Bio-polylactic Acid Market - Forecast(2024 - 2030)
Bio-polylactic Acid Market Overview
The bio-polylactic acid market size is forecast to
reach US$1.4 billion by 2027, after growing at a CAGR of 14.5% during the
forecast period (2022-2027). The bio-polylactic acid is primarily manufactured
through the process of direct condensation polymerization, azeotropic
dehydrative condensation, and lactide formation polymerization. It can be
degraded by numerous microorganisms using their secreted enzymes such as serine
protease, cutinases, lipases, and bacillus licheniformis by hydrolysis reaction.
They are used in a wide range of applications which include plastic films and
sheets for packaging, automotive, textiles, medical, construction, electronics,
and more. According to recent insights published on
Interpack in 2020, the global packaging industry is expected to grow by an annual
rate of 3.5% within the next four years. An increase in demand for bio-polylactic
acid from the packaging, automotive, and textile industries acts as the major
driver for the market. On the other hand, high costs associated with
bio-polylactic acid may confine the growth of the market.
Bio-polylactic
Acid Market COVID-19 Impact
There is no doubt that the COVID-19 lockdown
has significantly reduced manufacturing, and production activities as a result
of the country-wise shutdown of manufacturing sites, shortage of labor, and the
decline of supply and demand chain all over the world, thus, affecting the
market. Studies show that the outbreak of COVID-19 sharply declined the
production of raw materials in 2020 due to a lack of operations across multiple
countries around the world. However, the COVID-19 pandemic has increased the demand
for packaging all over the world. For instance, recent insights from Flexible Packaging states that the food packaging industry witnessed a sharp
increase in demand during the pandemic due to the high number of consumers turning
into online groceries shopping. By the end of 2021, U.S. online grocery
sales accounted for 12.4% of the country’s overall e-commerce sales. It further
states that the U.S. digital grocery buyers grew up to 137.9 million in 2021, a
growth of 4.8% in comparison to 2020. Supermarkets witnessed a huge surge in
demand for packaging materials for the wrapping of food and other grocery products.
Hence, such an increase in demand for packaging is expected to increase the
demand for bio-polylactic acid as it is primarily used in the production of plastic
films and sheets used for packaging. This is most likely to lead to market
growth in the upcoming years.
Report Coverage
The report: “Bio-polylactic Acid Market Report – Forecast (2022-2027)”, by IndustryARC
covers an in-depth analysis of the following segments of the Bio-polylactic Acid Industry.
By Raw Materials:
Corn, Cassava,
Sugarcane, Others.
By Production
Process:
Direct Condensation Polymerization, Azeotropic Dehydrative Condensation, Lactide
Formation Polymerization.
By End-Use
Industry: Packaging,
Automotive, Textiles, Medical, Construction, Electronics, Agriculture, Others.
By Geography: North America (USA, Canada, and
Mexico), Europe (the UK, Germany, France, Italy, Netherlands, Spain, Russia,
Belgium, and the Rest of Europe), Asia-Pacific (China, Japan, India, South
Korea, Australia, and New Zealand, Indonesia, Taiwan, Malaysia, and the Rest of
Asia-Pacific), South America (Brazil, Argentina, Colombia, Chile and the Rest
of South America), the Rest of the World (the Middle East, and Africa).
Key Takeaways
- The packaging industry in Bio-polylactic Acid Market is expected to see the fastest growth, especially during the forecast period. Its wide range of characteristics, biodegradability, low energy consumption, and cost-efficiency is driving its demand for the production of plastic films and sheets used in the packaging industry.
- Properties of bio-polylactic acid such as durability, printability, flexibility, UV resistance, transparency, biodegradability, chemical resistance, and more make it ideal for use in a wide range of industries which include packaging, automotive, and textile industries.
- Asia-Pacific dominated the Polyethylene Wax Market in 2021, owing to the increasing demand for polyethylene wax from the packaging sector of the region. According to a recent study published on Interpack, Asia accounted for the highest world share of packaging sales in 2020, an increase of 7.4% in comparison to 2019.
