Gen Z, Millennials Accelerate Global Shift Toward Paper-Based Food Packaging

The global food packaging industry is seeing a marked transition away from plastic and non-recyclable materials toward paper-based alternatives, as sustainability considerations increasingly shape packaging decisions across food and beverage markets.

According to a new analysis from Innova Market Insights, consumer demand—particularly from younger generations—is accelerating the adoption of paper formats that combine recyclability with functional performance.

Innova’s Trending in Paper-Based Packaging in F&B – Global report identifies environmental responsibility, regulatory pressure, and evolving consumption habits as the main forces behind this shift. As food brands respond to rising scrutiny over plastic use, paper-based solutions are being developed with enhanced moisture resistance, protection, and shelf-life performance to meet commercial requirements.

Sustainability And Regulation Drive Material Choices

In the global food and beverage market, consumers are increasingly selecting packaging formats perceived as more responsible and renewable. Innova’s data indicates that a significant share of consumers actively choose recyclable products to reduce their environmental footprint, reinforcing the momentum behind paper-based packaging. At the same time, plastic bans and tightening regulations in multiple regions are pushing brand owners to reassess material choices to align with circular economy frameworks.

The growth of delivery, takeaway, and on-the-go consumption has further increased demand for packaging that is lightweight yet robust, hygienic, and suitable for transport. Advances in paper technology are expanding the range of applications where paper can realistically replace plastic without compromising product integrity.

Major food brands, including Driscoll’sNestlé, and Mars, have publicly highlighted transitions toward paper-based formats as part of broader sustainability strategies, reflecting both consumer expectations and reputational considerations.

Younger Consumers Shape Packaging Expectations

According to Innova’s social listening analysis, online discussion around paper-based food packaging continues to increase, with sustainability, convenience, and eco-friendly materials dominating conversations. Gen Z and Millennials emerge as the most influential demographic groups driving this shift, placing pressure on brands to demonstrate visible progress on packaging sustainability.

The analysis also shows differing angles of engagement: male consumers tend to focus on technical performance and efficiency of paper materials, while female consumers more frequently discuss material choice and environmental impact. Together, these perspectives underline the need for packaging solutions that balance sustainability claims with functional credibility.

Categories And Formats Leading Adoption

Hot beverages, confectionery, and dairy products are currently among the leading food and beverage categories adopting paper-based packaging, showing positive growth since 2020. Within these segments, innovation is increasingly focused on formats such as paper flat pouches, paper-wrapped confectionery items, and paper-based cheese trays, as brands seek to reconcile sustainability goals with barrier performance.

Paper caps and closures are also emerging as alternatives to plastic components, particularly for liquid products, reflecting a broader push to reduce plastic content across entire packaging systems rather than isolated elements.

Technology Addresses Barrier And Shelf-Life Challenges

Barrier performance remains a central challenge for paper-based packaging, particularly for moisture-sensitive or shelf-stable products. Innova highlights the growing use of heat-sealable paper solutions for dry foods, as well as biodegradable materials designed to support circularity objectives.

Recent developments also include paper-based packaging designed to withstand moisture exposure. Hansol Paper has announced the application of its “Protego” paper packaging material to matcha products marketed by Green Mood, citing moisture resistance and reduced carbon emissions as key attributes of the solution.

Paper Formats Replace Conventional Plastics

In Europe, brands are also experimenting with rigid paper-based alternatives to traditional flexible plastics. In the Netherlands, PepsiCo has introduced fully recyclable cardboard snack boxes for Lay’s and Doritos, replacing non-recyclable plastic packaging. The redesigned packs aim to reduce plastic waste while maintaining functionality and encouraging reuse through on-pack messaging.

Outlook: Performance, Circularity And Localisation

Looking ahead, Innova’s report points to further development of paper materials with enhanced resistance to moisture, grease, oxygen, and heat as a priority for food packaging innovation. Brands are also expected to focus on integrating recycling systems, optimizing local sourcing, and developing curbside-recyclable paper laminates to support closed-loop packaging models.

As sustainability expectations continue to rise, paper-based packaging is positioned to play an expanding role in food and beverage markets—provided it can consistently meet performance demands alongside environmental goals.

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