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Compostable Packaging Market Size Forecasted To Achieve $137.26 Billion By 2029 With Steady Growth
The Compostable Packaging Market Report by The Business Research Company delivers a detailed market assessment, covering size projections from 2025 to 2034. This report explores crucial market trends, major drivers and market segmentation by [key segment categories].What Is the Compostable Packaging Market Size and Projected Growth Rate?
The compostable packaging market has shown strong growth in recent years. It will grow from $92.56 billion in 2024 to $100.44 billion in 2025 at a CAGR of 8.5%. The growth drivers include increased consumer awareness of environmental impact, regulatory pushes to reduce plastic waste, the rise of bio-based materials, trends toward eco-friendly products, and corporate sustainability initiatives.
The compostable packaging market is predicted to grow to $137.26 billion by 2029, at a CAGR of 8.1%. Growth drivers include stricter regulations on plastic use, the rising demand for sustainable packaging, advancements in compostable materials, the growing food and beverage sector, and increasing investment in circular economy solutions. Key trends include expanding composting infrastructure, IoT integration in compostable products, technological advances in materials, adoption in e-commerce and food delivery, and the shift to multi-layer compostable films.
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What Are the Major Segments in the Compostable Packaging Market?
The compostable packaging market covered in this report is segmented -
1) By Material: Polylactic Acid (PLA), Wheat Straw Fiber, Talc-Filled Polylactic Acid (TPLA) And Crystallized Polylactic Acid (CPLA), Cellulose, Bamboo, Polyhydroxyalkanoate (PHA), Other Materials
2) By Application: Bags, Pouches, Trays, Tapes, Mailer Bags, Films, Clamshells
3) By End Use: Food And Beverages, Pharmaceuticals, Personal Care And Cosmetics, Other End Uses
Subsegments:
1) By Polylactic Acid (PLA): PLA-Based Films, PLA-Coated Papers, PLA Containers and Trays
2) By Wheat Straw Fiber: Wheat Straw Paper and Board, Wheat Straw-Based Molded Packaging
3) By Talc-Filled Polylactic Acid (TPLA) and Crystallized Polylactic Acid (CPLA): TPLA-Based Packaging, CPLA-Based Cutlery, Cups, and Containers
4) By Cellulose: Cellulose Films, Cellulose-Based Wraps and Containers, Cellulose Fiber Packaging
5) By Bamboo: Bamboo Fiber Packaging, Bamboo Trays, Plates, and Cutlery, Bamboo-Based Containers
6) By Polyhydroxyalkanoate (PHA): PHA-Based Films and Wraps, PHA Containers and Packaging
7) By Other Materials: Mushroom Packaging, Seaweed-Based Packaging, Palm Leaf Packaging, Cornstarch-Based Packaging
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What Are The Driving Compostable Packaging Market Evolution?
The increasing food and beverage industry is projected to boost the compostable packaging market. This industry involves producing and selling food and drinks, driven by factors like population growth, changing consumer preferences, and innovations in products and distribution. Compostable packaging is needed to reduce plastic waste, meet consumer demand for eco-friendly products, and comply with sustainability regulations. According to a report by Statistics Sweden in September 2022, the revenue from food and beverage sales increased by 2.9%, reaching $37.44 billion. Therefore, the expansion of the food and beverage industry is driving the compostable packaging market.
Which Firms Dominate The Compostable Packaging Market Segments?
Major companies operating in the compostable packaging market are BASF SE, Mitsubishi Chemical Corporation, WestRock Company, International Paper Company, Amcor Plc, Smurfit Kappa, Stora Enso, DS Smith, Mondi Plc, Rengo Co. Ltd, Huhtamaki Oyj, Klabin SA, Clearwater Paper Corporation, Holmen Iggesund, Carvajal Empaques S.A., Vegware Ltd., NatureWorks LLC, Plantic Technologies Ltd., Novamont SpA, SmartSolve LLC, TIPA Corp., Biome Technologies Plc, Total Corbion PLA BV, Reyma Oficial, Ultra-Green Packaging Inc.
What Trends Are Driving Growth in The Compostable Packaging Market?
Companies in the compostable packaging market are advancing sustainable solutions, such as flexible compostable packaging, to improve both the performance and environmental footprint of their products. For example, in September 2024, Pakka, a Switzerland-based company, introduced a line of flexible compostable packaging specifically designed for the FMCG sector, including three options for transporting premium food products.
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Which Is The Largest Region In The Compostable Packaging Market?
North America was the largest region in the compostable packaging market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the compostable packaging market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
Frequently Asked Questions:
1. What Is the Market Size and Growth Rate of the Compostable Packaging Market?
2. What is the CAGR expected in the Compostable Packaging Market?
3. What Are the Key Innovations Transforming the Compostable Packaging Industry?
4. Which Region Is Leading the Compostable Packaging Market?
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