Compostable Plastic Market Size, Share, and Outlook, 2025 Report- By End-User (Packaging, Consumer Goods, Textiles, Agriculture, Others), By Product (Compostable Bag, Compostable Cutlery, Compostable Gloves, Compostable Straw, Others), 2018-2032

Compostable Plastic Market Outlook

Compostable Plastic Market Size is forecast to reach $14.6 Billion in 2032 from $6.2 Billion in 2025, at an optimistic growth rate of 12.7% from 2025 to 2032. The robust Compostable Plastic Market growth presents potential growth opportunities for companies across the industry value chain.

The comprehensive market research report presents 12-year historic and forecast data on Compostable Plastic Market segments across 22 countries from 2021 to 2032. Key segments in the report include By End-User (Packaging, Consumer Goods, Textiles, Agriculture, Others), By Product (Compostable Bag, Compostable Cutlery, Compostable Gloves, Compostable Straw, Others). Over 70 tables and charts showcase findings from our latest survey report on Compostable Plastic Markets.

Compostable Plastic Market Insights, 2025: Compostable Plastic Market: Key Drivers and Opportunities

The compostable plastic market is experiencing robust growth, primarily driven by increased environmental awareness and the global shift towards sustainable products. As consumers and businesses become more conscious of the environmental impact of traditional petroleum-based plastics, there is a rising demand for biodegradable and compostable alternatives. Compostable plastics, which break down naturally in composting environments, are considered a key solution to reduce plastic waste and address growing concerns over ocean pollution. The market is particularly fueled by the packaging industry, where compostable plastics are being adopted for food packaging, single-use items, and takeaway containers. Government regulations and bans on single-use plastics are also accelerating the adoption of compostable plastics in several countries. Additionally, technological advancements in bioplastics, such as those derived from cornstarch, polylactic acid (PLA), and polyhydroxyalkanoates (PHA), are opening up new market opportunities. As the market matures, manufacturers are focused on improving the strength, barrier properties, and cost-effectiveness of compostable plastics, driving further innovation and expansion in various end-use industries, including foodservice, consumer goods, and agriculture.

Five Trends that will define global Compostable Plastic Market in 2025 and Beyond

A closer look at the multi-million global market for Compostable Plastic Market identifies rapidly shifting consumer preferences across categories. By focusing on growth and resilience, leading Compostable Plastic Companies are prioritizing their investments across categories, markets, and geographies. The report analyses the most important market trends shaping the new landscape to support better decisions for the long and short-term future.

What are the biggest opportunities for growth in the Compostable Plastic Industry?

The Compostable Plastic Market sector demonstrated remarkable resilience over the past year across developed and developing economies. Further, the market presents significant opportunities to leverage the existing momentum towards actions by 2032. On the other hand, recent macroeconomic developments including rising inflation and supply chain disruptions are putting pressure on companies. The chapter assists users to identify growth avenues and address business challenges to make informed commercial decisions with unique insights, data forecasts, and in-depth market analyses.

Compostable Plastic Market Segment Insights

The Compostable Plastic Industry presents strong offers across categories. The analytical report offers forecasts of Compostable Plastic Industry performance across segments and countries. Key segments in the industry include- By End-User (Packaging, Consumer Goods, Textiles, Agriculture, Others), By Product (Compostable Bag, Compostable Cutlery, Compostable Gloves, Compostable Straw, Others). The largest types, applications, and sales channels, fastest growing segments, and the key factors driving each of the categories are included in the report.

Forecasts of each segment across five regions are provided from 2021 through 2032 for Asia Pacific, North America, Europe, South America, Middle East, and African regions. In addition, Compostable Plastic Market size outlook is provided for 22 countries across these regions.

Compostable Plastic Industry Value Chain

The chapter identifies potential companies and their operations across the global Compostable Plastic Industry ecosystem. It assists decision-makers in evaluating global Compostable Plastic Market fundamentals, market dynamics, and disruptive trends across the value chain segments.

Scenario Analysis and Forecasts

Strategic decision-making in the Compostable Plastic Industry is multi-faceted with the increased need for planning across scenarios. The report provides forecasts across three case scenarios- low growth, reference case, and high growth cases.

Asia Pacific Compostable Plastic Market Analysis- A Promising Growth Arena for Business Expansion

As companies increasingly expand across promising Asia Pacific markets with a combined population of over 4.5 billion, the medium-to-long-term future remains robust. The presence of the fastest-growing economies such as China, India, Thailand, Indonesia, and Vietnam coupled with strengthening middle-class populations and rising disposable incomes drive the market. In particular, China and India are witnessing rapid shifts in consumer purchasing behavior. China is recovering steadily with optimistic forecasts for 2025. Further, Japanese and South Korean markets remain stable with most companies focusing on new product launches and diversification of sales channels.

