The Bio-plastic Market size is projected to be worth USD 96.6 billion in 2023. The market is likely to reach USD 1,353.3 billion by 2033. The market is further expected to surge at a CAGR of 30.2% during the forecast period 2023 to 2033.
Key Market Trends and Highlights
| Attributes | Key Insights |
|---|---|
| Bio-Plastic Market Estimated Size in 2023 | USD 96.6 billion |
| Projected Market Value in 2033 | USD 1,353.3 billion |
| Value-based CAGR from 2023 to 2033 | 30.2% |
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The scope for bio-plastic rose at a 28.8% CAGR between 2018 and 2022. The global market for bio-plastic is anticipated to grow at a robust CAGR of 30.2% during the forecast period 2023 to 2033.
| Report Attributes | Details |
|---|---|
| Market Value in 2018 | USD 26.9 billion |
| Market Value in 2022 | USD 74.2 billion |
| CAGR from 2018 to 2022 | 28.8% |
The bio-plastic market witnessed steady growth during the historical period 2018 to 2022. The growth of the market was attributed to the increasing demand for sustainable packaging solutions from consumers and businesses, as well as growing awareness of environmental concerns.
The packaging segment was the largest segment of the bioplastic market during the historical period, owing to the factors such as the increasing demand for sustainable packaging solutions in the food and beverage, cosmetics, and pharmaceutical industries.
The bioplastic market is a growing market with a number of opportunities for growth. The key factors driving the growth of the market are expected to remain the same during the forecast period 2023 to 2033. Some new factors, such as the growing demand for biodegradable bioplastics and the increasing use of bioplastics in emerging applications, are expected to emerge during the forecast period.
Bio-plastics are being used in medical devices and pharmaceutical packaging due to their biocompatibility and potential for reducing single-use plastic waste in healthcare settings. Bio-plastics are used in agriculture for mulching films, plant pots, and biodegradable seed coatings, contributing to sustainable farming practices.
The textile and fashion industry is experimenting with bio-plastics to create sustainable and biodegradable fabrics and clothing, addressing concerns about microplastic pollution. The development of closed-loop supply chains for bio-plastics, where materials can be collected, recycled, and reintroduced into production, offers opportunities for resource efficiency.
The scope for bio-plastic rose at a 28.8% CAGR between 2018 and 2022. The global market for bio-plastic is anticipated to grow at a robust CAGR of 30.2% during the forecast period 2023 to 2033.
| Report Attributes | Details |
|---|---|
| Market Value in 2018 | USD 26.9 billion |
| Market Value in 2022 | USD 74.2 billion |
| CAGR from 2018 to 2022 | 28.8% |
The bio-plastic market witnessed steady growth during the historical period 2018 to 2022. The growth of the market was attributed to the increasing demand for sustainable packaging solutions from consumers and businesses, as well as growing awareness of environmental concerns.
The packaging segment was the largest segment of the bioplastic market during the historical period, owing to the factors such as the increasing demand for sustainable packaging solutions in the food and beverage, cosmetics, and pharmaceutical industries.
The bioplastic market is a growing market with a number of opportunities for growth. The key factors driving the growth of the market are expected to remain the same during the forecast period 2023 to 2033. Some new factors, such as the growing demand for biodegradable bioplastics and the increasing use of bioplastics in emerging applications, are expected to emerge during the forecast period.
Bio-plastics are being used in medical devices and pharmaceutical packaging due to their biocompatibility and potential for reducing single-use plastic waste in healthcare settings. Bio-plastics are used in agriculture for mulching films, plant pots, and biodegradable seed coatings, contributing to sustainable farming practices.
The textile and fashion industry is experimenting with bio-plastics to create sustainable and biodegradable fabrics and clothing, addressing concerns about microplastic pollution. The development of closed-loop supply chains for bio-plastics, where materials can be collected, recycled, and reintroduced into production, offers opportunities for resource efficiency.
Principal Consultant
Bio-plastics often have a higher production cost compared to traditional plastics. The cost of sourcing and processing renewable feedstocks can be more expensive, which may deter some businesses from adopting bio-plastic solutions.
The availability of feedstocks for bio-plastics, such as certain crops and algae, can be limited. Competition for these resources with other industries, like food and fuel, may lead to supply chain challenges.
Some bio-plastics may not possess the same performance characteristics as traditional plastics. They may be less durable, heat-resistant, or have other limitations that restrict their use in certain applications.
Scaling up the production of bio-plastics to meet growing demand can be challenging. Achieving consistent quality and quantity at an industrial scale is a complex task that requires significant investment and expertise.
The below table showcases revenues in terms of the leading five leading countries, spearheaded by the United States and China. Both the countries are expected to lead the market through 2033.