Figure: Asia-Pacific Bio-polylactic Acid Market Revenue, 2021-2027 (US$ Billion)
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Bio-polylactic Acid Market Segment Analysis – By Raw Material
The sugarcane raw material held a significant
share in the Bio-polylactic Acid Market in 2021, owing to its increasing demand
due to the characteristics and benefits it offers over other types of raw
materials. Bio-polylactic acid derived from sugarcane composites provide better
resistance to moisture, chemical resistance, impact resistance, and UV resistance
in comparison to other types of raw materials. Moreover, bio-polylactic acid
derived from sugarcane composites tends to be more flexible and durable in
comparison to corn, cassava, and other types of raw materials. In addition to
this, they are more economical and cost-effective. Hence, all of these
properties are driving its demand for the production of bio-polylactic acid over
other types of raw materials, which in turn, is expected to boost the market
growth in the upcoming years.
Bio-polylactic Acid Market Segment Analysis – By End-Use Industry
The packaging industry held the largest share
in the Bio-polylactic Acid Market in 2021 and is expected to grow at a CAGR of 14.6%
between 2022 and 2027, owing to its increasing demand from the packaging
industry. According to PMMI (The Association for Packaging and Processing), the
North American beverage industry is expected to increase by 4.5% from 2018 to
2028, with the United States leading the beverage packaging sector. Likewise,
recent insights from the Packaging Federation of the United Kingdom states that
the UK packaging manufacturing industry reached an annual sales of GBP 11
billion (US$ 15.2 billion) in 2020, owing to the increasing demand for packaging
from multiple sectors of the region.
In this way, an increase in demand for
packaging activities is expected to increase the demand for bio-polylactic acid
during the production of plastic films and sheets required for packaging. This
is most likely to drive the growth of the market during the forecast period.
Bio-polylactic Acid Market Segment Analysis – By Geography
The Asia Pacific held the largest share in the
Bio-polylactic Acid Market in 2021 up to 30%. The consumption of bio-polylactic
acid is particularly high in this region due to its increasing demand from the
packaging industry. For instance, China holds the largest market share around
the world when it comes to food packaging. According to a recent study
published on Interpack, the consumption of food packaging is expected to
increase to 447,066 million in 2023. Likewise, it also states that the Chinese
packaging companies such as 3D, SIP, and WLCSP alone achieved a revenue of
around US$5.88 billion with end packaging.
According to the Packaging Industry Association of India, the Indian packaging industry was valued at around US$ 50.5 billion in 2019 and is expected to increase up to US$ 204.81 billion by the end of 2025. It further states that packaging is considered to be one of the industries with high growth in India and is rising at 22-25% per year. Thus, the surging growth of the packaging sector in the region is expected to increase the demand for bio-polylactic acid as a primary medium for the production of plastic films and sheets required for packaging. This is expected to accelerate the market growth during the forecast period.
Bio-polylactic Acid Market Drivers
An increase in automotive production is most likely to increase demand for the product
According to a recent study published by the
German Association of Automotive Industry during the fourth quarter of 2020,
the new registration of motor vehicles reached up to 16,763 units in Europe,
37,467 units in Asia, 3080 units in South America, 17,421 units in North
America, 12,733 units in Western Europe, and 5180 units in other regions
worldwide. Likewise, a recent study published by the International Netherlands
Group (ING) states that the demand for the production and development of Electric
Vehicles has been increasing since the pandemic. It states that the global
sales of new Electric Vehicles have increased by 50% in 2021, and it is expected
to increase by 8% in 2022. It further states that the sales of Electric
Vehicles have increased by 14% in Europe, 9% in China, and 4% in the US.
Bio-polylactic acid is commonly used in
various components of the automobile interior which include mats, carpeting,
and upholstery. Hence, an increase in automobile production is expected to
increase the demand for bio-polylactic acid, leading to the growth of the
market in the upcoming years.
An increase in demand from the textile industry is most likely to increase demand for the product
Bio-polylactic acid fibers are commonly used
in the textile industry, owing to their properties such as smooth surface, controlled
crimp, UV resistance, chemical resistance, low moisture regain along with good
thermal and tensile properties. For instance, in July 2021, India announced the
Non-Woven Fabric Manufacturing Expansion Project worth INR 220 million (US$ 2.9
million) in Himachal Pradesh. A recent article published on fibre2fashion
states that Vietnam’s garment manufacturing business accounts for around 70% of
the majority of businesses. It also states that the import of textiles and
clothing by the United States increased by 26.79 % up to US$41.689 billion
during the initial five months of 2021. Likewise, the value of U.S. man-made
fiber, textile, and clothing shipments reached about $64.4 billion in 2020.
