The Australian recycled plastic market has experienced significant growth in recent years. Plastic recycling has become an integral part of the packaging industry as it aids in reducing environmental pollution and offers an eco-friendly alternative to single-use plastic. Recycled plastic can be used to produce a variety of products such as plastic bags, cups, containers, bottles, automotive parts, clothing, carpets, and others. The process involves collecting discarded plastic items from various sources, segregating them based on their resin identification codes, cleaning and shredding them into flakes, and converting into pellets that can be re-molded into new products.
The Australian Recycled Plastic Market is estimated to be valued at US$ 798.1 Mn in 2024 and is expected to exhibit a CAGR of 8.7% over the forecast period 2024-2031.
Key Takeaways
Key players operating in the Australian recycled plastic market are Synergy Packaging, Amcor PLC, Vanden Global Ltd, Corex, Pact Group Holdings Australia Pty Ltd and Among Others. Key players are engaging in expansion activities and product innovation to strengthen their market position. For instance, in 2022, Synergy Packaging opened a new recycled plastic processing facility in Melbourne to meet the growing demand for recycled content in food packaging applications.
The demand for recycled plastic is increasing due to stringent government regulations restricting the use of single-use plastic and promoting circular economy. Australia has implemented several policies to ban single-use plastic items and encourage plastic recycling. The growing environmental awareness among consumers is also fueling the consumption of recycled plastic products.
Technological advancements such as advanced recycling and chemical recycling are helping increase plastic recycling rates. Advanced recycling uses pyrolysis and gasification to break down mixed plastics into synthetic oil, while chemical recycling adopts depolymerization to separate plastics into their basic chemical components for repolymerization. These new methods allow for recycling of multi-material flexible plastic packaging that was previously difficult to recycle.
Market Trends
Downcycling of plastic is being replaced by upcycling where recycled plastic is converted into products with equal or higher quality than the original. Companies are investing in new recycling technologies to produce food-grade recycled plastic. The market is also witnessing a rise in demand for recycled content in products across industries such as textiles, construction and automotive.
Market Opportunities
Strict regulations mandating minimum recycled plastic usage in packaging products will drive opportunities. Collaboration between value chain participants to close plastic waste loops and develop advanced recycling infrastructure can boost market growth. Rising environmental consciousness makes recycled plastic an ethical choice for consumers, presenting lucrative opportunities.
Impact Of COVID-19 On Australia Recycled Plastic Market Growth
The COVID-19 pandemic negatively impacted the Australia recycled plastic market in the initial months of 2020. The lockdowns enforced to curb the spread of the virus led to closure of manufacturing facilities and disruption in supply chains across various end-use industries such as packaging, construction, automotive, etc. This affected the demand for recycled plastics from these industries. However, with restrictions being gradually lifted since mid-2020 and economic activities restarting, the market is witnessing steady recovery. The pandemic has also increased focus on sustainability and environmental protection, boosting use of recycled plastics over virgin plastics.
Government initiatives to promote circular economy and reduce dependency on landfills and dumping sites for plastic waste disposal are expected to drive greater collection and recycling of plastic post-pandemic. More companies are committing to use higher recycled content in their plastic products and packaging in view of evolving sustainability priorities of consumers and regulations. Despite short-term headwinds, recycling rates are projected to increase steadily over the coming years supported by policy push for plastic waste management and growing awareness about environmental conservation.
Geographical Regions With High Market Concentration
The Australia recycled plastic market is primarily concentrated in the states of New South Wales and Victoria in terms of value. This is owing to the high population and industrial presence in these states which generates significant plastic waste. Both states collectively accounted for over 60% share of the country's total recycled plastic demand pre-COVID. Other major regions include Queensland and Western Australia due to large-scale mining and resources industries. With recovery underway, these traditional hubs are anticipated to remain prominent over the forecast period as well.
Fastest Growing Geographical Region
Tasmania has emerged as one of the fastest expanding markets for recycled plastics in Australia in recent times. Supported by the state government's agenda of achieving zero waste by 2050 and initiative to formalize the recycling sector, collection and recycling rates have jumped markedly in Tasmania compared to national average. Further, growing 'Go Green' sentiment among locals and shift towards eco-friendly business practices are contributing to above average demand growth from various end-use sectors on the island state. If this momentum sustains, Tasmania is likely to witness strongest volume CAGR over the next few years.
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Ravina Pandya, Content Writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc. (https://www.linkedin.com/in/ravina-pandya-1a3984191)
What Are The Key Data Covered In This Australia Recycled Plastic Market Report?
:- Market CAGR throughout the predicted period
:- Comprehensive information on the aspects that will drive the Australia Recycled Plastic 's growth between 2024 and 2031.
:- Accurate calculation of the size of the Australia Recycled Plastic and its contribution to the market, with emphasis on the parent market
:- Realistic forecasts of future trends and changes in consumer behaviour
:- Australia Recycled Plastic Industry Growth in North America, APAC, Europe, South America, the Middle East, and Africa
:- A complete examination of the market's competitive landscape, as well as extensive information on vendors
:- Detailed examination of the factors that will impede the expansion of Australia Recycled Plastic vendors
FAQ’s
Q.1 What are the main factors influencing the Australia Recycled Plastic ?
Q.2 Which companies are the major sources in this industry?
Q.3 What are the market’s opportunities, risks, and general structure?
Q.4 Which of the top Australia Recycled Plastic companies compare in terms of sales, revenue, and prices?
Q.5 Which businesses serve as the Australia Recycled Plastic ’s distributors, traders, and dealers?
Q.6 How are market types and applications and deals, revenue, and value explored?
Q.7 What does a business area’s assessment of agreements, income, and value implicate?
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
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