WATCHING: Bioplastics...Bioplastics are closely linked to the history and development of plastics—some of the industry’s earliest pioneers, including Henry Ford, developed plastics

More information: www.plasticsmarketwatch.org

BioplasticsA SERIES ON ECONOMIC-DEMOGRAPHIC-CONSUMER & TECHNOLOGY TRENDS IN SPECIFIC PLASTICS END MARKETS

SUMMER 2016 | ISSUE VI

WATCHING:

http://www.plasticsmarketwatch.org

© 2016 SPI: The Plastics Industry Trade Association. All rights reserved. 1425 K Street, NW • Suite 500 • Washington, DC 20005-3686

PLASTICS MARKET WATCH: BIOPLASTICS iii

Bioplastics

A SERIES ON ECONOMIC-DEMOGRAPHIC-CONSUMER & TECHNOLOGY TRENDS IN SPECIFIC PLASTICS END MARKETS

CONTENTS

Bioplastics in the Marketplace ............................ 2

What are Bioplastics? ........................................ 7

New Feedstocks Show Promise for Growth ...... 12

Challenges—and Progress— Made by Bioplastics ......................................... 16

Overcoming Hurdles & Bioplastic Success Stories ................................................ 22

Public Policy Landscape for Bioplastics ............ 28

Conclusion ....................................................... 34

Sources ............................................................ 36

Plastics Market Watch Snapshot ...................... 37

SPI: The Plastics Industry Trade Association

iv PLASTICS MARKET WATCH: BIOPLASTICS

Plastics Market Watch (Report) is provided for general information purposes only.

The information in the Report was obtained through voluntary sources believed to be

reliable, but the information is in no way guaranteed. The use of any of the information

found within is at your own risk. No lawyer-client, advisory, fiduciary or other relationship

is created between SPI: The Plastics Industry Trade Association (SPI) and any person

accessing or otherwise using any of the information in this document. SPI (and any

of their respective directors, officers, agents, contractors, interns, suppliers and

employees) will not be liable for any damages, losses or causes of action of any nature

arising from any use of this report.

© 2016 SPI: The Plastics Industry Trade Association

Special thanks to members of the SPI Bioplastics

Division for their guidance and input on this Bioplastics

Market Watch Report.

Materials compiled, written and edited by William (Bill)

Mashek, with editorial assistance from Patrick Krieger and

Kendra Martin, SPI.


PLASTICS MARKET WATCH: BIOPLASTICS 1

Bioplastics Introduction


2 PLASTICS MARKET WATCH: BIOPLASTICS

Bioplastics in the Marketplace

Members of SPI’s Bioplastics Division came together in 2007 with education and

outreach as the primary goals driving their activities. In 2016, these efforts continue, and

while progress has been made with key stakeholders in and out of the industry, more work

needs to be done. SPI’s national poll of 1,107 adults nationwide (with a margin of error of

+/- 3.07% at the 95% confidence interval)—conducted in May 2016—validates that need

with the following findings:

n Only 27 percent were somewhat or very familiar with bioplastics—34 percent were not familiar at all with bioplastics.

n After learning about bioplastics, 50 percent of those surveyed indicated they would consider purchasing a product if it “was a little bit more expensive” because it was made with bioplastics.

n 86 percent had not seen or were unsure if they had seen the USDA Certified Biobased Product seal.

n More than half, 57 percent, indicated they would probably or definitely be more likely to consider purchasing a plastic product with the USDA seal.

Despite the fact that bioplastics have been around—and widely used—since the

1950s, there still is confusion and misunderstandings about bioplastics: from their origins

and feedstocks to their end-of-life disposal, biodegradability and product performance.

SPI published its “Bioplastics Simplified” report in February 2016 to specify the

attributes and qualities of bioplastics and identify the advancements that have been made

in terms of definitions, content, biodegradability, and government guidelines and oversight.

These industry advancements have

been significant, but challenges remain

with all audiences as reflected in a recent

Plastics Today article, “Bothered and

bewildered over bioplastics,” and the

United Nations Environmental Programme

paper, “Biodegradable Plastics & Marine

Litter: Misconceptions, Concerns,

and Impacts.”

Despite these questions—and

misunderstandings—about bioplastics,

there are encouraging signs and support

for their continued development and

growth. The Ellen MacArthur Foundation’s

“The New Plastics Economy” released

earlier this year acknowledged the many

contributions of plastics to the global

economy, but also highlighted bioplastics

in calling for “better system-wide

economic and environmental outcomes.”

The report issues the challenge of creating

Despite the fact that

bioplastics have been

around since the 1950s,

there is still confusion

and misunderstanding

about bioplastics.



In 2012, European Bioplastics reported bioplastics accounted for less than 1 percent

of the total global plastics usage; they estimated at the time that the annual global

production of bioplastics would increase from 798,070 tons in 2010 to 1.85 million tons

by 2015. When this prediction was made, SPI also noted that the “current high prices for

petroleum and natural gas have spurred the industry to examine alternative feedstocks for

the production of various bioplastics.”

Clearly, times—and prices—have changed. Natural gas and petroleum prices have

plunged, making traditional polymers and plastics an easy choice if the top criteria for

a brand owner is cost. Still, bioplastic production and research and development has

continued in terms of developing new feedstocks and new plastics applications. Today,

bioplastics represent 0.7 percent of the total plastics marketplace.

Energy prices will change and likely increase in the coming years; but is that how

bioplastics will continue to grow? Or will bioplastics’ growth come from its own increased

utilization as material that meets the specifications of brands and businesses?

SPI is resin neutral, and believes there is a growing place for all plastics given the

unique advantages plastics provide consumers, manufacturers and brand owners.

Further, there is no polymer that works best in all situations, and the superior plastic

is one that meets the functional needs of a given application or specification. Due to

their unique characteristics—biobased, sustainable and biodegradable—bioplastics

an effective after-use plastics economy,

drastically reducing the leakage of plastics

into natural systems (in particular the

ocean) and other negative externalities.

Further, in its June 2015 Economic

Impact Analysis of U.S. Biobased

Products Industry, the U.S. Department

of Agriculture (USDA) noted, “Demand

for the products of the bioplastics

manufacturing industry increased from

2009 to 2014. Several factors have

contributed to heightened demand, i.e.,

stronger economic conditions, large

companies’ joining the campaign for

green packaging.”

Since the first comprehensive report

from the SPI Bioplastics Division in 2012,

there have been expansions of the USDA’s

BioPreferred Program, marketplace

growth like The Coca-Cola Company’s

PlantBottle, and increased utilization

among automotive manufacturers and the

strong adoption of bioplastic cups and

food service items.

USDA’s one-stop web application process makes it simple for manufacturers to apply and track their USDA Certified Biobased Product label applications. Learn more at biopreferred.gov and follow us on Twitter @biopreferred for industry updates.

