How big is the Biodegradable Plastic Packaging Market | Size, Share & Opportunities 2025

Q: How big is the biodegradable plastic packaging market?

The market was estimated at USD 9.5 billion in 2024 and is projected to reach USD 22 billion by 2031.

Q: What trends are shaping the biodegradable plastic packaging industry?

Trends include compostable films, home-compost certified products, mono-material designs, smart bio-packaging, and expansion in cosmetics and e-commerce.

Q: What are the key drivers of this market?

Major drivers include global bans on single-use plastics, demand for sustainable packaging from consumers and retailers, and advancements in bio-based materials.

Q: What challenges does the market face?

Challenges include high production costs, limited composting infrastructure, shorter shelf-life in certain formats, and confusion over disposal standards.

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6W monitors the market across 60+ countries Globally, publishing an annual market outlook report that analyses trends, key drivers, Size, Volume, Revenue, opportunities, and market segments. This report offers comprehensive insights, helping businesses understand market dynamics and make informed decisions.

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Code: MTA4795

Publication Date: Jul 2025

What is the size of the Biodegradable Plastic Packaging Market?

According to 6Wresearch internal database and industry insights, the Global Biodegradable Plastic Packaging Market was valued at USD 9.5 billion in 2024 and is projected to reach USD 22 billion by 2031, growing at a CAGR of 12.7% from 2025 to 2031.

Growth of market is supported by rising environmental regulations, bans on single-use plastics, and increasing demand for compostable packaging in food, retail, and consumer goods sectors.

Key Growth Factors of the Biodegradable Plastic Packaging Market

To mandate the government policies on plastic waste reduction and composability standards
Growing demand for eco-friendly packaging from food & beverage brands
Expansion of retail and e-commerce and increasing adoption of sustainable packaging formats
Technological advancements in PLA, starch blends, and PHA materials
Rising consumer preference for green-labelled and zero-waste products

Biodegradable Plastic Packaging Market Trends

The market is growing with the several trends high including growth in flexible biodegradable films used for wrapping and pouches, especially in the organic and fresh food sectors. The demand for dual-compostable packaging is increasing with certified for both industrial and home composting. Further, the brands are shifting towards minimalist and mono-material biodegradable designs for easier disposal. Printed, branded, and tamper-evident compostable packaging is becoming a trend in food delivery and online retail.

Emerging Developments in the Biodegradable Plastic Packaging Market

Marekt is seeing developments with the emphasizing focus on bio-based polymers from waste feedstocks such as agricultural residues and seaweed, reducing cost and improving sustainability metrics. Functional packaging solutions that provide barrier properties without synthetic laminates. The integration of smart biodegradable packaging with freshness sensors and antimicrobial features is in early-stage trials. Europe leads the market in regulatory support and innovation, while Asia-Pacific is emerging as a key manufacturing hub.