Biodegradable Food Packaging Market Growth – Demand & Forecast 2023-2033

Biodegradable Food Packaging Market Snapshot 2023 to 2033

The global biodegradable food packaging market is anticipated to accumulate a market value of USD 216.35 billion in 2023 and is expected to garner a valuation of USD 355 billion by exhibiting a CAGR of 5.08% in the forecast period 2023 to 2033. The biodegradable food packaging market reflected a 4% CAGR in the historical period 2018 to 2022.

The market for biodegradable packaging in the beverage sector is anticipated to witness growth with the never-ending need for bottled water and non-alcoholic beverages. Consumers proclivity toward demanding high-quality drinking water, the fear of illness as a result of drinking polluted tap water, and the ease of transport and convenience are factors further contributing toward the demand for eco-friendly bottled water.

The food sector has grown rapidly as a result of technological innovations and increased integration. As a result, the industry's global expansion has been bolstered. This will positively benefit the market growth. Developed economies like North America and Europe are expected to grow with significant pace.

Increasing consumer awareness is shaping the product demand in these regions. Also, consumers in the eco-friendly packaging market are looking for products with extra features like cost-effectiveness, and are convenient.

• Increasing consumer demand for convenience, development of innovative packaging materials, awareness toward environment, and the adoption of new regulatory requirements are expected to drive market growth in the forecast period.
• Consumers are also opting for biodegradable spoons (wooden spoons) and straws (paper straws) which come with food packaging. Single-use plastic straws, closures, lids, caps, cups, and food trays are being replaced by paper or biodegradable substitutes in the food service sector.
• Due to this, the demand for green food packaging market will continue to grow because of increasing customer preferences for convenience and packaged meals.

Along with this, technological advancements in the food packaging industry are proving new growth opportunities. Major market players are channelizing their efforts on developing innovative technologies to shift towards environmentally friendly food packaging solutions to reduce impact on environment and keep plastic out of landfills and the ocean.

For instance, in October 2022, ‘HuhtamäkiOyj’, a Finland-based consumer packaging company, introduced an innovative, recyclable ice cream packaging solution which was based on paper-based technology. These kind of developments by other manufacturers will further augment the market growth.

This packaging solution is made up of 95% renewable biobased material thanks to a water-based barrier coating and paperboard which has received SFI certification. This innovation helps to cut packaging costs, waste, and environmental pollution, thereby boosting the product demand.

• Region-wise, the market in Europe accounted for maximum revenue share in 2020. It is expected to retain its dominance by garnering around 38% market share by end of the forecast period.
• Due to stringent government regulations in European Union against the use of single-use plastics which are hazardous to the environment, the market is expected to grow.
• The European Directive developed the framework of a circular economy and established sustainability goals and guidelines. By adopting recyclable, recycled, and biodegradable materials, European businesses have begun to follow the circular economy agenda. This practice will contribute to region’s market growth over the forecast period.
• Similarly, the market in Asia Pacific is expected to grow with fastest CAGR of 5% during the assessment period. It is also expected that increasing urbanization, busy lifestyles, growing ready-to-eat meal consumption, and rising disposable income, will propel the product demand in this region throughout the forecast period.

Data Points	Key Statistics
Expected Market Value in 2023	USD 216.35 billion
Projected Market Value in 2033	USD 355 billion
Growth Rate (2023 to 2033)	5.08% CAGR

How Competitive is the Market?

Recent developments and breakthroughs in technology, mergers, acquisitions, tie-ups, and partnerships within the companies involved in manufacturing biodegradable food & beverages packaging solutions are expected to create lucrative opportunities for market growth during the forecast period.

• In May 2022, Amcor Rigid Packaging (ARP) informed about the creation and launch of PowerPostTM. This technology produces nearly one-third lighter bottles with 30% less energy and 30% less carbon than most 20 oz. bottles by actively dislodging the vacuum in the container after filling.
• In January 2022, Amcor PLC launched AmFiberTM, a new platform for paper-based packaging products. AmFiber's innovations aim to redefine the functionality of conventional paper packaging, offering an extensive range of functional benefits to cater to the changing needs of consumers. This new platform’s product is an innovative solution tailored to provide snacks and confectionery products to European customers with recyclable packaging that provides a high barrier to oxygen and moisture.

Food packaging has always been a challenging task since decades and petroleum-based products have been the first choice of manufacturers since they’re very flexible and leak-proof. However, all these petroleum-based products are harmful to the environment and take years to degrade.

They not only increase the wastage but also release greenhouse gases when burned or chemically processed. Hence, manufacturers are slowly shifting towards a more eco-friendly and biodegradable packaging material for food packaging.

Biodegradable packaging has the capability to degrade completely with the help of microorganisms present in the environment. Biodegradable food packaging materials usually consist of paper, metal, glass, wood, bagasse, and eco-friendly plastic among a few others.

Biodegradable food packaging helps in the reduction of carbon footprint and is easy dispose of. It is easier to recycle and requires less energy to manufacture. Due to these benefits, customers are also slowly shifting towards biodegradable food packaging.

Biodegradable Food Packaging Market- Dynamics

Due to the busy lifestyle of people, food takeaway and food ordering have become a common practice worldwide which has led to an increase in demand for the biodegradable food packaging market. Food on the go is another trend which is boosting sales of the biodegradable food packaging market.

Due to the outbreak of covid-19 worldwide, customers are demanding more hygienic and clean packaging which they can reuse and recycle easily, which is helping biodegradable food packaging to grow in the market.

