Biodegradable Packaging Market: Global Industry Analysis and Forecast (2024-2030)

Biodegradable Packaging market was valued at US$ 92.99 Bn. in 2023. The Global Biodegradable Packaging Market size is estimated to grow at a CAGR of 6.96 % over the forecast period.
Biodegradable Packaging Market Overview:
Biodegradable packaging is defined as that form of packaging which will naturally decompose and disintegrate under any condition in a reasonable amount of time. Materials used in biodegradable packaging can be broken down by microorganisms like bacteria, fungi, and algae. The most widely utilised types of biodegradable packaging are cardboard or paper and bio-based polymers. Cornstarch, mushrooms, seaweed, and other plant-based materials can all be used to make this type of packaging. Due to its eco-friendly property, it creates zero pollution in environment and it is widely accepted nowadays.To know about the Research Methodology :- Request Free Sample Report

The report explores the Biodegradable Packaging Market's segments (Material Type, Application). Data has been provided by market participants, and regions (North America, Asia Pacific, Europe, Middle East & Africa, and South America). The MMR market report provides a thorough analysis of the rapid advances that are currently taking place across all industry sectors. Facts and figures, illustrations, and presentations are used to provide key data analysis for the historical period from 2018 to 2023. The report investigates the Biodegradable Packaging Market’s drivers, limitations, prospects, and barriers. This MMR report includes investor recommendations based on a thorough examination of the Biodegradable Packaging Market's contemporary competitive scenario.
Biodegradable Packaging Market Dynamics:
Rising awareness of eco-friendly environment

Manufacturing companies, retailers, and consumers are becoming more environmentally conscious as environmental pollution is significantly increasing and plastic packaging takes 500 years or more to disintegrate. For packaging and labelling, people have begun using biodegradable and recyclable plastic or other materials like papers or cardboard. Biodegradable packaging is comprised of natural materials like petroleum and corn, and it is simple to recycle and disintegrate in the environment. Growing consumer awareness of the value of biodegradable packaging in preserving the environment and reducing environmental pollution is a major driver of the global biodegradable packaging market's expansion.

Although there aren't many biodegradable packaging options right now, the vast majority of them are non-toxic and allergy-free. The use of biodegradable packaging can reduce the amount of water used, solid waste generated, electricity used, and greenhouse gas emissions. It goes without saying that this is good for the environment, but it also lowers the price of packaging. Biodegradable packaging can help companies comply with strict environmental standards and disposal is simpler, both of which are anticipated to support revenue development.

Ban on plastic bags

The combination of technological development and a growth in world population has led to a wide range of applications for plastic and paper in many kinds of businesses. Plastics and other packaging materials from diverse sources make up a sizable portion of solid waste that is dangerous to the environment. All major nations' governments and federal agencies have enacted strict restrictions to cut down on waste and encourage the use of biodegradable materials for packaging. These are typically created from raw resources that are renewable, such as cellulose and starch. Through the enzymatic action of microorganisms, biodegradable plastic has the ability to break down into inorganic components including CO2, methane, and water.

Accepted by different industry:

Packaging for pharmaceuticals, home care items, food and drinks, and other commercial industries is frequently made of biodegradable materials. Many major corporations, including Pepsi and Coca-Cola, use recyclable PET plastic bottles because they are simple to recycle and entirely compostable. Many other businesses, including Real and Tropicana, use biodegradable packaging comprised of a hybrid combination of paper and plastic. Since eco-friendly packaging materials are completely safe and non-toxic in nature, pharmaceutical businesses are also employing them to pack various dosages of medications. The global market for biodegradable packaging is expanding as a result of the increasing demand for food and beverage goods.

The use of cropland to produce natural components and high costs when compared to traditionally produced packaging materials are just two of the unfavourable factors that have a significant negative impact on the growth of the global biodegradable packaging market. The market's growth is anticipated to be somewhat constrained by additional reasons such the inability to recycle and the shorter lifespan of some non-biodegradable materials. Additionally, biodegradable materials' inferior strength, cross-contamination in recycling facilities, and load-carrying capability may hinder the market's revenue growth.

