Down the drain: Industry revenue has fallen over past five years due to higher input costs

The Sanitary Paper Product Manufacturing industry has declined over the past five years, as rising input prices and intensifying import competition have pressured the industry's performance. Industry revenue is expected to fall at an annualised 0.2% over the five years through 2017-18, to $2.4 billion. However, revenue is expected to rise 1.2% in 2017-18.Most industry products are necessity, staple items such as toilet paper, tissues and paper towels. Demand for these products is stable over time. Population growth and a rising number of households have supported industry revenue over the past five years, and a growing female population over the age of 18 has also lifted demand for feminine hygiene more.

Industry Statistics & Market Size
Annual Growth 13-18
Forecast Growth 18-23

Industry Threats & Opportunities

  • Intensifying import competition has eroded industry revenue
  • Environmental sustainability is a key consideration for consumers
  • Firms will likely benefit from rising household income and increased demand from the health sector
  • Industry Report - Starting a New Business Chapter

    Typical of most paper-converting industries, the most significant barrier for an operator entering the industry is the initial cost. Start-up costs are mainly capital oriented and include fixed assets such as facilities, machinery and equipment, new technologies and other related physical assets. Significant costs also include locating and sourcing production inputs. Transport and logistics arrangements and procurement relationships for the supply of pulp and utilities are essential in the beginning years of sanitary paper manufacturing. Start-up costs are typically quite significant, depending on the type of products being produced and the machinery required. The limited availability of suitably skilled staff across areas of operations also poses as a barrier to entry. Fur...purchase to read more.

    Additional Insights for the Sanitary Paper Product Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Sanitary Paper Product Manufacturing Industry are

  • Ability to quickly adopt new technology
  • Establishment of brand names
  • Access to niche markets
  • IBISWorld analysts also discuss how external factors such as Real household disposable income and Number of births in the Sanitary Paper Product Manufacturing industry impact industry performance..

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    What's in this report

    What is the Sanitary Paper Product Manufacturing Industry?

    Industry operators primarily manufacture sanitary paper products including tissues, nappies, napkins, towels and women’s sanitary goods. These products are typically sold to grocery and paper product wholesalers or directly to retailers.

    Industry Products
  • Personal-care products
  • Sanitary tissues
  • Baby products
  • Other paper products
  • Industry Activities
  • Disposable nappy (cellulose based)
  • Tampon (cellulose based)
  • Manufacturing tissues, paper towels, toilet tissues and paper napkins
  • Sanitary napkin (cellulose based)
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Real household disposable income
  • Number of births
  • World price of wood pulp
  • Female population aged 18 and older
  • Trade-weighted index

  • Current Performance
  • Operating landscape
  • Profit and restructuring
  • Competition
  • Environmental awareness
  • Chart: Revenue Growth

  • Industry Outlook
  • Revenue opportunities
  • Profitability
  • Trade trends
  • Table: Sanitary Paper Product Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Sanitary Paper Product Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Paper Product Wholesaling
  • Accommodation and Food Services
  • Health Services
  • Supermarkets and Grocery Stores

  • Key Selling Industries
  • Basic Organic Chemical Manufacturing
  • Electricity, Gas, Water and Waste Services
  • Mining and Industrial Machinery Wholesaling
  • Paper Product Wholesaling
  • Pulp, Paper and Paperboard Manufacturing

  • Products & Services
  • Sanitary tissues
  • Personal-care products
  • Baby products
  • Other paper products
  • Chart: Sanitary Paper Product Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Wholesalers
  • Retailers
  • Other industries
  • Export markets
  • Chart: Major Market Segmentation for the Sanitary Paper Product Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Chart: Cost Structure Benchmarking – Sector vs Sanitary Paper Product Manufacturing

  • Basis of Competition
  • Internal
  • External

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Sanitary Paper Product Manufacturing Industry

  • Industry Globalization
    Kimberly-Clark Pacific Holdings Pty Limited, Asaleo Care Limited, ABC Tissue Products Pty Ltd,
  • Table: Kimberly-Clark Pacific Holdings Pty Limited - financial performance
  • Table: Asaleo Care Limited - financial performance
  • Table: ABC Tissue Products Pty Ltd - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Sanitary Paper Product Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Sanitary Paper Product Manufacturing Industry
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Exports (2009-2023)
  • Imports (2009-2023)
  • Wages (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
  • A wood pulp by-product used in the production of paper, paperboard and water-soluble adhesives.
  • Chemical Pulp
  • Produced by combining woodchips and chemicals in large vessels known as digesters, which break down the cellulose fibres.
  • Effluent
  • Liquid or fluid wastage produced during the manufacturing process.
  • What Our Customers Say

    Why buy this report?

    The Sanitary Paper Product Manufacturing market research report provides key industry analysis and industry statistics, measures market size, analyzes current and future industry trends and shows market share for the industry’s largest companies. IBISWorld publishes the largest collection of industry reports so you can see an industry’s supply chain, economic drivers and key buyers and markets.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
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    This report on Sanitary Paper Product Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Sanitary Paper Product Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Sanitary Paper Product Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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