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Paper Bags in 2026 and Beyond - The Future of Carrier Bags

In 2026, just the market for the paper bag in the food service industry alone reached a global value of £3.7 billion. In 10 years’ time, this is forecast to grow to £6.5 billion, reflecting a 5.8% yearly growth. This growth rate has been declining following years of high growth levels, but is forecast to stabilise in upcoming years, not continue on the downward trend.

Paper bags were the original carrier bag, only to decline following the introduction of plastic carrier bags during mass consumerism in the late 20th century. Now, with a societal focus on sustainable products, paper bags are back, and they’re not going anywhere.

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Flat Handle Paper Bags – The Consumer’s Choice

Flat handle paper bags are the most popular paper bag globally. These bags make up around 42% of global paper bag use. It’s no surprise that their simple and ergonomic design make them the favoured choice for retailers and consumers. Easy to store, easy to print, easy to make, and easy to use, these bags tick every box.

Many of our customers opt for the flat handle paper bag as the cost-effective option, but with their sturdy design and construction, these bags are more than just a cheap bag. These bags are applicable in a range of industries, from food-service to retail, and are the natural replacement of the plastic carrier bag. With a growing desire, both in global government regulation and consumer habits, to substitute plastic with paper alternatives, the flat handle bag appears to have come out victorious.

 

Twisted Handle Paper Bags – Style and Substance

The growth of paper bags is owed to a great range of choice and option – from paper counter bags for product storage to luxury kraft bags that are sturdy and stylish. The twisted handle paper bag sits somewhere in the middle as the iconic carrier bag of 21st century fashion shopping. Where presentation and ergonomics are more important factors, their elegant design and flexible customisation makes them the ideal choice. Making up only around 12.5% of global bag use, these bags play a key role in the paper bag revolution.

Growing Markets for Paper Bag Use

The most dominant market for paper bag use globally is retail stores, and this is no surprise. Making up around 45% of the market, this is not just reflective of the importance of paper bags in retail, but the importance of the carrier bag for retail consumers generally.

With many retailers pivoting to perceivably sustainable single-use options, the paper bag is a great choice. These bags can be recycled at home in the UK and many other countries, which is not the case for many other bag types, and therefore mean that their disposal has less impact on the environment.

The next largest market for paper carrier bags is food-service, with paper bags for food & beverages making up around 15% of the overall paper bag market. The growth in this market space reflects the rising demand for on-the-go food service, such as takeaway & delivery, not just for restaurants but cafes, bakeries and institutional food outlets. Other industries where paper bag use is growing includes:

  • Shopping Malls
  • Supermarkets & Hypermarkets
  • Pharmacies
  • Ecommerce

 

Why is the paper bag market growing?

The general rhetoric around the carrier bag market has been for some time that plastic bags are environmentally damaging, and the sustainable alternative is paper bags. This is generally reflective of the impact of plastic bag disposal and their lack of biodegradability, meaning that single-use plastic disposal is often incredibly damaging to the environment. On the contrary, paper bags can be recycled and are typically more likely to have their lifecycle extended as a result.

This narrative is not necessarily reflective of the wider picture. Production of paper bags is arguably more environmentally damaging than plastic bags, and as a result, the net environmental impact of both bag types, from production to disposal, is generally high. However, with public perception and global policies generally in favour of paper alternatives, the paper market has been buoyed, whilst plastic bags are more often moved-away-from. This, however, does not mean the plastic bag market is in decline – and it is by no means smaller than the paper bag market in any way.

Generally, consumerism across the globe is continually growing, and as a result, carrier bag use grows with it. This is shown in the forecasted growth rate of both paper and plastic bags over the next 10 years, which are both similarly steady at 5.5-6% growth. With growing demand for carrier bags, and a general societal & behavioural favouring of paper options, it’s no surprise that the paper carrier bag market is booming.

 

Why choose a printed paper bag?

Personalised packaging is more than just about branding & messaging. It’s about creating designs that resonate with customers. With a growing need to connect with customers, especially younger generations of consumers, where emotional connections hold more weight in purchasing decisions, printed packaging is a must.

A printed paper bag can be more than just a functional ‘shopping bag’ or storage option. It’s a way for customers to broadcast their brand allegiances, and a way for brands to share their messaging with other consumers. Whether that’s on the high street, or through a takeaway delivery bag, making sure your bag shows up in the right place and the right time can lead to sales. To wield that power is invaluable.

A printed paper bag blends your branding & messaging with the perceived value of an environmentally sustainable option. When your brand shows up on paper packaging, your consumers assume you care. The choice to use paper has to have been taken with a conscious decision to try do the right thing by the planet – and your customers will recognise that.

Outside of the semantics of what a paper bag stands for, these bags are also incredibly versatile, and a great canvas for your branding and prints. Whether you opt for a unique twisted handle paper bag with coloured handles, or a simple, rustic kraft flat handle paper bag for your artisan business, a paper option is always perfect.

 

Make the switch to printed paper carrier bags.

We’re the UK’s leading supplier of printed paper bags, with unrivalled expertise in creating iconic bag designs and achieving lightning-fast deliveries and turnarounds. Our reviews speak for themselves, consistently mentioning our excellent customer service and product quality.

Take a look at our printed paper carrier bag options, and get in touch with us for a no-obligation quote.

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