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Rising Environmental Awareness and Plastic Ban Regulations to Propel Paper Straw Market to USD 6.39 Billion by 2035 at 13.80% CAGR – MRFR Report

Report Details:
15 Companies Covered
100 Pages

Market Research Future (MRFR)’s latest study reveals that the Global Paper Straw Market is projected to grow significantly from USD 1.54 billion in 2024 to USD 6.39 billion by 2035, registering a CAGR of 13.80% during the forecast period (2025–2035). The market expansion is driven by rising environmental awareness, increasing government regulations on single-use plastics, and rapid adoption of eco-friendly alternatives across the food and beverage sector.


Prominent market participants operating in the global paper straw market include Huhtamäki Oyj, Hoffmaster Group Inc., Biopac Ltd, ECOPRO2, and The Paper Straw Co. These companies are actively investing in research, expanding production capabilities, and forming strategic partnerships to enhance their market presence.


 


Paper Straw Market Highlights


The global paper straw market is witnessing accelerated growth, primarily fueled by the transition from plastic to sustainable paper-based alternatives. The market stood at USD 1.54 billion in 2024 and is expected to reach USD 6.39 billion by 2035, reflecting growing consumer and industry preference for biodegradable straws. The strong shift towards sustainability, coupled with increasing regulatory restrictions on single-use plastics, has been a key growth catalyst.


The food and beverage industry plays a vital role in this evolution, with global brands transitioning to paper straws as part of their corporate sustainability goals. For instance, Nestlé Brazil announced the complete replacement of plastic straws with 100% paper variants for its Nescau, Nesquik, Ninho, and Farinha Láctea product lines, eliminating millions of plastic straws from circulation. Similarly, Sun-Rype Products Ltd., a division of A. Lassonde Inc. replaced all plastic straws on its 200ml single-serve beverage boxes with recyclable, bendable paper straws in Canada.


Innovation is also shaping the market landscape. Companies such as BillerudKorsnäs and Tetra Pak are investing in next-generation paper straw technologies, enhancing water resistance, durability, and recyclability. These technological advancements are making paper straws increasingly competitive against plastic alternatives. The industry’s overall shift reflects the convergence of consumer awareness, corporate responsibility, and regulatory enforcement, driving the market’s remarkable growth momentum through 2035.


Segment Analysis


The Paper Straw Market, by type, is segmented into Flexible and Non-Flexible. The Non-Flexible segment held the majority share in 2021 and continues to dominate global market revenues due to its wide use in the fast-food industry and developing economies. Non-flexible paper straws are preferred for their simple design and suitability for mass production, making them a cost-effective and eco-friendly replacement for plastic straws. Meanwhile, the Flexible segment is expected to witness steady growth due to its convenience and improved consumer usability. Paper straws, both flexible and non-flexible, are fully biodegradable, decomposing naturally within two to six weeks — a stark contrast to plastic straws that can persist for hundreds of years.


By End-Use, the market is bifurcated into Household and Commercial. The Commercial segment dominated the global market in 2021 and is projected to remain the fastest-growing category through 2030. This dominance stems from the extensive adoption of paper straws in restaurants, cafés, and quick-service chains, aligning with sustainability initiatives and plastic ban mandates. The increasing number of national and local regulations discouraging plastic use in the commercial sector is further accelerating demand growth.


Regional Analysis


Regionally, the global paper straw market is segmented into North America, Europe, Asia-Pacific, and the Rest of the World. The Asia-Pacific region accounted for USD 0.56 billion in 2021 and is expected to exhibit significant CAGR growth during the forecast period. This growth is attributed to increasing government bans on plastic straws, the rapid expansion of the food and beverage industry, and large-scale manufacturing activities in countries such as China, India, and Japan.


North America represents the second-largest market, driven by the growing adoption of reusable and biodegradable straws. The United States is witnessing the rise of domestic paper straw manufacturers offering cost-effective, sustainable alternatives, supported by both consumer demand and environmental policies.


Europe is projected to record the fastest CAGR between 2024 and 2030, with strong regulatory backing against plastic straws and a cultural shift toward sustainability. Countries like the UK and Germany are leading the charge in adopting paper-based alternatives, with the regional foodservice sector rapidly transitioning to eco-friendly straw solutions. The introduction of the U.K. government’s new standards for compostable paper straws in 2024 further reinforces this trend.


 


Key Findings of the Study



  • The Paper Straw Market is projected to grow from USD 1.54 billion in 2024 to USD 6.39 billion by 2035, registering a CAGR of 13.80% from 2025 to 2035.

  • Rising environmental awareness and global bans on single-use plastics are major growth drivers.

  • Non-flexible paper straws dominated the market share in 2021, driven by extensive use in the fast-food industry.

  • The Commercial segment remains the leading end-use category due to strong adoption across cafés and restaurants.

  • Asia-Pacific leads the global market, supported by rapid industrialization and strict environmental policies.

  • Key market participants include Huhtamäki Oyj, Hoffmaster Group Inc., Biopac Ltd, ECOPRO2, and The Paper Straw Co.

  • Technological innovations, including improved durability and recyclability, are reshaping market competitiveness.

  • Regulatory initiatives in Europe and the Asia-Pacific continue to provide momentum for sustainable packaging adoption.


Related Report


https://www.marketresearchfuture.com/reports/paper-straw-market-8510