AMERICA’S BIOECONOMY GROWS OPPORTUNITIESThanks to the support of USDA’s BioPreferred® program and the ingenuity of American manufacturers, the U.S. bioeconomy is thriving — supporting millions of jobs, driving economic growth, and expanding opportunities for biobased products from America’s farms and forests.*

*Golden, J.S., Handfield, R.B., Daystar, J. and, T.E. McConnell (2015). An Economic Impact Analysis of the U.S. Biobased Products Industry: A Report to the Congress of the United States of America. United States Department of Agriculture.

COMMUNITY BENEFITS

The amount of petroleum replaced by biobased products per year

300 MILLION GALLONS

The number of USDA Certified Biobased Products on the market today

2,250

The amount contributed to the U.S. economy in just one year

$369BILLION

The amount attributed to the biobased industry in 2013

4 MILLION JOBS

The estimated value added from sales of biobased products in 2013

$126 BILLION 126,000,000,000

ECONOMIC IMPACT

The biobased industry's greenhouse gas emissions reduction as explained by the number of cars taken off the road in one year

200,000

USDA’s Biopreferred “America’s Bioeconomy Growth Opportunities.” Download full infographic at: www.biopreferred.gov/BPResources/files/BP_InfoGraphic.pdf


http://www.biopreferred.gov/BPResources/files/BP_InfoGraphic.pdf


will play an important role in supporting

the growth of the plastics industry and

meeting brand needs. The increased

usage of bioplastics, in SPI’s view, is

linked to the better understanding of what

plastics and bioplastics are—and aren’t—

and how they are developed and can

uniquely benefit an array of businesses

and applications using plastics. It is in this

light that moving the bioplastics

needle deserves industry support

in terms of research, promotion,

and continued communications.

This SPI Bioplastics Market

Watch is intended to provide

readers with an improved

understanding of bioplastics and

how it offers unique applications

that can benef i t brands,

consumers and the environment.

What are some of the

hurdles that bioplastics will

need to address to continue

growing? What needs to change

or happen? The SPI Bioplastics

Market Watch provides answers

to these questions.

SPI is resin neutral,

and believes there

is a growing place

for all plastics

given the unique

advantages plastics

provide consumers,

manufacturers and

brand owners. Further,

there is no polymer that

works in all situations,

and the best plastic

is one that meets the

functional needs of

a given application

or specification.



BioplasticsWhat Are Bioplastics?


6 PLASTICS MARKET WATCH: BIOPLASTICSSPI: The Plastics Industry Trade Association

Bioplastics are closely

linked to the history

and development of

plastics—some of

the industry’s earliest

pioneers, including

Henry Ford, developed

plastics using

renewable resources.

Switchgrass, a feedstock for bioplastic production.


BI·O·PLAS·TIC/,bīō ˈplastik/

nounplural noun: bioplastics

1. a type of plastic partially or fully biobased and/or biodegradablea. a biobased bioplastic has some or all of its carbon produced from a renewable

plant (or sometimes animal) source. a. biodegradable plastics are those that degrade into carbon dioxide (CO2),

methane (CH4), water (H20), and biomass through biological action in a defined environment and in a defined timescale. i. These environments include composting, anaerobic digestion, and marine

and soil environments.

Bioplastics are closely linked to the history and development of plastics—some of

the industry’s earliest pioneers, including Henry Ford, developed plastics using renewable

resources. Today, bioplastics covers a wide range of materials, but they are all partially or

fully biobased and/or biodegradable.

First-generation bioplastics come from traditional agricultural and renewable

resources such as corn, sugar cane and soybeans. Second-generation sources moved

to non-food renewable sources such as switch grass, sawdust, hemp, castor beans, as

well as the byproducts of first-generation sources, including husks and peels. Research

continues on developing new resources for bioplastics and diversifying feedstock; third

generation sources include algae and modified methanobacteria.

A common misunderstanding about bioplastics is that “biobased” and

“biodegradable” are linked; they are not, as a bioplastic that is biobased may not

necessarily be biodegradable, and a biodegradable bioplastic may not be biobased. This

confusion is common, and exists inside and out of the plastics industry, the value chain,

among brands and certainly with consumers.

“Most consumers have a low understanding of plastics—forget bioplastics. They do

not understand what plastics are, what they do, and how they work. With bioplastics,

there is the same misunderstanding,” according to BASF’s Keith Edwards, head of Sales

Management, Specialty Plastics, North America.

What are Bioplastics?



Genarex LLC is a product development and manufacturing company that offers sustainable solutions while providing substantial savings. Today, our primary focus is to seek cost effective waste feedstocks that can be obtained and refined into biomaterials that offset costly, non-renewable materials used in the plastics industry today.

Genarex produces BYLOX LT and HT, bio-based additives made from corn byproducts that can increase the sustainability of finished products while also improving product functionality—such as ductility and processing. The BYLOX suite of products works well in nearly all conversion technologies, including profile and film extrusion, injection molding and thermoforming.

The low cost position of our bio-based fillers allows BYLOX LT and HT to be great supplements to reduce the overall cost per pound for resins, making products more cost-competitive compared to those that are not traditionally bio-based.

Consumers do, however, accurately attach environmental benefits to bioplastics,

including the reduced usage of fossil fuels (natural gas / petroleum), the potential reduction

in carbon footprint, and the reduction of global warming potential (GWP). Biodegradability

is also appealing to consumers in helping reduce landfill usage and litter.

The misunderstandings of bioplastics over the years may have been fueled by early,

exaggerated claims of a products’ biobased content or biodegradability performance.

The marketing claims garnered the eye and attention of regulators like the Federal

Trade Commission and USDA, as well as industry groups like SPI and standards

setting organizations such as ASTM. These groups have worked to develop standards

for measuring the percentage of renewable carbon content within the plastic and to

confirm industrial compostability. Efforts

to establish standards for other forms of

biodegradation—anaerobic digestion,

home compostabil ity and marine

degradability—are ongoing.

With biodegradation, microorganisms

such as bacteria and fungi eat the

plastics for food, breaking them down for

energy and converting them into carbon

dioxide, methane, and water. It is a broad

umbrella term for multiple processes

that occur in different environmental

conditions. Some biodegradable plastics

break down under “home compostable”

conditions while others require “industrial

compostable” conditions that provide

higher temperatures to help break down

a material.

There are 21 bioplastic polymers

currently used in the marketplace or under

development. Recyclability of bioplastics

is similar to petroleum-based plastics in

that bioplastics from biobased polymers

without fillers are the easiest and most

likely to be recycled while the bioplastics

produced from polymer blends or through

biobased fillers in traditional polymers may

be difficult to recycle or may contaminate

the existing recycling stream.

Biodegradability varies from plastic to

plastic, some are industrially compostable

and home compostable, others are soil

biodegradable, marine biodegradable or

anaerobically digestible.

Industrial Compostable Cold Drink CupPhoto Courtesy: Greenware®

Agricultural row mulch film incorporating BYLOX, a biobased additivePhoto Courtesy: Genarex



* Not all grades of each polymer type may meet the biodegradability noted; check with the material supplier for the biodegradability of specific grades.