Furthermore, in 2021, United Nations Environment Programme (UNEP) announced the
commencement of a new project that is targeted to provide the approval of
eco-innovation along with the use of Product Environmental Footprint (PEF) within
textile SMEs in Kenya, South Africa, and Tunisia.
In this way, an increase in demand for various
textile operations across the world is expected to increase the demand for
bio-polylactic acid fibers, owing to its above-mentioned properties. This is most
likely to drive market growth in the upcoming years.
Bio-polylactic Acid Market Challenges
High cost of bio-polylactic acid may cause an obstruction to the market growth
Bio-polylactic acid plastic is a common
alternative to conventional petrochemical-based plastics which is also
environmentally friendly, however, its production process is quite costly. The
production process for bio-polylactic acid is expensive due to the number of intermediate
steps involved in the production process. In traditional bio-polylactic acid
production, lactic acid is fed into a reactor which converts it into a type of
pre-plastic, low-quality, material under high temperature in a vacuum. The
pre-product is then broken down into building blocks for bio-polylactic acid.
These intermediate steps also involve the use of metals and produce waste.
Thus, these intermediate steps make bio-polylactic acid plastic more expensive
in comparison to traditional petroleum-based plastics, and it also has less
mechanical and physical properties. For instance, the price of bio-polylactic
acid plastic films costs around US$ 1.65/kilogram while the price of
traditional petroleum-based plastic films costs around US$ 1.47/kilogram.
Hence, high costs associated with the production of bio-polylactic acid may
confine the growth of the market.
Bio-polylactic Acid Industry Outlook
Technology launches, acquisitions, and R&D
activities are key strategies adopted by players in the Bio-polylactic Acid
Market. Bio-polylactic Acid Market top 10 companies are:
- NatureWorks LLC
- Sulzer Ltd
- Futerro
- Zhejiang Hisun Biomaterials Co. Ltd.
- Total Corbion PLA
- Nantong Jiuding Biological Engineering Co. Ltd.
- Jiangxi Keyuan Bio-Material Co. Ltd Inc.
- Musashino Chemical Laboratory Ltd.
- Polysciences Inc.
- BASF SE
Recent Developments
- In January 2022, Sulzer Ltd announced its plan to deliver a customized production technology to NatureWork’s latest biopolymer manufacturing facility which will be located in Thailand. The main motive of this development is to increase the company’s production capacity up to 75, 000 tons of polylactic acid (PLA) per year in order to meet the surging demand for PLA in applications such as food packaging.
- In September 2021, LG Chem, and ADM, signed a memorandum of understanding (MoU) in order to explore the production of lactic acid in the U.S. to meet the increasing demand for a wide range of plant-based products, including bioplastics.
- In October 2020, Futerro launched its first fully-integrated PLA plant in China. The new lactic acid and PLA units include new patented technologies for the production of high-quality products at reasonable costs. The PLA unit has an overall capacity of 30,000 tons per year followed by a lactic acid unit with an overall capacity of 80,000 tons per year.
