ANNUAL ESTIMATED GROWTH IN DEMAND FOR LIQUID PACKAGING BOARD

Over 60% of the growth in demand is forecast to come from Asia, incl. China. In Western Europe, growth is dependent on innovations, with a focus on new packaging types and applications for liquid packaging

Read more 

One of the world’s leading manufacturers of liquid packaging board.

Main competitors
O
ther packaging
materials, mainly plastic but also aluminium.

Other major manufacturers:
Stora Enso, Klabin,
Evergreen Packaging, WestRock and International Paper

 

Cartonboard (4%) 

Customers

Trends and drivers

BillerudKorsnäs’ position

Packaging for:

  • Exclusive drinks
  • Beauty and healthcare products
  • Confectionery
  • Household and industrial goods in the premium segment
  • Fashion articles
  • Food in the premium segment

Growing interest in the design and appearance of the packaging as a way of differentiating the product and strengthening the brand is driving demand for board in the premium segment. Urbanisation in growth markets is creating new consumption patterns, with greater demand for packaged convenience food and on-the-go food. A greater environmental awareness and sustainability focus is driving demand for cartonboard to replace less sustainable packaging alternatives.

ANNUAL ESTIMATED GROWTH IN DEMAND FOR CARTONBOARD

Global demand for cartonboard is
expected to grow by 3.9%, with highest
growth rates in China and the rest of
Asia. Growth is focused mostly on
packaging for cosmetics, pharmaceuticals and packaging for dry and frozen food.

Read more 

One of the largest manufacturers of primary
fibre-based cartonboard for the premium segment in Europe

Main competitors:
Other materials, mainly plastic.

Other major manufacturers:
Iggesund, Metsä Board, Stora Enso, WestRock and International Paper

Corrugated Solutions (former Containerboard)

Fluting (12% of sales volume)

Customers

Trends and drivers

BillerudKorsnäs’ position

Packaging for:

  • Fruit and vegetables,
  • Components for the automotive industry,
    white goods and electronics
  • Transport 

Increasing global trade is driving demand for lightweight transport packaging that reduces distribution costs. An ever increasing focus on losses along the transport chain for fruit and vegetables is driving demand for high-quality fluting that can handle tough journeys in varied climate conditions. Greater demand for product safety in the food chain is driving demand for primary fibrebased fluting.

ANNUAL ESTIMATED GROWTH IN DEMAND FOR CORRUGATED MATERIALS (FLUTING AND LINER)

Global demand for corrugated board materials is expected to grow by 2.9% per year up until 2025, largely in China, the Middle East and Asia, due to the concentration of manufacturing to these regions.

Read more.

Quality and market-leading producer in Europe in the top segment with a strong position in fruit and vegetables

Main competitors

The competition comes from recovered fibre-based fluting and other materials such
as plastic and wood

Other major manufacturers of primary
fibre-based fluting are Stora Enso, Mondi
and Powerflute

 

Liner (7% of sales volume)

Customers

Trends and drivers

BillerudKorsnäs’ position

Primary packaging for:

  • Exclusive drinks
  • Beauty and healthcare products
  • Confectionery
  • Home electronics


Secondary packaging for:

  • Consumer goods


Shelf-ready packaging for:

  •  Consumer goods 

Growing interest in the appearance, design and feel of the packaging as a way of differentiating the product and strengthening the brand. Greater demand for product safety in the food chain is increasing demand for primary fibre-based liner 

ANNUAL ESTIMATED GROWTH IN DEMAND FOR CORRUGATED MATERIALS (FLUTING AND LINER)

Global demand for corrugated board materials is expected to grow by 2.9% per year up until 2025, largely in China, the Middle East and Asia, due to the concentration of manufacturing to these regions.

Read more.

Market leader in Europe for pure white primary fibre-based liner and one of the leaders in coated primary fibre-based liner globally.

Main competitors Coated and
uncoated white top testliner (based on
recycled fibre)

Other major manufacturers include
Metsä Board, Mondi and SmurfitKappa

 

Managed Packaging

Customers

Trends and drivers

BillerudKorsnäs’ position

Packaging solutions and
services for brand owners with international packaging programmes
and logistics.

Managed Packaging offers the
following benefits:

 
  • Operational savings
  • Management simplicity
  • Revenue generation
  • Sustainability performance

Greater global trade with manufacturing concentrated in Asia. As the brand owners’ production structure becomes increasingly global and outsourced, there is a demand for more efficient and standardised packaging as part of the brand’s image. Greater demand for cost-effective and sustainable packaging solutions for challenging distribution systems. The importance of the packaging for the brand is constantly rising.

Read more.

Unique packaging concept based on a network of production partners for flexibility and market coverage, combined with in-depth material know-how for maximum packaging optimisation and efficiencies.

Independent wholesalers of packaging and major packaging manufacturers with converting in Asia.

 

  Markets

marketicons Food and Beverage
Industry Industrial
Consumer and Luxury Products Consumer and Luxury
Medical Medical & Hygiene
Last updated: 2015-01-27