by Biodegradable foam are eco-friendly packaging materials made from renewable resources like cornstarch, bagasse, and vegetable oils that are alternatives to polystyrene and other petroleum-based foams. They find widespread application in packaging fragile consumer goods owing to their shock absorption and cushioning properties. With growing consumer demand for sustainable products, biodegradable foams are increasingly being used in packaging food products, electronic items, fragiles etc.
The global Biodegradable Foam Market is estimated to be valued at US$ 906.1 Mn in 2023 and is expected to exhibit a CAGR of 21% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
The rapid uptake of biodegradable foams in consumer goods packaging is the major trend driving the market. With rising awareness about environmental protection, many consumer goods companies have started replacing traditional petroleum-based foams with biodegradable alternatives in their packaging. Biodegradable foams are compostable and help companies boost their sustainability credentials. Their ability to protect consumer goods from damage during shipping and handling while ensuring minimal environmental impact is stimulating demand across industries.
SWOT Analysis
Strength: Biodegradable foams are environmentally friendly which addresses growing concerns regarding plastic pollution. They reduce carbon footprint.
Weakness: High production costs compared to regular foams. Products made from biodegradable foams are initially more expensive than traditional plastic foams.
Opportunity: Stringent government regulations banning non-biodegradable plastics provide an opportunity for biodegradable foam market to grow. Growing demand for sustainable packaging from e-commerce and food & beverage industries.
Threats: Stiff competition from existing players producing cheaper alternatives like recyclable foams. Conventional plastics foams industry lobby against regulations favouring biodegradable foams.
Key Takeaways
The global biodegradable foam market demand is expected to witness high growth. The market size for 2024 is projected to reach US$ 906.1 Mn registering a CAGR of 21% during the forecast period 2023 to 2030.
Regional analysis – Europe dominates the global biodegradable foam market currently due to stringent regulations banning non-biodegradable plastics. However, Asia Pacific is expected to be the fastest growing market going forward considering initiatives being taken up by countries like India and China to reduce plastic pollution.
Key players – Key players operating in the biodegradable foam market are BASF SE, Arkema SA, Dow Chemical Company, Synbra Technology BV, and Sekisui Alveo AG. BASF is one of the leading players focusing on expanding its biodegradable foam product portfolio through research & development efforts. Arkema and Dow Chemical Company are also investing heavily in developing innovative biodegradable foam solutions especially for packaging industry.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
