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Bioplastic Market- Trends, Opportunity & Forecast, 2027

Global Bioplastic Market- Focused on the Market Segmentations (By Types, By End-Users and By Regions) Analysis, Growth, Trends, Opportunity & Forecast, 2027

Market Overview

Global bioplastic market is expected to reach USD 60 billion by 2027. Bioplastic is plastics made from renewable resources such as vegetable fats, starch, and recycled food waste. It is also produced from used plastic bottles and containers using microorganisms. Bioplastics have emerged as a potential alternative to traditional plastics.

Since the world has been increasingly using plastic for varied utilities, it is hard to imagine daily life without them. The traditional plastics are derived from petroleum through chemical synthesis and extraction. They are generally not degradable and have a considerably long life. The use of traditional plastics has accumulated the earth and it is harming the ecosystem. Though plastic recycling is undertaken by many governments around the world, the landfills are still filled with plastics. Plastics are even found in far off places in Oceans. The use of plastic has severely affected the global environment. Bioplastic is a promising alternative solution for traditional plastics. Bioplastics emit fewer emissions compared to traditional plastics. It has no net increase in carbon dioxide when they break down because the plants that bioplastics are made from absorbed that same amount of carbon dioxide as they grew.

Bioplastics market face high technological costs and low yields. There is a lack of infrastructure for producing bioplastics as it requires temperature industrial composting facilities. Currently, very few cities in the world have such industrial composting facilities. Moreover, bioplastics are to be disposed of properly. The contamination of bioplastics can make the whole lot end up in a landfill.  It is said that bioplastics compete with food production. As the agricultural lands are being used for bioplastic production, this may result in reduced food production.

However, improvements in genetic engineering may significantly help to improve yield and reduce production costs.  The demand for bioplastics may increase due to its renewability, sufficient raw material, and recycling option they provide.

Market segmentation

Global bioplastic market can be segmented based on types, end users and regions.

By Type, the bioplastic market can be divided into Non-bio degradable and Biodegradable. Biodegradable can be further segmented into polyester (PBAT & PBS), polylactic acid (PLA), starch blend, polyhydroxyalkanoates (PHA), and cellulose acetate. Non-biodegradable is divided into polyethylene terephthalate (PET), epoxy, polyurethane, and polyamide (PA), ethylene propylene diene monomer rubber (EPDM), polyethylene (PE) and poly trimethylene terephthalate (PTT)).

Non-biodegradable has the largest market share. The growing demand for polyethylene terephthalate (PET) based on non-biodegradable plastics is likely to steer the growth of the market. PET is widely used in the production of water bottles and another bottle packaging.

By End-Users, the bioplastic market can be divided into textiles, packaging, Consumer goods, Automotive & transportation, Agriculture & Horticulture, and others. The packaging segment leads the market in terms of market share. Bioplastic packaging is increasingly used as an alternative to traditional plastic packaging. Bottles, boxes, cups are packaged using bioplastic.

By region, the global bioplastic market can be categorized into North America, Latin America, Asia-Pacific, Europe, Middle East, and Africa.

Regional analysis

Regionally, the European bioplastic market has the largest market share. It has a large number of bioplastic producers. The favorable government conditions, high consumer acceptance, increasing fuel prices, and environmental awareness are the key drivers of the growth. Countries like Germany, the UK, and Italy have adopted bioplastics variedly in daily life. The research and development of bioplastics in Europe are high compared to other regions.

Asia-Pacific's bioplastic market is estimated to grow fastest in the forecasted period of 2020-2027. Countries like China and India, the largest users of plastic are making an effort to get rid of traditional plastics are the key drivers of the growth in this region. China has the largest share in producing bioplastics in this region.

India has recently banned the use of plastic use. This has created a significant demand for bioplastics in this region. High costs, technological infrastructure such as industrial composting facilities are the current challenges faced in this region.

Competitor analysis

 The major players in the global bioplastic market are NatureWorks (US), Biome Bioplastics (UK), BASF (Germany), Total Corbion PLA (Netherlands),  Novamont (Italy), Bio-On (Italy), Toray Industries (Japan), Mitsubishi Chemical Corporation (Japan), Plantic Technologies (Australia), and Braskem (Brazil).

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