Malaysia Biodegradable Paper & Plastic Packaging Market (2026-2032) | Forecast, Industry, Revenue, Growth, Analysis, Size, Value, Trends, Companies & Share

Market Forecast By Applications (Food Packaging, Beverage Packaging, Pharmaceuticals Packaging, Personal & Home Care Packaging, Others), By Packaging Type (Plastic , Paper) And Competitive Landscape

Product Code: ETC4486527 Publication Date: Jul 2023 Updated Date: Feb 2026 Product Type: Report
Publisher: 6Wresearch Author: Ravi Bhandari No. of Pages: 85 No. of Figures: 45 No. of Tables: 25

Malaysia Biodegradable Paper Plastic Packaging Market Growth Rate

According to 6Wresearch internal database and industry insights, the Malaysia Biodegradable Paper Plastic Packaging Market is projected to grow at a compound annual growth rate (CAGR) of 9.1% during the forecast period (2026-2032).

Five-Year Growth Trajectory of the Malaysia Biodegradable Paper Plastic Packaging Market with Core Drivers

Below mentioned is the evaluation of year-wise growth rate along with key growth drivers:

Year Est. Annual Growth (%) Growth Drivers
2021 4.5% Rising awareness regarding sustainable packaging among consumers
2022 5.3% Growth in food delivery and takeaway packaging demand
2023 6.2% Expansion of eco-friendly product lines by FMCG companies
2024 7.1% Government initiatives to reduce single-use plastic usage
2025 8% Increasing adoption of biodegradable materials across industries

Topics Covered in the Malaysia Biodegradable Paper Plastic Packaging Market Report

The Malaysia Biodegradable Paper Plastic Packaging Market report thoroughly covers the market by packaging type and applications. The market report provides an unbiased and detailed analysis of ongoing market trends, opportunities/high growth areas, and market drivers, which help stakeholders devise and align their market strategies according to the current and future market dynamics.

Malaysia Biodegradable Paper Plastic Packaging Market Highlights

Report Name Malaysia Biodegradable Paper Plastic Packaging Market
Forecast Period 2026–2032
CAGR 9.1%
Growing Sector Food Packaging

Malaysia Biodegradable Paper Plastic Packaging Market Synopsis

Malaysia Biodegradable Paper Plastic Packaging Market is anticipated to record notable growth due to more people are becoming aware of environmental issues, there are stricter rules about plastic waste, and more businesses are looking for eco-friendly packaging options. To meet government rules and customer expectations, businesses are actively moving toward biodegradable paper and plant-based plastic alternatives. The quick growth of food delivery services, retail packaging, and online shopping is making demand even higher. Additionally, strong government support for green manufacturing practices and growing corporate sustainability commitments are improving adoption across food, beverage, and personal care sectors. 

Evaluation of Growth Drivers in the Malaysia Biodegradable Paper Plastic Packaging Market

Below mentioned are some prominent drivers and their influence on the market dynamics:

Drivers Primary Segments Affected Why it Matters (Evidence)
Government Plastic Reduction Policies Paper & Bioplastic; All Applications Regulations encourage industries to adopt eco-friendly packaging alternatives.
Rising Consumer Environmental Awareness Food & Personal Care; Paper Packaging Eco-conscious buyers prefer sustainable packaging products.
Growth of Food Delivery & E-commerce Food Packaging; Bioplastic Increased takeaway and shipment needs boost packaging demand.
Corporate Sustainability Commitments All Types; FMCG & Retail Companies are shifting toward green packaging to meet ESG goals.
Expansion of Green Manufacturing Incentives Plastic & Paper; Manufacturers Government incentives support local production of biodegradable materials.

Malaysia Biodegradable Paper Plastic Packaging Market is expected to grow at the CAGR of 9.1% during the forecast period of 2026-2032. Growth is driven by increasing regulatory pressure to reduce plastic waste and rising consumer preference for environmentally responsible packaging solutions. The rapid expansion of food delivery, retail, and e-commerce sectors is creating consistent demand for biodegradable alternatives. In addition, multinational and domestic companies are actively investing in sustainable packaging to meet environmental commitments. Government incentives for green manufacturing and innovation, along with growing awareness about waste management, are further supporting long-term market expansion across multiple industry applications. 

