The South Korea biodegradable packaging market is predominantly driven by the food and beverage industry where packaging plays a vital role. Biodegradable packaging materials like paper, paperboard, bioplastics are gaining widespread acceptance in the packaging industry due to their eco-friendly nature and ability to decompose without causing harm to the environment. The growing environmental concerns and stringent government regulations regarding the use of plastic have accelerated the demand for biodegradable packaging solutions in the country.
The South Korea Biodegradable Packaging market is estimated to be valued at US$ 581.0 Mn in 2024 and is expected to exhibit a CAGR of 6.5% over the forecast period 2024-2031.
Key Takeaways
Key players operating in the South Korea biodegradable packaging are Amcor, Mondi Plc, Smurfit Kappa, serimbng co.,ltd., ANKOR Bioplastics and Among Others. The food and beverage industry within South Korea offers lucrative opportunities for biodegradable packaging manufacturers owing to the high demand for sustainable packaging materials from this industry. Technological advancements in bioplastic production are expanding the raw material sources for biodegradable packaging and making them more affordable.
Market Drivers
The growing environmental concerns among consumers and stringent government regulations on plastic usage are the major market drivers for biodegradable packaging in South Korea. The government is promoting the use of biodegradable and compostable materials for packaging through various incentive schemes and policies. Expanding the network of industrial composting facilities for biowaste treatment is also encouraging the switch to biodegradable packaging alternatives. Stringent landfill norms and bans on select single-use plastic items have further boosted the demand for sustainable and recyclable packaging supplies in the country.
Current Challenges In South Korea Biodegradable Packaging Market
The South Korea biodegradable packaging market is facing certain challenges which need to be addressed for the sustained growth of the industry. One of the major challenges is the availability of raw materials required for manufacturing biodegradable packaging products. The raw materials such as polylactic acid (PLA), polyhydroxyalkanoates (PHA), etc. used for producing biodegradable packaging have limited sources and high production costs. Secondly, the costs associated with biodegradable packaging are significantly higher compared to traditional plastics which is restricting its widespread adoption. Many local packaging manufacturers and brand owners are hesitant to switch to biodegradable options due to the substantial price difference. Lack of awareness among consumers about benefits of biodegradable packaging is another area of concern. Educating consumers and creating demand will encourage packaging companies to increase biodegradable packaging portfolios.
SWOT Analysis
Strength: Biodegradable packaging helps in reducing plastic waste and environmental pollution. It is a sustainable alternative to conventional plastics.
Weakness: High production costs and limited availability of raw materials are major constraints.
Opportunity: Growing consumer demand for eco-friendly packaging and government support through regulations provide new opportunities.
Threats: Stiff competition from established plastic packaging players poses threat. Dependency on import of raw materials can impact supply stability.
Geographically, the South Korean biodegradable packaging market is concentrated in Seoul, Busan and Daegu regions which account for over 50% of the total market value. This is due to presence of major brand owners, retail chains and consumer packaged goods manufacturers in these areas. China has emerged as the fastest growing regional market for biodegradable packaging in South Korea. Growing Chinese investments in local packaging industry and cross-border trade are propelling market expansion. The China ASEAN Free Trade Agreement is also positively impacting trade and investments between the two countries.
What Are The Key Data Covered In This South Korea Biodegradable Packaging Market Report?
:- Market CAGR throughout the predicted period
:- Comprehensive information on the aspects that will drive the South Korea Biodegradable Packaging’s growth between 2024 and 2031.
:- Accurate calculation of the size of the South Korea Biodegradable Packaging and its contribution to the market, with emphasis on the parent market
:- Realistic forecasts of future trends and changes in consumer behaviour
:- South Korea Biodegradable Packaging Industry Growth in North America, APAC, Europe, South America, the Middle East, and Africa
:- A complete examination of the market’s competitive landscape, as well as extensive information on vendors
:- Detailed examination of the factors that will impede the expansion of South Korea Biodegradable Packaging vendors
FAQ’s
Q.1 What are the main factors influencing the South Korea Biodegradable Packaging?
Q.2 Which companies are the major sources in this industry?
Q.3 What are the market’s opportunities, risks, and general structure?
Q.4 Which of the top South Korea Biodegradable Packaging companies compare in terms of sales, revenue, and prices?
Q.5 Which businesses serve as the South Korea Biodegradable Packaging’s distributors, traders, and dealers?
Q.6 How are market types and applications and deals, revenue, and value explored?
Q.7 What does a business area’s assessment of agreements, income, and value implicate?
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
About Author – Priya Pandey
Priya Pandey is a dynamic and passionate editor with over three years of expertise in content editing and proofreading. Holding a bachelor’s degree in biotechnology, Priya has a knack for making the content engaging. Her diverse portfolio includes editing documents across different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc. Priya’s meticulous attention to detail and commitment to excellence make her an invaluable asset in the world of content creation and refinement. LinkedIn Profile