February 23, 2024
Cellulose Plastics Market

Cellulose Plastics Market Is Expected To Be Flourished By The Gains In The Packaging Industry

Cellulose plastics, also known as cellulose-based plastics or plant-based plastics, are 100% sustainable and bio-based plastics made from renewable sources, most commonly wood or plant cellulose. The material is increasingly used as a substitute for oil-based plastics in applications like food packaging, non-food packaging, and 3D printing. Cellulose plastics provide comparable properties as conventional plastics while offering renewable and biodegradable qualities. The global cellulose plastics market is driven by factors like rising environmental concerns regarding plastic pollution, stringent government regulations against single-use plastics, and growing demand from industries like food and beverage for sustainable packaging solutions.

The global cellulose plastics Market is estimated to be valued at US$ 944.29 Mn in 2024 and is expected to exhibit a CAGR of 6.1% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

Market Dynamics
The growing packaging industry worldwide is expected to drive the cellulose plastics market during the forecast period. Flexible as well as rigid packaging finds widespread application in industries like food and beverages, pharmaceuticals, consumer goods, and personal care. Cellulose plastics are increasingly being preferred over oil-based plastics for packaging applications owing to their light weight, compostable nature, and printability. Moreover, stringent government regulations banning single-use plastic are encouraging packaging manufacturers to switch to sustainable alternatives like cellulose plastics. These factors are expected to significantly boost the demand for cellulose plastics over the next few years.

Another factor fueling the cellulose plastics market growth is the increasing adoption of bio-based and biodegradable materials to attain sustainability goals. Manufacturers across industries are focusing on reducing their dependency on oil and incorporating renewable resources in their processes and products. Cellulose obtained from agricultural waste offers a renewable substitute to non-biodegradable plastics and supports bioeconomy. Its organic, biobased, and environment-friendly composition is attracting numerous end-use industries. This, in turn, is projected to drive the market during the forecast period.

Segment Analysis
The global cellulose plastics market is dominated by the cellulose acetate segment which holds around 85% share of the overall market. Cellulose acetate is widely used for manufacturing of cigarette filters, textiles, films and sheets owing to its properties such as biodegradability, durability and gloss appearance. The growing environmental concerns regarding non-biodegradable plastics is contributing to the higher demand for cellulose acetate from various end-use industries.

PEST Analysis
Political: Stringent regulations imposed by governments across regions regarding use of biodegradable and eco-friendly materials is driving growth of cellulose plastics market. Economic: Lower production cost of cellulose plastics as compared to conventional plastics along with growing GDP in developing nations is fueling the market expansion. Social: Rising awareness among consumers about adverse impact of plastic waste on environment is propelling preference for green and sustainable materials like cellulose plastics. Technological: Ongoing R&D focusing on development of advanced production technologies to enhance properties of cellulose plastics is helping manufacturers to cater wider applications.

Key Takeaways
Global Cellulose Plastics Market Size is expected to witness high growth over the forecast period of 2024 to 2031 supported by various drivers. The global cellulose plastics Market is estimated to be valued at US$ 944.29 Mn in 2024 and is expected to exhibit a CAGR of 6.1% over the forecast period 2024 to 2031.

The Asia Pacific region accounted for the largest market share of around 35% in 2024 led by strong demand from packaging and construction industries in China, India along with availability of low cost raw materials.

Key players 
Key players operating in the cellulose plastics market are Kraig Biocraft Laboratories, Spiber Inc., AMSilk, and Bolt Threads. Kraig Biocraft Laboratories and Spiber Inc. are actively engaged in developing specialized recombinant spider silk yarns using genetic engineering and fermentation which can offer superior strength and durability. AMSilk and Bolt threads are pioneering production of sustainable silk fibers using proprietary technologies which is gaining wide interest among end-use industries.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it