The global polylactic acid PLA market valued at USD 698.27 million, by revenue, in 2017, and it is anticipated to reach USD 2,091.29 million by 2023, at an estimated CAGR of 20.06% over the forecast period. Key factors driving the market growth include, favorable government policies promoting bioplastics, and increasing demand for bioplastic packaging.
Polylactic acid is prepared by ring opening polymerization of lactide, with various metal catalysts in solution, melt, or suspension. It can also be prepared by direct condensation of lactic acid monomers. Polylactic acid demand is expected to increase, due to the scarcity and volatility of prices of fossil fuels. Also, due to environmental concerns, companies and regulatory bodies are focused on finding substitutes for oilbased products. Biobased plastics have a huge potential to reduce consumption and dependence on petroleumbased feedstock, and lessen negative impact on environment, by reducing carbon footprints. However, the market faces few challenges, such as price competitiveness and availability of cheaper alternatives, and difficulty in disposal of PLA.
Demand for Flexible Bioplastic Packaging
Globally, shoppers use around 500 billion singleuse plastic bags every year, and this number continues to rise. Petroleumbased plastics are a major source of global pollution. Many countries across the world have banned the use of lightweight, singleuse plastic bags, or have started taxing it. In addition, consumers are also becoming more concerned toward the environmental impact of plastic packaging solutions. PLA provides the packaging industry with a renewable sustainable option for a variety of uses. Many of these include flexible packaging films made form PLA resin. The combination of desirable properties, such as high clarity, stiffness, and excellent printability, along with ease of processing PLA in the existing infrastructure, drives the demand for PLA in the ecofriendly and advanced packaging segment. The huge benefit of PLA as a bioplastic is its versatility, supported by its natural degradability when exposed to the environment. For example, a PLA bottle left in the ocean would typically degrade in six to 24 months. Accordingly, there is a high potential for PLA to be very useful in short lifespan applications, where biodegradability is highly beneficial.
Market Segmentation
In terms of volume, the market is expected to be 286.37 kilo metric ton in 2017, and is anticipated to reach 830.1 kilo metric ton by 2023, at an estimated CAGR of 19.48%. The market has been segmented on the basis of raw material, form, and enduser industry. By raw material, corn starch is expected to dominate the global market. By form, films and sheets are expected to dominate the market. By region, North America has dominated the market in the past years, and it is expected to have the largest market share over the forecast period, with an estimated CAGR of 19.48%. AsiaPacific is estimated to have the highest CAGR 21.89% over the forecast period. By enduser industry, packaging industry has the highest market share, and is expected to dominate the market by volume over the forecast period, with an estimated CAGR of 19.65%. Medical, textiles, and agriculture are the other enduser industries, which are likely to have higher CAGR over the forecast period, due to the increasing applications.
Key Developments in the Market
January 2018: Bengbubased BBCA Group signed an agreement with Glactic Company, located in Belgium, on a PLA polylactic acid cooperation project, featuring a designed annual production capacity of 100,000 metric ton.
January 2018: Engineers from the University of Connecticut developed an implantable sensor, made from poly Llactide PLLA, a medicallysafe biodegradable polymer that can measure even very small changes in pressure inside organs.
June 2017: NatureWorks signed a contract to license Plaxica's Optipure chemical processing technology for the production of Dlactic acid, which serves as a building block for Ingeo PLA grades.
Major Players: BASF SE, NATUREWORKS, MITSUBISHI CHEMICAL, DOWDUPONT, EASTMAN CHEMICALS, BAYER, CORBION, DANIMER SCIENTIFIC amongst others.
Reasons to Purchase this Report
Current and future global polylactic acid PLA market outlook in the developed and emerging markets
Analyzing various perspectives of the market with the help of Porter's five forces analysis
The segment that is expected to dominate the market
Regions that are expected to witness fastest growth during the forecast period
Identify the latest developments, market shares, and strategies employed by the major market players
3 months analyst support, along with the Market Estimate sheet in excel.
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