Bioplastics - A Viable Alternative to Petroplastics?

The environmental issues and government intervention on controlling carbon footprints have increased the usage of bio plastics among various industries like FMCG, food, packaging industries etc. By using bio plastics, the carbon footprint will reduce by 40% to 45%. In addition to that, bio plastics have the potential to reduce petroleum consumption in plastics by 15% to 20% by 2025. Bio plastics are in the market for more than 15 years; however, the industry has gained considerable importance only since 2005. Since the industry is in emerging trend, most of the technology used in bio plastics is relative-ly new. Currently, bioplastics do not enjoy cost advantage over traditional plastics; however, many companies are invest-ing in a number of R&D activities in order to reduce cost. Bio plastics became USD 1 billion dollar industry in 2007. The current market size of bio plastics industry is around USD 2 billion and is expected to grow at a CAGR of around 23% to 25% and reach USD 6 billion by 2015. Currently bio plastics industry contributes to around 10% to 15% of total plastics market and by 2020 this share is ex-pected to grow to 25 to 30%. The end use applications of bio plastics are mainly packaging, with around 60% of the share followed by agriculture and consumer products. In the future, automobile and electronics industry are also expected to be major end use segments. Other applications include use of bioplastics in medical devices, construction, footwear etc. packaging, with around 60% of the share followed by agriculture and consumer products. In the future, automobile and electronics industry are also expected to be major end use segments. Other applications include use of bioplastics in medical devices, construction, footwear etc.