June 18, 2024
Abaca Fiber Market

Abaca Fiber Market is Estimated to Witness High Growth Owing to Increasing Usage in Paper Industry

The abaca fiber market includes products such as raw fiber, yarn, and twine which are derived from the abaca plant. Abaca fiber has high tensile strength and is known for its durability making it suitable for various industrial applications. It is primarily used in the manufacture of twines, ropes, carpets, insulating paper, currency paper, and refractory materials. The abaca plant is mainly cultivated in the Philippines which accounts for over 80% of the global production of abaca fibers.

The Global abaca fiber market is estimated to be valued at US$ 1,921.1 Mn in 2024 and is expected to exhibit a CAGR of 14% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the abaca fiber market are Wigglesworth & Co. Limited., M.A.P. Enterprises, Yzen Handicraft Export Trading, Specialty Pulp Manufacturing, Inc. (SPMI), Chandra Prakash & Company, Ching Bee Trading Corporation, Peral Enterprises, Sellinrail International Trading Company, DGL Global Ventures LLC, and Terranova Papers. The key opportunities in the market include introduction of abaca-based products in industries such as automotive and construction. Increasing globalization has led to the expansion Abaca Fiber Market Demand in regions such as North America and Europe where it is mostly used in the paper and pulp industry.

Market Drivers

One of the major drivers for the abaca fiber market is its increasing usage in the paper industry. Abaca fiber finds wide application in the manufacture of various specialty papers such as currency paper, cigarette filter paper, and insulating paper due to properties such as high wet strength, good drainage, and resistance to tearing. The abaca fiber is also used as a substitute for wood pulp for paper production which is driving its demand especially from the developing nations looking at sustainable options.

PEST Analysis

Political: The filipino government promotes the cultivation of abaca to support local farmers and rural communities where it is grown. Government policies aim to improve farming techniques and provide subsidies.
Economic: The steady growth in the man-made fiber industry creates strong demand for abaca fiber which is used as an alternative to glass fiber in various products. Ability to be exported globally.
Social: Abaca cultivation is an important source of income for many rural families. However, manual harvesting methods can be physically demanding.
Technological: New machinery has been developed to assist with abaca peeling and processing which has increased productivity while reducing labor requirements. Fiber properties also enable technical applications in industries like automotive and construction.

The Philippines accounts for the largest share of the global abaca fiber market in terms of value owing to it being the top producer globally. Countries like Ecuador and Indonesia also cultivate abaca on a large scale.
The Asia Pacific region excluding the Philippines is projected to register the fastest growth during the forecast period due to increasing industrialization and the subsequent rise in demand for abaca fiber from industries in countries such as China, India and Japan. Growth in the construction industry utilizing abaca fiber reinforced concrete will specifically drive the market.

*Note:
1. Source: Coherent Market Insights, Public Source, Desk Research
2. We have leveraged AI tools to mine information and compile it