Biodegradable Paper and Plastic Packaging Market Driven by Innovation and Sustainability Push | DataMIntelligence

The biodegradable paper and plastic packaging market is growing rapidly, driven by eco-regulations, consumer demand, and breakthrough material innovations

NEW YORK, NY, UNITED STATES, August 8, 2025 /EINPresswire.com/ -- The Biodegradable Paper and Plastic Packaging Market reached US$ 14.5 billion in 2022 and is projected to hit US$ 23.4 billion by 2030, expanding at a CAGR of 9.6% during 2024–2031. The market’s upward trajectory is driven by growing environmental concerns, increasing government regulations to curb plastic pollution, and rising consumer demand for sustainable packaging solutions. Global awareness about the environmental hazards of conventional plastics has pushed industries ranging from food and beverages to cosmetics, healthcare, and e-commerce towards adopting biodegradable alternatives. Businesses are embracing these eco-friendly materials to align with circular economy goals, reduce landfill waste, and meet evolving sustainability targets. Continuous innovations in compostable materials, water-soluble films, and plant-based polymers are further accelerating market penetration across developed and emerging economies.

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Biodegradable Paper and Plastic Packaging Market Recent Developments and Technological Advancements :

August 2025 - Amcor PLC launched a fully home-compostable coffee pod lidding material compatible with multiple brewing systems, offering a sustainable alternative to aluminum and PET lids.

July 2025 - Tetra Pak International SA introduced a next-generation paper-based barrier layer in its beverage cartons, significantly reducing the need for aluminum foil while improving recyclability.

June 2025 - Mondi unveiled a range of recyclable and biodegradable packaging solutions for fresh produce, integrating bio-based coatings that maintain product freshness without compromising compostability.

May 2025 - Smurfit Kappa expanded its paper-based bag-in-box packaging portfolio for liquid foods, integrating plant-derived barrier films to improve sustainability performance.

Biodegradable Paper and Plastic Packaging Market Acquisitions and Mergers :

Amcor PLC acquired a majority stake in a European biodegradable packaging start-up to strengthen its sustainable product portfolio and accelerate innovation pipelines.

Mondi entered into a strategic merger with a specialty biopolymer manufacturer to enhance its biodegradable film production capacity and broaden its eco-friendly packaging offerings.

Biodegradable Paper and Plastic Packaging Market Opportunities :-

The biodegradable paper and plastic packaging industry is poised to benefit from:

Governmental Support – Increasing bans on single-use plastics and incentives for eco-friendly manufacturing are driving large-scale adoption.

E-commerce Boom – Surging online retail is boosting demand for biodegradable shipping and protective materials.

Food & Beverage Sustainability Goals – Growing commitments by F&B giants to achieve zero-plastic waste targets are fueling innovations in compostable and recyclable packaging.

Technological Integration – Advances in nanotechnology and bio-coatings are improving barrier properties and extending shelf life for biodegradable products.

Biodegradable Paper and Plastic Packaging Market Key Players :

The competitive landscape features a mix of global leaders and specialized manufacturers:

Riverside Paper Co. Inc.
SmartSolve Industries
Özsoy Plastik
Ultra Green Sustainable Packaging
Hosgör Plastik
Eurocell S.r.l
Tetra Pak International SA
Kruger Inc.
Amcor PLC
Mondi
International Paper Company
Smurfit Kappa
Market Segmentation

By Material Type

Biodegradable Paper
Biodegradable Plastics (PLA, PHA, Starch Blends, Others)

By Packaging Type

Rigid Packaging (Boxes, Trays, Bottles)
Flexible Packaging (Films, Bags, Wrappers)

By Application

Food & Beverages
Healthcare & Pharmaceuticals
Personal Care & Cosmetics
E-commerce & Retail
Others

By End-User

Industrial Packaging
Consumer Packaging

By Region
North America
Europe
Asia-Pacific
South America
Middle East & Africa

Latest News – USA

In the United States, International Paper Company announced a nationwide rollout of its new biodegradable paperboard designed for frozen food packaging, offering moisture resistance without plastic lamination. Smurfit Kappa partnered with a major US e-commerce retailer to supply fully compostable corrugated mailers, aligning with the retailer’s 2030 zero-plastic pledge.

Latest News – Japan

In Japan, Tetra Pak International SA collaborated with a leading dairy producer to launch beverage cartons made with 90% plant-based materials, enhancing recyclability and reducing carbon emissions. Mondi introduced bio-based plastic films in Japanese convenience store packaging, replacing petroleum-based plastics in fresh food trays.

Conclusion

The biodegradable paper and plastic packaging market is evolving into a mainstream solution for sustainable product distribution across industries. With growing pressure from regulators, consumers, and corporate sustainability commitments, innovation in materials and design is rapidly accelerating. Key players are investing in R&D, mergers, and strategic partnerships to meet the surging demand for eco-friendly alternatives, while new technologies are overcoming performance limitations of earlier biodegradable products. As market adoption expands globally especially in food, retail, and healthcare sectors the next decade will likely witness biodegradable packaging becoming an industry norm rather than an option.

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Sai Kumar
DataM Intelligence 4market Research LLP
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