India Biodegradable Packaging Market Overview, 2031

India has been making significant strides in the adoption of biodegradable packaging materials as part of its broader efforts to address environmental concerns and reduce plastic waste. Management of plastic waste is becoming a growing nuisance for policy makers and town planners and emerging as a formidable challenge to address for the scientific community. The government of India has notified the Plastic Waste Management Amendment Rules, 2021, which prohibited the manufacture, import, stocking, distribution, sale, and use of single-use plastics SUPs, intended to phase out the single-use Plastic Carry Bags of thickness less than 120 microns. The sudden shift in policy by the Government of India GOI has opened new vistas for the promotion of the development of biodegradable plastic products including packaging materials to replace the single-use plastics. These biodegradable products are the need of the hour and thus require credible certification of biodegradability. Many Indian businesses, particularly in the food and hospitality sectors, have started to embrace biodegradable packaging materials. This adoption was partly driven by consumer demand but also by the desire to enhance corporate sustainability and eco-friendliness. Growing biodegradable packaging in a sustainable way. An innovation uses Mycelia to transform paddy straws into an alternative to plastic and thermocol. Go Do Good Studio is at the forefront of India's sustainable packaging revolution. They have created a versatile film derived from algae harvested along India's coastal regions. They have also empowered local farmers and replaced over 200,000 plastic pouches. ZeroCircle, A Maharashtra-based startup that created a biodegradable packaging solution made from seaweed.


According to the research report, "" India Biodegradable Packaging Market Overview, 2031,"" published by Bonafide Research, the India Biodegradable Packaging market is anticipated to grow at more than 8.96% CAGR from 2026 to 2031. The Biodegradable Packaging Market in India is experiencing a remarkable and accelerating expansion, emblematic of the nation's growing commitment to environmental sustainability and the urgent need to combat plastic pollution. With India being one of the world's most populous countries and having a burgeoning consumer market, the adoption of biodegradable packaging materials is of paramount significance. The Indian government, cognizant of the ecological challenges posed by conventional plastics, has taken decisive steps to promote the use of biodegradable alternatives. Regulations and incentives have been implemented to curb the production and consumption of single-use plastics, driving the demand for eco-friendly packaging materials. These policies have catalyzed innovation and investment in the packaging industry, fostering the development of high-quality, biodegradable options that align with both stringent quality standards and environmental responsibility. Furthermore, there is a discernible shift in consumer preferences in India, with an increasing number of individuals seeking out products and brands that prioritize environmental sustainability. This changing consumer behavior is prompting businesses to adopt biodegradable packaging materials not only to meet regulatory compliance but also to cater to a conscientious consumer base that values eco-friendliness. The robust expansion of the Biodegradable Packaging Market in India signifies a comprehensive and forward-thinking approach to environmental stewardship. As technology and research continue to advance, the market is poised for further growth.

India biodegradable packaging market by material type is divided into bio-based plastics and paper & paperboard. The sector for biodegradable packaging in India is experiencing swift growth due to policies from the government, increasing demands from urban consumers, and heightened awareness of environmental issues. Types of bio-based plastics, including PLA, PHA, and starch mixes, are being adopted more frequently for applications in food packaging, retail outlets, and courier services, aligned with the country’s regulations on plastic waste management and citywide restrictions on single-use plastics. Paper and paperboard continue to lead the market thanks to India's large pulp and paper sector and the preference for affordable, recyclable, and compostable options in fast-moving consumer goods, sweets, and various goods. Agricultural by-products such as sugarcane waste, rice husks, wheat straw, and banana fibers are commonly used to create molded pulp trays, clamshell containers, and unique biodegradable items. India is channeling investments into advanced bioplastics originating from cassava, jute, and coconut fibers, generating sustainable choices for both internal and external markets. The government plays an active role in supporting research and development for biodegradable substances and encourages partnerships among start-ups, academic institutions, and manufacturers. Moreover, the increase in e-commerce and food delivery services in India propels the need for lightweight, compostable, and flexible packaging options, particularly for shipping parcels, snacks, and fresh produce. , the landscape of biodegradable materials in India showcases the interaction of regulatory enforcement, plentiful agricultural resources, swift urban development, and rising awareness among consumers and businesses regarding environmental responsibility.

