Biodegradable Paper And Plastic Packaging Market Size, Share & Trends Analysis Report By Application, Regional Outlook, Competitive Strategies, And Segment Forecasts, 2019 To 2025

The global biodegradable paper and plastic packaging market is anticipated to witness growth over the forecast period. Increasing consumer awareness towards eco-friendly products is expected to be a key factor driving the market Shifting consumer preference from synthetic products to cleaner and eco-friendly substitutes are anticipated to stimulate market growth over the forecast period. The sufficient availability of raw materials is another factor presumed to augment biodegradable paper and plastics packaging demand in the near future. Rising consumer awareness towards biodegradable paper and plastics packaging products particularly in emerging economies including China, India, Malaysia, and Thailand is anticipated to fuel the market growth over the forecast period. Increasing biodegradable material demand from conventional end-user industries such as textiles and consumer product packaging industries is presumed to stimulate the biodegradable paper and plastics packaging demand over the forecast period.

The food and beverage industry was the largest biodegradable paper and plastics packaging consumer market in 2014 owing to a significant increase in consumer demand. Competition amongst industry participants for product differentiation is expected to augment biodegradable paper and plastic packaging market growth in the application segment. Stringent norms and regulations particularly in Europe are expected to augment biodegradable paper and plastics packaging demand over the next seven years. Lack of sufficient technology and cost-effectiveness are major challenges expected to hinder market growth over the foreseeable future. Changing consumer mindset associated with higher costs than conventional products is expected to be a major challenge faced by industry participants.

Primary biodegradable materials such as PLA and PHA are expected to dominate the biodegradable plastics packaging market over the forecast period owing to their superior properties such as enhanced impact resistance and tensile strength. Increasing biodegradable plastics demand as major packaging materials in industries such as food & beverages, textiles, consumer goods, and pharmaceuticals is presumed to augment market growth over the next seven years. Corrugated board and box-board are expected to be the largest biodegradable paper packaging product segments in the next seven years. Biodegradable plastics demand is predicted to increase in emerging BRICS economies over the foreseeable future owing to increasing food & beverage and electronic packaging industries in these countries. Changing lifestyle patterns coupled with increasing demand for packaged food products is expected to drive the food and beverage industry. This in turn is anticipated to increase biodegradable paper and plastic packaging market demand in Asia Pacific region in the near future. The growing pharmaceuticals packaging industry in Asia Pacific region is anticipated to propel market growth. Technological advancement in distribution channels coupled with advanced manufacturing processes is expected to augment biodegradable paper and plastics market growth in the region.

Europe emerged as the largest regional market for biodegradable paper and plastic packaging industry over the last few years. Countries such as Sweden, Germany, and U.K. emerged as leading consumer markets and are expected to witness stagnant growth over the forecast period.  North America is anticipated to witness average growth in biodegradable paper and plastic packaging market over the next few years. The U.S. is anticipated to be the largest market followed by Canada and Mexico. Brazil is expected to be the largest market in Latin America owing to economic development and increasing disposable income among general consumers.

Key players operating in global biodegradable paper and plastic packaging market include BASF, Smurfit Kappa Group, Stora Enso, Rocktenn, and Mondi Group. Increasing R&D along with innovation in the manufacturing process by key industry participants is expected to provide immense opportunities and further augment market presence. Innovative advertisement and marketing strategies are expected to increase biodegradable paper and plastics packaging market growth over the next seven years. Social media platforms are expected to be used on a large scale to increase customer base and market share. Companies are expected to use biodegradable packaging as part of their marketing strategy to portray their concern for the environment. Marketing products with versatile properties such as low weight, easy handling, weather protection, and numerous design options are anticipated to be a major strategy adopted by key players over the forecast period.