Boom in demand for bioplastics in Europe

27-Nov-06

Demand for bioplastics in Europe has experienced its first boom this year. A survey conducted by the European Bioplastics Association reports that demand has already reached the same level as last year. Packaging sector is leading this demand with predictions that the market will grow by about 20% pa. Among the European countries, UK has recorded the highest growth in demand for bioplastics. This boom in demand is leading to a need for more investments in the sector. Over the past five years, packaging suppliers have introduced various forms of biodegradable plastics made from a variety of plants, mainly corn, based on increased consumer environmental awareness, companies being increasingly prepared to actively support sustainable development, and the sharp rise in raw material and energy prices. Projections that consumer awareness and demand, as well as recycling regulations will drive demand for environmentally-friendly packaging. A sharp rise in the prices for petroleum, and downstream products including PET and other packaging plastics, has made bioplastics a competitive alternative. A combination of pricing and retail uptake has led more and more processors to look at biodegradable natural polymer products as an alternative to polyethylene terephthalate (PET). Material properties such as the excellent printability with elimination of need for pre-treatment and the glossiness and barrier against gas, oils and fats, are advantageous in specific applications like fresh produce packaging. Currently bioplastics account for less than one percent of the European plastics market.