Relevant Reports
Bio-plastics
Market
– Forecast (2022 - 2027)
Report Code: CMR 0846
Lactic
Acid Market – Forecast (2022 - 2027)
Report Code: FBR 0085
Bio-based
Resins Market – Forecast (2021 - 2026)
Report Code: CMR 96317
For more Chemicals and Materials Market reports, please click here
LIST OF TABLES
1.Global MARKET SEGMENTATION Market 2023-2030 ($M)1.1 Raw Material Market 2023-2030 ($M) - Global Industry Research
1.1.1 Corn Market 2023-2030 ($M)
1.1.2 Cassava Market 2023-2030 ($M)
1.1.3 Sugarcane and Sugar Beet Market 2023-2030 ($M)
1.2 Form Market 2023-2030 ($M) - Global Industry Research
1.2.1 Fiber Market 2023-2030 ($M)
1.2.2 Films and Sheets Market 2023-2030 ($M)
1.2.3 Coatings Market 2023-2030 ($M)
1.3 End-user Industry Market 2023-2030 ($M) - Global Industry Research
1.3.1 Packaging Market 2023-2030 ($M)
1.3.2 Automotive Market 2023-2030 ($M)
1.3.3 Medical Market 2023-2030 ($M)
1.3.4 Electronics Market 2023-2030 ($M)
1.3.5 Agriculture Market 2023-2030 ($M)
1.3.6 Textile Market 2023-2030 ($M)
2.Global COMPETITIVE LANDSCAPE Market 2023-2030 ($M)
2.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements Market 2023-2030 ($M) - Global Industry Research
3.Global MARKET SEGMENTATION Market 2023-2030 (Volume/Units)
3.1 Raw Material Market 2023-2030 (Volume/Units) - Global Industry Research
3.1.1 Corn Market 2023-2030 (Volume/Units)
3.1.2 Cassava Market 2023-2030 (Volume/Units)
3.1.3 Sugarcane and Sugar Beet Market 2023-2030 (Volume/Units)
3.2 Form Market 2023-2030 (Volume/Units) - Global Industry Research
3.2.1 Fiber Market 2023-2030 (Volume/Units)
3.2.2 Films and Sheets Market 2023-2030 (Volume/Units)
3.2.3 Coatings Market 2023-2030 (Volume/Units)
3.3 End-user Industry Market 2023-2030 (Volume/Units) - Global Industry Research
3.3.1 Packaging Market 2023-2030 (Volume/Units)
3.3.2 Automotive Market 2023-2030 (Volume/Units)
3.3.3 Medical Market 2023-2030 (Volume/Units)
3.3.4 Electronics Market 2023-2030 (Volume/Units)
3.3.5 Agriculture Market 2023-2030 (Volume/Units)
3.3.6 Textile Market 2023-2030 (Volume/Units)
4.Global COMPETITIVE LANDSCAPE Market 2023-2030 (Volume/Units)
4.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements Market 2023-2030 (Volume/Units) - Global Industry Research
5.North America MARKET SEGMENTATION Market 2023-2030 ($M)
5.1 Raw Material Market 2023-2030 ($M) - Regional Industry Research
5.1.1 Corn Market 2023-2030 ($M)
5.1.2 Cassava Market 2023-2030 ($M)
5.1.3 Sugarcane and Sugar Beet Market 2023-2030 ($M)
5.2 Form Market 2023-2030 ($M) - Regional Industry Research
5.2.1 Fiber Market 2023-2030 ($M)
5.2.2 Films and Sheets Market 2023-2030 ($M)
5.2.3 Coatings Market 2023-2030 ($M)
5.3 End-user Industry Market 2023-2030 ($M) - Regional Industry Research
5.3.1 Packaging Market 2023-2030 ($M)
5.3.2 Automotive Market 2023-2030 ($M)
5.3.3 Medical Market 2023-2030 ($M)
5.3.4 Electronics Market 2023-2030 ($M)
5.3.5 Agriculture Market 2023-2030 ($M)
5.3.6 Textile Market 2023-2030 ($M)
6.North America COMPETITIVE LANDSCAPE Market 2023-2030 ($M)
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements Market 2023-2030 ($M) - Regional Industry Research
7.South America MARKET SEGMENTATION Market 2023-2030 ($M)
7.1 Raw Material Market 2023-2030 ($M) - Regional Industry Research
7.1.1 Corn Market 2023-2030 ($M)
7.1.2 Cassava Market 2023-2030 ($M)
7.1.3 Sugarcane and Sugar Beet Market 2023-2030 ($M)
7.2 Form Market 2023-2030 ($M) - Regional Industry Research
7.2.1 Fiber Market 2023-2030 ($M)
7.2.2 Films and Sheets Market 2023-2030 ($M)
7.2.3 Coatings Market 2023-2030 ($M)
7.3 End-user Industry Market 2023-2030 ($M) - Regional Industry Research
7.3.1 Packaging Market 2023-2030 ($M)
7.3.2 Automotive Market 2023-2030 ($M)
7.3.3 Medical Market 2023-2030 ($M)
7.3.4 Electronics Market 2023-2030 ($M)
7.3.5 Agriculture Market 2023-2030 ($M)
7.3.6 Textile Market 2023-2030 ($M)
8.South America COMPETITIVE LANDSCAPE Market 2023-2030 ($M)
8.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements Market 2023-2030 ($M) - Regional Industry Research
9.Europe MARKET SEGMENTATION Market 2023-2030 ($M)
9.1 Raw Material Market 2023-2030 ($M) - Regional Industry Research
