Forestry biomass replacing plastics in food packaging

In a move set to disrupt the global packaging industry, New Zealand’s NZ Bio Forestry and Taiwan-based PanCycle and Inspira Applied Bio Solutions have signed a strategic Agreement to develop a network of biorefineries producing sustainable, biodegradable biochemicals from New Zealand Pinus radiata. These next-generation materials will replace petroleum-based plastics in food and beverage packaging, targeting global markets hungry for sustainable alternatives.

The partnership’s initial focus is on producing biodegradable and recyclable biochemicals for beverage cups, food packaging, and utensils. It will start with the Australasian market, where demand for beverage cups alone exceeds 4 billion units annually. The first New Zealand-based biorefinery will produce 25,000 tonnes of a key biochemical, with plans for up to five biorefineries capable of delivering more than 100,000 tonnes per year.

Wayne Mulligan, CEO and Founder of NZ Bio Forestry, said, “This agreement builds on more than five years working with Inspira Applied Bio Solutions on a series of biochemicals and bioenergy applications and two years of deep technical collaboration with PanCycle”.

“Together, we’ve developed formulations, aligned leadership, and worked on product specifications and manufacturing requirements. NZ Bio Forestry alongside our Taiwanese partners, we were honoured to receive a Global Top 100 Award for carbon-negative bioplastics in 2023. Since then, we’ve been working with PanCycle and international investors to accelerate deployment. We see New Zealand as a good platform to commence biorefining,” said Wayne.

Kai Hsuan Lin, CEO of Inspira Applied Bio Solutions, added, “This agreement builds on the existing partnership with NZ Bio Forestry and extends far beyond packaging and beverage cups. PanCycle is committed to removing petroleum-based materials from its entire packaging and utensil range.”

This opens a market far larger than cups alone. Inspira Applied Bio Solutions and NZ Bio Forestry will be supporting PanCycle’s manufacturing expansion initially into Australia and New Zealand.

New Zealand’s forestry biomass provides a significant strategic advantage. New Zealand offers an abundant, renewable and sustainably managed forestry feedstock for producing high-value biochemicals such as PLA, PHA, and lignin-based materials. The flagship biorefinery in New Zealand will be a model for further expansion across the country.

These companies proudly produce bioplastics without diverting vital food crops like corn or cassava – protecting global food security and ensuring harvests feed people, not factories. At the same time, they are tackling one of the planet’s most urgent challenges: removing plastics and microplastics from our environment, our oceans, and ultimately, from the food we eat.

The collaboration between the companies represents a milestone in the global shift from fossil-based plastics to scalable, biodegradable alternatives, and underscores our collective commitment to a circular bioeconomy, innovation, decarbonisation, and economic sustainable growth.