Thermal Paper Market Size

Thermal Paper Market Size

Thermal paper Market size achieved USD 4.45 billion in 2023 and will grow at 10.9% CAGR from 2024 to 2032. Thermal paper acts as a recording media to be printed through a thermal printer via heat. Images are created through the direct transfer of thermal energy onto this paper. The demand for thermal papers will increase with their growing use in making lottery and gaming tickets.

Thermal papers with weight of 70 g/m2 or less are primarily used for printing point of sale (POS) receipts at ATMs, gas stations, cash registers, credit card machines and similar services. POS machines are used for transactions at hospitals, warehouses, retail and entertainment industries to expedite the checkout process and result in customer satisfaction. Point-of-sale (POS) billing operations accompanied by the expansion of the retail sector and increasing network of hypermarkets and small stores.
 

Widespread availability of a variety of application-specific specialty papers include label, release liners, carbonless, décor and kraft. Enhanced moisture retention, increased pH levels and hygiene make it a suitable packaging material in food and beverage sector, cosmetics and logistics. Other than protection and transportation, this product is used for marketing activities since it promotes visual impressions conveyed by a package.
 

The rising demand for point-of-sale (POS) thermal receipts is a major contributor, fueled by the expanding retail and hospitality sectors. As businesses increasingly adopt digital and automated systems, the need for reliable, high-quality thermal paper for receipts has surged. Additionally, the rapid expansion of the food and beverage industry has amplified the demand for packaging solutions, which often utilize thermal paper for labeling and promotional purposes. Furthermore, the growth in packaging and printing industries, with their continuous innovations and increased production volumes, further stimulates the thermal paper market. Collectively, these drivers underscore the dynamic expansion of the thermal paper sector, reflecting broader trends in retail, food services, and industrial applications.
 

The market is facing potential constraints due to stringent regulations from the Occupational Safety and Health Administration (OSHA) aimed at reducing Bisphenol A (BPA) levels. BPA, a toxic chemical commonly found in the coatings of thermal paper, has raised significant health concerns. In 2023, the European Union implemented rigorous regulations under ANNEX XVII OF REACH to address these concerns. The regulation, prompted by a dossier from the French government, emphasizes the increased risk of BPA exposure to consumers, cashiers, and unborn children. As these regulations become more stringent, they are expected to moderate the growth of the thermal paper industry by limiting the use of BPA-containing products and pushing for safer alternatives.