Tissue Products Market, by Product Type, and End-user
Tissues are class of papers which can be unglazed, glazed, or creped. Tissue products show properties such as light weight, strength, softness and absorbency. Tissue products offers advantages such as prevention of bacterial infection when used for hand drying, which reduces the risk of communicable diseases such as cold and flu, this in turn is driving growth of the tissue products market. Tissue products are gaining traction, owing to the demand for sanitation and hygiene products including tissue products used in food service and healthcare industry. Furthermore, advancements in the tissue manufacturing technology such as ADT, ATMOS, and NTT tissue making technologies are fueling the growth of the market. The development of innovative products is another factor propelling growth of the tissue products market. For instance, in September 2017, Sofidel Group launched Papernet Bio Tech, a toilet paper with Biologic Active Tissue Paper technology. The non-pathogenic microorganisms in the toilet paper is activated when the paper comes in contact with water and then, it produces enzymes that eat dirt. These enzymes are biodegradable and has no negative environmental impacts. However, increasing environmental concerns regarding excessive usage of paper products is restraining growth of the global tissue products market. Furthermore, availability of alternatives for tissue products such as electric hand dryers and cotton towels among others is another factor hindering growth of global tissue products market.
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Tissue towels have significant demand, owing to its advantages such as scrub strength, absorbency, water filtering capacity, and thickness. It is commonly used for drying hands, dusting, and cleaning. Non-residential segments, which includes hotels, restaurants, healthcare facilities, educational institutions, commercial and businesses institutions, and public places has lucrative demand for tissue products.
Tissue Products Market Outlook
In 2016, North America was the largest tissue products market, owing to new product launches, technological innovations, and presence of major market players such as Kimberly-Clark Corporation and Procter & Gamble Co. among others. For instance, in September 2014, Kimberly-Clark Corporation launched Scott Naturals Tube-Free bath tissue in the U.S. Furthermore, many manufacturers are focusing on using recycled papers to minimize environmental pollution. According to the American Forest and Paper Association, in 2016, around 90% of manufacturers in the U.S. used recycled paper for manufacturing of tissue products.
Asia Pacific is the fastest growing region in the global tissue products market, owing to increasing demand of tissue products from countries such as China and India. According to the Indian Paper Manufacturers Association (IPMA), manufacturing of tissue products in India was 16.63% in 2015 – 2016. Furthermore, increasing manufacturing capacity of tissue products by market players is fueling growth of the market in this region. For instance, Hengan Group expanded tissue production capacity in China by 50 thousand tons per year in January 2018.
Manufacturers operating in the global tissue products market adopt various strategies such as merger and acquisition, new product launches, and partnerships to retain their market position. For instance, in March 2017, Cascades Inc. launched Cascades Fluff and Tuff toilet papers and paper towels. In May 2017, Orchids Paper Products launched New Tackle paper towels, Clean Scents paper towels, orchids Trends Designer paper towels and Orchids Supreme bath tissue. Resolute Forest Products Inc. acquired Atlas Paper Holdings, Inc., a manufacturer of at-home and away-from-home tissue products in November 2015.
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Key market players operating in the tissue products market include Essity AB, Kimberly-Clark Corporation, Georgia-Pacific LLC, Asia Pulp and Paper Group, Procter & Gamble Co., Sofidel Group, CMPC Tissue S.A., WEPA Hygieneprodukte GmbH, Metsä Group, and Cascades Inc.
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