South Korea Biodegradable Packaging Market Outlook 2025-2032

The South Korea biodegradable packaging market has witnessed rapid adoption of compostable films and rigid trays across key end-user industries. Fueled by stringent waste management regulations and increasing consumer awareness, market dynamics are shifting towards high-performance biopolymers.

Recent market insights indicate a steady business growth trajectory driven by emerging partnerships between local converters and material innovators. By leveraging advanced market analysis and detailed market research, stakeholders are identifying critical market opportunities in food and retail packaging. However, assessing market drivers, South Korea Biodegradable Packaging Market  challenges, and market restraints remains essential to unlocking long-term industry growth. Overall, the evolving industry size and industry share trends underscore growing investments in sustainable packaging solutions across South Korea.



Market size and Overview

The South Korea Biodegradable Packaging Market is estimated to be valued at USD 619.9 Mn in 2025 and is expected to reach USD 976.1 Mn by 2032, growing at a compound annual growth rate (CAGR) of 6.7% from 2025 to 2032.

The market forecast reflects rising demand for eco-friendly packaging within food, personal care and e-commerce sectors. Heightened regulatory frameworks under the 2024 Waste Management Act amendment are propelling adoption of certified compostable films and trays. Ongoing improvements in biopolymer performance through partnerships between local firms and global technology providers are enhancing barrier and mechanical properties. The market report suggests that growth strategies in innovation and capacity expansion will be pivotal for capturing market revenue and sustaining business growth.



Key Takeaways:

- Dominating Region (2025): Gyeonggi Province leads demand with a 12% increase in compostable tray production by local converters, reflecting strong South Korea Biodegradable Packaging Market share.

- Fastest Growing Region (2025): Busan region saw a 15% uptick in film exports to Japan and Southeast Asia in H1 2025.

- By Material Type: PLA-based biopolymers remain dominant—LG Chem's PLA film supplies major retailers (Q2 2025); PHA-based is fastest-growing, with SK Biotek's PHA pouches up 25% in 2024.

- By Application: Fresh produce food packaging is dominant—CJ Freshway's compostable fruit trays launched March 2025; personal care packaging is fastest-growing—Amorepacific's starch-blend tubes in Q4 2024.

- By Form: Rigid packaging holds dominance—Serimbng Co., Ltd.'s compostable containers (2025); compostable bags are fastest-growing—ANKOR Bioplastics' bags up 30% in 2024.



Market Key Trends

The South Korea biodegradable packaging market trend is being fundamentally shaped by evolving regulatory frameworks aimed at reducing plastic pollution and promoting circular economy principles. In mid-2024, the Ministry of Environment revised the Waste Management Act to introduce mandatory Extended Producer Responsibility (EPR) for packaging, requiring producers to ensure all single-use packaging achieves biodegradability certification by 2026. This policy shift has already spurred a 15% reduction in conventional plastic usage across major retailers between Q1 and Q4 2024, according to the latest South Korea Biodegradable Packaging Market report.

Consequently, several manufacturers have accelerated investments in domestic production lines for bio-based polymers. For instance, a strategic partnership formed in November 2024 between Mondi plc's Busan facility and LG Chem's bioplastic unit resulted in commissioning of a 20,000-ton capacity PLA line, increasing local output by 20% and cutting import dependence. Additionally, in April 2025 SK Biotek launched a pioneering PHA-based film validated by TÜV Austria for industrial compostability within 90 days, addressing critical barrier property requirements.

Market research indicates that such collaborations and product innovations are central market growth strategies, aligning with broader market dynamics that favor vertical integration, localized supply chains, and integration with advanced recycling and composting infrastructures. These developments not only enhance market size but also expand the market scope and reveal new market opportunities in South Korea Biodegradable Packaging Market opportunities.



Key Players

Amcor

Mondi plc

Smurfit Kappa

Serimbng Co., Ltd.

ANKOR Bioplastics

NatureWorks

LG Chem

Cargill Dow Bioplastics

BASF

Novamont

Total Corbion

TIPA

FKuR

Kaneka Corporation

Danimer Scientific



In 2024, Mondi plc expanded its Busan campus to add compostable film lines, boosting local production volumes by 20% and enhancing market revenue. Earlier in 2025, Amcor partnered with LG Chem to launch a PLA-based flow wrap, resulting in a 12% reduction in raw material costs and improved barrier performance. ANKOR Bioplastics introduced a new starch blend pouch in Q2 2025 that gained traction among e-commerce retailers, reflecting broader market growth strategies focused on product customization and supply chain integration across industry value chains.



FAQs

1. Who are the dominant players in the South Korea Biodegradable Packaging Market?

Key market players include Amcor, Mondi plc, Smurfit Kappa, Serimbng Co., Ltd., ANKOR Bioplastics and NatureWorks, alongside major chemical and biopolymer firms such as LG Chem and BASF.



2. What will be the size of the South Korea Biodegradable Packaging Market in the coming years?

The market size is estimated at USD 619.9 Mn in 2025 and is forecast to reach USD 976.1 Mn by 2032, with a CAGR of 6.7% over 2025–2032, according to the latest market forecast.



3. Which end-user industry has the largest growth opportunity?

Food packaging, particularly fresh produce trays, offers the largest growth opportunity, driven by consumer demand for zero-waste solutions and strong collaborations between packagers and supermarket chains.



4. How will market development trends evolve over the next five years?

Regulatory enforcement under EPR, advances in biopolymer innovations and expanded composting infrastructures will guide South Korea Biodegradable Packaging Market trends. The market scope will broaden to include high-barrier films, active packaging and integrated waste-to-resource systems.



5. What is the nature of the competitive landscape and challenges in the South Korea Biodegradable Packaging Market?

The landscape is moderately fragmented, with global and local market companies competing on product performance and cost. Key market restraints include scaling production, certification hurdles and pricing competitiveness versus conventional plastics.



6. What go-to-market strategies are commonly adopted in the South Korea Biodegradable Packaging Market?

Common strategies include partnerships for technology transfer, capacity expansions in key provinces, vertical integration with polymer producers, and participation in regulatory pilot programs to secure long-term offtake agreements.

‣ Get this Report in Japanese Language: 韓国の生分解性包装市場

‣ Get this Report in Korean Language:  한국생분해성포장시장 

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Author Bio:

Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc. (https://www.linkedin.com/in/money-singh-590844163 )