Polymer Abbreviation Polymer Name Biobased Biodegradable

PHA Polyhydroxy Alkanoate Yes

O2

PLA Polylactic Acid Yes

TPS Thermoplastic Starch Yes

O2

PBS Polybutylene Succinate Yes

PBAT Polybutylene Adipate-Co-Terephthalate Partially

PBAS Polybutylene Adipate-Co-Succinate In Development

PES Polyethylene Succinate Partially And Fully Biobased In Development

No

PEF Polyethylene Furanoate In Development No

PET Polyethylene Terephthalate Partially No

PEET Polyetherester Terephthalate Partially No

PTT Polytrimethlene Terephthalate Partially No

PPA Polyphthalamide Partially No

PA 410 Polyamide 410 Partially No


PA 1010 Polyamide 1010 Yes No



TPC-ET Thermoplastic Copolymer Elastomer Partially No

TPU Thermoplastic Polyurethane Partially No

PE Polyethylene Yes No

PP Polypropylene In Development No

Marine Biodegradable

Soil Biodegradable O2 Anaerobically Digestible

Home Compostable

Industrially Compostable

LEGEND



Castor Bean, a feedstock for bioplastic production.


Plastics—and

bioplastics—are seen

as overwhelmingly

positive on business

and economic activity

around the world.

Bioplastics


New Feedstocks



New Feedstocks Show Promise for Growth

Plastics—and bioplastics—are seen as overwhelmingly positive for business and

economic activity around the world, but there are continuing questions and assertions

that highlight the need for further developments in making renewable, environmentally

responsible bioplastics.

SPI has noted that costs are a major factor in developing biobased bioplastics,

particularly when petroleum-based sources are comparatively less expensive. The

current pricing model and dynamics affect a wide range of issues, from research and

development, to capital investment, to the difference in price in the end products.

Economies of scale and a lack of time to amortize capital expenditures also work against

the bioplastics industry.

Criticisms and misunderstandings of bioplastics are also undermining the

development of plastics with respect to feedstock issues, environmental impact

assessments, and end-of-life management; the industry’s response has been one that

acknowledges the need to develop next-generation feedstocks, enhance biodegradability

options, and expand the range of polymers that are biobased.

The Bioplastic Feedstock Alliance stated, “Biobased products represent an

opportunity for positive change, but that does not mean that they are free of environmental

impacts. Biomass production can also have significant impacts on the environment, which

is why producing responsibly is key to realizing its true potential.”

A diversified class of bioplastics will be required to meet the varied needs of brand

owners in the coming years; bioplastics must meet the specifications of companies and

their desired attributes whether it is a biobased plastic, a biodegradable biobased plastic,

or a sustainable plastic made of non-biobased waste products.

New feedstocks are linked to the development of new polymers. As an example,

Nylon 11, derived from castor beans, displays different physical properties than other

polyamide polymers. As a sustainable feedstock, succinic acid is considered by the U.S.

Department of Energy as one of the renewable building block chemicals with the greatest

technical feasibility and commercial potential. With petroleum feedstocks, succinic acid

is more costly to produce and requires expensive, multi-step processes to be developed.

Startup Gen3Bio is researching the development of specialty chemicals and

polymers that do not use plant sugars as a feed source. “We are focusing on micro algae

that is grown through CO2 capture or through water treatment—not through closed-

reactors that use sugar as the feedsource,” said Kelvin Okamoto, CEO of Gen3Bio.

Ski boot using Rilsan, or Nylon 11, a biobased polymer.Photo Courtesy: Arkema


Criticisms and

misunderstandings

of bioplastics are

also undermining

the development of

plastics with respect

to feedstock issues,

environmental impact

assessments, and end-

of-life management.


Positioned as a Plastic or Bioplastic

Brand owners will not adopt bioplastics if the product fails to meet (or exceed) their

specifications and requirements to keep a product fresh, clean or secure—bioplastics

have to do the job. In this sense, the priority for bioplastics is their plastic qualities.

NatureWorks’ Davies noted, “Our product doesn’t sell because it is a bioplastic, it sells

because of its functionality and its price—like any other plastic.” However, there continues

to be debate within the industry whether term “bioplastics” is useful.

Given that brand owners are putting an emphasis on sustainability issues—and

consumers understand to some degree that bioplastics provide an environmental

benefit—some industry participants want to continue pressing forward with expanded

use of bioplastics and making the effort to educate brands and consumers about

bioplastics’ differentiators.

Others argue that specifying the plastic is a “bioplastic” is important, and coveys

information to the consumer. “If we start labeling them plastic,” according to BASF’s

Edwards, “we lose the notion of why we are changing or why we are developing this

bioplastic. I think there are education efforts taking place, and consumers are quite savvy

at really understanding the benefits versus marketing claims of products and packaging.

I also believe that we, as an industry, must do more to educate consumers and brand

owners about bioplastics, and recovery options such as recycling or composting, and

the benefits.”

NatureWorks is focusing on the

development of methane-to-lactic acid

fermentation in its bioplastics feedsource.

The company has invested in research

and development activities to achieve a

commercially viable fermentation process

to transform methane into lactic acid that

the company uses for its Ingeo biopolymer

PLA. The collaborative research initiative

has been bolstered by a U.S. Department

of Energy grant and involves partnering

companies to develop the potentially

ground-breaking technology that would

diversify the feedstock for bioplastics

applications such as food serviceware,

packaging and personal care items.

Steve Davies, NatureWork’s director

of Public Affairs & Communications,

said the company’s next generation

feedstock has “a five year horizon, but

methane simplifies the supply chain, takes

agriculture out of the picture, and gives us

a lower cost framework.”


A diversified class

of bioplastics will

be required to meet

the varied needs of

brand owners in the

coming years

Biodegradable Greenware® Portion CupsPhoto Courtesy: Greenware®


Soybeans, a feedstock for bioplastic production.


“Consumers are

becoming aware

of bioplastics, and

we are starting to

see consumers ask

for them.”

— Joe Jankowski, Braskem America


BioplasticsChallenges—and Progress



Challenges—and Progress—Made by Bioplastics

In its 2012 “Bioplastics Report”, SPI identified the challenges facing the development

of bioplastics; some were directly related to the polymers and their feedstocks, others

were misconceptions about the technology, and the last were infrastructure and guidelines

needed to promote bioplastics development.

Four years is not a significant amount of time to overcome all of these challenges, but

progress is being made on individual hurdles and across the board. This is not to say that

any specific challenge has been put to bed, or that new ones have not been presented to

the industry. But identifiable—and measurable—progress is being made.

The hurdles identified in

2012 included:

n Confusion with terminology

n Lack of industry cohesiveness

n Lack of infrastructure for end-of-life disposal options other than landfill

n Limited legislation and regulations that provide parity between bioplastics and biofuels

n Limited amount of funding available for bioplastics

n Limited availability of biobased feedstocks

n Limited availability of bioplastics

n Lack of testing and certification harmonization internationally

n Debate about food versus fuel versus plastics



SPI interviewed several bioplastics experts to assess these challenges in 2016. Here are some comments and assessments.

