Paper is a product made from raw materials gathered from a variety of sources. The most common is wood pulp, derived from spruce, fir, or eucalyptus trees. Wood chips are taken from these trees and put into chemicals to separate the fibers, which are then bleached. In short, the manufacturing process is pulping, papermaking, pressing, drying, and finishing. Recycled paper is another source of paper production and goes through a similar process, which helps conserve natural resources and reduce waste to help the environment. About 80% of all mills use recycled paper for new products in the United States. Paper is one of the basic products of every society, whether it is the source of paper currency, newsprint, educational books, toilet tissue, food packaging, and more.
The paper products industry has been consistently profitable over the years, with the global market valued at about $974 billion in 2022 and $1037 billion in 2023 at a CAGR of 6% (compound annual growth rate). Some of the leading companies in this market are International Paper, Nine Dragons Paper, Klabin S. A and Kimberly-Clark Corporation. Even with the awareness of environmental issues that the paper product industry faces, such as deforestation and carbon emissions, the positives outweigh the negatives regarding the impact on society. Even so, companies have adopted sustainable practices like forestry management, the usage of recycled materials, and the reduction of greenhouse emissions to remedy the negative impact on the environment.
Publishing is how we communicate, share knowledge, record data, and entertain. Education is very dependent on publishing due to the textbooks needed by the institutions. Businesses depend on publishing manuals, contracts, or data sheets for employees or clients. World and local news are spread through newspapers, articles, or magazines to keep people aware of events happening all over the world as well as entertain the masses with interesting stories. High quality paper is needed to satisfy this demand. A successful publishing company, Simon & Schuster, reported revenue of over $700 million in 2016.
Packaging is how things are preserved as well as stored in an organized fashion, From boxes, bags, wrapping, and cartons, paper is a versatile packaging material. In the transportation industry, packaging is a necessity and even more relevant in this age of e-commerce. Westrock is one of the biggest packaging companies in the world, earning an annual revenue of over $20 billion in 2023. The packaging industry in the United States alone is valued at over $190 billion in 2023 and is projected to grow to over $230 billion by 2028 at a CAGR of 3.97%. Food packaging is one of the most important aspects of packaging, due to food safety and preventing contamination or spoilage. The global food packaging market was valued at $456 billion in 2022. In today’s e-commerce era, food delivery and packaging are in high demand, propelling the industry forward. Plastics are heavily used in this industry, yet paper is still a common option and may continue to be in the future.
In the United States, currency paper is composed of 25% linen and 75% cotton, with special designs etched into the paper. This differs from the traditional paper that is developed from wood pulp, which is the main material used. The Bureau of Engraving and Printing (BEP) is supplied by Crane Currency which is responsible for manufacturing the United State’s currency and is the only entity authorized to do so. This is an example of how paper can be composed with different materials to provide different qualities and textures.
Paper can be manipulated into tissue, which is then used as hygiene-based products like toilet tissue or paper towels. Tissue goes through a similar process as paper, yet with different materials and finishing techniques to achieve a specific texture and feel. Some textures are softer than others due to varying materials and processes, but overall, these manufacturing steps are similar. Two leading companies in this specific industry are Kimberly-Clark Corporation and Georgia-Pacific. Tissue can help reduce the spread of diseases by containing bacteria from sneezing or spilling contaminated liquids. These products are also used in the manufacturing process as recyclables, about 90% of tissue manufacturers use recycled fibers to make new tissue products.
Paper is critical for the arts industry, whether it’s for a canvas to draw or paint on, foldable art like origami paper, or decorative paper for gift wrap. Our holiday seasons and decorative wrapping for foods or other goods create a demand for this type of paper. Companies such as Hollander’s provide a variety of decorative papers and bookbinding supplies that come in a variety of designs. Decorative paper or wrapping can even be applied to walls as well as cars.
Paper is manufactured using raw materials (mainly wood chips) and processing them using 4 phased steps called pulping, papermaking, pressing/drying and finishing. Recycling and Forestry Management are methods used to limit harmful effects on the environment and combat climate change. This industry is the backbone of a variety of industries, such as publishing, packaging, economics, hygiene, and the arts. The paper industry is one of the core industries of society today and remains profitable globally.