Evaluation of Restraints in the Malaysia Biodegradable Paper Plastic Packaging Market

Below mentioned are some major restraints and their influence on the market dynamics:

Restraints Primary Segments Affected What This Means (Evidence)
Higher Cost Compared to Conventional Plastic All Types; SMEs Price sensitivity limits adoption among small and medium-sized businesses, making them continue with cheaper conventional packaging options.
Limited Industrial Composting Infrastructure Bioplastic; Others Inadequate composting and waste management facilities create disposal challenges, reducing the environmental benefits of bioplastic packaging.
Problems with Sourcing Raw Materials Bioplastic; Manufacturers Dependence on specialty and bio-based materials leads to supply volatility and higher procurement costs, affecting production stability.
Performance Limitations for Heavy Packaging Paper Packaging for Industrial Use Strength and durability constraints limit the use of paper-based packaging for heavy-duty industrial applications.
Lack of Awareness in Small Businesses All Segments; Others Limited knowledge about sustainable packaging benefits keeps traditional plastic packaging dominant in local and small-scale markets.

Malaysia Biodegradable Paper Plastic Packaging Industry Challenges

The Malaysia Biodegradable Paper Plastic Packaging Industry has experienced rapid growth but still struggles with a number of operational and structural issues. One of the major issues is that the cost of producing biodegradable material is still significantly higher than that of conventional plastics, thus small and medium enterprises (SMEs) are hesitant to adopt them. On top of that, the lack of local composting and recycling facilities not only limits the effectiveness of biodegradable materials but also leads to disposal problems. Manufacturers also face supply constraints for specialized raw materials and must invest significantly in technology upgrades. 

Malaysia Biodegradable Paper Plastic Packaging Market Trends

Key trends shaping the Malaysia Biodegradable Paper Plastic Packaging Market include:

  • Shift Toward Plant, Based Bioplastics: Packaging made from renewable sources such as corn starch and sugarcane are being adopted by companies to a greater extent. These kinds of materials allow for less reliance on plastic made from petroleum and also, fulfil the corporate sustainability goals.
  • Growth of Sustainable Food Service Packaging: The trend of restaurants and food delivery platforms going for biodegradable containers, wraps, and cups is very fast. Besides the regulatory advisories, the consumer demand for environment friendly practices also plays a major role in this movement.
  • Lightweight and High Barrier Packaging Innovations: The industry is bringing to the market new kinds of biodegradable materials which not only are stronger but also prevent moisture better. Such innovations enable the usage of materials in different sectors such as beverages, pharmaceuticals, and personal care products. 

Investment Opportunities in the Malaysia Biodegradable Paper Plastic Packaging Market

Some of the major investment opportunities in the Malaysia Biodegradable Paper Plastic Packaging Market are:

  • Local Bioplastic Manufacturing Facilities: If the domestic production unit is set, up then it will not only help in reducing the imports but also in gaining the advantage of being more cost competitive. Apart from that, the local manufacturing also contributes to making the countrys industrial sector more environmentally friendly.
  • Partnerships with Food Delivery and FMCG Companies: Getting into long, term supply contracts with the businesses which use very high volumes will lead to a stable demand for the products as well as a steady increase in revenues. These two sectors are almost completely on the way to using sustainable packaging solutions.
  • Expansion of Composting and Recycling Infrastructure: If we invest in waste processing facilities, it will not only make biodegradable materials more effective but also, with better infrastructure, the environment will benefit, and more people will be encouraged to continue.
  • New Technologies in Biodegradable Materials: Efforts to increase durability, moisture resistance, and shelf, life through R&D can lead to the discovery of additional application areas. These high, tech materials will be of great help in replacing conventional plastic in a number of other industries. 

