EUBP foresees dynamic global bioplastic growth inspired by portfolio diversification and COVID-19 navigation
08 Dec 2020 --- European Bioplastics (EUBP) is predicting dynamic growth in the global bioplastics market. Announced at the 15th EUBP Conference, EUBP and the nova-Institute estimate 36 percent growth over the next five years after “successfully weathering the challenges posed by the COVID-19 pandemic,” notes François de Bie, EUBP chairman.
Global bioplastics production capacity is set to increase from around 2.1 million tons in 2020 to 2.8 million tons in 2025.
Packaging remains the largest bioplastics application, with almost 47 percent (0.99 million tons) of the total bioplastics market in 2020.
The data also confirms bioplastics materials are being used in many other sectors while the application portfolio continues to diversify. Segments, such as consumer goods or agriculture and horticulture products, continue to increase their relative share.
Asia remains a major hub with over 46 percent of bioplastics production, with a view to regional capacity development.
“Innovative biopolymers, such as bio-based PP (polypropylene) and especially PHAs (polyhydroxyalkanoates) continue to drive the growth of the biopolymer industry. However, this also applies to PLA (polylactic acid),” Oliver Buchholz, EUBP communications manager, tells PackagingInsights.
Innovative biopolymer expansions
The market share of PHAs has continued to grow since the biopolymer entered the market, reports EUBP. Production capacities are set to increase almost sevenfold in the next five years.
The production of PLA will also continue to grow due to new investments in PLA production sites in China, the US and Europe. Currently, biodegradable plastics account for almost 60 percent of the global bioplastics production capacities.
PHA and PLA are bio-based, biodegradable, and feature a wide array of physical and mechanical properties.
“PHAs display special biodegradability properties that make this group of biopolymers very attractive for a great variety of applications,” explains Buchholz.
“In the case of PLA, we see continuously strong demand for this bio-based, biodegradable polymer. To meet the demand for PLA, there have been several investments into production capacities over the last 1-1.5 years, most recently in Europe.”
Bio-based PP set to triple
According to EUBP’s forecast, production capacities of bio-based PP will more than triple by 2025. The growth is due to the widespread application of PP in a wide range of sectors.
“[Like PHAs] PP’s scope of application goes way beyond packaging. PP has also drawn a lot of attention from the textile and automotive industry.”
PP is a versatile material featuring excellent barrier properties and one of the most widespread commodity plastics. A bio-based version of this olefine has been anticipated for many years, EUBP says.
PEF prepares PET challenge
Bio-based, non-biodegradable plastics, including the drop-in solutions bio-based PE and bio-based PET, and bio-based PA (polyamides), currently make up 40 percent (0.8 million tons) of the global bioplastics production capacities.
New bio-based PE capacities are set to come online in Europe and South America over the coming years. In contrast, bio-based PET will contribute only a small share to the overall capacities, predicts EUBP.
Increased production capacities have not been realized at nearly the rate predicted in previous years, the association says. Instead, the focus has shifted to the development of PEF (polyethylene furanoate), a new polymer that is expected to enter the market in 2023.
EUBP describes PEF as comparable to PET but fully bio-based and featuring superior barrier properties, making it an ideal material for beverage bottles.
“Of course, rPET (recycled PET) will become more and more present in the market and the announced shares for PEF are still quite low for 2023,” concedes Buchholz.
“However, at least in the EU, the target for higher recycled content in PET [30 percent] is set for 2025. rPET might not be that dominating in 2023, especially as the amount to realize such shares of recycled material in the market is quite ambitious and needs some more work and investment.”
“At the end of the day, an intelligent mix of different materials to replace conventional PET will be the solution.”
COVID-19 impacts
Buchholz tells PackagingInsights there have been positive and negative impacts from the COVID-19 pandemic.
“On the positive side, packaging in a hygiene context has seen a boost. Additionally, we have seen bioplastics in the production of articles like face masks.”
“On the other hand, bioplastics usually also play a role in sports events or concerts, for which compostable cups and dishes are a preferred application. Here the demand has, of course, decreased remarkably.”
Buchholz reiterates the biopolymer industry has successfully weathered the challenges posed by the COVID-19 pandemic, enabling a promising outlook of 36 percent over the next five years.
Regulatory recognition
EUBP has long expressed concern the EU does not provide bioplastics with an equal platform to conventional plastics and biofuels.
Hasso von Pogrell, EUBP managing director, told PackagingInsights in 2019: “The EU is putting even more obstacles in our way and making our life even more difficult. We always have to justify everything for bioplastics while the conventional fuels and plastics seem to be taken for granted.”
Buchholz recognizes many EU initiatives under the Green Deal and the Plastics Strategy employ a great opportunity for the bioplastics industry.
“However, when it comes to their concretization into legislative actions and implementation, the benefits of bioplastics are not nearly exploited to their full potential,” he regrets.
Contaminated recycling
A common concern with bioplastics is their potential to contaminate conventional plastic recycling streams. However, Buchholz is not convinced.
“If not sorted properly, every plastic material can contaminate the recycling stream of another. This is not a specific problem of bioplastics.”
“However, in recent years, it has been shown that modern NIR sorting technology can identify almost every kind of polymeric materials, including all bioplastics [keeping] established recycling streams clean.”
“If the amount of certain bioplastic materials, such as PLA, would be increased in the future, it will also be reasonable to establish recycling streams for this kind of materials. At the moment, they are mainly sorted out and end up in a residual stream.”
By Joshua Poole
