Recycled polyethylene terephthalate (rPET) market graph is estimated to witness an exponential surge through 2028, primarily driven by the escalating trend of sustainability in plastics industry. Rising concerns regarding landfill population are as well stimulating the market demand.
Another primary factor that is expected to expand the growth prospects of Recycled polyethylene terephthalate (rPET) market across diverse global economies is the product’s increasing applicability in myriad industries like consumer goods, FMCG, textile, and automotive. Besides, various government initiatives pertaining to the recycling of plastics, in line with high investments are likely to bolster the growth of recycled polyethylene terephthalate market over 2022-2028.
Recycled PET boasts superior chemical properties, high thermal resistance, is lightweight, and is readily available to be used in the packaging industry. The growth in packaging industry is expected to come from the rising demand for packaged food and beverages by working population and an expanding need for increased shelf life of these products.
However, mounting emission of carcinogenic compounds from PET recycling is the major factor limiting the growth of Recycled polyethylene terephthalate (rPET) market over the due course of time. Additionally, mismanagement of infectious plastic waste is further posing a challenge to plastic recycling, thus impeding the market growth curve.
Based on the grade type, bio-based Recycled polyethylene terephthalate (rPET) market is speculated to record significant gains through 2028. Recycled PET is generally combined with bio-based monomers with an aim to incentivize plastic reclamation. The growing prominence of bio-based recycled polyethylene terephthalate has enabled various companies to shift their interest towards bio-based rPET, thereby enhancing the future outlook of the segment.
In terms of the product, clear recycled PET is gaining ground globally. This can be ascribed to the ease of bottle-to-bottle recycling and low energy requirements. Besides, the product is deemed to be highly durable, non-reactive, shatterproof, and lightweight. Rising usage of clear rPETs in food and non-food applications owing to the lower cost of processing associated with the product is further estimated to drive the segmental value in the ensuing years. Additionally, the compound helps in detecting changes in products inside, like fungal growth, color, and chemical reaction.
Considering the end-user segmentation, recycled PET market is anticipated to register stellar growth from the textiles segment. Fibers of these compounds are used for making mattresses, car seating, mattresses, and more. Various types of clothing, including jackets and t-shirts make use of fibers produced from recycled polyethylene terephthalate. Several textile companies are also trying to include recycled PET to create trending apparel adding to the sustainable quotient of these brands. For instance, Reliance Industries Limited recently launched a high-quality premium fabric- R| Elan GreenGold Ecoocean. The fabric has been synthesized from recycled PET bottles. This initiative would help the company attain a significant position in the global market.
Geographically, Asia Pacific Recycled polyethylene terephthalate (rPET) market growth is characterized by the easy availability of low cost skilled labor force and thriving F&B business resulting in an increased demand for food packaging. Also, paradigm shift in the production landscape toward developing nations, especially China and India, positively influencing the regional market progression.
Evergreen Plastics, Placon Corporation, M & G Chemicals, BariQ, Verdeco Recycling, Libolon, and PolyQuest amongst others. These vendors are actively engaged in different marketing strategies like mergers and acquisitions, partnerships, and more to gain a competitive edge in the global market.
COVID-19 pandemic has had a moderate impact on the global rPET market. The downfall in the market sales curve can be reasoned to the temporary halt in manufacturing industries, disruptions in raw material supply chain, and reduced workforce in production units. However, the growth can be accounted by the growing demand for packaged food and beverages, that came in the lieu of infection spread scare amongst people.