What Are Compostable Plastics? What Businesses Should Know Today
- Aishwarya Iyer
- Aug 12
- 5 min read
Updated: Aug 19
Written by Aishwarya Iyer

Picture this: You’ve just finished a delicious takeout meal. In front of you sit a plastic container, a cup, and utensils, all destined for the trash.
Every day, millions of these single-use plastics are tossed away, piling up in landfills and polluting our oceans. With plastic choking our planet, compostable plastics are emerging as a sustainable, eco-friendly packaging alternative that actually breaks down into safe, natural materials.
What is compostable plastic?
Compostable plastic is a sustainable alternative to traditional plastic, designed to break down into natural components like water, carbon dioxide, and organic matter when placed in the proper composting environment.
Compostable plastics emerged as a response to the environmental crisis caused by traditional plastic waste. Unlike conventional plastics, which persist in nature for hundreds of years, compostable plastics, like the disposable cup you see here, break down into natural elements under the right conditions, leaving no toxic residue behind.
With approximately 8 million metric tons of plastic entering our oceans annually, scientists and manufacturers have been racing to develop alternatives that don't persist in the environment for hundreds of years.
Compostable plastics are not just another green trend, they’re a practical solution to the mounting global plastic waste crisis. With only 9% plastic successfully recycled annually in the US, most end up polluting ecosystems or contributing to greenhouse gas emissions in landfills.
The promise is that compostable plastics, when disposed of correctly in industrial or home composting systems, offer a way to close this loop by turning waste into valuable compost for agriculture. Lean more about composting in our guide to composting at home.
In simple terms, compostable plastics are a type of biodegradable plastic that, under the right composting conditions, break down into water, carbon dioxide, and nutrient-rich biomass without leaving behind toxic residues. They’re often made from renewable, plant-based materials such as cornstarch, sugarcane, or potato starch, though some also contain compostable synthetic components.
One common type of compostable plastic is PLA plastic. But what does PLA plastic mean exactly? PLA (polylactic acid) refers to a bioplastic derived from renewable resources like corn starch or sugarcane. Examples of this include food service supplies like: Cups, utensils, bowls, and takeout containers. Unlike traditional petroleum-based plastics, PLA breaks down in industrial composting environments, making it a viable eco-friendly alternative.
Types of compostable plastics: PLA, PHA, & starch-based

PLA (Polylactic Acid): Made from renewable resources like fermented plant starch. PLA is used to make products like our certified compostable cups, utensils, and more.
PHA (Polyhydroxyalkanoates): Natural, biodegradable polymers produced by microorganisms. Used in packaging and medical applications.
Starch-based/bioplastics: Derived from natural starch. Often blended with other compostable polymers to improve properties. Used in food packaging and other applications.
The growing market for compostable packaging
As environmental awareness rises, consumers and corporations are seeking alternatives to traditional plastics. Governments worldwide are implementing stricter regulations against single-use plastics, further driving demand for compostable options.
The numbers tell a compelling story of growth.
According to a Grand View research report, the global compostable plastics market was valued at approximately $2.34 billion. The market is projected to grow at a CAGR of 11.01%, reaching nearly $5.12 billion by 2030.
Global production of bioplastics (including compostable varieties) reached approximately 2.8 million tonnes in 2023, with projections suggesting this could reach 7.5 million tonnes by 2030.
Consumer awareness about plastic pollution has skyrocketed in recent years. According to a 2023 report by McKinsey & Company, 60-70% of consumers across the United States and Europe report they would pay more for sustainable packaging.
North America currently leads the market for compostable packaging, followed closely by Europe, where regulations increasingly favor biodegradable alternatives. However, the Asia-Pacific region is experiencing the fastest growth, driven by expanding middle classes and increasing environmental awareness.
This shift in consumer preference has pushed brands to seek alternatives to conventional plastics. Companies like Starbucks and Whole Foods have already transitioned to compostable packaging, setting an example for how businesses can make the change to sustainable food service supplies.
Major corporations have taken notice to the shift. Up-and-coming brands like 787 Coffee, Footprint, Tetra Pak, Loliware and more have all announced commitments to make their packaging more sustainable, with compostable materials playing a significant role in these strategies.
Interested in seeing if compostable products are right for your food service business?
Click blow and order your free product samples.
Biodegradable vs. compostable plastics: are they the same?
The terms biodegradable and compostable are often used interchangeably, but they are not the same. Biodegradable means a material will eventually break down into smaller pieces with the help of microbes, but there’s no set time limit. Compostable means the product can fully break down into nutrient-rich biomass within a specific time frame without leaving toxic residue. Typically this means they need to meet strict standards like ASTM D6400 or EN 13432.
Feature | Biodegradable Plastics | Compostable Plastics |
Breakdown Time | Can take years or even decades | Breaks down within months (in proper conditions) |
Disposal Conditions | Can degrade in varied conditions | Requires industrial or home composting |
End Products | May leave behind microplastics | Leaves only water, CO2, and biomass |
Critical composting considerations
Industrial vs. home composting: Many compostable plastics require industrial composting facilities with high temperatures and specific moisture levels to break down properly. Look for "home compostable" certification if you plan to compost at home.
Certification labels: Look for clearly marked certification logos like BPI Certified Compostable or OK Compost from TÜV Austria to know it’s legit.
Proper disposal critical: Compostable plastics sent to landfills may not break down due to lack of oxygen and proper conditions.
Not recyclable: Don't mix compostable plastics with regular plastic recycling, they can contaminate the recycling stream.
Adopting compostable plastics: Key challenges
Despite their potential, businesses face key challenges when adopting compostable plastics:
Consumer confusion: Without clear labeling and education, consumers often don't know how to properly dispose of compostable items. Many compostable plastics end up in landfills or recycling bins, where they can cause contamination so clear labels are needed.
Degradation requirements: Most compostable plastics require specific conditions to break down properly, they will not break down in the environment naturally (unless stated otherwise).
Infrastructure gaps: The biggest hurdle is the lack of industrial composting facilities. According to the US Composting Council, only about 5% of food waste is currently composted in the United States, and many facilities don't accept compostable plastics so be sure to check with your local compost company.
Advocating for compostable materials
Despite these challenges, here are some meaningful ways to encourage the use of compostable plastics:
Support businesses using certified compostable packaging: Your purchasing decisions send powerful signals to the market.
Check local facilities: Contact your local waste management authority to find out if they accept compostable plastics in their composting programs.
Advocate for better infrastructure: Encourage your local government to invest in composting facilities that can process compostable plastics.
Reduce first, then reuse: Remember that even compostable single-use items have an environmental impact. Prioritize reusable alternatives whenever possible.
Related reading: restaurant composting, plastic recycling
As we continue to wrestle with plastic pollution, compostable alternatives offer a pathway to reducing our environmental impact without sacrificing convenience. While they're not a perfect solution, they represent an important step toward more sustainable solutions to single-use.
Whether you're a business looking to upgrade your supplies or an individual reducing your plastic footprint, compostable products make a real difference.
Switch to packaging that customers love and the planet thanks you for. Order your free compostable packaging samples today and see the difference in quality, sustainability, and customer satisfaction—no risk, just results.
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