Biodegradable Plastic Films Market – Global Industry Size, Share, Trends, Opportunity & Forecast, Segmented By Type (Starch Blends, Poly lactic Acid, Poly butylene adipate-co-terephthalate (PBAT), Poly butylene Succinate (PBS), Poly hydroxy alkanoates (PHA), Others), By Application (Bags, Wrapping Films, Liners, Sheets, Others), By End User (Food & Beverage, Healthcare, Agriculture, Personal Care & Cosmetics, Electrical & Electronics, Others), By Region, & Competition, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 1.53 Billion
CAGR (2026-2031)	6.08%
Fastest Growing Segment	Food & Beverage
Largest Market	Asia Pacific
Market Size (2031)	USD 2.18 Billion

Market Overview

The Global Biodegradable Plastic Films Market will grow from USD 1.53 Billion in 2025 to USD 2.18 Billion by 2031 at a 6.08% CAGR. Biodegradable plastic films are thin polymeric materials engineered to disintegrate into natural elements such as biomass and water through microbial processes under specific conditions. The expansion of this market is fundamentally supported by rigorous regulatory frameworks that restrict conventional disposable plastics and encourage circular economy practices. Additionally, rising demand from environmentally conscious consumers is driving multinational corporations to integrate compostable packaging solutions into their supply chains to meet sustainability targets.

According to European Bioplastics, in 2024, the global bioplastics production capacity stood at 2.47 million tonnes, with the packaging segment comprising 45 percent of the total market. However, a significant challenge impeding broader market expansion is the insufficient availability of industrial composting infrastructure required for the effective disposal and degradation of these films.

Key Market Drivers

Implementation of Stringent Global Regulations and Single-Use Plastic Bans is acting as a definitive catalyst for the global biodegradable plastic films market. Legislative bodies across major economies are enacting rigorous mandates to phase out conventional single-use plastics, thereby forcing brand owners and packaging converters to adopt certified compostable alternatives. This regulatory pressure is particularly acute in regions prioritizing circular economy principles, where non-compliance can result in substantial market access barriers or financial penalties. For instance, the European Union has tightened its legislative framework to enforce waste reduction. According to Eurofins, April 2024, the European Parliament’s adoption of the Packaging and Packaging Waste Regulation (PPWR) sets binding targets to reduce total packaging waste by 5% by 2030, a move that directly incentivizes the substitution of traditional plastic films with biodegradable counterparts in retail and logistics networks.

Widespread Adoption of Biodegradable Mulch Films in Modern Agriculture is significantly bolstering market demand, driven by the urgent need to resolve soil contamination issues associated with conventional polyethylene films. Farmers are increasingly transitioning to soil-biodegradable options that decompose naturally, eliminating the labor-intensive removal process and preventing the accumulation of microplastics in arable land. According to MDPI, July 2024, strategic government initiatives to curb agricultural pollution in China have led to the pilot application of biodegradable mulch films across 106,667 hectares. This sector-specific growth aligns with broader capacity expansions in the biopolymer industry as manufacturers scale up to meet rising needs. According to European Bioplastics, December 2024, global bioplastics production capacity is projected to surge to approximately 5.73 million tonnes by 2029, underscoring the escalating reliance on these sustainable materials across agricultural and packaging value chains.

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Key Market Challenges

The insufficient availability of industrial composting infrastructure poses a critical barrier to the scalability of the Global Biodegradable Plastic Films Market. Although these films are engineered to decompose under specific environmental parameters—primarily high temperatures and controlled humidity found only in specialized industrial facilities—such conditions are rarely met in standard municipal waste systems or home composting setups. Consequently, when the necessary processing facilities are inaccessible, these materials are frequently diverted to landfills or incinerators, where they fail to deliver their intended environmental benefits. This disconnect between product capability and disposal reality significantly diminishes the value proposition for end-users, as the sustainability premium paid for these films cannot be fully justified without a guaranteed end-of-life solution.

This infrastructure gap is acute and quantifiable in major developed markets. According to the Composting Consortium, in 2024, there were only approximately 145 full-scale commercial composting facilities in the United States that accepted food waste and compostable packaging. This limited processing capacity relative to the total volume of waste forces the vast majority of biodegradable film products into conventional disposal streams, effectively negating the circular economy advantages that drive market demand and discouraging broader adoption by multinational consumer goods companies.

Key Market Trends

The Rise of Algae and Seaweed-Based Polymer Innovations is rapidly reshaping the market as manufacturers seek abundant, non-food biomass sources that do not compete with agricultural land usage. Unlike first-generation starch-based films, these marine-derived alternatives offer intrinsic barrier properties and superior biodegradability in natural environments without requiring industrial processing. This transition is being accelerated by significant venture capital directed toward scaling extraction and refining technologies for flexible film applications, validating the sector's growth potential beyond niche prototypes. For instance, according to Notpla, September 2024, in the 'Notpla Secures £20 Million in Series A+ Funding' press release, the company raised £20 million to expand its manufacturing capabilities and replace over 100 million single-use plastic items annually with its seaweed-based packaging solutions.

