The Compostable Packaging Market Overview 2025 report reveals that the market size has grown significantly over the past few years, with projections indicating further expansion.
The compostable packaging market has shown significant growth in recent years. The market size, which stood at $92.56 billion in 2024, is projected to hit $100.44 billion in 2025, reflecting a compound annual growth rate (CAGR) of 8.5%.
The Compostable Packaging market is anticipated to grow to $137.26 billion by 2029, with a compound annual growth rate (CAGR) of 8.1%.
Download Your Free Sample of the 2025 Compostable Packaging Market Report and Uncover Key Trends Now!The drivers in the compostable packaging market are:
• Rising consumer awareness about environmental impact
• Regulatory measures aimed at reducing plastic waste
• Increased use of bio-based and renewable feedstocks for packaging materials
• Growth of sustainable product trends and corporate sustainability initiatives
The compostable packaging market covered in this report is segmented –
1) By Material: Polylactic Acid (PLA), Wheat Straw Fiber, Talc-Filled Polylactic Acid (TPLA) And Crystallized Polylactic Acid (CPLA), Cellulose, Bamboo, Polyhydroxyalkanoate (PHA), Other Materials
2) By Application: Bags, Pouches, Trays, Tapes, Mailer Bags, Films, Clamshells
3) By End Use: Food And Beverages, Pharmaceuticals, Personal Care And Cosmetics, Other End Uses
The trends in the compostable packaging market are:
• The expansion of composting infrastructure and facilities is a leading trend.
• Integration of IoT and smart technology in compostable packaging products is gaining traction.
• There are advances being made in the technology used for compostable materials.
• An emerging trend is the adoption of compostable packaging in the e-commerce and food delivery sectors.
The major players in the compostable packaging market are:
• BASF SE
• Mitsubishi Chemical Corporation
• WestRock Company
• International Paper Company
• Amcor Plc
• Smurfit Kappa
• Stora Enso
• DS
North America was the largest region in the compostable packaging market in 2024