Kraft Paper Price Trends in India 2026: What Is Driving the Recent Increase?

Publish Date: 30 Sep 2026

If you have been buying kraft paper recently, you may have noticed that quotations are not quite where they were a few months ago. Kraft Paper Price in India has moved upward in 2026, with raw material availability, packaging demand, monsoon disruptions and higher input costs all contributing to the change. Recent industry data shows that benchmark kraft paper prices increased further in September, with regional prices around ?37-42 per kg.

For businesses that regularly purchase paper for corrugated boxes, bags or other packaging applications, even a small increase per kilogram can affect the overall production budget.

What Is Happening to Kraft Paper Prices in 2026?

The movement has not been exactly the same across India. Prices vary by region, paper grade, GSM, BF, raw material mix and order volume. Still, the broader direction has been upward.

Industry data indicates that kraft paper prices rose by around ?2-3 per kg across regions in September 2026. Earlier in July and August, increases were smaller, but the market continued to remain firm.

So, why is this happening?

1. Recovered Paper Is Getting Costlier

Recycled kraft paper depends heavily on recovered paper such as OCC, or old corrugated containers. When collection becomes difficult or supply tightens, mills have to pay more for the fibre they use.

Monsoon conditions have affected recovered-paper collection in parts of India this year. At the same time, international OCC prices have also moved higher. These changes eventually put pressure on mill production costs.

2. Packaging Demand Remains Strong

Kraft paper demand is closely connected to packaging. Corrugated boxes are used across e-commerce, FMCG, food, pharmaceuticals, electronics and manufacturing.

When businesses increase production or prepare inventory for festive-season sales, demand for boxes and packaging materials rises too. September data points to stronger pre-festive stocking as one factor supporting kraft paper prices.

3. Energy, Freight and Other Costs Matter

Paper manufacturing is not only about fibre. Electricity, fuel, chemicals, transportation and processing costs all add up.

If several of these costs rise together, mills have limited room to absorb everything. A part of the increase can eventually reach buyers through revised quotations. This is one reason Kraft Paper Cost can change even when the paper grade itself has not changed.

What Does This Mean for Buyers?

Businesses should avoid looking at price alone while comparing suppliers. A cheaper quotation may not always mean a lower overall packaging cost if the paper has inconsistent GSM, BF or strength.

Before placing a large order, it helps to check:

• GSM and BF requirements
• Paper strength and consistency
• Recycled or virgin fibre composition
• Delivery timelines
• Order quantity and payment terms
• Supplier reliability and quality history

Established Kraft Paper Manufacturers India can also help buyers select grades according to the actual packaging application instead of simply choosing the lowest-priced option.

How Is Nikita Papers Positioned in This Market?

Nikita Papers has been manufacturing kraft paper at Shamli, Uttar Pradesh, since the early 1990s. The company has expanded its production capabilities over the years and manufactures kraft paper across different GSM and BF grades for packaging applications.

Its manufacturing journey has also included a shift towards recycled pulping and investments in energy and production infrastructure.

In Summary

The Kraft Paper Price 2026 trend has been shaped by several factors rather than one sudden change. For packaging businesses, keeping an eye on raw material movement and working with a reliable manufacturer such as Nikita Papers can make procurement decisions more predictable.