Seymour, Indiana, Aug. 13, 2013 (GLOBE NEWSWIRE) -- Cereplast, Inc. (OTCQB: CERP) (the "Company"), a leading manufacturer of proprietary biobased, compostable and sustainable bioplastics, today is providing an outlook on the bioplastics industry over the next five years and the Company's growth opportunity within this market.
In 2012, the total addressable market for conventional plastics was $1 Trillion. Cereplast believes that the bioplastics market will represent 30% of the overall plastics industry within the next 25 years as a result of the need to find alternative feedstock to replace limited and cost-increasing fossil resources. Of this $1 Trillion, the bioplastics industry is expected to represent $10 billion by the year 2020. Although a significant percentage of that market will likely be controlled by the large chemical companies, as a pioneer in the bioplastics space with a strong intellectual property portfolio, Cereplast's goal is to capture approximately $300 million of the marketplace by 2020.
Cereplast is focused on two key bioplastic market segments: compostable bioplastics and biobased bioplastics:
Cereplast Compostables® resins replace nearly 100% of the petroleum-based additives used in traditional plastics and are used for single-use disposables and packaging including cups, straws, cutlery and bags. These resins are biodegradable by industrial composting meeting the United States and European standards for compostability and will biodegrade within 180 days when disposed of in an industrial composting facility. Many grades have BPI and/or DIN Certco certification. The main market driver for compostable grades globally is legislation that bans the use of conventional plastics for single-use disposable items such as plastic bags. It is anticipated that this type of legislation will continue to increase around the world in the coming years as countries and local municipalities alike try to tackle the inherent problems associated with the use of conventional plastics in their areas.
Cereplast Sustainables® resins replace up to 95% or more of the petroleum content used in traditional plastics and provide a lower carbon footprint for durable applications such as automotive, consumer goods, fashion accessories, consumer electronics, medical packaging, cosmetics packaging, toys, furniture, office supplies, home accessories and construction. The Cereplast Sustainables resins include the Cereplast Bio-polyolefins® grades, as well as Ethylene Acrylate, Polylactic Acid and Polypropylene-filled biobased resins. The market drivers for biobased grades are a desire to reduce dependence on fossil resources such as petroleum, as evidenced by the USDA Biobased Preferred program in the United States, as well as in an effort for companies to produce more sustainable products that provide a lower carbon footprint compared to products made with conventional plastics.
The Cereplast intellectual property portfolio consisting of more than 20 patents and patent applications in the USA and worldwide for both key market segments is very strong, and places the Company at a competitive advantage today and into the future. Today the Company is focused on further developing its business in Europe, North America and Asia.
About Cereplast, Inc.
Cereplast, Inc. (OTCQB:CERP) designs and manufactures proprietary biobased, sustainable bioplastics which are used as substitutes for traditional plastics in all major converting processes - such as injection molding, thermoforming, blow molding and extrusions - at a pricing structure that is competitive with traditional plastics. On the cutting-edge of biobased plastic material development, Cereplast now offers resins to meet a variety of customer demands. Cereplast Compostables® resins are ideally suited for single-use applications where high biobased content and compostability are advantageous, especially in the food service industry. Cereplast Sustainables® resins combine high biobased content with the durability and endurance of traditional plastic, making them ideal for applications in industries such as automotive, consumer electronics and packaging. Learn more at www.cereplast.com. You may also visit the Cereplast social networking pages at Facebook.com/Cereplast, Twitter.com/Cereplast and Youtube.com/Cereplastinc.
Safe Harbor Statement
Matters discussed in this press release contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this press release, the words "anticipate," "believe," "estimate," "may," "intend," "expect" and similar expressions identify such forward-looking statements. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein. These forward-looking statements are based largely on the expectations of the Company and are subject to a number of risks and uncertainties. These include, but are not limited to, risks and uncertainties associated with: the impact of economic, competitive and other factors affecting the Company and its operations, markets, product, and distributor performance, the impact on the national and local economies resulting from terrorist actions, and U.S. actions subsequently; and other factors detailed in reports filed by the Company.