Market Introduction
The South America disposable paper cups market is a highly fragmented market with the presence of considerable regional and local players providing numerous solutions for companies investing in the market arena. Due to the recyclability issues of disposable paper cups, many prominent manufacturers are launching 100% plastic-free and recyclable paper cups with plant-based biodegradable lining. Moreover, increasing concerns about environmental sustainability along with rising hygiene concerns amongst the consumers are some of the crucial factors impelling manufacturers to launch eco-friendly and recyclable products. For instance, Huhtamäki Oyj, a food packaging manufacturer, introduced a range of biodegradable paper cups named Bioware Impresso under the existing brand Bioware. Bioware Impresso is a double-walled hot cup with bubble emboss, which improves the insulation and rigidity to the holder. It is comprised of 100% PEFC (Programme for the Endorsement of Forest Certification) certified paperboard and has a certified biodegradable plant lining. Moreover, many domestic players are also launching eco-friendly and recyclable paper cups that are easy to customize. For instance, WeCup a manufacturer of eco-friendly paper cups under the brand name Eco-Select. The company’s disposable paper cups are 100% recyclable and also have recyclable tag on them. Moreover, they can be recycled with ordinary paper products making the process less complicated. Such product innovations are expected to be one of the key trends in the South America disposable paper cups market over the forecast period.
Brazil reported the highest number of COVID-19 confirmed cases across South America, followed by Argentina, Peru, Chile, and Ecuador. Governments in South America have taken an array of actions to protect their citizens and contain the spread of novel coronavirus. Containment measures in several countries of the region would reduce economic activity in the manufacturing and service sectors for at least the next quarter of 2020, with a rebound once the pandemic is contained. These factors affected the growth of the disposable paper cups market in South America. However, as the economies are recovering from losses, the market is also projected to witness growth across the region in the next few years. Moreover, the government has started encouraging people to follow hygiene measures. Thus, the demand for disposable paper cups across the region is expected to increase substantially during the forecast period.
Market Overview and Dynamics
The disposable paper cups market in South America is expected to grow from US$ 280.60 million in 2021 to US$ 332.28 million by 2028; it is estimated to grow at a CAGR of 2.4% from 2021 to 2028. Amid the outbreak of coronavirus pandemic, hygiene and cleanliness concerns amongst the consumers have increased significantly. Consumers prefer not to share their personal belongings with others to prevent themselves from infections. Disposable paper cups are meant for single time use and are considered to be highly hygienic. The pandemic created huge demand for disposable paper cups as consumers find them hygienic and safe. Many fast food giants such as Dunkin Donuts, Mc. Donald’s, Starbucks, among others have earlier launched a campaign which aimed towards weaning off the disposable foodware. This campaign also urged consumers to bring their own coffee cups to avoid the use of disposable coffee cups. However, following the coronavirus pandemic, public trust in recyclable and refillable container campaign appeared to have plunged down. Therefore, these companies promptly announced the suspension of bring-your-own (BYO) container initiatives. In the midst of the pandemic, disposable products are seen as particularly hygienic when it comes to food and drink packaging. Moreover, a number of other small and large foodservice providers rely on disposable foodware more, especially because many of them are now confined to takeaway services or online food delivery services. These activities are expected to continue in the next years as long as COVID-19 pandemic exists. Thus, the ongoing coronavirus pandemic is expected to open positive growth opportunities for the South America disposable paper cups market in future.
Key Market Segments
Based on material, the poly-coated paper segment accounted for the largest share of the South America disposable paper cups market in 2020. Based on end-user, the food service segment accounted for the largest share of the South America disposable paper cups market in 2020.
Major Sources and Companies Listed
A few major primary and secondary sources referred to for preparing this report on the South America disposable paper cups market are company websites, annual reports, financial reports, national government documents, and statistical database, among others. Major companies listed in the report include Huhtamaki; Duni Group; Graphic Packaging International, LLC; Bender Limited; Tekni-Plex; and Reynolds Group Ltd..
Reasons to buy report
South America Disposable Paper Cups Market Segmentation
South America Disposable Paper Cups Market – By Material
South America Disposable Paper Cups Market – By Application
South America Disposable Paper Cups Market – By Country
South America Disposable Paper Cups Market – Company Profiles