Degradable Plastic Bag Prices vs. Raw Material Costs

With the implementation of the strictest plastic ban, retail stores such as shopping malls and supermarkets are prohibited from using non-degradable plastic bags. Data shows that China’s annual consumption of plastic bags ranges from 700,000 to 800,000 tons, far exceeding the production capacity of degradable plastic bags. Sayru Technology specializes in supplying a full range of plastic packaging bags, including degradable plastic bags, eco-friendly plastic bags, fully biodegradable plastic bags, degradable sacks, degradable eco-bags, and biodegradable plastic bags. So, what are the factors influencing the prices of degradable plastic bags?

The shift from low-cost plastic bags to high-priced degradable alternatives has significantly improved environmental friendliness, especially compared to conventional plastic bags which take hundreds of years to decompose naturally. However, the degradation rate of degradable plastic bags remains slow in natural environments. Therefore, consumers should still minimize plastic bag usage as much as possible. Even under industrial composting conditions—with temperatures above 55°C, abundant oxygen, and 60% moisture content—it still takes approximately one to two months for degradable plastic bags to fully decompose.

Why Are Degradable Plastic Bags Priced Higher?

The price of a single degradable plastic bag ranges from 0.5 to 1.7 yuan. China’s annual plastic bag consumption exceeds 4 million tons, equivalent to about 3 billion bags used daily. Meanwhile, annual consumption of plastic packaging for express delivery and food delivery reaches over 1.8 million tons and 500,000 tons respectively. The enforcement of the plastic ban has directly led to a substantial surge in orders for midstream degradable product manufacturers.

Producers of degradable plastic bags report a sharp increase in inquiries from shopping malls and supermarkets. The plastic ban has also boosted demand for polylactic acid (PLA)—a core raw material for biodegradable plastic bags—driving its price up by 100% year-on-year and resulting in tight supply. As one manufacturer noted, "Degradable plastic bags are extremely popular this year. Our sales team is fielding calls nonstop, with numerous supermarkets and retailers inquiring about and planning to order biodegradable plastic bags." Rising raw material costs amid surging demand is a key factor pushing up the prices of degradable plastic bags.

Driven by environmental policies, biodegradable plastics such as PLA, PBAT, PHA, PCL, and PBS are embracing new market opportunities in applications spanning disposable tableware, packaging, agriculture, automotive, medical, and textile industries. Further innovations are also on the horizon for biodegradable plastic modifiers and related additives, including chain extenders, anti-hydrolysis agents, tougheners, nucleating agents, and antibacterial agents.

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