Paper and cardboard packaging

In the face of the contraction recorded in 2023 of almost all types of packaging (including empty packaging), cellulose packaging remains among the most representative in the entire sector in terms of tonnes: 33% of market share and 26.8% in terms of turnover, second only to plastic packaging.

Cellulose packaging is divided into 5 categories:

• corrugated cardboard sheets and containers (including displays);
• cardboard folding cases and boxes;
• large paper bags;
• other cellulose packaging (cellulose drums and tubes, wrapping paper, small bags and shopping bags, labels, paper supports in the knitwear and clothing sector, etc.);
• predominantly paper-based laminated rigid containers.

Market overview

According to economic analyses by Assografici, the paper industry association which includes the paper and cardboard packaging sector, recorded a markedly declining trend in 2023.

Turnover in Italy fell by 5.5%, while production fell by 5.8%, with most difficulty encountered in the central part of the year. The drop in turnover should be analysed comparing it with the trend of the previous year, which closed with a +25.5%.

The fall in 2023 is certainly the result of a technical bounce-back: after the significant increases in production costs recorded in 2022, prices fell the year after, settling at lower values and consequently reducing turnover values.

Looking at the data relating to the EU of 27 countries, always on the basis of the analysis of Assografici’s Research Centre, the production of the paper converting industry fell by -7.3% while turnover showed -12.3%; this last figure was heavily influenced by the fall of German production, which closed 2023 with a turnover drop of -15.4%. This trend was also seen in Poland, Spain and France, with falls always in double figures but of lower intensity.

Focus on Italy

The negative trend already seen in 2022 was confirmed again in 2023, with a further fall in turnover which, after the peak recorded in the previous year, closed at -5.5%, aligning with the production trend.

The fall in raw material prices and energy costs has led to a general reduction in prices, with the result that the turnover trend reflected that for production.

Production, expressed in tonnes, fell by 5.4%, standing at around 5,610,000 tonnes.

A significant fall in exports emerges: 2023 closed with a -15.5%, taking them to around 567,000 tonnes. Imports also fell, but to a decidedly lower extent, -4.7% against 2022, standing at 213,000 tonnes. For some years there has been a constant increase in imports compared to exports and this was also true for 2023, with imports outperforming exports despite both having negative trends.

From a more detailed analysis of foreign trade in the sector, it emerges that most of our country’s commercial relationships remain within Europe, as is the case for all types of packaging. In 2023, 87% of our imports came from European countries and, with regards to exports, 89% remained in Europe. This situation remains substantially stable from one year to the next.

With regards to turnover, there was a negative trend; 2023 closed with a -5.3%, taking it to around 10.3 billion euros. This is certainly due to the reduction in production costs, having passed the peaks recorded in 2022, with a trend that is aligned with the quantities produced.

The prices of raw materials fell compared to the previous year. According to the price lists of the Milan Chamber of Commerce, the prices of the major paper and cardboard materials for packaging in the fourth quarter of 2023 continued the negative trend already recorded in the first nine months of the year.

Segmentation of the paper and cardboard packaging sector

Corrugated cardboard. It is mainly used for the production of boxes used predominantly for the transport and storage of goods or as secondary packaging intended to contain products in turn contained in other (primary) packaging.

Corrugated cardboard packaging is the most representative of the category with a market share of 75%. They are more common thanks to their use in logistics and are also the heaviest in the category. In 2023 their production continued the negative trend already recorded in the previous year, arriving at 4,083 tonnes/000, a fall of -4.8% against 2022. There was, however, a recovery towards the end of the year with respect to the difficulties encountered in the first three quarters.

Imports and exports both fell significantly, -33.2% for the first, and -16.8% the second. The fall in the prices of raw materials used to produce corrugated cardboard packaging was between -1% and -3%.

Cardboard cases and boxes. They represent 15% of paper and cardboard packaging and can be composed of 100% cardboard or a combination of cardboard with PE film or aluminium film. The combination with plastic or aluminium film is generally necessary in order to give the box a more attractive look, as is often, for example, the case in the cosmetics sector, or for particular needs linked to the box’s use. In 2023 the number of tonnes produced was around 823,000 thousand, down compared to 2022 by -5.1%.

Mainly used as secondary packaging, 44.9% is used for food products, 20.6% for drinks, 10.3% for the cosmetics and pharmaceutical sector. The remaining 24.5% comes under the “other non-food products” category, which includes small and large home appliances, pots and kitchen utensils, household cleaning products, furnishing accessories and other similar items.

Large paper bags. This type of packaging is mainly used in the building sector. On the basis of analyses relating to 2023 by Gipsac (one of the Specialised Groups of Assografici), the large bags category recorded a production fall of -17.4%, a drop that confirms the negative trend of the main user sectors (building, food industry). 183,000 tonnes were produced. There were also negative trends for foreign trade: -21.2% for imports and -23.3% for exports.

Other cellulose packaging. This heading includes various types of packaging, such as cellulose drums and tubes for packaging bottles, cellulose tubes for paper for domestic use, wrapping paper, parchment and sulphite wrapping paper, corrugated paper, small bags, shoppers, automatic wrapping, sheets of paper to support clothing items, labels, cardboard platforms and displays, etc. The negative trend in 2023 also affected this category, with -9%, +10.6% for imports and -14.8% for exports.

Predominantly paper-based laminated rigid containers. We also cover predominantly paper-based laminated packaging in this analysis, even though in Imballaggio in cifre (Packaging in figures) they are analysed in a separate chapter. The sector has been fairly stable for a number of years, with the exception of 2020, registering “0” growth both in terms of turnover and in production.