by Bioplastic packaging refers to packaging products derived from renewable biomass sources such as vegetable fats and oils, corn starch, wheat straw, and microbiota rather than petroleum. Bioplastic packaging materials provide advantages such as reducing greenhouse gas emissions, using renewable sources, and biodegradability. They find wide use in food & beverage packaging, residential & industrial supplies, consumer goods, and agriculture industries for packaging products and goods due to their sustainability and eco-friendliness.
The global Bioplastic Packaging Market is estimated to be valued at US$ 10.60 Bn in 2023 and is expected to exhibit a CAGR of 29% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the major trends in the bioplastic packaging market is increasing research & development of bioplastics from novel raw materials. Continuous efforts are being made to develop cost-effective bioplastic materials derived from food crop residues and waste biomass. For instance, researchers from Malaysia have developed a bioplastic made from palm kernel shell waste. Similarly, banana fiber is also being studied for developing bioplastic composites.
Stringent government regulations regarding the use of single-use plastics are also fueling the demand for bioplastic packaging. Many countries have either imposed bans or introduced policies to curb single-use plastic usage. Growing consumer awareness about environmental protection is further driving the adoption of sustainable packaging made from bioplastics. Rapid growth of online food delivery and takeaway services is augmenting the need for biodegradable food packaging made from bioplastics.
Porter’s Analysis
Threat of new entrants: The bioplastic packaging market requires high research and development investment as well as stringent regulations which creates barriers for new companies.
Bargaining power of buyers: Buyers have moderate bargaining power in the bioplastic packaging market due to the presence of substitute products like plastic packaging.
Bargaining power of suppliers: A few giant manufacturers control the supply of bioplastics which gives them significant bargaining power over packaging manufacturers.
Threat of new substitutes: With increasing sustainability concerns, new biodegradable substitutes for plastic packaging can emerge and replace conventional plastics.
Competitive rivalry: The bioplastic packaging market has presence of several packaging manufacturers competing on cost and sustainability which has resulted in high competitive rivalry.
Key Takeaways
The global bioplastic packaging market is expected to witness high growth, exhibiting CAGR of 29.% over the forecast period, due to increasing sustainability concerns. North America dominates the bioplastic packaging market currently due to strict regulations against single-use plastics and presence of key players. The Asia Pacific region is expected to be the fastest growing market for bioplastic packaging owing to rising environmental awareness.
Key players operating in the bioplastic packaging market are BASF SE, Koninklijke DSM N.V., NatureWorks, LLC, Metabolix, Inc., and The Dow Chemical Company. BASF SE is one of the leading manufacturers of bioplastics for packaging applications. Koninklijke DSM N.V is a specialty chemical company producing bioplastics under the brand name Ecoflex. NatureWorks LLC produces polylactic acid (PLA) bioplastic commonly used in food packaging and3D printing applications.
The global bioplastic packaging market size for 2023 is US$ 10.60 Bn. Regional analysis North America dominates the bioplastic packaging market currently due to strict regulations against single-use plastics and presence of key players like BASF and Dow chemicals. Asia Pacific is expected to witness fastest growth in bioplastic packaging market led by countries like China, India and Japan. These countries are witnessing rising environmental awareness and sustainability initiatives by both government and brand owners.
