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Growth of Global Jute Bag Market Bolstered by Stringent Government Rules

According to the latest report by IMARC Group, titled “Jute Bag Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2019-2024”, the global jute bag market reached a value of US$ 1.8 Billion in 2018. Jute, also known as golden fibre, refers to a natural fibre which is derived from jute plant. After cotton, jute is regarded as the second-most important vegetable fiber. On account of its recyclable, re-usable, non-toxic and biodegradable nature, jute bags are gradually gaining popularity across the globe. If left unused, jute bags get destroyed on their own without leaving behind any remnants or polluting the environment.

On account of growing awareness amongst consumers, particularly due to the environmental factors like surging pollution levels and depletion of the ozone layer, the demand for jute bag is witnessing a strong growth. In addition to this, government of several emerging nations have been undertaking initiatives in order to ban the use of plastic bags. Moreover, they are levying penalties on shops which are selling and continuing to provide goods in plastic bags. As demand for plastic bag is inversely proportional to the demand for jute bag, these initiatives have led to a surge in the demand for jute bags. Further, the popularity of jute bag particularly in the Asia Pacific region is positively influencing its demand in the western countries. Apart from this, manufacturers are constantly coming up with customised bag options, experimenting in terms of style, design, shape and size, so as to widen their consumer-base. Looking forward, the market value is projected to exceed US$ 3 Billion by 2024, expanding at a CAGR of around 9.8% during 2019-2024.

Market Summary:

  • Based on type, the market has been segmented as jute sack bags and jute shopping bags. Currently, jute sack bags dominate the market, holding the largest share due to its affordable price and convenience offered.
  • On the basis of price, the market is classified as premium and mass. Presently, the trend of premium jute bags is witnessing a boost, predominantly in the urban regions.
  • Based on end use, the market has been segregated as retail and institutional. Amidst these, retail exhibits a clear dominance in the market.
  • Region-wise, the market has been segmented into India, Bangladesh and China. Amongst these, India is the leading market, accounting for the majority of the market share owing to suitable climatic conditions and fertility of the soil.
  • The competitive landscape of the market has also been examined with some of the key players being Aarbur, Ashoka Exports, Hitaishi-KK, Howrah Mills Co. Ltd., Shree Jee International Indian Ltd., and Gloster Limited.

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