Polylactic Acid (PLA) Market to Grow at a CAGR of 15.9%, Globally, by 2020

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Polylactic Acid (PLA) is different than most thermoplastic polymers in that it is derived from renewable resources like corn starch or sugar cane. Most plastics, by contrast, are derived from the distillation and polymerization of nonrenewable petroleum reserves. Plastics that are derived from biomass (e.g. PLA) are known as “bioplastics.�

Polylactic Acid is biodegradable and has characteristics similar to polypropylene (PP), polyethylene (PE), or polystyrene (PS). It can be produced from already existing manufacturing equipment (those designed and originally used for petrochemical industry plastics). This makes it relatively cost efficient to produce. Accordingly, PLA has the second largest production volume of any bioplastic (the most common typically cited as thermoplastic starch). The polylactic acid market is projected to grow at a CAGR of 19.5% during 2015-2020 owing to the rising environmental awareness, increasing the popularity of newer applications and the favorable government policies. notes that packaging application segment would continue to dominate the global polylactic acid market during 2015-2020.

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Low-cost and easy availability of raw materials are key factors that are contributing to the costeffectiveness of PLA. The production costs are however, expected to further reduce with research focused on identifying alternative sources of raw materials. On the contrary, certain restraining factors too exist which will restrain the growth of PLA market. Need for industrial composting to completely degrade PLA, will act as an important restraint. The North America consumed about half of the total PLA production in 2014 and would continue to have increased consumption over the forecast period with over 85% of the PLA production facilities currently located in North America. Europe is estimated to be the second largest market in terms of consumption largely due to supportive legal framework and consumer awareness towards sustainability.

Top key players :

NatureWorks LLC

Synbra Technology BV

Corbion Purac

Zhejiang Hisun Biomaterials Co. Ltd

Nantong Jiuding Biological Engineering Co. Ltd

Chongqing Bofei Biochemical Products Co.Ltd.

Futerro among others.

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