Jute bags are expected to grow in popularity due to their biodegradability, durability, low cost, and sustainability, according to Future Market Insights (FMI). Jute bag sales are expected to expand steadily over the projection period (2022-2032). Jute bags are expected to grow at a CAGR of 4.9 percent from 2022 to 2032, with a market value of US$ 1.2 billion in 2022 and US$ 1.9 billion by 2032.
Jute bags are increasingly being used for a range of reasons, from carrying lightweight jewelry and gifts to transporting heavy agricultural produce such as wheat, paddy, and other grains.
These UV-protected jute bags are ideal for use with food and are naturally anti-static. Jute bags with fashionable designs and embellishments are also becoming increasingly popular among tourists and travelers.
“Jute bag sales will be boosted across a wide range of industries as demand for cost-effective, durable, environmentally friendly, and sustainable packaging materials grows.” Personalization and printability capabilities on jute bags would also provide the profitable potential for jute bag manufacturers, according to an FMI analyst.
Expansion of the food retail sector to supplement jute bag sales
The growing demand for jute bags in the retail industry is driving the global market. Increased food production will result in a significant increase in the need for jute sacks and bags to store and transport a wide range of food goods.
Jute is increasingly being used to package a variety of foods, including sugar, rice, wheat, vegetables, tea, and coffee beans. The worldwide retail sector has been growing steadily in recent years, and this trend is expected to continue in the next years.
The food retail industry is one of the most important sectors in many nations in terms of value addition. Furthermore, food and household consumption expenditures are rising, which is expected to boost the retail industry’s economic growth. This is expected to have a positive impact on jute demand around the world.
Insights from a Geographical Perspective
Why is India regarded as the most profitable jute bag market?
“Adoption of Jute Bags in Agriculture to Increase Jute Bag Sales in India”
According to the Office of the Jute Commissioner (Ministry of Textiles, Government of India), jute goods such as hessian and sacking bags produced 756 (000′ MT in 2021.
According to the Indian Jutes Mills Association (IJMA), the value of jute goods exported from India in the years 2020-2021 was US$ 109 million for total hessian goods and US$ 59 million for total sacking goods.
India’s jute bag market is predicted to grow at a healthy clip, accounting for about 48% of the market in South Asia over the forecast period. According to FMI, the jute bag market in India would grow by 2.1x between 2022 and 2032, resulting in an incremental $ potential of US$ 148 Mn.