Global Bioplastics Packaging Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)

The Global Bioplastics Packaging Market is expected to grow at a CAGR of 15. 2% over the forecast period (2021-2026). Bioplastics packaging solutions are finding increasing applications in packaging owing to their low environmental impact, growing focus on recyclability and sustainability, government emphasis on efficient packaging management, and rising consumer awareness, coupled with increasing bans on single-use plastic.

New York, Oct. 27, 2021 (GLOBE NEWSWIRE) -- Reportlinker.com announces the release of the report "Global Bioplastics Packaging Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)" - https://www.reportlinker.com/p06177350/?utm_source=GNW


Key Highlights
According to the Society of the Plastics Industry (SPI), Bioplastics Council defines bioplastics as biodegradable plastic, has biobased content, or both. Bioplastics materials consist of materials with differing properties. The three main groups are Bio-based, non-biodegradable materials, such as bio-PE, bio-PET, and bio-PEF, Bio-based and biodegradable materials, such as PLA, PHA, or starch blends, Fossil-based and biodegradable materials.?
The bio-plastic products are usually made of renewable raw materials, such as starch and cellulose. Moreover, bio-degradable plastic can decompose into inorganic compounds, CO2, methane, and water, by the enzymatic action of microorganisms.?
According to European Bioplastics (Association of Bioplastics), global bioplastics production capacity is set to increase from 2.11 million metric tons in 2020 to approximately 2.7 million metric tons in 2025. The organization stated that a total of 1,227 metric tons of biodegradable bioplastics and 884 bio-based non-biodegradable bioplastics were produced in 2020.
Furthermore, the increasing initiatives by the government and the related regulatory bodies to promote bioplastics usage is expected to boost market growth over the forecast period. For instance, Japan unveiled a new policy to increase plant-based bioplastics to tackle marine plastic waste. In a move that would see the country recycle 100% of newly produced plastics by 2035 and promote bioplastics from plant-based sources.
Amid the COVID-19 pandemic, the growth of the bioplastics packaging market has been majorly stunted. The supply chain disruption, price hike of the raw material, and the nationwide lockdown have heavily impacted the growing market before the pandemic hit.
Moreover, changes in consumer behavior during the COVID-19 pandemic require actions concerning the adoption of bioplastics for single-use food packaging. Polylactide (PLA) is anticipated to witness significant growth for high production viability, performance comparable to petroleum-based thermoplastics, and carbon-neutral life cycle in the market studied over the forecast period.

Key Market Trends

Rigid Packaging to Hold Dominant Position in the Market

Rigid bioplastics are used for cosmetics packaging of compact powders, lipsticks, creams, and beverage bottles. A broad application base increases the scope for demand. Materials, such as bio-based PE, PLA, or bio-based PET, are used in this section.
According to stats from the Federal Environment Agency, Germany produces almost 6.28 million tons of plastic waste each year, and globally, the figure is about 400 million tons. In general, a plastic bottle takes approximately 500 to 1,000 years to decompose. Such stats showcase the need for bioplastics in rigid packaging products, such as bottles, tubes, cups, cutlery, blister packaging, etc., which could significantly reduce the decomposition time.
In the context of the rising environmental awareness, several well-known brands, such as Vittel, Coca-Cola, Heinz, or Volvic, have started using bio-based PET for making bottles of all sizes comprising sparkling drinks and other non-gaseous fluids and solutions. Significant companies like Johnson & Johnson and Procter & Gamble rely on bio-based PE to package several cosmetic products.
The significant percentage of bio-based material in these products and the capability to combine them with suitable recyclates from conventional PE and PET have resulted in solid growth in resource efficiency and decreased carbon dioxide releases.
Considering the growing popularity of bio-plastics, multiple bioplastics use case technologies are being discovered in developed countries by catering significant funding in research and development. For instance, in July 2021, Brown University students developed a bioplastic ‘Fette’ Cup to replace solo cups. The solo cups are made from number six plastic, chemically identical to styrofoam and toxic for the environment.

Europe Holds the Maximum Market Share

The European Union (EU) is working towards the 2050 net-zero emissions goal and tackling the increasing environmental and sustainability crisis by implementing the European Green Deal. The inclination towards a more sustainable society is intertwined with the European economy’s production, use, and disposal of plastic.
Europe strengthened its position as a central hub for the entire bioplastics industry and ranked foremost in the field of research and development, having this industry’s largest market worldwide. By now, one-fourth of the overall bioplastics production capacity is located in Europe.
Furthermore, consumers in the region are increasingly becoming aware of the effect of plastic & non-biodegradable packaging on the environment. The demand for green packaging, including bioplastics packaging, is on the rise in the country.?
According to european-bioplastics.org, in Europe, 50% of goods are being packaged in plastic that impacts the environment on a large scale. Therefore, the government and the related regulatory bodies are increasingly coming up with initiatives that promote and incentivize bioplastics for packaging in the region.?
Besides the contributions towards a sustainable future, the emerging bioplastics industry has the prospective to unfold an immense economic impact in Europe over the coming decades. According to a market analysis conducted by EuropaBio, the European bioplastics industry could realize a steep employment growth, most of which will positively affect the development of rural areas.

Competitive Landscape

The Global bioplastics packaging market consists of several major players. The major players with a prominent share in the market are focusing on expanding their customer base across the regions and the end-user industry base. These companies are leveraging on strategic collaborative initiatives to increase their market share and increase their profitability. Some of the major players operating in the market include BASF SE, Tagleef Industries Group, Alpagro Packaging, and Amcor Ltd. Some of the recent developments in the market are:

June 2020 - BASF SE expands its packaging coatings production to South China. The expansion will complement the production capacities in Shanghai, which primarily serve the market in the East China region. The move will support the fast-growing packaging industry in South China and help customers reduce lead times by offering proximity between production and point of use. This also reduces energy consumption and CO2 emissions due to the shorter transportation distance.
May 2020 - Toray Industries, Inc. announced that it had created a high tensile modulus of carbon fiber and thermoplastic pellets ideal for injection molding employing that fiber. The pellets can efficiently produce complex, rigid parts that are also light, thereby lowering environmental impact. These advances could greatly enhance cost performance.

Additional Benefits:

The market estimate (ME) sheet in Excel format
3 months of analyst support
Read the full report: https://www.reportlinker.com/p06177350/?utm_source=GNW

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