Retailers and intermediaries are being encouraged to employ biodegradable packaging materials by rising government initiatives to use sustainable packaging materials. Consumers' increasing concern for the environment and their preference for biodegradable packaging are two variables that are predicted to continue to create profitable business prospects for both established players and new entrants in the global market. Future market expansion will also be fueled by the use of biodegradable packaging combined with antibacterial technology to protect products and increase shelf life.

Due to their environmental friendliness, PLA, PHA, and other biodegradable polymers are excellent for packaging; however, they cannot be recycled completely. As a result, the market's expansion may be hampered by rising demand for recycled plastics.

COVID-19 Impact on Biodegradable Packaging Market:

Industries like-consumer goods, packaging, textiles, and agriculture & horticulture, use biodegradable packaging. However, the COVID-19 had an impact on these industries all over the world. From 2020 to 2021 the industry's expansion has been constrained by logistical challenges, a labour shortage, a lack of materials, and other issues. Additionally, the global impact has caused a precipitous drop in demand for packaging, which is decried as unnecessary. While the demand for e-commerce shipments that fall under the category of necessary packaging increased significantly. The package converters are facing a new set of issues as a result of these changes. These factors will also cause the impact of the Covid-19 pandemic on the packaging sector to be uneven. The pandemic has interfered with businesses in the consumer goods industry's regular manufacturing.

According to the Institute for Supply Management Research, supply chain interruptions caused roughly 70 percent of organizations to lower their revenue targets. The consumer sector is experiencing a mixed economy as some industries, such frozen foods and domestic cleaning, have seen an increase in consumer demand while others have seen sales dip and significant drops in foot traffic in stores. These businesses have to adapt to the shift in consumer demand toward e-commerce. The whole consumer products sector has thus been compelled into the digital age.
Biodegradable Packaging Market Segment Analysis:
Based on Application, Food packaging segment is dominating the market with highest CAGR during the forecast period. Due to high strength, adaptability, and recyclability, biodegradable polymers, such as starch-based plastic, polyhydroxy butyrate, and polylactic acid, are used for food packaging. Additionally, recycled packaging materials like polycaprolactone, which have excellent biodegradability, biocompatibility, and bioresorbable, are used in food packaging.

Bottled water and non-alcoholic beverages, the market for biodegradable packaging in the beverage industry is expected to grow. The demand for bottled water is attributed to three factors: customers' predisposition to specifically demand high-quality drinking water; the fear of diseases brought on by drinking tainted tap water; and the portability and convenience offered by bottled water.

Based on the Material Type, Plastic segment is dominating the market with highest CAGR during the forecast period. In Bioplastic could replace polymers made from petroleum, lowering global warming emissions and our dependency on fossil fuels. Hygienic packaging is made possible by the great biodegradability and biocompatibility of bioplastic materials like PLA, cellulose, PHA, and others. Food packaging uses biodegradable plastics that are created from conventional petrochemicals and are designed to degrade more quickly. Medical devices like sutures and cardiovascular patches use bioplastics like PHA. Consequently, it is anticipated that rising bioplastic usage will increase market demand.
Regional Insights:
North America region dominated the market with highest share in 2023. The North America region is expected to witness significant growth at a CAGR of 25% through the forecast period.

The market for biodegradable packaging is anticipated to have the highest consumer base in North America. Due to the presence of mature markets with a large concentration of environmentally concerned customers, the developed regions are anticipated to dominate the global market for biodegradable packaging. Additionally, it is anticipated that the presence of a high-spending populace will boost demand for biodegradable packaging in developed nations. The market for biodegradable packaging is anticipated to grow as a result of the large population in Asia-Pacific. The market is also anticipated to grow as a result of the rise in the contract manufacturing process and growing governmental interest in promoting biodegradable products by offering incentives in some nations like China and India.