Environmental concerns like global warming and pollution are forcing individuals to give up non-biodegradable and disposable packaging. Plastics and other harmful packaging materials wastage damage the marine environment and exterminates lives of aquatic animals by either ingestion or entanglement with the wastage.

BPA and Benzene found in many packaging materials also harm human health, causing issues like respiratory diseases, blood pressure and even cancer in some cases. Nowadays, consumers are aware of all the ill effects of packaging and are choosing biodegradable packaging materials over other non-sustainable packaging materials.

The increasing population and changing consumer preferences are expected to upsurge the biodegradable food packaging market further. Research and innovations in the biodegradable food packaging sector have caused the entrance of new packaging materials like cellulose, bamboo, corn starch and seaweed. Further study in this sector is set to enhance the demand for biodegradable food packaging in the market.

Biodegradable Food Packaging Market-Regional Outlook

The biodegradable food packaging market has been analyzed based on sales growth and value across different regions that include Asia Pacific, Latin, and North America, Oceania, Europe, and the Middle East and Africa. North America and Europe will dominate the biodegradable food packaging market due to the presence of an environmentally aware and high-spending population in the areas.

However, due to the presence of matured markets, the growth of biodegradable food packaging in these areas is normal. Europe and the Asia Pacific hold high potential for growth in the biodegradable food packaging market. However, the Middle East and African markets are expected to observe low growth compared to other regions.

Biodegradable Food Packaging Market- Key Players

The biodegradable food packaging market is a highly competitive market with the presence of many significant players. Few of the key players in the biodegradable food packaging market are listed below:

• Amcor plc
• Mondi Group
• Smurfit Kappa
• Sonoco Products Company
• Sealed Air Corporation Elopak
• Winpak Ltd.
• Berry Global
• Swedbrand Groups
• Ball Corporation
• Tetra Pak
• Crown Holdings Inc.
• BASF
• Huhtamaki Oyj
• Westrock
• Evergreen packaging

The biodegradable food packaging market report is a compilation of first-hand information, qualitative and quantitative assessment by industry analysts, inputs from industry experts, and industry participants across the value chain.

The report on biodegradable food packaging market provides in-depth analysis of parent market trends, macroeconomic indicators and governing factors along with market attractiveness as per segments. The report also maps the qualitative impact of various market factors on market segments and geographies of the Biodegradable food packaging market.

The Regional analysis includes

• North America
• Latin America
• Western Europe
• Eastern Europe
• East Asia
• South Asia
• Middle East & Africa (MEA)

Table of Content

• 1. Executive Summary
• 2. Industry Introduction, including Taxonomy and Market Definition
• 3. Market Trends and Success Factors, including Macro-economic Factors, Market Dynamics, and Recent Industry Developments
• 4. Global Market Demand Analysis and Forecast, including Historical Analysis and Future Projections
• 5. Pricing Analysis
• 6. Global Market Analysis and Forecast
  • 6.1. Material
  • 6.2. Application
  • 6.3. Technique
• 7. Global Market Analysis and Forecast, By Material
  • 7.1. Paper & paperboard
    • 7.1.1. Rigid
    • 7.1.2. Flexible
  • 7.2. Plastic
    • 7.2.1. Rigid
    • 7.2.2. Flexible
  • 7.3. Metal
  • 7.4. Glass
  • 7.5. Other materials (bamboo, cellulose)
• 8. Global Market Analysis and Forecast, By Application
  • 8.1. Fruits and vegetables
  • 8.2. Dairy products
  • 8.3. Bakery and confectionery
  • 8.4. Meat, fish, and poultry
  • 8.5. Others
• 9. Global Market Analysis and Forecast, By Technique
  • 9.1. Active packaging
  • 9.2. Molded packaging
  • 9.3. Alternate fiber packaging
  • 9.4. Multipurpose packaging
• 10. Global Market Analysis and Forecast, By Region
  • 10.1. North America
  • 10.2. Latin America
  • 10.3. Western Europe
  • 10.4. Eastern Europe
  • 10.5. East Asia
  • 10.6. South Asia
  • 10.7. Middle East & Africa (MEA)
• 11. North America Sales Analysis and Forecast, by Key Segments and Countries
• 12. Latin America Sales Analysis and Forecast, by Key Segments and Countries
• 13. Western Europe Sales Analysis and Forecast, by Key Segments and Countries
• 14. Eastern Europe Sales Analysis and Forecast, by Key Segments and Countries
• 15. East Asia Sales Analysis and Forecast, by Key Segments and Countries
• 16. South Asia Sales Analysis and Forecast, by Key Segments and Countries
• 17. Middle East & Africa (MEA) Sales Analysis and Forecast, by Key Segments and Countries
• 18. Sales Forecast by Material, Application, and Technique for 30 Countries
• 19. Competition Outlook, including Market Structure Analysis, Company Share Analysis by Key Players, and Competition Dashboard
• 20. Company Profile
  • 20.1. Amcor plc
  • 20.2. Mondi Group
  • 20.3. Smurfit Kappa
  • 20.4. Sonoco Products Company
  • 20.5. Sealed Air Corporation Elopak
  • 20.6. Winpak Ltd.
  • 20.7. Berry Global
  • 20.8. Swedbrand Groups
  • 20.9. Ball Corporation
  • 20.10. Tetra Pak
  • 20.11. Crown Holdings Inc.
  • 20.12. BASF
  • 20.13. Huhtamaki Oyj
  • 20.14. Westrock
  • 20.15. Evergreen packaging