Top 5 Leading Players in the Malaysia Biodegradable Paper Plastic Packaging Market

Some leading players operating in the Malaysia Biodegradable Paper Plastic Packaging Market include: 

1. Huhtamaki Oyj

Company Name Huhtamaki Oyj
Established Year 1920
Headquarters Espoo, Finland
Official Website Click Here

Huhtamaki provides sustainable packaging solutions including biodegradable paper containers and foodservice products. The company focuses on recyclable and compostable materials while supporting food, beverage, and retail industries with environmentally responsible packaging innovations.

2. Amcor plc

Company Name Amcor plc
Established Year 1860
Headquarters Zurich, Switzerland
Official Website Click Here

Amcor develops flexible and rigid packaging solutions with increasing emphasis on recyclable and biodegradable materials. The company partners with FMCG and healthcare brands to deliver sustainable packaging that meets performance and environmental standards.

3. Mondi Group

Company Name Mondi Group
Established Year 1967
Headquarters Vienna, Austria
Official Website Click Here

Mondi specializes in paper-based and sustainable packaging solutions designed to reduce plastic usage. The company focuses on innovative barrier paper technologies and supports food, personal care, and e-commerce sectors with eco-friendly alternatives.

4. Tetra Pak

Company Name Tetra Pak
Established Year 1951
Headquarters Lausanne, Switzerland
Official Website Click Here

Tetra Pak provides paper-based packaging solutions with renewable and recyclable material components. The company works closely with beverage and food manufacturers to deliver sustainable packaging systems aligned with environmental goals.

5. Sealed Air Corporation

Company Name Sealed Air Corporation
Established Year 1960
Headquarters North Carolina, USA
Official Website Click Here

Sealed Air develops protective and food packaging solutions with growing investment in recyclable and biodegradable materials. The company focuses on reducing environmental impact while maintaining product safety and supply chain efficiency. 

Government Regulations Introduced in the Malaysia Biodegradable Paper Plastic Packaging Market

According to the Malaysia’s Government data, a great deal of measures has been taken to reduce the impact of plastic waste and to facilitate the use of sustainable packaging. The Roadmap Towards Zero Single, Use Plastics 20182030 comprises of the first step of completely banning the use of conventional plastic products and the second one promoting the use of biodegradable materials. In addition, the Ministry of Environment and Water is actively promoting waste segregation and recycling in order to increase the level of resource recovery. Companies going green through their manufacturing processes can receive financial assistance via the Green Technology Financing Scheme (GTFS). Plastic reduction campaigns at the local level, focusing on retailers and food outlets, are a new strategy that plastic reduction is being battled through in major cities of the local authorities. 

Future Insights of the Malaysia Biodegradable Paper Plastic Packaging Market

The Malaysia Biodegradable Paper Plastic Packaging Market is anticipated to grow by leaps and bounds in the next few years. This is because of the stricter environmental regulations, the rising corporate sustainability commitments, and the growing consumer awareness of plastic waste. The continuously growing sectors of food delivery, retail, and e, commerce will provide consistent demand for green packaging solutions. Improvements in biodegradable materials technology will probably lead to better product features and lowered costs, thus making sustainable products more competitive. On top of that, green manufacturing government incentives and recycling infrastructure investments will create more possibilities for the market growth. Companies focusing on innovation, affordability, and certification compliance are expected to gain a significant competitive advantage. 

Market Segmentation Analysis

The report offers a comprehensive study of the subsequent market segments and their leading categories. 

Food Packaging to Dominate the Market – By Applications

According to Mohit, Senior Research Analyst, 6Wresearch, the Food Packaging category holds the largest market segment in the Malaysia Biodegradable Paper Plastic Packaging Market Share. This dominance is driven by the rapid expansion of food delivery services, takeaway culture, and increasing regulatory pressure on single-use plastic containers. Restaurants, cloud kitchens, and packaged food manufacturers are increasingly turning to more sustainable, eco, friendly alternatives such as biodegradable materials to comply with the sustainability requirements. Moreover, a rising trend of customers opting for environmentally friendly food packaging and the very nature of high, volume food service operations continue to be factors that support strong demand. 