Confusion with Terminology

Within the plastics industry and value

chain, there has been broad agreement

about specific terms and definitions;

in part, these advances are related to

industry standards and certifications that

have been developed. BASF’s Edwards

noted, “Confusion with bioplastic

terminology continues, but it has improved

greatly since 2012. Standard definitions

and terminology are in place.”

Outside the industry, among

marketers, supporting infrastructure

providers, and particularly the general

publ ic, misunderstandings about

bioplastics continues.

Education efforts, like How2Recycle,

sponsored by leading global brands,

was noted as a valuable tool not only for

consumers, but also for manufacturers

and companies. How2Recycle aims to

reduce confusion by creating clear, well-understood, and nationally harmonized labeling

that enables industry to convey to consumers how to recycle a package. The effort is

aligned with the FTC’s Green Guides and hopes to increase the availability and quality of

recycled materials.

Joe Jankowski, commercial manager for Braskem America said How2Recycle’s

efforts were critical. “Consumers are becoming aware of bioplastics, and we are starting

to see consumers ask for them,” Jankowski said. “But consumers need good guidance

on how to behave after using a biobased product, ‘What do I do with this thing in my hand

when I am done with it?’”

Lack of Industry Cohesiveness

Plastics is a competitive and growing industry sector with established companies and

incubator-sized entities working to provide bioplastic technologies to customers. To some

degree, the lack of cohesiveness or agreement in feedstocks, end-of-life management,

and marketing is a positive sign of a vibrant, diversified, and competitive sector.

Fundamental issues like industry terminology, regulatory oversight and certifications have

solidified and several bioplastic segments—like food service items—have advanced and

are firmly established.

Kate Lewis, Analyst for the United

States Department of Agriculture

BioPreferred Program believes all

stakeholders and groups have an

incentive to collaborate together given

narrow budgets, “We will all achieve

more by combining resources, particularly

on the market research side and

consumer awareness.”

Lack of Infrastructure for End-Of-Life Disposal Options Other Than Landfill

Infrastructure for bioplastics is

improving, but it is linked to what comes

first and the need to build quantity and

demand for the material. “In certain

regions of the world and individual states,

progress on end-of-life (EOL) management is being made due to government mandates

to curtail landfill disposal. However, industrial compost technologies are not widely

accessible in the U.S.,” according to SPI Assistant Director of Regulatory and Technical

Affairs Patrick Krieger.

Four years is not a significant amount of time to overcome all of these challenges, but progress is being made on individual hurdles and across the board.



France, Italy and other EU nations are more aggressively advancing EOL capabilities,

including industrial composting. Currently, the U.S. has less than 200 industrial composting

facilities, some of which do not accept some biodegradable plastics. Composting—

residential and industrial—is vital for bioplastic growth and the development of diversified

applications like PLA. The increased use of industrially compostable bioplastics will

enhance efforts to divert food waste from landfills. However, brand owners will be

reluctant to adopt compostable bioplastics unless downstream infrastructure is in place;

and not in selected cities or states, but nationwide. Composters will begin to emerge

and encourage the adoption of bioplastics as states like California advance their waste

reduction initiatives.

Limited Legislation and Regulations in Favor of Bioplastics

The promotion of one plastic over another by government agencies is linked to a

common concern within the plastics industry—and one held by SPI. Industry participants,

like NatureWorks’ Davies believe bioplastics should compete with plastics to meet the

specifications and requirements of brands on everything from cost and function to supply

and recyclability. And BASF’s Edwards believes federal guidelines provide a view of the

horizon and gives companies and brand owners a target to strive for in the future.

In the U.S., the USDA Biopreferred Program is a strong advocate for bioplastics

development and expansion and some states are working to promote the development of

biostocks and sources. The Federal Trade Commission is also overseeing and regulating

the marketing claims made by brands utilizing bioplastics to ensure language and

characterizations are accurate.

Industrial Compostable Grocery Bags. Photo Courtesy: Novamont

The Iowa legislature adopted the

nation’s first Renewable Chemicals

Production Tax Credit program this year

to further the state’s development of

biomass as feedstocks for the production

of renewable chemicals. Long a leader in

the biofuels sector through its corn and

soybean production, the new law seeks

to expand and diversify its biosciences

development. Many of the state’s

industrial processing facilities produce

products that can be further processed

into high value chemical compounds that

can lead to developing plastics, textiles,

paints and pharmaceuticals.

The USDA’s Lewis compares

the BioPreferred Program to the U.S.

Environmental Protection Agency’s Energy

Star certification program that recently

celebrated its 25th anniversary. “To tip

the scale on consumer awareness of a

new product or concept, like biobased

products, is a protracted process that

takes decades and lots of resources,”

she said.



Novamont, headquartered in Italy, is the world leader in the development and production of bioplastics and biochemicals.

Novamont promotes a bioeconomy model with the efficient use of renewable resources and repurposed obsolete industrial sites. Thus creating new industries, new products and new jobs. Matrìca biorefinery in Sardinia and a decommissioned industrial site in north-east Italy are two recent examples. The second the world’s first dedicated industrial plant to make sustainable bio-butanediol (BDO) through fermentative processes.

Novamont’s Mater-Bi brand resins are an innovative family of bioplastics. Up to 50% of its feedstocks are obtained from plants and are certified biodegradable and compostable to international standards. Mater-Bi combines performance with low environmental impact. Products made with Mater-Bi are found in large-scale retail, municipal organic waste collection, foodservice, agriculture and packaging markets. International offices are located in Germany, France, and the UK. Novamont North America is located in Shelton, CT.

Limited Availability of Biobased Feedstocks

Feedstocks for biobased plastics

are growing and diversifying—and

next generation sources are showing

great promise; however the collection,

availability and costs of these feedsources

continue to be an industry focus

and concern.

First-generation feedstock, like

corn in the U.S. and sugar cane in

other regions, is established in terms

of infrastructure necessary to grow,

collect and process according to SPI’s

Krieger. Next-generation feedstocks in

certain cases do not have the supply and

demand in place to support necessary

infrastructure and therefore do not have

consistent cost-effectiveness to make an

impact in the marketplace. Consistent supply and quality of the feedstock—particularly

second and third generation feedsources—is another hurdle that will need to be cleared

for new feedstocks to take flight.

Davies at NatureWorks stated, “There should be a portfolio of feedstocks available,

whatever is locally abundant. In the U.S., for the foreseeable future, the right feedstock

that is abundant is cornstarch, which is very low value and not the cornstock used for

animal feeds. In other parts of the world, it is sugar cane. Methane is developed by looking

at feedlots and biomethane. Whatever feedstock is being used, it must be sustainable

and locally available.”

Limited Availability of Bioplastics

While bioplastics are still a fraction of traditional natural gas or petroleum derived

plastics, the marketplace is growing and bioplastics are an option for brands around

the world. Bioplastics based on second and third generation feedsources are still in the

developmental stage.


“There should be a

portfolio of feedstocks

available, whatever

is locally abundant.

In the U.S., for the

foreseeable future, the

right feedstock that is

abundant is cornstarch,

which is very low value

and not the cornstock

used for animal feeds.”

