by The global polylactic acid (PLA) market size is estimated to be valued at US$ 2,717.5 Mn in 2024 and is expected to exhibit a CAGR of 18% over the forecast period 2024 to 2031.
PLA is a biodegradable and biocompatible plastic derived from renewable resources such as sugarcane, sugar beet, and starch from corn and potato. It offers various advantages like recyclability, renewability, and biocompatibility. These properties have increased its adoption across food packaging, textiles, medical implants, 3D printing filaments and other industries, leading to its high demands.
Key players operating in the PLA market are TotalEnergies Corbion bv, NatureWorks LLC, JIANGSU SUPLA BIOPLASTICS CO., LTD., Futerro, COFCO, Jiangxi Keyuan Biopharm Co.,Ltd., Shanghai Tong-jie-liang Biomaterials Co.,LTD., Zhejiang Hisun Biomaterials Co., Ltd., BASF SE, Danimer Scientific, Mitsubishi Chemical America, Inc., UNITIKA LTD., Sulzer Ltd., Weforyou, Polysciences Inc., Musashino Chemical Laboratory Ltd., BEWiSynbra Group, Esun, and Danimer Scientific.
Stringent regulations around single-use plastic products have further propelled their replacement with sustainable bio-based alternatives driving the Polylactic Acid Market Demand. Food packaging represents the largest application segment and growing consumer preference for sustainable packaging materials is boosting PLA adoption in the segment. Stringent regulations around single-use plastic products have further propelled their replacement with sustainable bio-based alternatives driving the PLA market growth.
Market drivers for high growth in PLA market include surging demand from food packaging sector due to increasing inclination towards eco-friendly alternatives for petroleum-based plastics and regulatory push for biodegradable materials.
Food packaging represents the largest application segment and growing consumer preference for sustainable packaging materials is boosting PLA adoption in the segment. Stringent regulations around single-use plastic products have further propelled their replacement with sustainable bio-based alternatives driving the PLA market growth.
Key opportunities in the global Polylactic Acid Companies include product differentiation through additive incorporation, focus on end-user industry expansion in emerging countries and partnerships for wider geographical reach. Companies are also focusing on global expansion by establishing manufacturing facilities in new geographies to cater to increasing demands
PEST Analysis
Political: Polylactic acid being a biodegradable and compostable plastic alternative is favored by various governments through policies promoting sustainable packaging solutions. However, lack of common international standards can affect its widespread adoption.
Economic: The growing plastics waste crisis and rising crude oil prices make polylactic acid a relatively viable option for manufacturers. However, its production costs being higher than traditional plastics can be a challenge for affordable mass market access.
Social: Rising consumer preference for sustainable and eco-friendly products is driving the demand for bioplastics like polylactic acid. However, lack of awareness about its benefits can limit its uptake in price-sensitive areas.
Technological: Continuous research and developments have enhanced its properties to widen end-use applications from textiles and 3D printing filaments to bottles, food containers and service wares. However, its barrier properties still being inferior to conventional plastics restrain its use in certain high-performance applications.
The market in terms of value is highly concentrated in North America and Europe due to strong government support for bioplastics and presence of major players in these regions. However, Asia Pacific region is witnessing the fastest growth led by China, driven by growing domestic demand and manufacturing capacities. Japan is also emerging as a major market for polylactic acid.
The fastest growing region for polylactic acid market is Asia Pacific. The region is witnessing highest CAGR owing to rapid industrialization, rising living standards, growing health and environmental consciousness as well as decreasing costs of polylactic acid production in countries like China and India. Countries like India, Indonesia, Vietnam are projected to fuel the future growth in this region.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
About Author - Money Singh
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc. LinkedIn Profile