Plastic (Bioplastic) to Dominate the Market- By Packaging Type

Biodegradable plastic packaging is forecast to garner a greater share over paper because of its outstanding characteristics such as flexibility, durability, and resistance to moisture which can be found in a multitude of applications. The food, beverage, pharmaceutical, and personal care sectors are turning to bioplastics to give their products the performance qualities and to be able to use the packaging machines that are already in place convenience. 

Key Attractiveness of the Report

  • 10 Years of Market Numbers.
  • Historical Data Starting from 2022 to 2025.
  • Base Year: 2025.
  • Forecast Data until 2032.
  • Key Performance Indicators Impacting the Market.
  • Major Upcoming Developments and Projects.

Key Highlights of the Report:

  • Malaysia Biodegradable Paper & Plastic Packaging Market Outlook
  • Market Size of Malaysia Biodegradable Paper & Plastic Packaging Market, 2025
  • Forecast of Malaysia Biodegradable Paper & Plastic Packaging Market, 2032
  • Historical Data and Forecast of Malaysia Biodegradable Paper & Plastic Packaging Revenues & Volume for the Period 2022-2032
  • Malaysia Biodegradable Paper & Plastic Packaging Market Trend Evolution
  • Malaysia Biodegradable Paper & Plastic Packaging Market Drivers and Challenges
  • Malaysia Biodegradable Paper & Plastic Packaging Price Trends
  • Malaysia Biodegradable Paper & Plastic Packaging Porter's Five Forces
  • Malaysia Biodegradable Paper & Plastic Packaging Industry Life Cycle
  • Historical Data and Forecast of Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume By Applications for the Period 2022-2032
  • Historical Data and Forecast of Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume By Food Packaging for the Period 2022-2032
  • Historical Data and Forecast of Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume By Beverage Packaging for the Period 2022-2032
  • Historical Data and Forecast of Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume By Pharmaceuticals Packaging for the Period 2022-2032
  • Historical Data and Forecast of Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume By Personal & Home Care Packaging for the Period 2022-2032
  • Historical Data and Forecast of Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume By Others for the Period 2022-2032
  • Historical Data and Forecast of Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume By Packaging Type for the Period 2022-2032
  • Historical Data and Forecast of Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume By Plastic for the Period 2022-2032
  • Historical Data and Forecast of Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume By Paper for the Period 2022-2032
  • Malaysia Biodegradable Paper & Plastic Packaging Import Export Trade Statistics
  • Market Opportunity Assessment By Applications
  • Market Opportunity Assessment By Packaging Type
  • Malaysia Biodegradable Paper & Plastic Packaging Top Companies Market Share
  • Malaysia Biodegradable Paper & Plastic Packaging Competitive Benchmarking By Technical and Operational Parameters
  • Malaysia Biodegradable Paper & Plastic Packaging Company Profiles
  • Malaysia Biodegradable Paper & Plastic Packaging Key Strategic Recommendations

Market Covered

The report offers a comprehensive study of the subsequent market segments: 

By Applications

  • Food Packaging
  • Beverage Packaging
  • Pharmaceuticals Packaging
  • Personal & Home Care Packaging
  • Others 

