North America Bioplastic Packaging Market

North America Bioplastic Packaging Market Size (2023-2028)

North America Bioplastic Packaging Market will grow from US xx billion in 2022 to $ xx billion in 2028, recording a compound annual growth rate of above xx% over the forecast period from 2023-2028

The North America Bioplastic Packaging market is estimated to rise at a notable compound annual growth rate throughout the foreseen period. Bioplastics are mainly a biodegradable group of polymers, which can be produced from renewable resources. Traditional plastics are more and more becoming unpopular owing to the fact that they can last for a very long time and can be dangerous to present life and the ecosystem in common and rely heavily on the oil and gas business for raw materials. Traditional plastics are employed in almost all businesses as material for casings, electronics, packaging, and several other products. This high volume of products made out of materials that will not be degraded for years is creating a high level of worry, particularly in growing economies, and rising ones are swiftly following suit.

The rising environmental worries owing to increasing pollution have led to a customer shift toward biodegradable material-based products. Many end-users, including retailers and food processing businesses, are focusing on providing products in bioplastic packaging to cater to the demand for sustainable packaging solutions. For example, Waitrose & Partners declared its plan to replace plastic bags with bioplastic bags in September 2018. Co-operative Group announced the replacement of its all single-use plastic bags with biodegradable substitutes involving bioplastic bags. Hence, such an increase in the adoption of this packaging by different end-users will drive the expansion of the global bioplastic packaging market at a CAGR of about 18% during the foreseen period, which will boost demand in economies like North America.

North America Bioplastic Packaging Market Drivers and Restraints:

The key driver for the North America bioplastic packaging market is the increasing support given by governments, which is boosting the incorporation of bioplastics in place of traditional plastics. The total advantage to a country adopting bioplastics on a mass scale is the prevention of ecological damage, which would have been caused by conventional plastics. The rising awareness among the local population about the environmental effects is another primary driver for the North American bioplastic packaging market. Bioplastic packaging can be employed as a USP by packaging businesses targeting environmentally conscious customers. The requirement to balance the physical properties of plastics and the biodegradability of organic matter results in high production costs that results in premium prices.

Technological developments and government incentives are probable to erase the price gap between traditional and bioplastics eventually, but the regional bioplastics packaging market faces an uphill battle till then. Stringent government rules against the consumption of non-recyclable plastics are boosting the expansion of the North American market. Rising awareness about sustainable packaging among customers and abundant availability of raw materials in growing economies have a positive effect on the expansion of the market. 

However, the high prices of bio-based materials may hinder the development of the business. Also, the high complexity related to the production of bioplastic packaging materials through agro-based raw materials is estimated to challenge the North America bioplastic packaging market expansion in the future.

Market Segmentation:

North America Bioplastic Packaging Market-On The Basis Of Type

• Bio-PET

• PLA

• PBS

• Bio-PP

Bio-PET sector leads the North American market owing to high employment in bottling and packaging businesses. It has similar properties to traditional PET and is broadly employed in the making of different products like bottles, food containers, bags, and carry-away cups.

North America Bioplastic Packaging Market-On The Basis Of Application

• Plastic bottles

• Packaging

 The packaging sector leads the North America Bioplastic Packaging market on the basis of application and is estimated to be the quickest-rising segment in the forecast period. Bioplastics are widely employed in the packaging business for food packaging, pharmaceutical packaging, and goods packaging.

North America Bioplastic Packaging Market-Geographical Analysis:

• U.S
• Canada

North America region is estimated to rise at the highest CAGR during the forecast period majorly owing to the high availability of raw materials such as sugarcane and oilseeds in the US. Therefore, several bioplastics manufacturers are opening their facilities in the region. The call for packaged and wrapped products has been escalating in the USA Bioplastic Packaging market, majorly owing to the changing lifestyle and the increase in buying power. This will result in an escalated demand for bioplastic packaging in the North American area.

North America Bioplastic Packaging Market Key Players:

Major companies plying their trade in the North America Bioplastic Packaging Market include BASF SE, Dow Chemical Company, Koninklijke DSM N.V., Eastman Chemical Company, IFS chemicals, NatureWorks LLC, Metabolix Inc., Arkema Group, Novamont S.p.A., Albis Plastics, Innovia Films, Biome Bioplastics Limited., FKuR Kunststoff, Grace Biotech, and DaniMer Scientific LLC. Since only a few companies are participating in the expansion of this bioplastics packaging market, the contribution of each one of them is very instrumental toward market growth. And, stiff competition is being estimated among such businesses with respect to accounting for a bigger market share.