— Steve Davies, NatureWorks LLC


Lack of Testing and Certification Harmonization Internationally

Testing, certification, and harmonization internationally have improved significantly

and are not seen as a major factor limiting growth. In fact, with the aggressive positioning

taken by some EU nations, the U.S. is benefiting from work and efforts in Italy, France

and elsewhere.

“There has been a lot of harmonization in standards and

how we should communicate what our products are and what

they do—especially on the ASTM-side. There has been a lot of

work done to develop robust systems,” SPI’s Krieger said.

Debate About Food Versus Fuel Versus Plastics

This debate continues in some markets and with some

applications, although the minimal amount of plastics’ use of agricultural feedstocks is

lost in the discussion—0.067 percent of land is used to make bioplastics according to

European Bioplastics. Given the concern among some brand owners and consumers,

there continues to be a push for developing new sources of feedstock, based from food

waste or alternative sources.

Rather than engage on this premise, NatureWorks’ Davies believes the industry

should explain the bigger picture, “We are turning greenhouse gas into plastic. It is not

competition for food; it is competition for land. You need to look at whatever renewable

resource is available and effective with the smallest ecological impact on the land. If that is

a first generation sugar—that is what you should use, not a non-native species that uses

more water or needs a lot more acres to get the same yield.”


It’s not competition for food; it’s competition for land.

12for every

ears of corn1kernel is used to

make bioplastics

0.02% of land used for agriculture in 2014 was used to produce biobased bioplastics. That means for every dozen ears of corn, one kernel is used to produce biobased bioplastics.


BioplasticsOvercoming Hurdles



Challenges facing the development of bioplastics have evolved over the past four

years; while much of the debate and progress has been internally focused within the

industry; some focus on bioplastics has occurred with major brands in mainstream media

and even pop culture.

Bioplastics—and specifically biodegradable plastic utensils—were prominently

featured in the first episode of HBO’s political satire “Veep” when Julia Louis-Dreyfus’

character works to convince Americans to use biodegradable plastics—only to have her

spoon melt into her coffee. Granted, the program featured a farce, but brand transitions to

bioplastics have been the focus of social media conversations and concerted marketing

campaigns.

PepsiCo: Innovating through Challenges—Is it true there is no such thing

as bad publicity? Frito-Lay and its SunChips brand tested that premise in 2009 when

hundreds of articles and news reports—and thousands more social media postings—

focused on the noise generated by its new biodegradable plastic bag. SunChips

connoisseurs likened the noise of the bags to lawnmowers and even jet engines—an

exaggeration no doubt, but the reaction got Frito-Lay to switch back to its old packaging

while it looked for a solution to muffle the biobased bag.

Frito-Lay, and its parent company

PepsiCo, in i t ia l ly introduced the

environmentally friendly bag that breaks

down in compost to generate publicity

and awareness of its corporate-wide

sustainability initiatives. It got more

publicity than anyone in the company

could have imagined. Brad Rodgers,

PepsiCo’s manager of sustainable

packaging told the Associated Press, “It

was interesting we got a lot of extremely

positive feedback...but on the same hand

we heard one overwhelming complaint.”

The stiffer biodegradable material,

when opened and handled, caused a

louder noise than the original bag—and

one that consumers said made it difficult

to enjoy the chips in an office, cafeteria, or

when eating with others.

Peps iCo, commit ted to i ts

environmental program, went back to

work on designing and developing the

SunChips packaging; after several months

the company determined a different kind

of bonding agent between exterior and

interior layers of the bag could create a

sound muffler for the packaging.

The new adhesive helped reduce the

noise measurably. While the initial design

registered between 80 to 85 decibels, the

new bag registered just 70 decibels—

the same level of noise generated by the

original packaging and most chip bags on

the market.

Overcoming Hurdles & Bioplastic Success Stories


A SunChip bag in an industrial composting facility


The SunChips packaging

was even featured in an MIT

Sloan Management Review paper,

“The Sweet Spot of Sustainability

Strategy,” outlining PepsiCo’s

effort to address packaging, litter

and sustainability issues. Gregory

Unruh, a George Mason University

professor and author of the paper

concluded there were three lessons

from the SunChips story:

n Try out big changes on smaller brands first. Launching the compostable bag with SunChips rather than bigger brands such as Fritos or Lay’s minimized the risk.

n Persist through the initial setbacks and resolve the problem to gain goodwill. Unruh stated, “By being the first among its competitors to introduce a compostable snack bag, PepsiCo staked out a first-mover advantage on an issue strategically important to the company.” In the end, according to Unruh, PepsiCo’s standing with sustainability advocates improved.

n Poke fun at yourself to defang your critics. When the company brought the SunChips compostable bag to the Canadian market, its ad campaign acknowledged the noise—and offered to send customers a free set of ear plugs.

Photo Courtesy: PepsiCo


Try big changes on smaller brand first.

Persist through initial setbacks.

Poke fun at yourself to defang your critics.


Coca-Cola: Advancing the PlantBottleTM Program

Coca-Cola has been producing its partially biobased PlantBottle packaging since

2009, but the company’s eye has been on production of a 100 percent biobased bottle.

For the company and its brand, the bottle has historically been a key to its identity and

marketing efforts. While the contour glass bottle is instantly recognizable and well-loved,

the company started to move toward plastic PET bottles in the late 1970s; the plastic

bottle significantly lowered distribution costs and met consumer needs for convenient,

durable lightweight packaging.

The PET in Coca-Cola’s PlantBottle

package is 30 percent plant-based; the

company has reduced its use of fossil

fuels without impacting the recyclability of

the bottle. PlantBottle packaging can be

found in a number of Coca-Cola’s brands

(Dasani, Minute Maid, Smartwater, Simply

Juices, and Gold Peak) and in markets

around the world. The company estimates

more than 40 billion PlantBottle packages

have been sold in more than 40 countries

since the bottle was first introduced and its

performance—and market acceptance by

consumers—is pushing the company to

expand its sustainable packaging efforts,

including a carbon neutral, 100 percent

renewable and responsibly sourced

plastic bottle that is fully recyclable.

In June 2015, Coca-Cola and its

research partner Virent announced the

development of the world’s first 100

percent biobased (sugar cane sourced)

PlantBottle package—at demonstration

scale. The company continues to work

with technology partners to commercialize

a 100 PlantBottle package.

Coca-Cola’s PlantBottleTM. Photo Courtesy: Coca-Cola



Brand Owner Leadership

The Bioplastic Feedstock Alliance,

with a number of its members (Nike,

Coca-Cola, Danone, Ford, Heinz, Nestlé,

Procter & Gamble, Unilever, and the World

Wildlife Fund) are collaborating to identify

a feedstock that can provide the volume

necessary for a 100 percent plant-based

bottle that will not impact the food supply

or produce excessive carbon.

The impact of individual brands

adopting bioplastics is evident in the

Coca-Cola PlantBottle in that one-third of

total, global bioPET 30 is the PlantBottle.