Forecast CAGRs from 2023 to 2033
| The United States | 30.0% |
|---|---|
| China | 29.4% |
| India | 28.6% |
| Japan | 26.5% |
| Germany | 20.8% |
The bio-plastic market in the United States is expected to expand at a CAGR of 30.0% through 2033.
Increasing environmental consciousness among consumers, businesses, and policymakers is driving the demand for eco-friendly and sustainable alternatives to traditional plastics. Bio-plastics are perceived as a more environmentally friendly choice, aligning with sustainability goals.
The United States government and various state governments are implementing regulations and initiatives to promote the use of bio-plastics. The measures include bans on single-use plastics, tax incentives, and environmental standards that encourage the adoption of bio-plastics.
Growing consumer demand for products with reduced environmental impact is prompting companies to incorporate bio-plastics into their packaging, consumer goods, and other products, which aligns with the trend of eco-conscious purchasing.
The bio-plastic market in China is anticipated to expand at a CAGR of 29.4% through 2033.
The rapid urbanization and industrialization in China have led to increased plastic consumption. The need to manage plastic waste and reduce environmental impact is pushing the adoption of bio-plastics.
Chinese consumers are becoming more conscious of sustainability and environmentally friendly products. The demand for bio-plastic packaging, consumer goods, and textiles is rising.
Many companies in the country are setting sustainability goals and commitments to reduce their carbon footprint and promote environmental responsibility. Bio-plastics play a key role in achieving these objectives.
China is investing heavily in research and development, leading to technological advancements in bio-plastic materials and production processes. The innovations enhance the market's competitiveness.
The bio-plastic market in India is poised to expand at a CAGR of 28.6% through 2033.
The Indian government has launched several initiatives to promote sustainable and eco-friendly materials, including bio-plastics. The initiatives include incentives, regulations, and policies that encourage the adoption of bio-based and biodegradable materials.
Indian companies are setting sustainability goals and commitments to reduce their environmental footprint. The use of bio-plastics aligns with as objectives and can enhance brand reputation. India has significant agricultural resources that can be used as feedstocks for bio-plastics, such as sugarcane and corn. The availability of these feedstocks contributes to the growth of the bio-plastic market.
The packaging industry in India is witnessing substantial growth. Bio-plastics are increasingly being used in packaging to meet consumer preferences for sustainable and eco-friendly materials. India has implemented regulations to restrict the use of single-use plastics, encouraging businesses to explore alternatives like bio-plastics for packaging and disposable items.
Bio-plastic trends in Japan are taking a turn for the better. A 26.5% CAGR is forecast for the country from 2023 to 2033.
Japanese consumers are known for their preference for eco-friendly and sustainable products. The demand is driving the use of bio-plastics in various consumer goods and packaging. Many companies in Japan have set ambitious sustainability goals, which include reducing plastic waste and adopting more environmentally friendly materials like bio-plastics.
Japan is a leader in research and development, and this extends to bio-plastic innovations. Ongoing research efforts are leading to advancements in bio-plastic materials and production processes. Japan has access to agricultural resources that can be used as feedstocks for bio-plastics, such as rice and sugarcane. The availability of these feedstocks contributes to the growth of the bio-plastic market.
The bio-plastic market in Germany is anticipated to expand at a CAGR of 20.8% through 2033.
German companies are actively setting sustainability goals, including the reduction of plastic waste and the use of more environmentally friendly materials such as bio-plastics. Germany is a hub for research and development, and this extends to bio-plastics. Ongoing research is leading to advancements in bio-plastic materials and production processes.
The Germany packaging industry is a significant driver of bio-plastic demand. The industry is adopting bio-plastics to meet sustainability goals and consumer preferences. Germany automotive industry is exploring bio-plastics for interior and exterior components to reduce vehicle weight and improve fuel efficiency, in line with sustainability goals.
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The below table highlights how PLA and PLA blends segment is projected to lead the market in terms of material type, and is expected to expand at a CAGR of 30.1% through 2033.
| Category | PLA and PLA Blends |
|---|---|
| CAGR (in 2033) | 30.1% |
Based on material type, the PLA and PLA blends segment is expected to continue dominating the bio-plastic industry.
PLA is known for its biodegradability and compostability, making it a preferred choice for single-use disposable products and food packaging. The increasing emphasis on reducing plastic waste is driving demand for PLA-based materials.
PLA is derived from renewable resources such as cornstarch or sugarcane. Its renewable sourcing aligns with sustainability goals and reduces dependence on fossil fuels. The PLA can be used in various applications, including packaging, textiles, medical devices, and 3D printing. Its versatility and biodegradable properties make it suitable for a broad range of industries.
PLA is considered to be a more eco-friendly alternative to traditional plastics, and consumer preferences for sustainable products are contributing to its growth. Some regions and countries are implementing regulations to restrict single-use plastics, which is driving the adoption of PLA-based materials for items like disposable cutlery and packaging.
