Global Biodegradable Mulch Film Market Overview
The global biodegradable mulch film market attained a size of $34.1 million in 2016 and is projected to witness a CAGR of 9.4% during 2017-2023. The application of biodegradable mulch film is increasing in the agriculture industry owing to the increased use of inorganic materials like black polythene, which are hazardous to the environment. The growing population, adverse environmental effects of inorganic materials, and stringent environmental norms are some of the factors driving the market growth.
GLOBAL BIODEGRADABLE MULCH FILM MARKET, BY CROP TYPE, TONS (2016-2023)
Globally, Asia-Pacific has been the largest biodegradable mulch film market till now, attributed to the increasing population in countries such as India, China, and South Korea, resulting in greater crop production. Also, the rising population puts pressure on the land which is scare; thus, compelling farmers to frequently reuse their land, leading to increased demand of these films to retain moisture in the soil. Hence, this factor is leading to increasing adoption of biodegradable mulching technique by farmers in order to avoid the adverse effects of inorganic mulching on the environment.
All these factors are contributing to the growth of the biodegradable mulch film market in the region. However, developing countries are still at a nascent stage in the adoption of these films, owing to its high installation cost. This trend is expected to change during the forecast period, due to the upsurge in demand for quality crops in the region.
On the basis of raw materials, the biodegradable mulch film market is segmented into starch, polylactic acid, polyhydroxyalkanoate (PHA), and others. Among these, the fastest growth during the forecast period is expected to be experienced by PHA. This is due to the fact that PHA is widely found in nature and is easily produced through bacterial fermentation of sugar or lipids.
On the basis of crop type, the biodegradable mulch film market is segmented into fruits and vegetables, grains and oil seeds, and flowers and plants. Of these, the fruits and vegetables category is expected to grow the fastest during the forecast period. This is due to the fact that fruits and vegetables are sold in greater quantities than other crops.
Biodegradable Mulch Film Market Dynamics
The growing population, adverse effects of inorganic marketing, and stringent government regulations are expected to propel the growth of the global biodegradable mulch film market.
Increase in population, especially in the Asia-Pacific region, has contributed to the increase in the consumption of these films, leading to the biodegradable mulch film market growth. This is due to the fact that land is becoming scarce and demand of crop production is increasing. This results in re-use of the same piece of land and the farmers are moving towards the use of more organic materials.
It has been seen that there are adverse effects of inorganic mulching, which involves the use of materials like black polyethylene, that cause environmental as well as various health hazards. Stringent government regulations prohibiting the use inorganic mulching materials in Europe, also act as a driver for the growth of the biodegradable mulch film market.
Despite multiple benefits of technique, the market growth is restricted owing to the high installation cost of these films. Moreover, growth in the population has led to a decrease in the average landholding per farmer, thereby adversely affecting the purchasing power of farmers and restricting the growth of the biodegradable mulch film market.
Biodegradable Mulch Film Market Competitive Landscape
Some of the major players operating in the biodegradable mulch film industry are AEP Industries Inc., AL-PACK Enterprises Ltd., Armando Alvarez Group, BioBag International AS, RPC bpi Group, Novamont S.p.A., RKW Group, and Yifan Pharmaceutical.