A powerful dynamic has been created, and it will only get stronger as a result of the Single-use Plastics Directive and the publishing of the new EU Commission's European Green Deal. The primary components of the European legal framework for plastics are currently being revised as a result. This opens up fresh possibilities for biodegradable packaging, which can be crucial to realising the circular economy goal that the European Union is pursuing in terms of resource efficiency and low carbon emissions.

The objective of the report is to present a comprehensive analysis of the Biodegradable Packaging Market to the stakeholders in the industry. The past and current status of the industry with the forecasted market size and trends are presented in the report with the analysis of complicated data in simple language. The report covers all the aspects of the industry with a dedicated study of key players that include market leaders, followers, and new entrants.

PORTER, PESTEL analysis with the potential impact of micro-economic factors of the market have been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which will give a clear futuristic view of the industry to the decision-makers.

The reports also help in understanding the Biodegradable Packaging Market dynamic, structure by analyzing the market segments and projecting the Biodegradable Packaging Market size. Clear representation of competitive analysis of key players by Vehicle Material Type, price, financial position, product portfolio, growth strategies, and regional presence in the Biodegradable Packaging Market make the report investor’s guide.
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Global Biodegradable Packaging Market


Report Coverage
Details


Base Year:
2023
Forecast Period:
2024-2030


Historical Data:
2018 to 2023
Market Size in 2023:
US$ 92.99 Bn.


Forecast Period 2024  to 2030 CAGR:
6.96 %
Market Size in 2030:
US$ 148.93 Bn.


 Segments Covered:
by Material Type
1. Plastic
1.1. Starch-Based Plastics
1.2. Cellulose-Based Plastics
1.3. Polylactic Acid (PLA)
1.4. Poly-3-Hydroxybutyrate (PHB)
1.5. Polyhydroxyalkanoates (PHA)
1.6. Other Plastics
2. Paper
2.1. Kraft Paper
2.2. Flexible Paper
2.3. Corrugated Fiberboard
2.4. Boxboard


by Type
1. Recycled Content Packaging
2. Reusable Packaging
3. Degradable Packaging


by Application
1. Food Packaging
2. Beverage Packaging
3. Pharmaceuticals Packaging
4. Personal & Home Care Packaging
5. Others Application



Biodegradable Packaging Market by Region
Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan and Rest of APAC)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria and Rest of Europe)
North America (United States, Canada and Mexico)
Middle East and Africa (South Africa, GCC, Egypt, Nigeria and Rest of ME&A)
South America (Brazil, Argentina Rest of South America)
Key Players
1. Ranpak Holding Corporation
2. Tetra Pak International SA
3. Amcor PLC
4. Elevate Packaging Inc.
5. Kruger Inc.
6. BioPak
7. Smurfit Kappa Group PLC
8. Berkley International Packaging Limited
9. Greenpack Limited
10. International Paper Company.
11. BASF
12. NatureWorks
13. Total Corbion
14. Novamont
15. Mitsubishi Chemical Holding Corporation
16. Worldcentric
17. Papelyco
18. Ecoware
19. Tipa

Frequently Asked Questions:

1] What segments are covered in the Global Biodegradable Packaging Market report?
Ans. The segments covered in the Biodegradable Packaging Market report are based on Material Type, Type, Application.

2] Which region is expected to hold the highest share in the Biodegradable Packaging Market?
Ans. North America region is expected to hold the highest share in the Biodegradable Packaging Market.

3] What is the market size of the Biodegradable Packaging Market by 2030?
Ans. The market size of the Biodegradable Packaging Market by 2030 is expected to reach US$ 148.93 Bn.

4] What is the forecast period for the Biodegradable Packaging Market?
Ans. The forecast period for the Biodegradable Packaging Market is 2024-2030.

5] What was the market size of the Biodegradable Packaging Market in 2023?
Ans. The market size of the Biodegradable Packaging Market in 2023 was valued at US$ 92.99 Bn.