Paper Packaging ERP Solution

Paper packaging, made from paper materials, is used to package food, goods, utensils, etc. It helps to protect goods during storage, loading, and transportation from the factory to distributors, agents, stores, and finally to consumers. Because it is environmentally friendly and does not harm health, it is used in many industries such as: Food - Cosmetics - Textiles - Electronics - Wood Furniture - Agricultural Processing - E-commerce, etc. Therefore, the paper packaging industry is receiving increasing attention and investment development with eye-catching, novel designs and many other useful functions.

Main paper packaging product lines:

• Carton packaging.

• Box packaging.

• 3-5 layer kraft paper packaging.

• PP plastic laminated paper packaging.

• PP plastic laminated paper packaging (kraft, ford, coucher) offset printing. 

The trade war between the US and China, which pushed the tariff rate on paper packaging products to 25% from the end of 2019, has created a trend of shifting foreign-invested packaging factories from China to ASEAN, including Vietnam.

Vietnam's export value is forecast to grow well in 2021 thanks to leveraging advantages from the Vietnam-EU Free Trade Agreement (EVFTA); the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP)... helping to increase industries with high demand for paper packaging such as agriculture, seafood, garments and leather, phones and electronics, ... not to mention the domestic retail and e-commerce market is also forecast to grow by over 10%.

According to VPPA, reducing plastic waste, nylon bags, and increasing encouragement of the use of alternative paper packaging has become a global trend, regulated by law in many countries, and is showing signs of deep and strong development in Vietnam from 2021 onwards.

Paper packaging manufacturers also face challenges regarding a shortage of raw materials and high prices in the first six months of 2021 due to the main supply of recycled paper from North America, Europe and Japan being heavily affected by the COVID-19 pandemic.

Social distancing has reduced the rate of paper material collection, and a shortage of containers and freight is also a major problem, so the shortage of raw materials and high prices are clearly evident.

Meanwhile, domestic collection sources are low, the quality of raw materials is not high, and it is not enough to meet the demand when new factories are expected to increase capacity by 1 million tons in 2021.

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