Global Plant-Based Packaging Market Size Grows at a CAGR of 11.6%

Introduction

Straits Research today released its highly anticipated report, “Plant-Based Packaging Market Size & Outlook, 2026-2034”. According to the study, the market size is valued at USD 151.75 million in 2025 and is projected to expand to USD 406.10 million by 2034 registering a compound annual growth rate (CAGR) of 11.6%.

Market Dynamics

The market growth is primarily attributed to the rising global emphasis on sustainability, circular economy initiatives, and rapid advancements in biopolymer technology, transforming the packaging industry toward renewable and compostable solutions. In addition, the increasing demand for eco-friendly materials among the FMCG, food service, and e-commerce sectors continues to drive the growth of the plant-based packaging market, as brands and consumers seek alternatives that reduce carbon footprint and plastic waste.

However, the high production cost and limited raw material supply for biopolymers such as PLA and PHA hinder market growth. Limited large-scale composting infrastructure and inconsistent labelling regulations across regions can also slow adoption and increase compliance costs for manufacturers. These challenges create operational uncertainty, particularly for small and mid-sized packaging producers. Despite these constraints, the market presents significant opportunities through innovations in next-generation feedstocks and closed-loop recycling systems. Such initiatives signify the potential of plant-based packaging to reshape global packaging sustainability, aligning with carbon-neutral goals and accelerating the shift toward a bio-based circular economy.

Key Highlights

• By Material: According to Straits Research, the polylactic acid (PLA) dominated the market in 2025, with a revenue share of3%.
• By Product Type: The Flexible films and pouches segment is estimated to register the fastest CAGR growth of 11.7%.
• By End-Use Application: The Food and beverage category dominated the market in 2025 with a revenue share of 40%.
• Regional Insights: Europe dominates with over 32.56% share, driven by a tight regulatory framework, strong retailer procurement requirements, and well-developed recycling and organics infrastructure.

Competitive Players

1. NatureWorks
2. TotalEnergies-Corbion
3. Corbion
4. Avantium
5. Novamont
6. Amcor
7. Berry/Amcor
8. Mondi
9. Smurfit Westrock
10. Stora Enso
11. Tetra Pak
12. Huhtamaki
13. WestRock
14. DS Smith
15. International Paper
16. Sonoco Products
17. Sealed Air
18. BASF
19. Danimer
20. Biome Bioplastics
21. Genomatica
22. Benvic
23. Bemis Associates
24. Mitsubishi Chemical Group

Recent Developments

Segmentation

1. By Material (2026-2034)
   1. Polylactic acid (PLA) and BOPLA
   2. Polyhydroxyalkanoates (PHA)
   3. Starch-based polymers (TPS)
   4. Cellulose derivatives and regenerated cellulose
   5. Bagasse or sugarcane fibre
   6. Paperboard or coated fibreboard
   7. Composite bio-coatings and laminates
   8. Other plant-derived polymers
2. By Product Type (2026-2034)
   1. Flexible films and pouches (mono-layer, multilayer)
   2. Rigid containers and tubs (thermoformed)
   3. Moulded fibre (clamshells, trays, bowls)
   4. Paperboard cartons and folding cartons
   5. Coffee capsules and single-serve pods
   6. Coated paper cups and serviceware
   7. Labels and laminates
3. By End-Use (2026-2034)
   1. Food and beverage
   2. Foodservice and disposables
   3. Consumer packaged goods (CPG) and personal care
   4. E-commerce and retailer shipping
   5. Pharmaceuticals and medical packaging
   6. Industrial or agricultural packaging
4. By Region (2026-2034)
   1. North America
   2. Europe
   3. Asia Pacific
   4. Latin America
   5. Middle East and Africa (MEA)