In terms of applications, the packaging segment is expected to escalate the demand for bio-plastics. Increasing awareness of environmental issues and the desire to reduce plastic waste are driving demand for sustainable packaging solutions. Bio-plastics, with their biodegradability and renewable sourcing, are considered eco-friendly alternatives. The packaging segment is expected to expand at a CAGR of 30.0% through 2033.
Many countries and regions are implementing regulations to reduce the use of single-use plastics and promote sustainable packaging, which is encouraging businesses to adopt bio-plastic packaging solutions.
Consumers are increasingly seeking products with eco-friendly and sustainable packaging. Bio-plastics align with these preferences and can enhance brand reputation. Bio-plastics, such as PLA, are gaining traction in the food packaging industry due to their ability to extend the shelf life of food products, reduce food waste, and maintain food safety.
The growth of e-commerce has led to increased demand for sustainable and protective packaging materials. Bio-plastics are being used to meet the sustainable packaging needs of e-commerce companies. Companies are looking to reduce their carbon footprint, and the use of bio-plastics in packaging contributes to this goal by utilizing renewable feedstocks and reducing the environmental impact of packaging materials.
The key strategies chosen by large companies include several growth strategies such as technology development, expansion as well and mergers and acquisitions to surge market share, reach and revenue.
In 2023, NatureWorks (USA) announced the launch of its new bio-plastic product, Ingeo 2000H. Ingeo 2000H is a high-performance bio-plastic that is designed for use in a variety of applications, including food packaging, consumer goods, and industrial products.
In the same year, BASF (Germany) announced the expansion of its production capacity for bio-plastic at its plant in Germany. The expansion is expected to meet the growing demand for bio-plastic in Europe and other regions.
In 2022, TotalEnergies (France) announced the acquisition of Neste's (Finland) renewable fuels business. The acquisition is expected to strengthen TotalEnergies' position in the bio-plastic market.
| Attribute | Details |
|---|---|
| Estimated Market Size in 2023 | USD 96.6 billion |
| Projected Market Value in 2033 | USD 1,353.3 billion |
| Value-based CAGR 2023 to 2033 | 30.2% |
| Forecast Period | 2023 to 2033 |
| Historical Data Available for | 2018 to 2022 |
| Market Analysis | Value in USD billion |
| Key Regions Covered |
North America; Latin America; Western Europe; Eastern Europe; South Asia and Pacific; East Asia; The Middle East & Africa |
| Key Market Segments Covered |
Material Type, Applications, Region |
| Key Countries Profiled |
The United States, Canada, Brazil, Mexico, Germany, France, Spain, Italy, Russia, Poland, Czech Republic, Romania, India, Bangladesh, Australia, New Zealand, China, Japan, South Korea, GCC countries, South Africa, Israel |
| Key Companies Profiled |
BASF SE; NatureWorks LLC; Toray Industries Inc; Evonik Industries; E. I. du Pont de Nemours and Company; DSM N.V;Arkema; Techno Polymer Co. Ltd; RTP Company |
The bio-plastic market is expected to reach USD 96.6 billion in 2023.
The market for bio-plastic is set to expand by a CAGR of 30.2% by 2033.
The bio-plastic industry is forecast to reach USD 1,353.3 billion by 2033.
The United States is likely to be the top performing market, and to expand at a CAGR of 30.0% through 2033.
PLA and PLA blends segment is preferred, and is expected to expand at a CAGR of 30.1% through 2033.
1. Executive Summary 2. Market Overview 3. Market Background 4. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033 5. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Material Type 5.1. Bio-PET 5.2. Bio-PE 5.3. Bio-PA 5.4. Bio-degradable Polyesters 5.5. PLA & PLA Blends 5.6. Starch Blends 5.7. PHA 5.8. Others 6. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Applications 6.1. Bottle 6.2. Packaging 6.3. Food-Services 6.4. Agriculture/Horticulture 6.5. Consumer Products 6.6. Automotive 7. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Region 7.1. North America 7.2. Latin America 7.3. Western Europe 7.4. Eastern Europe 7.5. South Asia and Pacific 7.6. East Asia 7.7. Middle East and Africa 8. North America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 9. Latin America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 10. Western Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 11. Eastern Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 12. South Asia and Pacific Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 13. East Asia Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 14. Middle East and Africa Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 15. Key Countries Market Analysis 16. Market Structure Analysis 17. Competition Analysis 17.1. BASF SE 17.2. NatureWorks LLC 17.3. Toray Industries Inc 17.4. Evonik Industries 17.5. E. I. du Pont de Nemours and Company 17.6. DSM N.V 17.7. Arkema 17.8. Techno Polymer Co. Ltd 17.9. RTP Company 18. Assumptions & Acronyms Used 19. Research Methodology
Automotive
February 2024
REP-BR-81
306 pages
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Bio-plastic Market
