The global market for compostable & biodegradable refuse bags is witnessing a significant surge, driven by mounting environmental concerns and stringent government regulations regarding plastic waste. Projected to grow from USD 366.5 million in 2025 to USD 756.3 million by 2035, the market is poised for robust expansion at a CAGR of 7.5%. Retail and consumer sectors are emerging as dominant end-users, reshaping waste disposal practices globally with sustainable alternatives.
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Market Trends Highlighted:
Sustainability Drives Consumer Choices: With growing awareness about environmental pollution caused by plastics, both retailers and consumers are showing a marked preference for compostable & biodegradable refuse bags.
Retail Sector Leading Adoption: Over 55% of the market will be captured by the Retail & Consumer sector by 2035, as retailers actively promote biodegradable options to meet evolving customer expectations.
Favorable Regulations Supporting Market Growth: Increasing bans and restrictions on single-use plastics across regions such as Europe and North America are accelerating the shift toward compostable alternatives.
Product Innovation on the Rise: Manufacturers are investing in R&D to create bags with enhanced strength, durability, and faster decomposition rates, supporting wider adoption across industries.
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Key Takeaways of the Report:
- Market Size & Growth: The compostable & biodegradable refuse bags market is estimated at USD 366.5 million in 2025, projected to nearly double, reaching USD 756.3 million by 2035 at a CAGR of 7.5%.
- 2024 Performance: The market generated USD 341.5 million in revenue in 2024, laying a strong foundation for future growth.
- Sector Dominance: The Retail & Consumer sector is forecast to remain dominant, capturing over 55% market share by 2035.
- Sustainability as a Driver: Increasing consumer preference for eco-friendly products coupled with retailer-led sustainable initiatives is fueling demand.
- Global Push for Green Alternatives: Regulatory mandates globally are paving the way for compostable solutions, making them essential for long-term waste management strategies.
Regional Market Outlook (2-3 lines each):
- North America: The United States will remain a regional leader with a projected CAGR of 6.4% through 2035, backed by proactive regulatory policies and growing eco-consciousness among consumers.
- Europe: Spain is expected to witness a steady rise with a 7.1% CAGR by 2035, supported by strict EU mandates against plastic waste and strong demand for biodegradable solutions across sectors.
- Asia-Pacific: India and China will emerge as key growth drivers, with CAGRs of 8.6% and 8.4%, respectively, due to increasing urbanization and government emphasis on sustainable waste management practices.
- Key Countries Growth Forecast (2025-2035):
| Country | CAGR (2025-2035) |
| United States | 6.4% |
| India | 8.6% |
| Germany | 6.1% |
| China | 8.4% |
| Spain | 7.1% |
| United Kingdom | 5.9% |
| Canada | 6.2% |
Competition Outlook:
The compostable & biodegradable refuse bags market is characterized by intense competition, with both established players and emerging startups contributing to innovation and market expansion. Companies are focusing on expanding production capacities, forming strategic partnerships, and launching differentiated product lines to strengthen their foothold.
Explore Sustainable Packaging Industry Analysis: https://www.futuremarketinsights.com/industry-analysis/sustainable-packaging
