Biodegradable Plastics Market
Biodegradable Plastics Market (Polylactic Acid (PLA), Polyhydroxyalkanoates (PHA), Polybutylene Succinate (PBS), Polycaprolactone (PCL), Starch-based, and Regenerated Cellulose) for Packaging, Textile, Agriculture, Injection Molding, and Other Applications - Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2015 - 2023
Press Release :
Global Biodegradable Plastics Market: Snapshot
The stringent regulatory reforms by several governments across that insist on reduction of plastic usage has augmented the demand for biodegradable plastics. This new type of plastic not only conform to the guidelines but also friendly toward the environment in more ways than one. Thus, the use of conventional plastic is gradually being replaced by biodegradable plastic, increasing the revenue of its global market by leaps and bounds. Owing to these reasons, the global biodegradable plastics market is projected to pace ahead at a CAGR of CAGR of 9.9% between 2015 and 2023. The market is estimated to reach a valuation of US$17.66 bn by the end of 2023 from US$9.10 bn at the end of 2016.
On the downside, the global biodegradable plastics market is negatively affected by the high cost of production of biodegradable plastics. The vast difference between the prices of conventional plastics and biodegradable plastics has discouraged several emerging economies to steer clear from using these products. Furthermore, the requirement of skilled labor, which is a challenge in developing countries, has also restrained the global market in the past few years.
Packaging Industry to Boost Global Biodegradable Plastics Market as it Takes a Green Approach
In terms of application, the global biodegradable plastics market is segmented into textile, packaging, agriculture, electronic, medical, and injection molding. Of these, the packaging segment is projected to be the key consumer of biodegradable plastics in the coming years. The demand for biodegradable plastic packaging material will be especially high in the food and beverages industry. The packaging segment will generate a revenue of US$10.59 bn by the end of 2023 in the overall market. The emerging trend of eco-friendly packaging to reduce the pressure on landfills and garbage disposal are expected to drive this segment over the forecast period.
The segments such as injection molding, agriculture, and textiles are also projected to show a steady growth in the overall market. Several textile companies are adopting biodegradable plastics due to increasing awareness about disadvantages of plastics. These plastics are predominantly being used for production of films, fibers, and packaging material. The use of biodegradable plastics in the agriculture segment is seen in production of plastic mulches as well as for packaging of fertilizers.
Europe to Show Persistent Dominance of Biodegradable Plastics
From a geographic point of view, the global biodegradable market is segmented into Latin America, Asia Pacific, Europe, North America, the Middle East and Africa, and Latin America. Of all these regions, Europe is projected to lead the pack as the regional market is estimated to be worth US$6.08 bn by the end of 2023 in terms of revenue. The increasing pressure on the governing bodies to reduce carbon emissions, landfills, and issues relating to mounting plastic waste have increased the consumption of biodegradable plastics in the region. Furthermore, strong presence of manufacturers is also expected to bolster the region’s stance in the global market over the forecast period.
North America is expected follow Europe’s trail in the coming years as the region focusses on reducing its carbon emissions. In the developing countries, which are high price-sensitive, the demand for biodegradable plastics is expected to remain sluggish due to their high cost of production.
The leading players operating in the global biodegradable plastics market are BASF SE, Mitsubishi Chemical Corporation, NatureWorks LLC, Biome Bioplastics, and Corbion.
Plastics that decompose in the nature by the action of microorganisms are generally referred as biodegradable plastics. These plastics are divided into different categories such as bio-based and petro-based biodegradable plastics. The most common process employed in the manufacturing of biodegradable plastics includes fermentation of sugar or canola oil to produce polylactic acid (PLA) or polyhydroxyalkanoates (PHA), which in turn is converted into biodegradable plastics.
The report provides in-depth analysis and forecast of the biodegradable plastics market on the global as well as regional level. It includes forecast for the period from 2015 to 2023 in terms of volume (kilo tons) and revenue (US$ Mn). Quantitative data has been derived through extensive secondary research of the global biodegradable plastics market. Secondary sources typically include company websites, relevant magazines, government documents, and press releases. The top-down approach has been adopted to derive the regional numbers from global revenue and volume figures. Furthermore, the bottom-up approach has been employed to derive data for various product segments based on demand for biodegradable plastics in each geographic segment. A combination of top-down and bottom-up approaches helps validate the quantitative data. The data was further validated with the help of primary research with industry experts to ensure accuracy of derived numbers.
Detailed analysis of various factors driving the global biodegradable plastic market has been included for astute decision making. Impact of these drivers has been included with data to substantiate research findings. Furthermore, factors restraining market growth have been included for better understanding of the market. Impact of these restraints has been analyzed over the course of the forecast period. The report also comprises various opportunities available for market growth over the next eight years. Opportunities entail untapped or recently explored factors that are anticipated to drive the biodegradable plastics market during the forecast period.
The report includes value chain analysis to help understand the industry thoroughly. Value chain analysis comprises detailed evaluation of the roles of various entities involved in the biodegradable plastics industry, from raw material suppliers to end-users. Various processes employed in the manufacture of biodegradable plastics have been included in the value chain analysis. Porter’s Five Forces model has been employed to determine the degree of competition in the market during the forecast period. Company market share analysis has been included for better understanding of the competitive landscape. Company market share analysis includes the market share of dominant players in 2014, based on their production capacities. Furthermore, market attractiveness analysis has been conducted to analyze product segments that are expected to be lucrative during the forecast period. This is based on various factors such as market size, growth rate, profitability, raw material procurement, and competition in each product segment.
Based on product, the biodegradable plastics market has been segmented into polylactic acid, polyhydroxyalkanoates, polybutylene succinate, polycaprolactone, starch-based, and regenerated cellulose. The report comprises detailed analysis of all the segments in the regional and global markets and forecast based on current and future trends in the industry in terms of volume (kilo tons) and revenue (US$ Mn). In terms of region, the market has been segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. Demand for biodegradable plastics in each of its application segment has been analyzed and forecast for the period of eight years.
The report also comprises profiles of leading companies in the biodegradable plastics market. These include BASF SE, BIO-ON, Biome Bioplastics, Corbion, FKuR, Nature Works LLC, Mitsubishi Chemical Corporation, Plantic, and Natur -Tec India Private Limited. Various attributes of these companies such as company overview, business strategies, and recent developments form the core of the company profiles section.
This report segments the global biodegradable plastics market as follows:
- Biodegradable Plastics Market – Product Segment Analysis
- Polylactic Acid
- Polybutylene Succinate
- Regenerated Cellulose
- Biodegradable Plastics Market - Application Analysis
- Injection Molding
- Others (Including Electronic, Medical, etc.)
- Biodegradable Plastics Market - Regional Analysis
- North America
- Rest of North America
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- Latin America
- Rest of Latin America
- Middle East & Africa (MEA)
- South Africa
- Rest of MEA
- North America