Biopolymers Market is estimated to be valued at USD 19.46 Bn in 2024 and with CAGR of 11.1% over the forecast period 2024-2031. Furthermore, biopolymers are gaining traction as an eco-friendly alternative to petroleum-based plastics.
The growth of the global biopolymers market is driven by the increasing concerns regarding environmental pollution caused by conventional plastics and rapid growth in the packaging industry. Biopolymers such as polylactic acid, polyhydroxyalkanoates, and biopolyamides provide viable alternatives to plastic as they are compostable and recyclable. Additionally, supportive government policies and regulations regarding the usage of biodegradable and eco-friendly products are expected to boost the demand for biopolymers. Moreover, the packaging industry is expanding significantly owing to the growth in online retail and food delivery sectors which is anticipated to propel the consumption of biopolymers as packaging material.
Increasing Demand for Sustainable and Environment-Friendly Products
The rising awareness about environmental protection and sustainability is driving the demand for biopolymers globally. Biopolymers are renewably sourced and biodegradable alternatives to conventional petroleum-based plastics. They have a lower carbon footprint and are more environmentally friendly. Many consumers are now preferring biopolymer products over conventional plastics as they are aware of the environmental damage caused by plastic pollution. Several industries like packaging, food and beverage, and textiles are shifting to biopolymers to meet consumer demand for eco-friendly options and improve their sustainability credentials.
Strict Government Regulations against Single-Use Plastics
Governments across the world are introducing stringent regulations to curb the use of single-use plastics due to rising plastic waste. Many countries have banned or levied heavy taxes on single-use plastic bags, straws, cups, and other items. This is creating a favorable environment for biopolymers as they can replace conventional plastics in such applications. For example, the ban on plastic bags has fueled rapid growth of biodegradable bags made from biopolymers. Similarly, regulations limiting plastic packaging are prompting many FMCG companies to adopt biopolymer packaging solutions. Such prohibitive regulations will continue driving greater adoption of biopolymers.
High Production Cost of Biopolymers
The production cost of biopolymers is significantly higher than conventional plastics since they are made from renewable sources using fermentation or plantation methods. Producing biopolymers at scale requires large capital investments, and the availability of renewable feedstock at competitive prices also affects costs. High raw material and production costs are a major restraint for widespread adoption of biopolymers as product manufacturers aim to keep costs low. However, with growing demand and improvements in production technologies, costs are expected to decline over the long term.
Performance Issues of Early-Generation Biopolymers
The performance characteristics of some early-generation biopolymers have been inferior to fossil fuel-based plastics. For instance, they had poor mechanical properties like strength and durability or broke down too quickly. These performance issues held back their acceptance, especially in applications that demand high performance. However, ongoing research and innovations have led to newer and improved biopolymer formulations with enhanced properties. But performance concerns still persist in certain applications and remain a challenge.
Growing Demand from Packaging Industry
The packaging industry accounts for a large share of the plastics market globally. It is also under immense pressure to move to sustainable packaging solutions due to stringent regulations and consumer demand. Biopolymers are increasingly replacing conventional plastics for applications like food packaging films, bottles, containers, and cups due to their biodegradability. The packaging segment is expected to drive most of the future growth in biopolymers consumption.
Opportunities in Textiles Industry
The textiles industry has also begun exploring the potential of biopolymers. Many apparel brands and retailers are investing in R&D for biodegradable fabrics made using biopolymers. Biopolymer fibers can reduce dependency on oil-based fibers and help companies meet sustainability goals. The development of high-performance biopolymer textiles with attributes similar to synthetic fibers will unlock wider acceptance. Innovations to integrate biopolymers in various textile applications augur well for future growth opportunities.
*Link: https://www.coherentmarketinsights.com/market-insight/biopolymers-market-2508
Key Developments
- In October 2023, Braskem, a Brazilian petrochemical company, opened a representative office in Tokyo
- In April 2022, Selena Group launches a new biopolymer production system
- In June 2022, BASF's Care Creations division launched Verdessence RiceTouch, a new biopolymer derived from non-GMO rice to reduce oiliness in personal care products.
- In August 2022, DSM Engineering Materials launched StanylB-MB (Bio-based Mass Balanced), a more environmentally friendly version of its mainstay polyamide (PA) product that contains up to 100% bio-based material.
Key Players
BASF SE, TotalEnergies Corbion, Novamont S.P.A, Biome Bioplastics Limited, BIOTEC Biologische Naturverpackungen GmbH & Co. KG., Plantic Technologies Limited, Toray Industries, Inc., Arkema, Kaneka Corporation, Danimer Scientific, NatureWorks LLC, FKuR, Solanyl Biopolymers Inc., Braskem, Prime Biopolymers, Nurel, Futerro, Mitsubishi Chemical Group Corporation, and PTT MCC Biochem Co., Ltd.