The State of Europe Compostable Plastic Industry 2025- Focus on Accelerating Competitiveness

As companies opt for an integrated agenda for competitiveness, the year 2025 presents optimistic scenarios for companies across the ecosystem. With signs of economic recovery across markets, companies are increasing their investments. Europe is one of the largest markets for Compostable Plastic Market with demand from both Western Europe and Eastern European regions increasing over the medium to long-term future. Increasing omnichannel shopping amidst robust consumer demand for value purchases shapes the market outlook. The report analyses the key Compostable Plastic Market drivers and opportunities across Germany, France, the United Kingdom, Spain, Italy, Russia, and other Europe.

The US Compostable Plastic Market Insights- Executives are most excited about opportunities for the US Compostable Plastic Industry.

Easing inflation coupled with strengthening consumer sentiment is encouraging aggressive actions from the US Compostable Plastic Companies. Market players consistently focusing on innovation and pursuing new ways to create value are set to excel in 2025. In addition, the Canadian and Mexican markets offer lucrative growth pockets for manufacturers and vendors. Focus on private-brand offerings and promotions, diversified sales channels, expansion into niche segments, adoption of advanced technologies, and sustainability are widely observed across the North American Compostable Plastic Market.

Latin American Compostable Plastic Market outlook rebounds in line with economic growth.

Underlying demand remains higher among urban consumers with an optimistic economic outlook across Brazil, Argentina, Chile, and other South and Central American countries. Increased consumer spending has been reported since H2-2024 and the prospects remain strong for 2025. Aggressive ecosystem moves to create new sources of income are widely observed across markets in the region. Marketing activities focused on customer insights, operations, and support functions are quickly gaining business growth in the region.

Middle East and Africa Compostable Plastic Markets- New Opportunities for Companies Harnessing Diversity

Rapid growth in burgeoning urban locations coupled with a young and fast-growing population base is attracting new investments in the Middle East and African Compostable Plastic Markets. Designing expansion and marketing strategies to cater to the local consumer base supports the market prospects. In addition to Nigeria, Algeria, South Africa, and other markets, steady growth markets in Ethiopia, Rwanda, Ghana, Tanzania, the Democratic Republic of Congo, and others present significant prospects for companies. On the other hand, Middle Eastern Compostable Plastic Markets including the UAE, Saudi Arabia, Qatar, and Oman continue to offer lucrative pockets of growth.

Competitive Landscape- How Compostable Plastic Companies outcompete in 2025 and Beyond?

The ability to respond quickly to evolving consumer preferences and adapt businesses to niche consumer segments remains a key growth factor. The report identifies the leading companies in the industry and provides their revenue for 2024. The market shares of each company are also included in the report. Further, business profiles, SWOT analysis, and financial analysis of each company are provided in detail. Key companies analyzed in the report include BASF SE, Biome Technologies plc, BioTec Bags India Pvt Ltd, BOSK Bioproducts, Cargill Inc, Danimer Scientific Inc, Eastman Chemical Co, Fkur Kunststoff GmbH, Futerro SA, Kaneka Corp, KURARAY Co Ltd, Mitsubishi Chemical Corp, Neste Corp, Northern Technologies International Corp, Novamont S.p.A.

Compostable Plastic Market Scope and Segmentation

By End-User

Packaging

Consumer Goods

Textiles

Agriculture

Others

By Product

Compostable Bag

Compostable Cutlery

Compostable Gloves

Compostable Straw

Others

Countries Included-

North America- US, Canada, Mexico

Europe- Germany, France, UK, Spain, Italy, Benelux, Turkey, Russia, Rest of Europe

Asia Pacific- China, India, Japan, South Korea, South East Asia, Australia, Rest of APAC

South and Central America- Brazil, Argentina, Chile, Rest of SCA

Middle East and Africa- Saudi Arabia, the UAE, Israel, South Africa, Algeria, Nigeria, Rest of Middle East, Rest of Africa

Companies Included in the Compostable Plastic Market Research-

BASF SE

Biome Technologies plc

BioTec Bags India Pvt Ltd

BOSK Bioproducts

Cargill Inc

Danimer Scientific Inc

Eastman Chemical Co

Fkur Kunststoff GmbH

Futerro SA

Kaneka Corp

KURARAY Co Ltd

Mitsubishi Chemical Corp

Neste Corp

Northern Technologies International Corp

Novamont S.p.A

Reasons to Buy the report

• Make informed decisions through long and short-term forecasts across 22 countries and segments.
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• Get an integrated understanding of the entire market ecosystem and companies.
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