The global bioplastics market size was valued at more than $5 billion in 2020. It is forecast that the market will grow at a CAGR of more than 11% during the forecast period from 2021-2027. 

Bioplastic is a sustainable alternative to petroleum-based plastics that are derived from renewable feedstocks. The potential reduction in carbon dioxide emissions is 30-70%. This represents a reduction of around 42% in carbon footprints. In comparison with conventional petroleum plastic, bioplastic requires 65% less energy to make. In the global bioplastics market, companies are increasingly focusing on bolstering and consolidating research and development to increase production capacity. The use of bioplastic in various applications has increased greatly due to its advanced properties and functionality. In recent years bioplastics have all but taken over the plastic market, thanks in part to favorable legislation implemented by many governments around the world. 

Factors Affecting the Global Bioplastics Market

Driving Forces

Some of the key market drivers of bioplastics include bioplastics' environmental benefits, consumer acceptance of biodegradable products, and the availability of renewable raw materials for the production of bioplastics.

Growth Factors

Since conventional plastic requires 65% more energy, the production of bioplastic is an energy-efficient practice. The environment is not harmed by bioplastics because they do not contain toxins and are biodegradable. In addition, the production of greenhouse gases by bioplastic is minimal during the degradation process. Users prefer bioplastics over other materials across a wide array of applications, including catering, packaging, agriculture, and automobiles. Bioplastic packaging material is preferred by consumers over synthetic plastic packaging as it is capable of decomposition with food. The government of numerous countries across the globe has adopted favorable regulations and policies to encourage the sustainable and biodegradable nature of bioplastics. All such factors significantly support the growth of the bioplastics market. 

Hinder the Market

While bioplastic products remain relatively expensive and the finished performance of these products is inferior to petroleum plastics during this forecast period, these two factors will inhibit the market's growth.

Regional Analysis: the Global Bioplastics Market

A significant part of the bioplastic market revenue originates from the Asia-Pacific region, which is also the fastest-growing region. A well-established food & beverage industry and other packaging consumers make up the regions market share. Asia's leading revenue contributors are China, India, and Japan. 

Covid-19 Impact on the Global Bioplastics Market

• In the wake of the Coronavirus outbreak, very few plastic bags were used, including biodegradable bags. The people bring their old fabric bags and plastic bags, while retailers and small stores do not provide new plastic bags in an effort to prevent the spread of the disease. 
• Many multinational corporations pledged to adopt biodegradable plastics in the wake of the Covid-19 breakdown, including Coca-Cola, Danone, and Nestle. After the Covid-19 outbreak, governments across different countries took steps to stop the further spread of the virus by enforcing regulations regarding disposable and single-use plastics.
• A disruption in the supply chain due to irregular transport lengthened the lead time for raw materials and affected the entire manufacturing process. 
• In the biodegradable plastics industry, China is a major source of various raw materials used in the production process. 
• Biodegradable plastic prices may increase as China began making the material in limited quantities. The industry is looking for ways to extend lead times to minimize the higher material costs.

Key Market Players in the Global Bioplastics Market

An analysis of the bioplastics market profiles the following major players:

• Mitsubishi Chemical Holdings
• Novamont
• Corbion N.V.
• Dow Inc.
• Eastman Chemical
• Danimer Scientific
• NatureWorks LLC.
• Kuraray
• BASF SE
• Biome Tech
• PTT Global
• Fkur
• Innova films

Segmentation Analysis of the Global Bioplastics Market

There are three main segments in the global bioplastics market: Type, Application, and Region.

Segmentation based on Type

• Biodegradable Plastic
• PLA
• Starch Blend
• PBS
• PHA
• PBAT
• Others
• Non-Biodegradable Plastic
  • PE
  • PA
  • PP
  • PET
  • PEF
  • PTT
  • Others

Segmentation based on Application

• Textile
• Agriculture
• Consumer Durables
• Packaging 
• Others

Segmentation based on Region

• Europe
• Asia-Pacific
• North America
• Rest of the World