Bioplastic Packaging Market (By Material: Biodegradable, Non-biodegradable; By Type: Flexible, Rigid; By Application) - Global Industry Analysis, Size, Share, Growth, Trends, Revenue, Regional Outlook and Forecast 2024-2033

The global bioplastic packaging market size was estimated at around USD 16.9 billion in 2023 and it is projected to hit around USD 80.81 billion by 2033, growing at a CAGR of 16.94% from 2024 to 2033.

Key Pointers

• Europe region dominated the market with the largest market share of 34% in 2023.
• By Material, the biodegradable held the largest revenue share of 53% in 2023.
• By Type, the flexible packaging segment commanded the largest share of 57% in 2023.
• By Application, the food and beverages segment had the largest market share of 59% in 2023.

Bioplastic Packaging Market Growth

The growth of the bioplastic packaging market is propelled by a confluence of factors that collectively contribute to its expanding influence. One primary driver is the escalating global awareness of environmental issues, prompting a shift towards sustainable practices. Consumers and businesses alike are increasingly prioritizing eco-friendly alternatives, driving demand for bioplastic packaging solutions. Stringent regulatory measures aimed at curbing the environmental impact of traditional plastics further accelerate this market's growth, fostering a favorable environment for the adoption of biodegradable, compostable, and bio-based plastics. Additionally, corporate sustainability initiatives play a pivotal role, with companies recognizing the importance of integrating environmentally responsible packaging into their operations. The continuous evolution of technology and the development of innovative materials contribute to the market's dynamism, offering new and improved bioplastic packaging solutions. As these growth factors intersect, the bioplastic packaging market emerges as a key player in shaping the future of sustainable packaging practices on a global scale.

Report Scope of the Bioplastic Packaging Market

Bioplastic Packaging Market Trends

Advancements in Bioplastic Technology:

• Ongoing research and development in bioplastic technology are leading to innovations in terms of performance, durability, and versatility.
• New formulations are emerging, offering improved barrier properties and increased shelf life, addressing concerns about the efficacy of bioplastic packaging.

Increased Investment in Bioplastic Production:

• Growing demand for bioplastics has attracted significant investments from both established companies and startups.
• Increased investment is expected to drive the development of more cost-effective and scalable bioplastic manufacturing processes.

Collaborations and Partnerships:

• Collaboration between packaging manufacturers, brands, and bioplastic producers is becoming more common.
• Partnerships aim to create integrated and sustainable supply chains, ensuring the availability of high-quality bioplastic materials for packaging.

Rising Popularity of Bio-Based Feedstocks:

• Bio-based feedstocks, derived from renewable resources like corn starch and sugarcane, are gaining preference over traditional petroleum-based feedstocks.
• The use of bio-based feedstocks aligns with the broader goal of reducing dependence on fossil fuels.

Focus on Circular Economy:

• The shift towards a circular economy is driving the adoption of bioplastic packaging materials that can be recycled or composted.
• Companies are emphasizing the importance of designing packaging with end-of-life considerations in mind, contributing to a more sustainable lifecycle.

Material Insights

Based on material, the biodegradable held the largest revenue share of 53% in 2023, owing to the rising demand for bio-based plastics in various end-use industries, which is expected to drive their demand during the assessment period. Biodegradable plastics include polylactic acid, starch blends, PBAT, PBS, PHA, polycaprolactone, and cellulose acetate. Among them, starch blends and PBAT were the largest biodegradable product segment, in terms of revenue, in 2023.

Starch-based plastics are produced from widely available natural resources such as potato, tapioca, wheat, rice, and corn. The abundant availability of resources makes starch blends an ideal alternative to conventional plastics. However, polylactic acid (PLA) is poised to be the fastest-growing segment during the forecast period. The segment growth is anticipated to be driven by the growing product demand in various applications, including packaging, transportation, agriculture, electronics, and textiles.

Low carbon emission by polylactic acid as compared to conventional plastics is significantly fueling the demand for polylactic acid globally. For instance, producing 1 kg of polylactic acid releases approximately 0.5 kg of carbon footprint, whereas the production of conventional polycarbonate, polystyrene, polyethylene terephthalate, polypropylene, and low-density polyethylene releases 5.0 kg, 2.2 kg, 2.0 kg, 1.7 kg, and 1.7 kg carbon footprint, respectively.

Type Insights

Based on type, the flexible packaging segment commanded the largest share of 57% in 2023. Developments in the production of bioplastic technologies, the use of case-ready packaging, and improved packaging practices are anticipated to drive the demand for bioplastics in flexible packaging. Furthermore, the demand for flexible packaging is high, especially for snack foods and beverages.

The surge in demand can be attributed to technological improvements, lifestyle changes of consumers, modern retail trades, and the increasing popularity of quick-service restaurants. For example, consumers, particularly in North America and Europe, prefer packaging that is light and aesthetically appealing. This is likely to increase the use of bioplastic-based flexible packaging in the coming years. 

Application Insights

Based on application, the food and beverages segment had the largest market share of 59% in 2023. The factors that drive the market are the rising demand for packaged food and the popularity of quick-service restaurants. The growing demand for packaged foods is anticipated to prompt manufacturers to increase production capacity, thereby augmenting the market for flexible packaging during the forecast period.

In addition, the rising prominence of nutritional food, along with the European Commission’s initiatives to regulate the use of polymers in food packaging applications, is projected to propel the growth of the bioplastic packaging market. Bioplastic packaging is widely utilized for manufacturing bottles, jars, and containers, as well as for fresh food packaging.

PLA plastic bottles are durable, disposable, and possess properties such as transparency and gloss. Polylactic acid can be easily composted compared to petroleum-based products and does not emit toxic gases on incineration. Thus, its demand in the food packaging segment is expected to remain significantly high during the forecast period. 

Regional Insights

The Europe region dominated the market with the largest market share of 34% in 2023. The region is further anticipated to witness substantial growth in the coming years, owing to the presence of stringent environment-friendly laws, and increasing environmental concerns among consumers.

In addition, government initiatives, such as the decision of the EU to minimize the overall consumption of single-use plastic products, are anticipated to propel the demand for bioplastics during the assessment period. In 2019, the members of the European Parliament voted to ban single-use plastic products such as cutlery and straws as part of a sweeping law against plastic waste that spoils beaches and pollutes oceans. The ban on single-use plastics is expected to come into effect in July 2022.

Bioplastics are broadly used in various essential applications such as refuge bags, shopping bags, loose packaging, agricultural mulch films, and bottles, among others. Approximately, 100 billion bags are used per year in the European Union. The general consumer acceptability of bioplastics is witnessing a rise across all European countries.

Key Companies

• Amcor Plc.
• Novamont S.p.A
• NatureWorks, LLC.
• Coveris
• Sealed Air
• Alpha Packaging
• Constantia Flexibles 
• Mondi
• Transcontinental Inc.
• ALPLA

Bioplastic Packaging Market Segmentations:

By Material

• Biodegradable
  • Polylactic Acid
  • Starch Blends
  • Polybutylene Adipate Terephthalate (PBAT)
  • Polybutylene Succinate (PBS)
  • Others
• Non-biodegradable
  • Bio Polyethylene
  • Bio Polyethylene Terephthalate
  • Bio Polyamide
  • Others

By Type

• Flexible
• Rigid

By Application

• Food & Beverages
• Consumer Goods
• Cosmetic & Personal Care
• Pharmaceuticals
• Others

By Region

• North America
• Europe
• Asia Pacific
• Central & South America (CSA)
• Middle East & Africa (MEA)