This leadership by global brands

working to reduce their carbon

footprint enhances their environmental

sustainability and aligns with the objectives

of the 2015 United Nations Climate

Change Conference, COP 21 initiative

for member nations to reduce global

greenhouse emissions by 55 percent in

the coming years.

Non-government organizations,

like the Ellen MacArthur Foundation, are

spurring corporate efforts by promoting

the circular economy—re-using, repairing,

refurbishing and recycling products and

materials, turning waste into a resource,

and managing all resources through their

life cycles.

BASF’s Edwards believes the growth of bioplastics is linked to corporate initiatives

and specific advances in polymers. “I think more conversion of large volume applications

is needed to bridge the gap a bit—snack food packaging, can liners, etc.—and brand

owners having sustainability drivers must begin to put these in place and make material

conversions to help reach their corporate sustainability goals. Many have only put in place

real metrics in the past few years, and it will take some time for these to create market pull

which should increase the demand for bioplastics,” Edwards said.

SPI’s Krieger indicated a variety of brand owners want to expand their use of

bioplastics for their products and packaging, while some are cautious in making the leap

because of costs. “Brands recognize price considerations, but people use bioplastics

for a lot of different reasons. Cost is really specific to application, and applications are

a measure of functionality.” Krieger said. “Why get into bioplastics? It is more than just

about cost—it could be about functionality, sustainability, or consumer demand. This is

why companies are getting into bioplastics.”

Scale of bioplastics availability may

be as much of a hurdle for companies as

cost. Brands want to be market leaders in

adopting sustainable practices, but are going

slow in changing to bioplastics in order to

prevent market disruptions or significant

front-end costs.

Automotive brand owners have been

turning to plastics to trim weight on their

vehicles and improve their Corporate Average

Fuel Economy standards. Sustainability

efforts now have automotive manufacturers

increasingly turning to biobased products

that provide the same product performance

as traditional feed stocks, with renewable benefits. Ford Motor Company has been at

the forefront of using bioplastics in its vehicles. Last August, Ford expanded its use of

soybean oil-based foam blends to another part of the car—headrests. Initially used in the

2008 Mustang, the biobased foam is now used in the headrests of a number of vehicles,

including the F-150 truck. The company also uses soy foam blends in the headliners of

a number of models.

According to Braskem’s Jankowski, “Collaboration is necessary. If there is enough

capacity to meet demand, it will require collaboration with the value chain. In some cases,

adoption is not as high as it could be due to a lack of awareness or a lack of transparency

in the value chain, but there is also a cultural aspect to it in that not every company is ready

for bioplastics from a purchasing standpoint. A company must really ‘buy in’ to bioplastics

and sustainability and have the tools to execute on transitioning to biobased plastics.”

Brands Owners want to be market leaders in adopting sustainable practices.



As a leading provider of high-quality and high-performing plastics, BASF has been developing biodegradable and bio-based polymers for more than a quarter century. With ecovio®, BASF offers a certified compostable polymer which features a variable bio-based content.

It consists of the compostable BASF polymer ecoflex® and polylactic acid, which is derived from the renewable resource corn. Products made with

ecovio® exhibit the same high performance and strength in use as conventional plastics.

For example, an ecovio® bag can carry the same load as its polyethylene counterpart. The product properties are designed such that the products only fully biodegrade in compost after use.

The main applications for ecovio® include plastic films such as organic waste bags, dual-use bags (first for shopping, then for organic waste) or agricultural films; and, compostable packaging solutions such as paper coating, shrink films, foam packaging and injection molding products. ecovio®

is a finished product that can be used by the customer as a drop-in solution

with standard plastic production procedures. For more information on ecovio, www.ecovio.com.

At BASF, we create chemistry for a sustainable future. We combine economic success with environmental protection and social responsibility. Through science and innovation, we enable our customers in nearly every industry to meet the current and future needs of society.

BASF Corporation is the largest affiliate of BASF SE and the second largest producer and marketer of chemicals and related products in North America. For more information on BASF, www.basf.com.

At BASF, we create chemistry for a sustainable future.

Industrially Compostable coffee capsules and packaging using BASF plastic ecovio(r).Photo Courtesy: BASF


http://www.ecovio.com

http://www.basf.com


BioplasticsPublic Policy Landscape



Public Policy Landscape for Bioplastics

Bioplastics growth in the U.S. and around the world is being guided and encouraged

by federal and state programs. Some encourage the use of biobased products while

others ensure products are accurately portrayed in terms of their performance and

environmental impact. For example, Iowa has adopted legislation to promote its soy and

corn production and facilities.

USDA BioPreferred/Biobased Seal

The United States Department of Agriculture BioPreferred® program was created

as part of the 2002 Farm Bill to spur the development and new markets for biobased

products. By 2016, after the program was expanded in the 2014 Farm Bill, more than

2,500 products in 100 different categories were certified through the program.

The dual purposed program reduces the country’s reliance on petroleum while

increasing the use and development of renewable agricultural crops and materials,

including row crops, marine, and forestry materials. The program balances its promotion

by mandating the purchasing of biobased products for Federal agencies and contractors

while providing voluntary product certification and labeling in the private sector.

Kate Lewis, Analyst for BioPreferred, USDA said the program incentivizes the

development, purchase and use of biobased products, “If you look at the manufacturing

supply chain, we view the product certification and labeling program as an end-market

tool that is designed to increase a buyer’s awareness of what a biobased product is and

the value proposition of biobased products.”

Biobased products include a diverse range of offerings such as construction,

janitorial, and grounds-keeping products as well as

personal care and packaging products used by consumers

every day. To earn the USDA certification, a product must

meet a minimum biobased content threshold and pass

third party testing.

The USDA, in promoting the success of the biobased

program, points to an independent report it commissioned

that stated the biobased economy contributes a total $369 billion to the U.S. economy

each year while supporting four million jobs, directly and indirectly. Further, USDA

estimates biobased products displace around 300 million gallons of petroleum per year in

the U.S., the equivalent of taking 200,000 cars off the road.

In the USDA’s independent Economic Impact of the Biobased Product Industry

report authored by Dr. Jay Golden, director of Duke University’s Center for Sustainability

& Commerce, and Dr. Robert Handfield, professor of Supply Chain Management at

North Carolina State

Un i ve rs i t y ’s Poo le

College of Management

i d e n t i f i e d s e v e n

ma jo r ove ra rch ing

sectors that represent

the U.S. biobased

products industry’s contribution to the

U.S. economy: agriculture and forestry,

biorefining, biobased chemicals, enzymes,

bioplastic bottles and packaging, forest

products, and textiles.


The biobased economy

contributes a total of

$369 billion to the

U.S. economy each year

while supporting four

million jobs.


BIO

BA

SE

D P

RO

DU

CT

S

construction

janitorial

grounds-keeping

personal care

packaging

Looking toward the future, Lewis said the USDA is working to merge the two side of

the program and provide a one-stop shop on the supply and demand side for tools and

information on biobased products and resources.

