Updated Jan 18, 2023 12:01

Recovered Paper Market in India

Market Overview
In , the Indian recovered paper market increased by % to $, rising for the second year in a row after two years of decline. Overall, consumption, however, continues to indicate a remarkable increase. Over the period under review, the market hit record highs in and is expected to retain growth in the near future.

In value terms, recovered paper production expanded remarkably to $ in estimated in export price. Over the period under review, production showed a perceptible contraction. The most prominent rate of growth was recorded in 2011 when the production volume increased by %. Over the period under review, production attained the peak level at $ in 2007; however, from 2008 to , production remained at a lower figure.


Consumption
In , approx. tons of recovered paper were consumed in India; waning by -% on the year before. Over the period under review, consumption, however, saw resilient growth. Recovered paper consumption peaked at tons in , and then shrank in the following year.

The value of the recovered paper market in India totaled $ in , rising by % against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). In general, consumption, however, continues to indicate a resilient expansion. Recovered paper consumption peaked in and is expected to retain growth in years to come.


Market Forecast
Driven by increasing demand for recovered paper in India, the market is expected to continue an upward consumption trend over the next eight-year period. Market performance is forecast to decelerate, expanding with an anticipated CAGR of +% for the period from to , which is projected to bring the market volume to tons by the end of .

In value terms, the market is forecast to increase with an anticipated CAGR of +% for the period from to , which is projected to bring the market value to $ (in nominal prices) by the end of .


Market Structure
Driven by a growing demand, the share of imports in total supply in India increased significantly over the last fifteen years (from % to %).


Trade Balance
India remains a net importer of recovered paper; in physical and value terms, imports consistently exceeded exports from 2007 to . In , there was a significant trade deficit of tons, which was equal to $. This tangible trade deficit reflects the fact that the market remains dependent on imports, which is likely to continue in the medium term.