By Packaging Type

  • Plastic
  • Paper

Malaysia Biodegradable Paper & Plastic Packaging Market (2026-2032): FAQs

The Malaysia Biodegradable Paper Plastic Packaging Market is projected to grow at a CAGR of 9.1% during the forecast period 2026-2032.
The growth is mainly influenced by local government authorities' policies on plastic reduction, increasing environmental awareness among people, expansion of food delivery and e, commerce sectors, as well as corporate sustainability commitments.
Manufacturers face challenges such as higher production costs, limited local raw material supply, performance limitations compared to conventional plastics, inadequate composting infrastructure, and price sensitivity among end-users.
The market is expected to witness steady growth driven by regulatory support, rising environmental concerns, increasing corporate sustainability commitments, and continued expansion of the food service and e-commerce industries.
6Wresearch actively monitors the Malaysia Biodegradable Paper & Plastic Packaging Market and publishes its comprehensive annual report, highlighting emerging trends, growth drivers, revenue analysis, and forecast outlook. Our insights help businesses to make data-backed strategic decisions with ongoing market dynamics. Our analysts track relevent industries related to the Malaysia Biodegradable Paper & Plastic Packaging Market, allowing our clients with actionable intelligence and reliable forecasts tailored to emerging regional needs.
Yes, we provide customisation as per your requirements. To learn more, feel free to contact us on sales@6wresearch.com
1 Executive Summary
2 Introduction
2.1 Key Highlights of the Report
2.2 Report Description
2.3 Market Scope & Segmentation
2.4 Research Methodology
2.5 Assumptions
3 Malaysia Biodegradable Paper & Plastic Packaging Market Overview
3.1 Malaysia Country Macro Economic Indicators
3.2 Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume, 2022 & 2032F
3.3 Malaysia Biodegradable Paper & Plastic Packaging Market - Industry Life Cycle
3.4 Malaysia Biodegradable Paper & Plastic Packaging Market - Porter's Five Forces
3.5 Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume Share, By Applications, 2022 & 2032F
3.6 Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume Share, By Packaging Type, 2022 & 2032F
4 Malaysia Biodegradable Paper & Plastic Packaging Market Dynamics
4.1 Impact Analysis
4.2 Market Drivers
4.2.1 Increasing consumer awareness and demand for environmentally friendly packaging solutions
4.2.2 Government regulations and initiatives promoting the use of biodegradable packaging
4.2.3 Growing focus on sustainable practices by businesses and industries
4.3 Market Restraints
4.3.1 Higher production costs compared to traditional non-biodegradable packaging
4.3.2 Limited availability of advanced biodegradable materials and technologies
4.3.3 Lack of awareness and education among consumers and businesses about the benefits of biodegradable packaging
5 Malaysia Biodegradable Paper & Plastic Packaging Market Trends
6 Malaysia Biodegradable Paper & Plastic Packaging Market, By Types
6.1 Malaysia Biodegradable Paper & Plastic Packaging Market, By Applications
6.1.1 Overview and Analysis
6.1.2 Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume, By Applications, 2022-2032F
6.1.3 Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume, By Food Packaging, 2022-2032F
6.1.4 Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume, By Beverage Packaging, 2022-2032F
6.1.5 Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume, By Pharmaceuticals Packaging, 2022-2032F
6.1.6 Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume, By Personal & Home Care Packaging, 2022-2032F
6.1.7 Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume, By Others, 2022-2032F
6.2 Malaysia Biodegradable Paper & Plastic Packaging Market, By Packaging Type
6.2.1 Overview and Analysis
6.2.2 Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume, By Plastic , 2022-2032F
6.2.3 Malaysia Biodegradable Paper & Plastic Packaging Market Revenues & Volume, By Paper, 2022-2032F
7 Malaysia Biodegradable Paper & Plastic Packaging Market Import-Export Trade Statistics
7.1 Malaysia Biodegradable Paper & Plastic Packaging Market Export to Major Countries
7.2 Malaysia Biodegradable Paper & Plastic Packaging Market Imports from Major Countries
8 Malaysia Biodegradable Paper & Plastic Packaging Market Key Performance Indicators
8.1 Percentage of companies adopting biodegradable packaging solutions
8.2 Amount of government investments in biodegradable packaging research and development
8.3 Growth in the number of eco-friendly certifications obtained by biodegradable packaging manufacturers
9 Malaysia Biodegradable Paper & Plastic Packaging Market - Opportunity Assessment
9.1 Malaysia Biodegradable Paper & Plastic Packaging Market Opportunity Assessment, By Applications, 2022 & 2032F
9.2 Malaysia Biodegradable Paper & Plastic Packaging Market Opportunity Assessment, By Packaging Type, 2022 & 2032F
10 Malaysia Biodegradable Paper & Plastic Packaging Market - Competitive Landscape
10.1 Malaysia Biodegradable Paper & Plastic Packaging Market Revenue Share, By Companies, 2025
10.2 Malaysia Biodegradable Paper & Plastic Packaging Market Competitive Benchmarking, By Operating and Technical Parameters
11 Company Profiles
12 Recommendations
13 Disclaimer

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