The global bioplastic industry is expected to witness significant growth and reach an estimated $7.02 billion by 2018. The major forces that are driving bioplastic market are high consumer acceptance, danger posed by climate change, increasing price of fossil materials, and dependence on fossil resources.
Lucintel, a leading global management consulting and market research firm, has conducted a detailed analysis on the bioplastic industry and presents its findings in "Global Bioplastic Industry 2013-2018: Trend, Forecast, and Opportunity Analysis". The wide variety of bioplastic applications under development is a positive factor for growth of bioplastic which also helps to capture market share from competing materials; huge potential lies within the fields of consumer electronics and automotive. On account of new technological developments, bioplastics are moving out of the niche and entering the mass market. Although full market penetration is just beginning, bioplastic materials and products are multiplying continuously. Multinational brand owners such as PepsiCo and Tetra Pak in the packaging market or Ford, Mercedes, Volkswagen, and Toyota in the automotive market have launched or integrated bioplastic products.
Lucintel highlights some of the major challenges likely to be faced by the industry. Bioplastics are generally two to three times more expensive than the conventional plastics. Currently, bioplastic resins cost at least twice as much as petro plastic resins. Price considerations will be the primary determinant for the success of bioplastic market. It is expected that rising petroleum costs will allow some bioplastic resins to be able to achieve price parity with conventional plastics. As crops are used for bioplastic manufacturing, use of hazardous chemicals such as pesticides in land for agriculture production is much common in practice. The use of arable land and edible crops to produce bioplastics is increasingly perceived as an undesirable development that could increase food prices and contribute to food shortages.
The market report also describes some of the key industry drivers. Life cycle analysis demonstrates that bioplastics can reduce CO2 emissions by 30%-70% as compared to conventional plastics. This shows a significant reduction in hazardous waste that is caused by oil-derived plastics. Global business is now turning to bio-plastics as governments demand cleaner alternatives to petroleum-based technologies and their reckless emission of greenhouse gas CO2. One metric ton of bioplastics generates between 0.8 and 3.2 fewer metric tons of carbon dioxide as compared to one metric ton of petroleum-based plastics.
Bioplastics are demonstrating impressive growth rates. The strong growth makes way for increasing demand for sustainable solutions in the bioplastic market. Eventually, bioplastics have reached an established position in the number of application sectors from the packaging market to the electronics sector and the automotive industry. Europe and North America remain hot destinations for research and development; they are also important as sales markets.
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Media Contact: Roy Almaguer, Lucintel, +1-972-636-5056, [email protected]
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Source: http://www.lucintel.com