Bangladesh’s paper packaging industry is opening a new chapter in export diversification and investment growth, following the government’s decision to declare such packaging as the “Product of the Year 2026.”
Industry leaders have welcomed the move, describing it as a timely and strategic policy decision that could significantly strengthen the country’s industrial base and export competitiveness.
According to the Bangladesh Garments Accessories and Packaging Manufacturers and Exporters Association (BGAPMEA), around 1,400 paper packaging factories are currently in operation across the country.
These factories supply packaging products worth approximately $8 billion annually to the domestic market, while exporting goods valued at about $1.6 billion to overseas destinations, including India, Pakistan, Morocco, Tunisia, Spain, United States, and the Middle East.
BGAPMEA leaders said the global paper packaging market is currently valued at around $700 billion, offering Bangladesh substantial scope to expand its export footprint if supported by appropriate government policies.
BGAPMEA President Md Shahriar told TIMES of Bangladesh that paper packaging is one of Bangladesh’s most important backward linkage industries, particularly for the ready-made garment sector.
“The industry meets growing domestic demand and exports nearly $1.6 billion worth of products every year. Despite this contribution, the sector does not receive any direct export incentives,” he said.
With export incentives and supportive policies from the National Board of Revenue, the paper packaging sector could emerge as a major export-oriented industry like the apparel sector, he added.
“We have already discussed these issues with the government. We have received assurances of full support, and as a result, the packaging sector is expected to become one of the country’s key industries in the coming days,” Shahriar said.
He also expressed optimism that the “Product of the Year” declaration would inject fresh momentum into the paper and paper-based products market.
With the steady expansion of Bangladesh’s garment industry, paper packaging has evolved into an indispensable support sector. A significant portion of cartons and packaging materials used for apparel exports are now produced locally, reducing import dependency.
BGAPMEA First Vice-President Mohammad Shahidullah Chowdhury said the sector has undergone a major transformation over the years.
“There was a time when packaging products were almost entirely import-dependent. Today, local entrepreneurs are meeting demand through technology-driven production and skilled manpower,” he said.
“The ‘Product of the Year’ recognition will further boost investment in the sector,” he added.
Chowdhury also highlighted growing demand in Western markets.
“Buyers in Europe and North America are increasingly prioritising environmentally friendly packaging. This trend presents a major opportunity for Bangladesh’s paper packaging industry,” he said.
Globally, the printing and packaging industry is estimated to be worth $1.545 trillion. Industry insiders believe that capturing even 1 per cent of this market could create export opportunities worth $15 billion for Bangladesh.
At present, the country’s export earnings remain heavily reliant on the apparel sector. Entrepreneurs argue that the growth of high-potential sectors such as paper packaging would help reduce export concentration risks and bring greater balance to the economy.
As a sustainable alternative to plastic, paper packaging is gaining rapid acceptance worldwide. Growing international pressure to reduce carbon emissions and promote recyclable products is making Bangladesh’s paper packaging sector increasingly attractive to global buyers.
Dr Masrur Reaz, chairman of Policy Exchange Bangladesh, said policy support will be crucial for the sector’s long-term success.
“If the government provides tax incentives and consistent policy support, the paper packaging sector can become a model for sustainable industrialisation in Bangladesh,” he added.