9.1.1 Corn Market 2023-2030 ($M)
9.1.2 Cassava Market 2023-2030 ($M)
9.1.3 Sugarcane and Sugar Beet Market 2023-2030 ($M)
9.2 Form Market 2023-2030 ($M) - Regional Industry Research
9.2.1 Fiber Market 2023-2030 ($M)
9.2.2 Films and Sheets Market 2023-2030 ($M)
9.2.3 Coatings Market 2023-2030 ($M)
9.3 End-user Industry Market 2023-2030 ($M) - Regional Industry Research
9.3.1 Packaging Market 2023-2030 ($M)
9.3.2 Automotive Market 2023-2030 ($M)
9.3.3 Medical Market 2023-2030 ($M)
9.3.4 Electronics Market 2023-2030 ($M)
9.3.5 Agriculture Market 2023-2030 ($M)
9.3.6 Textile Market 2023-2030 ($M)
10.Europe COMPETITIVE LANDSCAPE Market 2023-2030 ($M)
10.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements Market 2023-2030 ($M) - Regional Industry Research
11.APAC MARKET SEGMENTATION Market 2023-2030 ($M)
11.1 Raw Material Market 2023-2030 ($M) - Regional Industry Research
11.1.1 Corn Market 2023-2030 ($M)
11.1.2 Cassava Market 2023-2030 ($M)
11.1.3 Sugarcane and Sugar Beet Market 2023-2030 ($M)
11.2 Form Market 2023-2030 ($M) - Regional Industry Research
11.2.1 Fiber Market 2023-2030 ($M)
11.2.2 Films and Sheets Market 2023-2030 ($M)
11.2.3 Coatings Market 2023-2030 ($M)
11.3 End-user Industry Market 2023-2030 ($M) - Regional Industry Research
11.3.1 Packaging Market 2023-2030 ($M)
11.3.2 Automotive Market 2023-2030 ($M)
11.3.3 Medical Market 2023-2030 ($M)
11.3.4 Electronics Market 2023-2030 ($M)
11.3.5 Agriculture Market 2023-2030 ($M)
11.3.6 Textile Market 2023-2030 ($M)
12.APAC COMPETITIVE LANDSCAPE Market 2023-2030 ($M)
12.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements Market 2023-2030 ($M) - Regional Industry Research
13.MENA MARKET SEGMENTATION Market 2023-2030 ($M)
13.1 Raw Material Market 2023-2030 ($M) - Regional Industry Research
13.1.1 Corn Market 2023-2030 ($M)
13.1.2 Cassava Market 2023-2030 ($M)
13.1.3 Sugarcane and Sugar Beet Market 2023-2030 ($M)
13.2 Form Market 2023-2030 ($M) - Regional Industry Research
13.2.1 Fiber Market 2023-2030 ($M)
13.2.2 Films and Sheets Market 2023-2030 ($M)
13.2.3 Coatings Market 2023-2030 ($M)
13.3 End-user Industry Market 2023-2030 ($M) - Regional Industry Research
13.3.1 Packaging Market 2023-2030 ($M)
13.3.2 Automotive Market 2023-2030 ($M)
13.3.3 Medical Market 2023-2030 ($M)
13.3.4 Electronics Market 2023-2030 ($M)
13.3.5 Agriculture Market 2023-2030 ($M)
13.3.6 Textile Market 2023-2030 ($M)
14.MENA COMPETITIVE LANDSCAPE Market 2023-2030 ($M)
14.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements Market 2023-2030 ($M) - Regional Industry Research
LIST OF FIGURES
1.US Bio-polylactic Acid Market Revenue, 2023-2030 ($M)2.Canada Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
3.Mexico Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
4.Brazil Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
5.Argentina Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
6.Peru Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
7.Colombia Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
8.Chile Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
9.Rest of South America Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
10.UK Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
11.Germany Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
12.France Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
13.Italy Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
14.Spain Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
15.Rest of Europe Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
16.China Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
17.India Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
18.Japan Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
19.South Korea Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
20.South Africa Bio-polylactic Acid Market Revenue, 2023-2030 ($M)
21.North America Bio-polylactic Acid By Application
22.South America Bio-polylactic Acid By Application
23.Europe Bio-polylactic Acid By Application
24.APAC Bio-polylactic Acid By Application
25.MENA Bio-polylactic Acid By Application