India biodegradable packaging market by packaging format rigid biodegradable packaging and flexible biodegradable packaging. In India, rigid biodegradable packaging is commonly utilized in restaurants, cafes, catering operations, and among street food vendors. In major cities like Mumbai, Delhi, Bangalore, and Hyderabad, compostable plates, cups, clamshells, and molded pulp trays are increasingly prevalent, driven by bans on plastics in urban areas and campaigns promoting environmental consciousness. The market for flexible biodegradable packaging is also growing swiftly within India’s FMCG, processed food, and e-commerce industries. Products such as PLA films, cellulose wraps, and bio-laminated pouches are extensively used for various items including snacks, sweets, grains, spices, frozen goods, and ready-to-eat meals. There is a growing reliance among e-commerce firms and courier services on biodegradable mailers, kraft-paper envelopes, and compostable padding materials to minimize plastic waste and adhere to regulations. The choice of packaging formats is shaped by factors like cost-effectiveness, resilience, and their fit within urban waste collection systems. The food-export sector in India especially concerning fruits, vegetables, spices, and sweets is increasingly adopting biodegradable flexible options and trays to fulfill international sustainability criteria. The selection of packaging formats in India reflects a balance between compliance with regulations, cost factors, and consumer demands for environmentally friendly and practical packaging choices.

India biodegradable packaging market by end-use industry is divided into food & beverage, personal care & cosmetics, healthcare, e-commerce & logistics retail & consumer goods. The food and beverage industry are the leading user of biodegradable packaging in India, which includes street-food sellers, dining establishments, catering companies, grocery stores, and exporters. Various compostable items such as trays, cups, bags, and flexible films are widely utilized to address local restrictions on plastic as well as export standards. Companies in the personal care and cosmetics field are gradually switching to biodegradable boxes, paperboard, and molded pulp packaging to offer eco-friendly and natural products. Healthcare and pharmaceutical firms are using biodegradable secondary packaging to comply with government regulations concerning the management of medical waste. The e-commerce sector, one of the most rapidly expanding in India, depends on fiber-based mailers, compostable delivery bags, and molded-pulp inserts to fulfill customer demands and legal standards. Retail and consumer goods businesses are opting for biodegradable packaging for high-end SKUs and products aimed at environmentally conscious consumers. Furthermore, India's export-focused sectors like those dealing with spices, rice, tea, and sweets are utilizing biodegradable films and trays to satisfy EU and sustainability criteria. The shift towards biodegradable packaging is influenced by policies, urban growth, the rise of e-commerce, consumer awareness, and international trade demands.

India biodegradable packaging market by product type is divided into bags & sacks, boxes & cartons, bottles & cups, clamshells & trays and others like Films & Wraps, Pouches, envelopes, Labels & protective Packaging. Biodegradable bags and sacks are commonly found in Indian grocery stores, local markets, and niche shops, replacing traditional single-use plastics with alternatives made from PLA, starch, and paper. Boxes and cartons, which are often strong, affordable, and certified by FSC, cater to fast-moving consumer goods, sweets, personal care items, and online retail. In restaurants, cafes, and food delivery, there is an increasing use of bottles and cups made from PLA and paper composites. Clamshell containers and trays produced from bagasse, molded pulp, rice husks, and wheat straw are frequently used for baked goods, produce, and prepared meals. In the Other category, India showcases advancements in biodegradable films, compostable bags, flexible laminates, and protective packaging solutions. The demand for fiber-based cushioning to protect electronics and shipments for online commerce is surging as urban shopping trends rise. Mycelium packaging, seaweed films, and other innovative biodegradable materials are emerging in trial applications, especially for high-end export products. India's range of products demonstrates the influence of regulations, affordability, availability of agricultural feedstock, and increasing environmental awareness among urban consumers.

Considered in this report
• Historic Year: 2020
• Base year: 2025
• Estimated year: 2026
• Forecast year: 2031
Aspects covered in this report
• Biodegradable Packaging Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Material Type
• Bio-based Plastics (Bioplastics)
• Paper & Paperboard

By Packaging Format
• Rigid Biodegradable Packaging
• Flexible Biodegradable Packaging

By End-Use Industry
• Food & Beverage
• Personal Care & Cosmetics
• Healthcare
• E-commerce & Logistics
• Retail & Consumer Goods

By Product Type
• Bags & Sacks
• Boxes & Cartons
• Bottles & Cups
• Clamshells & Trays
• Others (Films & Wraps, Pouches, envelopes, Labels & protective Packaging)
Show more