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Global Industry Analysis of Solid Bleached Sulfate (SBS) Board

 

Solid Bleached Sulfate (SBS) Board Market: The premium packaging material

·         Paperboard is a thick paper-based material that is widely used in packaging. Paperboard possess superior fold-ability and rigidity as compared to paper. ISO standards defines paperboard as a paper with a grammage above 250 g/m2. Paperboard can be single- or multi-ply depending upon the requirement. There are four major types of paper boards in the market, namely, Clay Coated News Backboard (CCNB), Folding Box Board (FBB), Solid Bleached Sulfate (SBS) Board, and Natural Kraft or Coated Unbleached Kraft.

·         Solid Bleached Sulfate (SBS) is a fiber grade of paperboard. SBS is made entirely from bleached wood pulp with the top surface coated with a clay mineral. SBS is a medium density board. It possess good printing ability due to bright white surface which makes it a favorable material for high-end packaging and graphical projects.

·         SBS is easy to cut, crease, hot foil stamp, and emboss. Additionally, excellent solid white core and rigidity possessed by SBS make it an ideal material for folding-carton applications, greeting cards, retail and consumer goods, and signage. 

Rising demand for packaging from various end-use industries is anticipated to boost the solid bleached sulfate (SBS) board market

·         The packaging industry has been expanding consistently in the last few years. The food & beverage industry has been a key driver of the packaging industry. Expansion in the packaged food industry is anticipated to boost the demand for solid bleached sulfate (SBS) board during the forecast period.

·         Paperboard is also employed in packaging of consumer goods and healthcare products. These application segments accounted for a major share of the global solid bleached sulfate (SBS) board market. Market share held by these application segments is expected to rise in the near future. Demand for SBS paperboard is likely to continue during the forecast period, making the packaging industry a key driver of the solid bleached sulfate (SBS) board market

·         The global solid bleached sulfate (SBS) board market is driven by the expansion of cosmetics and personal care industries across the globe. Solid bleached sulfate (SBS) board is widely used in the packaging of cosmetics and luxury products. It is considered an ideal material for secondary packaging of cosmetics and personal care products due to its excellent workability it can SBS can be molded to adapt to the needs of different individual packaging designs. The global cosmetic & health care packaging market is expanding at a healthy growth rate. This trend is expected to continue during the forecast period, making personal care & cosmetic packaging a key driver of the solid bleached sulfate (SBS) board market. 

Personal care & cosmetics and consumer goods segments to offer attractive opportunities

·         Solid bleached sulfate (SBS) board as a packaging material is gaining momentum in the personal care & cosmetic end-use industry. It is utilized in the secondary packaging of cosmetic products

·         Rising urbanization and FDI investment in the manufacturing sector, typically in Japan, China, India, and South Korea, is likely to offer significant opportunity to manufacturers of solid bleached sulfate (SBS) board in these countries in the near future

·         Rising demand for solid bleached sulfate (SBS) board for packaging in the consumer goods industry and increasing demand for solid bleached sulfate (SBS) board in the healthcare industry is expected to provide lucrative opportunities to manufacturers operating in the solid bleached sulfate (SBS) board market. 

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Intense competition from substitutes and high flammability to hamper market

·         Solid bleached sulfate (SBS) board faces intense competition from its substitute, such as folding box board (FBB), clay coated news backboard (CCNB), and natural kraft or coated unbleached kraft in certain applications where premium finish is not required. These materials are less expensive, as compared to SBS board, and possess similar physical properties to that of solid bleached sulfate (SBS) board, which in turn is estimated to hamper the market during the forecast period.

·         Solid bleached sulfate (SBS) board also faces intense competition from other packaging materials such as plastic and glass. These materials have a longer lifespan as compared to SBS. Thus, it is anticipated to hinder the solid bleached sulfate (SBS) board market. 

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North America expected to drive the global solid bleached sulfate (SBS) board market

·         In terms of region, the global solid bleached sulfate (SBS) board market can be split into five regions: North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.

·         North America is a leading consumer of solid bleached sulfate (SBS) board, followed by Europe and Asia Pacific. Rising demand for wood claddings in the U.S., Canada, and the U.K. is expected to fuel the demand for solid bleached sulfate (SBS) board during the forecast period. Additionally, rising demand for premium packaging materials in the personal care & cosmetics industry across developing countries of Asia Pacific, such as China, India, Indonesia, and Vietnam, is expected to offer considerable opportunity to manufacturers of solid bleached sulfate (SBS) board operating in the region.

·         Rising FDI investment in the manufacturing industry in developing countries of Asia Pacific is also likely to fuel the market in the region during the forecast period

·         Increasing demand for eco-friendly packaging materials for consumer goods applications, such as packaging for cigarette, chocolate, and other premium products, is driving the demand for solid bleached sulfate (SBS) board in North America and Europe.

·         Rising import of solid bleached sulfate (SBS) board in Latin America and Middle East & Africa, due to its excellent aesthetic appeal and eco-friendly nature, is likely to boost its demand in both regions. 

 

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Key players operating in the market

The global solid bleached sulfate (SBS) board market is moderately fragmented with top manufacturers accounting for approximately 20% to 25% share of the global market. Key players operating in the solid bleached sulfate (SBS) board market include.

·         Clearwater Paper Corporation

·         International Paper Company

·         WestRock Company

·         Mac Papers

·         GDB International Inc.

·         Diamond Packaging

·         Sappi Europe SA

·         Hammond Paper Company Inc.

·         Pankakoski Mill Oy

·         JK Paper Ltd.

·         Newman & Company, Inc

·         Stora Enso Oyj

·         Georgia-Pacific LLC.

·         LAMITECH INC

·         Reynolds Paper Company Limited 

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