Braskem’s I’m greenTM Polyethylene combines technology, innovation, and sustainability. Produced from ethanol made from sugarcane—a renewable source—green polyethylene is a drop-in biopolymer substitute to conventional, fossil-based polyethylene. It exhibits the same characteristics as the petrochemical polyethylene, in application, performance, and especially recycling.

As the largest petrochemical company in the Americas and the world’s leading biopolymer producer, Braskem is committed to improving people’s lives by creating more environmental-friendly solutions for the chemicals and plastics. By using I’m greenTM Polyethlyene, Braskem’s partners can offer unique products that help lower greenhouse gas emissions throughout the value chain. I’m greenTM Polyethlyene is currently used in food packaging, personal care, home care, cosmetics, toys and bags. For more information, visit www.braskem.com.

Graphic Courtesy: Braskem America


http://www.braskem.com


FTC Green Guides

Another federal program that is helping to guide the development of bioplastics—and

other environmentally-aware products—is the Federal Trade Commission’s Green Guides.

Established in 1992, and updated over the years, Green Guides offer help to consumers

in making “green product” choices and companies in how they market their products.

The Green Guides have evolved to help consumers understand different environmental

claims and benefits as well as the logos and emblems used to distinguish products in

the marketplace.

The updated FTC Green Guides address

specific claims companies may make, including

recent additions that address third-party

certification seals and claims about carbon offsets

and “renewable” materials and energy sources.

Given the emphasis a growing number

of consumers are placing on environmental

issues, the Green Guides will likely grow and

continue to delineate environmental claims—

helping consumers and companies alike. False

or misleading environmental claims undermine

consumer confidence in products and corporate

claims regarding environmental protections. The

FTC has been particularly active in regulating biodegradable products and claims as well

as certifications marketers have used to designate them.

For example, in 2015, the FTC found that a company “acted deceptively by making

false and unsubstantiated environmental claims about its product, a chemical additive that

supposedly would make treated plastics biodegrade in a landfill within nine months to five

years or within a reasonably short period of time.”

The FTC’s action was based on their rejection of substantiation for biodegradability

claims, even though the tests conducted on the product were based on established,

international test methods. The FTC found that because testing had not simulated the

physical conditions found in most U.S. landfills, it was not “competent and reliable

scientific evidence.”

FTC Green Guides

“Biodegradable”

Marketers often claim their product is “degradable” or “biodegradable,” but if a product is headed for a landfill (where most trash ends up), a company shouldn’t make this claim without explaining how

long the product will take to degrade and how much it will break down over time.

Something that’s biodegradable, like food or leaves, breaks down and decomposes into elements found in nature when it’s exposed to light, air, moisture, certain bacteria, or other organisms. But most trash ends up in landfills which are designed to shut out sunlight, air and moisture. That keeps pollutants out of the air and drinking water, but also slows decomposition. Things—

like food—that usually decompose quickly, could take decades (or longer) to decompose in a landfill.

If a company says its product is “degradable,” and the product is typically thrown out in the trash, the company should have proof that the product will completely break down and return to nature in a landfill in the time or at the rate the ad states.

ASTM

ASTM, an international standards setting body, maintains several standards with respect to bioplastics—for reporting how much biobased carbon content can be found in a material, as well as topics related to industrial composting. In addition, the ASTM Subcommittee D20.96 is developing several additional standards on home composting, and marine degradation. Manufacturers are hesitant to make claims related to product performance without these types of

standards in place, so their creation may facilitate additional development for biodegradable bioplastics within these specific scenarios.



California Landfill Initiative

Individual states, part icular ly

California, are pushing the envelope on

the utilization of bioplastics through landfill

and waste reduction efforts. California’s

75 Percent Initiative is the state’s

ambitious goal of 75 percent recycling,

composting or source reduction of solid

waste by 2020.

Given the state’s size and population,

the 75 Percent Initiative is a monumental

task requiring a number of strategies

to curb waste from being landfilled. The

California Department of Resources

Recycling and Recovery (CalRecycle)

developed a state-wide catalog of options

for implementing the 75 Percent Initiative,

including a mix of statutory and regulatory

changes, infrastructure expansion,

fiscal policies and incentives, as well as

monitoring and enforcement.

According to a progress report published by CalRecycle to the State Legislature,

the 75 Percent Initiative builds on some earlier efforts—the 1986 Beverage Container

Recycling and Litter Reduction Act and the 1989 Integrated Waste Management Act—

that were adopted when California had single-digit recycling rates, limited infrastructure,

and few end markets for recyclables.

California has a diversion rate equivalent of 65 percent, a statewide recycling rate

of 50 percent, and a beverage container recycling rate of 80 percent. For comparison,

according to the Environmental Protection Agency, only 34.3 percent of waste in the U.S.

was recycled, composted or sent to energy facilities in 2013.

But California’s waste generation is significant; by 2020, an estimated 80 million

tons of solid waste will be generated—and currently California has enough landfill

permitted until 2057, according to a CalRecycle March 2015 report. To meet the 75

Percent Initiative, 60 million tons of waste will need to be source reduced, composted,

or recycled. The state believes 37 million

tons—more than half—will be achieved

through source reduction, composting,

and recycling programs.

EU Circular Economy/EU 2020 Mandate for Composting

European countries have been

at the forefront of advancing policies

to address recycling, composting and

landfill utilization; bioplastics have been a

centerpiece of many initiatives in France,

Italy and elsewhere in the region.

In February 2016, France issued

it new mandate on single-use plastic

bags. The French Ministry of Ecology,

Sustainable Development and Energy

issued new language that delineated requirements to reduce single-use plastic bags for

more biobased, biodegradable and home compostable bags. France had introduced a

ban on single-use plastic bags in the prior year, but the revised ruling provides further

support for the French standard for 2017 that calls for home composting of plastic bags

with at least 30 percent biobased content. (The biobased content will increase in later

years: 40 percent in 2018, 50 percent in 2020, and 60 percent in 2025.)

California’s 75 Percent Initiative is the state’s ambitious goal of 75 percent recycling, composting or source reduction of solid waste by 2020.



Sugarcane and baggase (a sugarcane byproduct) are common feedstocks for biobased bioplastics


The growth and

expansion of plastics in

recent years is linked to

the advantages the

material provides all

participants in the

value chain.


Bioplastics Conclusion



Conclusion

The growth and expansion of plastics in recent years is linked to the advantages the

material provides all participants in the value chain; its role in packaging, manufacturing,

consumer goods, bottling or construction is growing due to the unique and unmistakable

benefits it provides. Bioplastics is part of plastics’ growth story that is helping brand

owners and manufacturers find new applications and solutions for products.

For plastics to continue to grow, expansion the sector needs bioplastics to

continue maturing and diversifying. Bioplastics should be seen as another arrow in

plastics’ quiver that can solve problems for customers and contribute to plastics overall

marketplace success.

Bioplastics offer brand owners and end-consumers the unique advantages of being

biobased, sustainable and biodegradable; a brand owner looking to differentiate itself and

its product can use bioplastics for its consumer preferences, end-of-life options, as well

as potential carbon footprint reductions and a diversification of feedstocks (i.e. reduced

reliance on fossil fuel with their variable costs).

