July 21, 2024
Thermoplastic Starch (TPS) Market

Growing Thermoplastic Starch (TPS) Market is driven by Food Packaging Applications

Thermoplastic starch (TPS) is a biodegradable plastic material produced by mixing starch with a small amount of polymers like polyolefins and plasticizers. TPS have properties similar to conventional plastics and can be molded and thermoformed into different industrial and consumer packaging applications. The material exhibits characteristics like transparency, high elongation at break, toughness and melt processability. TPS are widely utilized in compostable food packaging such as boxes, trays and clamshell containers for fruits, vegetables, meat and snacks. They provide moisture barrier and mechanical protection while transporting food products. The global acceptance of eco-friendly alternatives and rising demand for sustainable packaging solutions from food chains is a major driver for the growth of TPS in food packaging.

The global Thermoplastic Starch (TPS) Market is estimated to be valued at US$ 233.41 Mn in 2023 and is expected to exhibit a CAGR of 7.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Key Trends:

One of the major trends in the thermoplastic starch market is the development of advanced TPS formulations. Material scientists are engaged in extensive research to enhance the properties of thermoplastic starch to expand its applications. Major focus is on achieving superior barrier and mechanical performance through compositing TPS with other biopolymers, fiber reinforcements and nano-fillers. For instance, new blends of TPS incorporated with polylactic acid, polybutylene adipate terephthalate, polybutylene succinate and cellulose have demonstrated multi-layer film formation with high water resistance for fresh food packaging. Such innovations are anticipated to drive the adoption of TPS in various food contact applications over the forecast period.

Porter’s Analysis:

Threat of new entrants: The threat of new entrants in the thermoplastic starch (TPS) market is moderate. Considerable investment is required for research and development of new products.

Bargaining power of buyers: The bargaining power of buyers in the TPS market is high as buyers have a variety of alternatives due to easy availability of substitutes.

Bargaining power of suppliers: The bargaining power of suppliers is moderate as there are a few large suppliers for raw materials like corn and potato starch.

Threat of new substitutes: The threat of new substitutes is moderate as biodegradable plastics like PLA and PBS have been gaining traction.

Competitive rivalry: The competitive rivalry is high as the major players compete on the basis of product quality, pricing and innovation.

Key Takeaways:

The Global Thermoplastic Starch (TPS) Market Size is expected to witness high growth over the forecast period. Factors like increasing awareness regarding biodegradable plastics and stringent regulations against single-use plastics are expected to drive the growth.

Regional analysis: Asia Pacific region dominates the thermoplastic starch market currently owing to the large production of cassava and corn starch in countries like China and Thailand. The region is expected to continue its dominance during the forecast period supported by the presence of key players and increasing demand from end-use industries. Europe is also expected to exhibit significant growth backed by favorable government initiatives promoting use of bioplastics.

Key players: Key players operating in the thermoplastic starch (TPS) market are AGRANA Beteiligungs AG, Biome Bioplastics Limited, BIOTEC, Cardia Bioplastics, Novamont SpA, Kuraray Co. Ltd (Plantic), Rodenburg Biopolymers, and Wittenburg Group. Major players are focusing on capacity expansion and new product launches to strengthen their position and tap the growing demand.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it