I have no problem at all with re-gifting, but there are a couple of rules......
1. When you receive something that is crap don't pass your crap on to other people because they are going to think it's crap too.
2. If it is a perfectly presentable gift, but just not to your taste, make sure you put the name of the person who gave it to you on it so that when you do re-gift it you don't give it back to the same person, or any person who may be in that same group of friends/family.
I don't give gift anymore, so I have no need to wrapping paper, but I gave up using wrapping paper years ago. For a long time I used those lovely gift bags which are pretty inexpensive to buy and they can be recycled multiple times.