As noted, the 19 members of SPI’s

Bioplastics Division have been working

inside and outside of the plastics sector

to promote awareness of bioplastics and

their offerings such as performance, feed

stocks and EOL disposal. Their efforts

have been bolstered by government

guidelines on product claims and support

for biobased developments.

Currently, there are 21 bioplastic

polymers being used in the marketplace

or under development. Research and

advancements are being made in

diversifying the feed stocks for plastics

as well as their applications and EOL

capabilities including recycling and/

or biodegradeabi l i ty—whether in

soil, water or other home/industrial

composting environment.

PACKAGING

MANUFACTURING

CONSUMERGOODS

BOTTLING

CONSTRUCTION

The growth and expansion of plastics in recent years is linked to the advantages the material provides all participants in the value chain


Bioplastics is part

of plastics’ growth

story that is helping

brand owners and

manufacturers find

new applications and

solutions for products.


While demand for bioplastics has grown in recent years, the price of petroleum and

natural gas has had an impact on the research, adoption and usage of bioplastics. But

rather than decline, bioplastics has continued to diversify and show growth.

A number of issues are pushing bioplastics’ usage, most notably large brand owners

moving to advance sustainability and green packaging initiatives. Leadership from brand

owners will continue to be a major indicator for the future growth of bioplastics—look

no further than Coca-Cola’s PlantBottle to see how the actions of one company can

profoundly change the landscape for the material.

An additional factor that will continue to spur development of bioplastics will be

EOL management and increased infrastructure capabilities for handling bioplastics

recycling and biodegradability. Governments need to continue collaborating with brand

owners and institutions that use bioplastics to ensure EOL management of bioplastics

is fulfilled and expanded. Further, the federal and state government support of biobased

developments and research and tax credits will benefit bioplastics—and all biobased

products and chemicals.

Plastics—and bioplastics—are trending in the right direction, showing clear growth

around the world as new applications and technologies are developed. There is a place

and need for all plastics in the industry—and no perfect polymer will fit everyone’s needs

in all situations.

While bioplastics currently represent 0.7 percent of the total plastics marketplace,

it can continue to grow if a number of factors align in and out of the industry to spur the

materials’ diversification, usage and EOL management. To SPI, bioplastics’ growth is

critical to the entire sector and in meeting the needs of all customers and consumers.

Bioplastics represent an evolution and not a revolution within the plastics marketplace.


Plastics—and

bioplastics—are

trending in the

right direction,

showing clear growth

around the world

as new applications

and technologies

are developed.


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UTILITY OFBIOPLASTICS

PUBLICPOLICY

BIGPICTURE

USECONOMY

TECHNOLOGYTRENDS

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Misunderstanding of "biobased" and "biodegradable" causes confusion— with general public as well as within industry.

There is a lack of infrastructure for end-of-life disposal options other than landfill.

Current ample supply and low price of petroleum and natural gas have had an impact on the research, adoption and usage of bioplastics.

Only 27% of adults polled in a national survey were somewhat or very familiar with bioplastics—34% were not familiar at all with bioplastics.

Despite having been around since the 1950’s, there's still confusion and misunderstandings of bioplastics: from origins/feedstocks to end-of-life disposal, biodegradability and product performance.

86% of adults polled in a national survey said they'd not seen or were unsure if they'd seen the USDA Certified Biobased Product seal.

There's limited legislation and regulation in favor of bioplastics, plus a lack of testing standards for end-of-life options.

Debate about food vs. fuel vs. plastics persists.

Research advances in diversifying the feed stocks for plastics as well as their applications and end-of-life capabilities including biodegradability.

End-of-Life management and increased infrastructure capabilities for handling bioplastics recycling and biodegradability exist.

Government guidelines on product claims continue, as does support for biobased developments.

More than half of adults polled in a national survey indicated they would probably or definitely be more likely to consider purchasing a plastic product with the USDA Certified Biobased Product seal.

Large brand owners move to advance sustainability and green packaging initiatives.

After learning about bioplastics, 50 percent of adults polled in a national survey indicate they would consider purchasing a product if it “was a little bit more expensive” because it was made with bioplastics.

Bioplastics is still in its infancy but represents an evolution—not a revolution—within the plastics marketplace.

Increasingly optimistic outlook continues for all sectors of manufacturing.

Plastics use continues to grow and expand, including bioplastics.

Plastics provide wide functionality, flexibility, strength and low costs across packaging, manufacturing, consumer goods, bottling, construction, etc.

Bioplastics support overall plastics industry's need for continued growth and diversification.

Bioplastics offer brand owners and end-consumers the unique advantages of being biobased, sustainable, and biodegradable.

Bioplastics contain manufacturing advantages and end-of-life capabilities as well as carbon footprint reductions and diversification of feed stocks.

Plastics Market Watch Snapshot



We create chemistry that makescompostlove plastic.

Most plastics don’t biodegrade, but ecovio® plastics from BASF biodegrade completely when composted in a controlled environment*. Using compostable bags for collection of organic waste makes disposal more hygienic and convenient. Rather than ending up in land� ll, the ecovio® bagged organic waste can be turned into valuable compost where programs exist. When the plastic bag you use today can mean a cleaner future for the environment, it’s because at BASF, we create chemistry.

www.ecovio.com

® = REGISTERED TRADEMARK OF BASF GROUP* ECOVIO® POLYMERS ARE CERTIFIED GLOBALLY BY THE BPI ACCORDING TO ASTM D6400,

DIN CERTCO ACCORDING TO EN 13432, THE JBPA ACCORDING TO GREENPLA AND THE ABAM ACCORDING TO AS4736-2006 SPECIFICATIONS.


We create chemistry that makescompostlove plastic.

Most plastics don’t biodegrade, but ecovio® plastics from BASF biodegrade completely when composted in a controlled environment*. Using compostable bags for collection of organic waste makes disposal more hygienic and convenient. Rather than ending up in land� ll, the ecovio® bagged organic waste can be turned into valuable compost where programs exist. When the plastic bag you use today can mean a cleaner future for the environment, it’s because at BASF, we create chemistry.

www.ecovio.com

® = REGISTERED TRADEMARK OF BASF GROUP* ECOVIO® POLYMERS ARE CERTIFIED GLOBALLY BY THE BPI ACCORDING TO ASTM D6400,

DIN CERTCO ACCORDING TO EN 13432, THE JBPA ACCORDING TO GREENPLA AND THE ABAM ACCORDING TO AS4736-2006 SPECIFICATIONS.

SPI: The Plastics Industry Trade Association1425 K Street NW., Suite 500Washington, DC 20005202.974.5200plasticsindustry.org

PREMIERE PROGRAM SPONSOR: PROGRAM SPONSORS:

http://plasticsindustry.org

Documents

WATCHING: Bioplastics...Bioplastics are closely linked to the history and development of plastics—some of the industry’s earliest pioneers, including Henry Ford, developed plastics