Innovative Biopackaging

Bio-packaging is a biodegradable alternative to traditional packaging materials such as plastic and polymers which are not eco-friendly in addition to creating lot of waste. 

Commonly used packaging materials include bio-based polymers, bioplastic or biopolymer packaging products made from raw materials originating from agricultural or marine sources, which include starch, cellulose, chitosan/chitin, protein (animal, plant-based), or lipids (animal, plant-derived, etc.) 

Pain-point:  

For the past five decades, the packaging industry has witnessed several generations of plastics that have evolved into a variety of packaging materials such as polystyrene, polyethylene and polypropylene which are non-biodegradable and petrochemical-based. 

There is a great need for new packaging materials as plastic is not environmentally sustainable. For instance, plastic leaches out chemicals called phthalates into the food, food products and water in plastic bottles. Phthalates are oestrogen mimics (xenoestrogens) and they increase the levels of oestrogen in humans and food chains and there is evidence that they cause cancer including breast cancers and lead to low fertility in men.   

Concerns on environmental waste problems caused by these non-biodegradable plastic packaging materials as well as the consumer's demand for high quality food products  shows the need for developing biodegradable packaging materials using annually renewable natural biopolymers such as polysaccharides and proteins. 

How is it solved? 

Bio-packaging materials are made from natural raw materials such as corn starch and sugar cane, both of which are consumed by humans and are not harmful to people’s health.  Additionally, it takes less energy to produce, has less carbon emissions and therefore helps reduce climate change. 

Market size and growth  

According to Economy Watch, the market for biodegradable packaging has been developing rapidly over the last decade with estimations suggesting an annual growth of greater than 20%. 

In the next several years, the market demand for biodegradable packaging materials will continue to grow. In 2011, biodegradable packaging materials, output will reach 11.6 million tons, an average annual growth rate of 22%. The growth in the industry is predicted to reach $20billion by 2020. 

Global bioplastic packaging demand is forecast to reach 884,000 tonnes by 2020. A 24.9% CAGR is expected from 2010-15 slowing to 18.3% in the five years to 2020. Europe is the largest regional market for bioplastic packaging with over half of world tonnage in 2010. It benefits from favorable consumer and retail attitudes to sustainable packaging, supportive government policies towards packaging waste recycling and a well-developed composting infrastructure. Whilst North America currently trails Europe in terms of bioplastic packaging consumption, government and consumer attitudes are changing. 

According to a study by iRAP Inc., the total nano-enabled food and beverage packaging market in the year 2008 was US$4.13 bn, which is forecasted to grow to US$7.30 bn by 2014, at a CAGR of 11.65%. Active technology represents the largest share of the market, and will continue to do so in 2014, with $4.35 billion in sales, and the intelligent segment will grow to $2.47 billion sales. 

Over the recent years, packaging suppliers have been introducing various forms of biodegradable plastics made from a variety of plants, particularly corn, based on projects that there will be a growing demand for environmentally-friendly packaging driven by consumers and recycling regulations. Some companies are predicting that the market will grow by about 20 per cent a year. 

Bio-​packaging use in the combined markets of West Europe and North America rose by 47% in 2010 to over 100m litres. 

At present, biopackaging materials are most suitable for foods with high respiration (fruit and vegetables) or for food with short shelf lives (bread, convenience food, etc.), because of poor water barrier properties of these packagings.

How far from commercialization  

There are approximately 45 competitors in the biopackaging industry. The Ball Horticultural Company focusses on providing biopackaging their soil and plants.  They produce sustainable, biodegradable pots to grow plants. Graphic Packaging, USA, designs and manufactures all kinds of biopackaging material. 

The extent of the use of biodegradable and compostable films depends on factors such as the following:

  • Certain starch and cellulose based materials may exhibit the desired inherent gas barrier characteristics, thereby encouraging more manufacturers to use these films. 
  • There is a cost disparity between bio-based and oil-based films. However, the cost of the two types of films will narrow as the price of finite fossil fuel-based materials increases. Recent increases in polyolefin resin prices have also had a significant impact on the cost of oil-based films. 
  • One of the biggest hurdles for the adoption of compostable materials is the lack of curb-side collection and municipal composting facilities. Effective municipal composting programs would enable a seamless process for biodegradable materials to degrade into useable compost material. 

Competition Scenario 

Compostable biopackaging can currently be found in numerous supermarkets. Leading retailers are testing products or are already using them for part of their assortments. The majority of packaging is used for fruit and vegetable or hygienic products. In particular, organic food is often packed in bio-materials. 

Many companies are actively using bio-packing. For instance, Sainsbury’s in the UK is using bio-packaging for raw and cooked meat as part of their recycling commitment. Marks and Spencer’s are using bio-packaging for food and other products as one of their strategies to achieve their aim of protecting the environment and the world's natural resources. 

In addition to the vitamin and water bottles, PLA bottles are being reviewed by many leading nutritional supplement and personal care companies throughout the world, mostly for oil-based products or tablets. Some household chemical manufacturers have also indicated interest in using bio-packaging.

Alpha Packaging, a company in the USA, which manufactures PET, HDPE and PLA containers, produces and distributes bio-packaging with the aim of helping to protect the environment. They make bottles and other containers for companies who desire to project an Earth-friendly image such as water bottles for Biota Water and Belu Water in the U.K. Another bio-packing company, Bunzl plc, the international distribution and outsourcing Group, is distributing a whole range of new bio-degradable packaging, mainly for the catering market.  

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