Market Overview

Biobased Biodegradable Plastics Market Size is set to reach a remarkable value of USD 6.1 Billion by 2024, and it's not stopping there. With a steady upward trajectory, the market is anticipated to soar to an impressive USD 13.24 Billion by 2033, showcasing a dynamic growth pattern with a robust CAGR of 9.7% throughout the forecast period from 2024 to 2033

SOURCE: We Market Research

Biobased biodegradable plastics have a lower environmental impact because they are made from organic or renewable resources like plants and can decompose naturally over time. Because these plastics are made of organic materials, bacteria can break them down into more basic, naturally occurring substances. Biobased biodegradable plastics provide a sustainable substitute for typical plastics, which last for centuries. They reduce pollution and help create a more sustainable future because they decompose harmlessly back into the environment.

The Biobased Biodegradable Plastics Market is primarily driven by rising environmental consciousness worldwide and the need to reduce plastic pollution. This industry is growing because of government policies that encourage eco-friendly alternatives and customer demand for sustainable products. The increase is also attributed to businesses pursuing corporate social responsibility programs and lowering their carbon footprint. Technology breakthroughs also spur innovation, improving the viability and quality of biobased biodegradable plastics and making them more affordable and adaptable for a range of applications, which eventually drives the market ahead.

Market Scope

Biobased Biodegradable Plastics Industry: Dynamics & Restrains

Market Drivers

Growing awareness and concern about environmental pollution - Growing public awareness of environmental degradation, especially that caused by plastic waste, is driving the Biobased Biodegradable Plastics Market. Concerns over non-biodegradable plastics contaminating ecosystems and oceans have led to a move toward sustainable alternatives. desire for biodegradable polymers is fueled by industry, government, and consumer desire for environmentally friendly solutions. This knowledge encourages legislative backing, which encourages the use of biobased substitutes. Consequently, businesses are spending more money on R&D, which promotes innovation and scalability in biodegradable materials. The industry's expansion is a result of coordinated efforts to reduce plastic pollution, highlighting the critical role that biobased, biodegradable plastics play in attaining sustainable practices.

Ongoing research and development - The Biobased Biodegradable Plastics Market is driven mostly by ongoing research and development (R&D). The performance constraints of biodegradable polymers are addressed by ongoing innovation, which improves material qualities. R&D initiatives are concentrated on enhancing durability, broadening the scope of applications, and streamlining production procedures. These developments draw collaborations and investments by supporting the legitimacy and practicality of biobased substitutes. Additionally, research and development (R&D) increases cost-effectiveness, which boosts the competitiveness of these green materials over conventional plastics. The results of further research and development ultimately spur market expansion by expanding the applications and capacities of biobased biodegradable plastics, which in turn attracts a wider range of businesses looking for sustainable solutions.

Market Restrains

Higher production costs compared to traditional plastics - Market expansion is significantly hampered by the higher production costs of biobased biodegradable plastics. The cost of the renewable raw materials used to make bioplastics is typically higher than that of the materials based on fossil fuels that are used to make conventional plastics. Production costs are increased further by the need for specific technology and techniques to convert these bio-based components into biodegradable polymers. As a result, industries used to the cheaper cost of conventional plastics find it harder to justify the additional manufacturing costs of biodegradable alternatives. Despite the environmental benefits of biobased, biodegradable polymers, this pricing discrepancy prevents wider acceptance and market penetration.

Biobased Biodegradable Plastics Segmentation

Market- By Application Analysis

By Application, the Biobased Biodegradable Plastics Market is Categories into packaging, agriculture, consumer goods, automotive, textiles, and more. The packaging segment accounts for the largest share of around 61% in 2022.

Packaging is one of the primary sectors utilizing biodegradable polymers. It is present in both rigid and flexible packaging. Because these polymers are increasingly being used in food packaging products including boxes, wraps, cups, and plates in place of conventional plastics, the market for biodegradable plastic is growing.

The following segments are part of an in-depth analysis of the global Biobased Biodegradable Plastics Market:

Biobased Biodegradable Plastics Industry: Regional Analysis

Europe Market Forecast

Europe dominate the Biobased Biodegradable Plastics Market with the highest revenue generating market with share of more than 47%. Europe's stringent laws against the use of single-use plastics, government programs to support bioplastics, and emphasis on the principles of the circular economy are what make the continent so successful. Germany makes a substantial contribution because of its cutting-edge technology and large investments in the study and creation of bioplastics.

North America Market Statistics

North America is the second-largest market for Biobased Biodegradable Plastics. North America is driven by strict laws that promote environmentally friendly products, more consumer awareness, and a will to cut down on plastic waste. Leading the way in packaging industry sustainability is the United States, with its thriving manufacturing sector.

Asia Pacific Market Forecasts

Asia Pacific is expected to be the fastest-growing market for Biobased Biodegradable Plastics during the forecast period. Rapid industrialization, population growth, rising consumer environmental consciousness, and government programs supporting sustainable alternatives all contribute to the Asia-Pacific region's expansion. China is the leader in production capacity, whereas Japan is concentrated on developing new technologies for biodegradable plastics.

Key Market Players

The Biobased Biodegradable Plastics Market is dominated by a few large companies, such as

·         Biome Technologies plc

·         PTT MCC Biochem Co., Ltd.

·         Plantic Technologies Limited

·         BASF SE

·         FKuR Kunststoff GmbH

·         Total Corbion PLA

·         Cargill Incorporated

·         Synbra Technology BV

·         Futerro

·         Novamont SpA

·         Danimer Scientific

·         NatureWorks LLC

·         Eastman Chemical Company

·         Trineso

Recent Developments:

·         June 2023, The Biodegradation and Microplastics Center of Excellence at BASF's Michigan location has officially opened. The center will assist local clients in achieving their sustainability and circularity goals. Understanding the biodegradation of innovative chemicals, gaining new insights into microplastics, and comprehending the disintegration performance of compostable materials will be the main topics of focus.

·         December 2022, Futerro declared its intention to build Europe's first vertically integrated biorefinery in Normandy, France, to produce and recycle PLA. The biorefinery will have a unit for the molecular recycling of PLA, a unit for converting agricultural raw materials into lactic acid, and a unit for converting PLA.