Polyhydroxyalkanoates — PHAs — are a family of polyester bioplastics produced naturally by bacteria through fermentation of organic feedstocks. Unlike PLA (polylactic acid), which requires industrial composting conditions to break down, PHAs are biodegradable in soil, freshwater, and marine environments, making them one of the few bioplastics that address the problem of packaging that escapes waste management systems entirely.
How PHAs are made
PHA production works by feeding carbon-rich substrates to specific strains of bacteria under controlled conditions. The bacteria convert the carbon source into PHA granules, which they store internally as an energy reserve — essentially, the bacteria are making their own plastic. The PHA is then extracted, purified, and processed into pellets that can be used in standard plastic manufacturing equipment including injection moulding, blow moulding, extrusion, and film production.
What makes PHAs particularly interesting from a circular economy perspective is the range of feedstocks that can be used. While early PHA production relied on refined sugars, current research and commercial operations increasingly use waste streams: used cooking oil, food processing by-products, agricultural residues, and even wastewater. This aligns PHA production with waste valorisation principles — turning low-value organic waste into high-value packaging materials.
Current state of commercialisation
The global PHA bioplastics market was valued at approximately $97 million in 2025 and is projected to reach $171 million by 2034, growing at around 6.5% annually. Production capacity has been scaling rapidly, with global output exceeding an estimated 35,000 metric tonnes in 2024. Over 100 companies worldwide are now actively involved in PHA production or R&D.
Several companies are producing PHA at commercial scale or approaching it:
- Danimer Scientific (US): Operates two manufacturing facilities producing Nodax PHA. Capacity of approximately 10,000 tonnes annually. Partnerships with major FMCG brands for packaging applications.
- CJ Biomaterials (US/South Korea): Produces amorphous PHA (a-PHA) under the CJ PHA brand. Testing shows PLA/PHA blends achieve 98% degradation in composting conditions. Certified OK Compost HOME and OK Compost INDUSTRIAL by TÜV Austria.
- RWDC Industries (Singapore): Produces Solon PHA as a drop-in replacement for petroleum-based single-use plastics. Certified biodegradable in soil, freshwater, and marine environments.
- Shellworks (UK): London-based manufacturer producing VIVOMER packaging from PHA. FDA and EU food-contact certified. Over 8 million parts shipped. Compatible with injection moulding, blow moulding, and extrusion. Listed in the FuturePack directory.
- Kaneka Corporation (Japan): Produces KANEKA Biodegradable Polymer PHBH from vegetable oils at its Takasago factory. Applications include food packaging, agricultural films, and marine materials.
Packaging applications
PHA’s versatility makes it suitable for a wide range of packaging formats:
- Rigid containers: bottles, tubs, pots, and jars via injection and blow moulding
- Flexible films: wraps, sachets, and bags via extrusion and blown film
- Coatings: paper and board barrier coatings that maintain compostability of the substrate
- Coffee capsules and tea pods: replacing non-recyclable aluminium or plastic capsules
- Multilayer films: PHA/PLA blends for food packaging with improved barrier properties
Challenges and outlook
The primary barrier to wider PHA adoption remains cost. PHA currently costs 30–50% more than conventional plastics, though prices are declining as production scales and fermentation technology improves. Production costs have fallen by approximately 20% in recent years through advances in microbial engineering and process optimisation.
For the UK packaging market specifically, PHA offers a compelling proposition under the new pEPR regulatory framework. Packaging made from PHA that is certified compostable through established end-of-life pathways could receive favourable treatment under the RAM — provided collection and composting infrastructure exists to process it. The growth of Simpler Recycling’s food waste collection from 2025 creates a natural disposal route for compostable PHA packaging alongside food waste.