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Compostable Food Trays Market

Market Insights on Compostable Food Trays covering sales outlook, demand forecast & up-to-date key trends

Compostable Food Trays Market : Global Industry Analysis 2016 - 2020 and Opportunity Assessment 2021 - 2031

Compostable Food Trays Market Overview

Newly released data from compostable food trays market analysis shows that global demand of compostable food trays market is forecasted to expand at a value compound annual growth rate (CAGR) of ~7% from 2021-2031 and reach millions of units by 2031.

In terms of growth, the compostable food trays market is projected to witness a prominent sales growth rate by 2031, owning to the increasing demand for sustainable packaging solutions and the rapidly growing trend of ready-to-eat meals.

Compostable Food Trays Market: Market Outlook

With the rising environmental concern, the preference towards compostable, biodegradable packaging is rising. The compostable food trays are made of eco-friendly and renewable plant fibres such as bamboo,  pulp leftover from sugarcane (bagasse), corn starch, wheat bran, palm leaves, coconut coir, Kraft paper, etc.

They are eco-friendly, bio-degradable, and compostable, do not contain harmful chemicals, and do not contaminate the food. These compostable food trays have an elegant look, and they are sturdy, durable, break-proof, and crack-proof properties. These compostable food trays are microwave-safe, and freezer friendly; therefore, they can be used for hot and cold food packaging.

Additionally, they accommodate light, heavy, liquid, or solid food products confidently.  The food trays locking system ensures no leakages, spillages, therefore considered as the most convenient food packaging.

These compostable food trays are made from plant fibre or wood pulp, which can be disposed of naturally without harming the environment; hence these environment-friendly compostable food trays market will have exponential growth in coming years.

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What Are the Key Market Drivers Impacting the Growth of Compostable Food Trays Market?

The compostable food tray is a premium quality natural container made from sustainable and renewable plant fibre without plastic.  Compostable food packaging is gaining importance due to growing environmental concerns and consumers’ preference for eco-friendly and sustainable products.

Various countries are not restricting the use of plastic packaging due to its harmful effects on the environment. Hence the compostable food trays market is anticipated a significant demand. Additionally, the compostable food trays with partitions keep the food products separate, easy and convenient for eating. Food trays with separate compartments keep the food products apart and do not get mixed up and messy. 

Therefore, it becomes suitable for hotels and restaurants to pack the food properly.

Furthermore, with the rising trend towards outings, picnics, and family get-togethers, compostable food trays are considered the best option due to their ease of carrying and disposing of properties. The compostable food trays are also widely used during corporate events, office meetings, big parties, and social functions as the most suitable and sustainable packaging solution.

Thus, the demand for the compostable food trays market is anticipated to witness significant growth.

What is the Key Trend Increasing Sales of Compostable Food Trays Market?

Nowadays, the trend towards readymade food orders and ready-to-eat food ordering is popularizing tremendously due to increasing working hours, busy lifestyles, and income growth of middle-class families. The rising awareness towards healthy food consumption and preference towards natural organic food packaging generates massive demand for compostable food trays.

Hence, compostable food trays, with their features of protecting the food from spoilage during transportation, keeping the food products fresh and safe, maintaining nutritional value, and food quality, is expected to augment the growth of compostable food trays.

Ismail Sutaria
Principal Consultant
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What are the Key Opportunities Shaping the Consumption of Compostable Food Trays?

The vision towards a more sustainable packaging solution and rigorous efforts of the manufacturers towards technological advancement, continuous research, and development process to produce more environment-friendly compostable food trays without any adverse effect on nature could create an ample opportunity for compostable food trays in the near future.

What are the Key Challenges that may Restrain Growth of the Compostable Food Trays Market?

The compostable food trays prices are the biggest challenge. The cost of the compostable food trays is much higher than regular conventional food packaging products; therefore, the layman cannot afford to purchase the same very often.

Even the various food packaging compliances and stringent rules and regulations regarding the manufacturing processes and specific disposable guidelines adversely affect the key manufacturers. Additionally, the recycling and disposing costs and poor infrastructure also lead to lower demand for compostable food trays.

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Competitive Landscape

Key players such as 

are actively involved in compostable food trays market for different applications. 

Key Asian players such as

  • Suzhou Ecos Tableware Co. Limited
  • Ecoware Solutions Private Limited
  • Nature Packwell Pvt Ltd
  • Bonito Eco-packaging Co. Ltd
  • Cosmos Eco Friends.
  • Serim B&G Co.Ltd 
  • others

are actively involved in compostable food trays market for different applications. 

What strategies are the Key Players adopting for Increasing their Market Share in Compostable Food Trays Market?

The manufacturers involved in manufacturing compostable food trays adopt various strategies such as innovation and product launch, focusing on sustainability to serve the increasing demand for the compostable food trays market.

Huhtamaki Oyj has developed economical molded fibre SAVADAY® tray for environmentally conscious users. The tray is made from 100% recycled material and is 100% compostable.

Why is the U.S. a Big Market for the Compostable Food Trays Market?

The trend of fast-food restaurants, take-out shops, readymade or ready-to-eat food packages, meals-to-go, and food trucks is growing extensively in U.S. Due to a fast and busy lifestyle and convenience, the preference towards food ordering is rising remarkably. The U.S. is a developed country, and the people are very much concerned about naturally-grown and organic products consumption due to environmental protection.

Therefore the customer’s choice of high-quality food packaging with elegant, eco-friendly, and sustainable functionality drives the compostable food trays market in the United States. Various NGOs and the Government are promoting the use of bio-degradable, recyclable and compostable food products.

FDA-approved food-grade disposable compostable, eco-friendly, carbon-neutral, renewable resource food packaging trays are expecting an overwhelming demand in recent years in the United States.

How has the COVID-19 impacted the Compostable Food Trays Market?

The COVID-19 outbreak created a healthy lifestyle and awareness towards personal care and hygienic, nutritious food consumption.  The lockdown, travel restrictions, shut down of public places,  offices, malls, restaurants, and cafes, the work from home culture has created an ample opportunity for food providers and suppliers.

Additionally, the compostable food trays are sturdy, leakage-proof, environment-friendly, and without plastic use; therefore, consumers prefer the food trays as the most sustainable and hygienic packaging solution during Covid-19.

Key Segments of Compostable Food Trays Market Covered in the Report

Based on compartment:

  • Single
  • 2 to 5
  • More than 5

Based on Material:

  • Kraft Paper
  • Paperboard
  • Bagasse
  • Bamboo
  • Others (corn starch, wheat barn, etc.)

Based on End Use:

  • Restaurants, cafe and eateries
  • Catering services
  • Groceries and fresh produce

Based on the Region:

  • North America
  • Latin America
  • Europe
  • South Asia
  • East Asia
  • Oceania
  • Middle East & Africa
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Ismail Sutaria
Principal Consultant
LinkedIn
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