The cellulose fiber market is evaluated at US$33.003 billion for the year 2019 and is projected to grow at a CAGR of 5.53% to reach the market size of US$48.088 billion by the year 2026.

Due to the rising concerns regarding environmental degradation and climate change around the world, the companies are looking out as an alternative for petrochemical sourced fibers and are shifting towards environment-friendly and biodegradable fibers, which is increasing the demand for cellulose fibers around the world and is anticipated to propel the growth of cellulose fiber market during the forecast period.

Also, as cellulose fibers are widely used in the textile and apparel industry, the growth in the textile and apparel industry around the world is providing a boost to the demand for cellulose fiber and is projected to surge the growth of the cellulose fiber market in the coming years.

The recent outbreak of the novel coronavirus disease harmed the cellulose fiber market. The pandemic led to a decline in the textile and apparel industry which negatively impacted the growth of the cellulose fiber market.

Also, due to lockdowns around the world, the industries were shut down, and even where the industries were opened, there was a shortage of labor. The retail sales declined and the focus of consumers for the short-term shifted to essential items only. This led to a decline in the cellulose fiber market during the pandemic.

However, the lockdown has been lifted in most parts of the world, trade restrictions have been eased, and the textile and apparel demand has increased, but the complete recovery of the cellulose fiber market is not expected to be achieved before the year 2022.

The rise in demand for environment-friendly fiber.

One of the key factors supplementing the cellulose fiber market growth is the increased focus of the world towards finding an environment-friendly and biodegradable fiber.

As the issue of climate change, environmental pollution and sustainability have taken a storm, more and more companies are trying to shift towards a green option for fibers from the traditionally used petrochemical sourced fibers which lead to large amounts of carbon emissions in the environment.

As a result, cellulose fibers are gaining demand, which is anticipated to grow further during the forecast period providing a surge to the growth of the cellulose fiber market. The recyclability of cellulose fibers provides it with an advantage over other materials. Also, cellulose fibers, due to their green properties, are being increasingly considered to reinforce and replace plastics in many applications.

Cellulose nanofiber is one such material that exhibits similar properties as plastic, such as being lightweight, strong, transparent, with high barrier properties to water and gas, which is the reason why it is being seen as an alternative to plastics not just in the food industry, but also in various others industries like medicine, cosmetics, and electronics.

The hunt for a biodegradable and environment-friendly fiber has prompted the increase in research and development on cellulose fibers and new fibers are being produced as an alternative to previously-used fibers.

For instance, while working on finding an alternative for glass-fiber-reinforced plastics, German Institutes for Textile and Fiber Research Denkendorf (DITF) developed a material named PURCELL. The material is made up of pure cellulose and hence is fully recyclable.