Simultaneously, the Commercialization of Marine-Degradable Polyhydroxyalkanoate (PHA) Films is advancing from pilot-stage R&D to tangible market penetration, driven by the polymer's unique ability to degrade fully in ocean conditions where other bioplastics fail. This trend addresses a critical gap in the current material portfolio, offering brand owners a high-performance alternative for applications prone to leakage into waterways, such as sachet films and wrappers. Despite high production costs, major producers are generating measurable sales, validating the material's commercial viability in real-world supply chains. According to Danimer Scientific, November 2024, in the 'Danimer Scientific Announces Third Quarter 2024 Results' report, the company realized PHA revenues of $6.6 million for the quarter, underscoring the ongoing market uptake of these specialized biodegradable resins.

Segmental Insights

The Food & Beverage segment currently represents the fastest-growing category in the Global Biodegradable Plastic Films Market, propelled by increasing regulatory pressure and consumer demand for sustainable packaging. Major institutions, including the European Commission, have implemented strict guidelines reducing single-use conventional plastics, thereby accelerating the adoption of compostable alternatives. Consequently, manufacturers are transitioning to biodegradable films derived from sources like starch and polylactic acid to package fresh produce and ready-to-eat meals. These advanced films offer vital shelf-life extension and barrier protection, successfully balancing food safety requirements with the urgent industry goal of minimizing environmental footprint.

Regional Insights

Asia Pacific leads the global biodegradable plastic films market, driven by expanding applications in the food packaging and agricultural sectors. Rapid industrialization in China and India has accelerated the adoption of sustainable packaging materials to mitigate environmental concerns. The market growth is further supported by strict regulatory frameworks aimed at reducing plastic waste. For example, the National Development and Reform Commission in China has enforced policies to phase out non-degradable plastic bags and agricultural mulch films. These strategic measures and rising consumer awareness consolidate the region's market dominance.

Recent Developments

• In June 2025, TotalEnergies Corbion released breakthrough research findings from a new Life Cycle Assessment regarding its Luminy PLA bioplastics. The study, which was third-party verified, demonstrated that the company’s polylactic acid could achieve a carbon-negative footprint when composed of 100% recycled content. The research highlighted that even virgin grades offered a significant reduction in carbon emissions compared to conventional plastics. These findings provided critical data for manufacturers in the biodegradable plastic films market, supporting the environmental credentials of using PLA in applications such as food packaging and agricultural films.
• In January 2025, TIPA and Fresh-Lock announced a collaboration to launch a fully home-compostable packaging solution for the snack brand True Dates. The partnership utilized TIPA’s proprietary compostable film technology alongside Fresh-Lock’s compatible closure systems to create a high-barrier, resealable pouch that breaks down in domestic composting environments. This development addressed the technical challenge of integrating functional closures with biodegradable films without compromising shelf life or durability. The initiative underscored the expanding commercial adoption of biodegradable flexible packaging in the food industry to meet consumer demand for sustainable alternatives.
• In April 2024, CJ Biomaterials introduced two new polyhydroxyalkanoate-based compounds, PHACT CA1270P and PHACT CA1240PF, specifically developed for blown, cast, and machine direction orientation film applications. These semi-crystalline biopolymers were designed to offer a fully biobased and compostable alternative to traditional petroleum-based plastics used in flexible packaging. The clear and opaque grades demonstrated improved performance in stiffness, tear strength, and puncture resistance while ensuring durability for various packaging needs. This product launch aimed to address plastic waste challenges by enabling the production of films that facilitate food waste diversion from landfills.
• In April 2024, NatureWorks announced a strategic partnership with IMA, a manufacturer of automatic packaging machines, to deliver a turn-key compostable coffee pod solution for the North American market. The collaboration focused on developing a complete coffee capsule system, including a rigid body, filter, and lidding film, all manufactured using Ingeo PLA biopolymer. This joint effort was designed to ensure that the compostable pods performed comparably to incumbent materials in brewing and commercial production speeds. The initiative highlighted the growing application of biodegradable films and rigid structures in the single-serve beverage sector.

Key Market Players

• Brentwood Plastics Inc
• Cortec Corporation
• Kingfa Sci. & Tech. Co. Ltd.
• Futamura Chemicals Co. Ltd
• BioBag Americas Inc.
• Plantic Technologies Ltd.
• Shreeji Stretch Film Industries
• Clondalkin Group Holding B.V.
• Tipa Corp. Ltd.
• BASF SE

By Type	By Application	By End User	By Region
Starch Blends Poly lactic Acid Poly butylene adipate-co-terephthalate (PBAT) Poly butylene Succinate (PBS) Poly hydroxy alkanoates (PHA) Others	Bags Wrapping Films Liners Sheets Others	Food & Beverage Healthcare Agriculture Personal Care & Cosmetics Electrical & Electronics Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Biodegradable Plastic Films Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Biodegradable Plastic Films Market , By Type:

• Starch Blends
• Poly lactic Acid
• Poly butylene adipate-co-terephthalate (PBAT)
• Poly butylene Succinate (PBS)
• Poly hydroxy alkanoates (PHA)
• Others

• Biodegradable Plastic Films Market , By Application:

• Bags
• Wrapping Films
• Liners
• Sheets
• Others

• Biodegradable Plastic Films Market , By End User:

• Food & Beverage
• Healthcare
• Agriculture
• Personal Care & Cosmetics
• Electrical & Electronics
• Others

• Biodegradable Plastic Films Market , By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE