19 September 2006 – An annual 17% increase in consumption is forecast in the US for degradable plastics through to 2010. This will see usage grow to 225,000 tonnes, valuing the market at $610m (£320m).
These are the key findings of a new report on degradable plastics by the Freedonia Group. It says average prices will continue to decline as a result of higher capacity and greater production efficiencies.
The advent of lower prices, coupled with the high cost of petroleum-based polymers and growing environmental initiatives, will create “myriad opportunities”, says Freedonia. Degradable applications will also be expanded by enhanced performance properties and more sophisticated polymerisation and blending techniques.
Demand for biodegradable/compostable materials is expected to increase by 20% annually, to 185,000 tonnes.
Polylactic acid (PLA) demand is forecast to present the best opportunities, with usage rising by 30% annually. Good opportunities are expected in packaging for film, bottles and foodservice products, particularly for fruit, vegetables, eggs, yoghurt, deli and bakery products. However, the market researcher warns that PLA bottle growth will be limited by its inability to contain gaseous and temperature-sensitive products.
An 18% annual growth is forecast for starch-based plastics, taking demand to 180 million pounds (80,000 tonnes), principally because of the availability of lower priced and improved polymer blends. Film products, such as kitchen and dustbin bags, will remain dominant.
Freedonia also sees rapidly escalating demand for polyester-based degradables, such as polyhydroxyalkanoates and polycaprolactone, assisted by their good synergy in blends with PLA and starch. Annual growth is put at 24% until 2010.
* The Bioplastics 2006 conference takes place on 6-7 December in Frankfurt. For more information visit www.bpevent.com.
