05 July 2012 21:18 [Source: ICIS news]
HOUSTON (ICIS)--Bio-based polyethylene (PE) is projected to have the best opportunities for growth among bioplastics through 2016 because of lower prices with expanding production capacity, a market research firm said on Thursday.
Bio-based PE demand in the US is projected to grow 57.4% annually, from 15m lb (6,803 tonnes) in 2011 to 145m lb in 2016, according to Cleveland-based industry research firm The Freedonia Group.
Bio-based PE entered the market in 2010 and should be growing rapidly from a small base, competing effectively with the petroleum-based product.
Freedonia projects bioplastics US demand to grow by 20% annually through 2016 to 550m lb, with an estimated value of $680m (€544m).
Biodegradable resins make up the majority of bioplastics volume in 2011, but non-biodegradable bioresins will grow from 13% of US volume demand in 2011 to 40% in 2021, driven by production of bio-based PE and eventual commercialisation of bio-based polyethylene terephthalate (PET), Freedonia said.
($1 = €0.80)
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