Demand For Bioplastics Is Growing, But Still Not Competitive With Petrochemicals

Packaging that uses bioplastics made from sugar cane, wood, and corn – instead of petrochemical-based plastics – is expected to grow by 50 percent by 2023. Several big bioplastics companies have entered the packaging segment to meet growing demands for more eco-friendly bottles and other containers from companies like Coca-Cola and Lego A/S. A research group that focuses on the oil industry says the trend is troubling news for the oil industry because the use of biochemicals and bioplastics will depress demand for oil-based containers, “much like recycling can erode overall virgin plastics demand.” But industry watchers say demand for bioplastics packaging will have to increase significantly – not just from Coca-Cola, but from consumers and retailers – to compete effectively against oil-based plastics.