Bioplastics & Biopolymers Market Worth $14.92 Billion by 2023

According to a new MarketsandMarkets™ (India and Northbrook, Ill, USA) research report titled Bioplastics & Biopolymers Market by Type (Non-biodegradable, Biodegradable), End-use Industry (Packaging, Consumer Goods, Automotive, Textiles, Agriculture), and Region (APAC, North America, Europe, and RoW) - Trends & Forecast to 2023, the bioplastics and biopolymers market is projected to grow from $6.95 billion in 2018 to $14.92 billion by 2023, at a CAGR of 16.5% from 2018 to 2023. 

Increasing demand for bioplastics from the packaging industry, favorable government policies, increase in waste management regulations in Europe, and increasing concern for human health are projected to drive the bioplastics and biopolymers market. An increase in regulations is expected to propel the growth rate of the market.

Packaging is the largest end-use industry for bioplastics and biopolymers. The need for sustainable solutions has encompassed several industry verticals, including food and beverage. In addition, enhanced industrial and manufacturing technologies have enabled the food and beverage companies to incorporate bioplastics in packaging. The demand for packaging made from bioplastics for wrapping organic food as well as for premium and branded products is on the rise. Preference for packaging materials made from natural or organic polymers, derived from biomass sources, such as fats, oils, starch, and microbiota, is driving the market in the packaging end-use industry.

Bio-PET is the most widely used sub-type of non-biodegradable bioplastics and biopolymers. Due to its high durability that matches its fossil fuel-based counterpart, it is expected to witness a high growth during the forecast period. Bio-PET can be used in the same applications, such as bottles and flexible films, as served by its counterparts. Rising consumption of beverages coupled with regulations imposed by various governments to reduce emissions in countries such as Japan, Canada, and the U.S., contribute to the growth of the bio-PET market. In addition, strategies of companies such as PepsiCo and Coca-Cola toward sustainable packaging for carbonated soft drinks is also likely to drive the Bio-PET segment.

Europe is the largest bioplastics and biopolymers market and is one of the major producers of plastics. It is also one of the leading packaging markets, globally. These factors have been responsible for the development of bio-based plastics with collaborative research, which, in turn, is expected to transform Europe's plastics industry. The political and economic conditions have also driven the market penetration of bioplastics and biopolymers. The EU Commission has focused on the Lead Markets Initiative where bioplastics have been identified as one of the most important potential markets. Europe has, thus, become one of the major consumers of bioplastics and biopolymers.