As sustainability becomes a priority, more businesses are rethinking their packaging. Biodegradable and compostable packaging are two leading solutions, but they are not the same. Knowing the difference helps companies choose smarter, more sustainable packaging.
This guide is for wholesalers and brand owners seeking eco-friendly packaging. You’ll learn the key definitions, materials, environmental impacts, and how to choose the right option for your products and markets.
What is Biodegradable Packaging?
Biodegradable packaging refers to materials that break down naturally with the help of microorganisms, turning into water, carbon dioxide, and organic matter over time.
However, there is no universal standard for how fast or completely this must occur, and biodegradability depends heavily on environmental conditions.
Common Materials
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- PLA (Polylactic Acid): A bio-based plastic made from fermented plant starch, typically corn or sugarcane. Used in clear cups, lids, trays, and clamshells. While biodegradable, it often requires industrial composting to break down effectively.
- PBAT: A biodegradable plastic often blended with PLA to improve flexibility. Common in mailers, flexible pouches, and compostable shopping bags.
- Starch-Based Blends: Made by combining cornstarch, tapioca, or potato starch with other biodegradable polyesters, used in biodegradable film, packaging peanuts, and molded items.
- Kraft Paper & Cardboard (Uncoated): Sourced from wood pulp and widely used in mailers, pouches, cartons, and wrapping paper. Biodegradable if not coated with plastic.
What is Compostable packaging?
Compostable packaging refers to materials that break down into natural, non-toxic components—such as water, carbon dioxide, and nutrient-rich humus—under composting conditions.
It’s essential to distinguish between industrial compostability and home compostability, as they require very different environments and affect both end-user experience and regulatory compliance.
Industrial Compostability
Manufacturers design industrial compostable packaging to break down in commercial composting facilities, where they tightly control the conditions：
- Temperature: Maintained at 55–70°C (131–158°F) to accelerate microbial activity
- Humidity: High moisture levels to support microbial decomposition
- Aeration: Constant airflow for aerobic breakdown
- Timeframe: Materials must disintegrate within 12 weeks and fully biodegrade within 6 months, per standards like EN 13432 and ASTM D6400
It must be clearly labeled as “Compostable in Commercial Facilities”, and you should verify if such facilities exist in your target markets (especially important for EU and US exports).
Home Compostability
Home compostable packaging is engineered to decompose in a backyard compost system, which typically lacks high temperatures or mechanical turning. These materials must break down naturally in ambient conditions, often more slowly but more accessible to end users.
Key features of home compostable packaging:
- Lower temperature tolerance: Breaks down at room temperature
- No industrial processing required
- Breakdown time: Typically within 6–12 months, depending on thickness and material
- Residue: Leaves no toxins or microplastics; safe for soil and plants
Home compostable materials are certified under OK Compost HOME or equivalent labels and are ideal for zero-waste brands and eco-conscious customers who want to handle waste responsibly at home.
Common Materials
Compostable packaging must meet strict certification standards to ensure complete breakdown into non-toxic, soil-enriching components. These materials are ideal for short-life, single-use applications like food service and mailers.
Below are the most widely used compostable materials:
- PLA + PBAT Films: When combined, they create flexible and compostable packaging films for mailer bags, garment packaging, food-grade liners, and pouch films.
- Bagasse: A fibrous byproduct of sugarcane processing, used in food containers, trays, and clamshell boxes. Compostable in both home and industrial settings.
- Compostable Kraft Paper (with Bio-lining): Standard Kraft lined with PLA or water-based coatings becomes compostable. Common in stand-up pouches, takeout bags, and wrapping sheets.
- Starch-Based Loose Fill: Made from corn or potato starch, these dissolve in water and compost quickly. Used for e-commerce and protective packaging.
- Natural Bamboo Paper or Fabric: Highly renewable and compostable when unprocessed or minimally treated. Ideal for premium pouches, tissue wrap, or display cards.
How does Biodegradable and Compostable Packaging Affect the Environment Differently?
Understanding how biodegradable and compostable packaging interact with the environment is essential for any brand seeking truly sustainable solutions.
While both types aim to reduce pollution and landfill waste, they differ significantly in their breakdown processes, emissions, and ecological outcomes.
Decomposition Conditions and Behavior
Some biodegradable packaging needs high heat, moisture, or oxygen, while others break down slowly in soil, water, or landfills. In oxygen-poor environments like landfills, degradation slows significantly and can take several years, sometimes without fully disappearing.
In contrast, compostable packaging is engineered to break down within specific timeframes and under defined conditions.
- In industrial composting facilities, compostable items decompose within 90 to 180 days.
- Home compostable products take longer but still break down safely, often within 6 to 12 months.
Importantly, compostable packagings are designed to fully disintegrate without leaving harmful residues like microplastics.
Impact on Soil and Ecosystems
Properly composted materials become nutrient-rich compost, enriching the soil and supporting plant life. Compostable packaging contributes positively to the circular economy, turning waste into a resource.
Biodegradable materials, especially those derived from petroleum-based plastics, may not fully break down or may leave microplastic or chemical traces in the soil. These residues can contaminate ecosystems and disrupt microbial life.
Greenhouse Gas Emissions
Biodegradable packaging disposed of in landfills often decomposes under anaerobic (oxygen-free) conditions, releasing methane, a greenhouse gas over 25 times more potent than CO₂.
Compostable packaging, when handled correctly in aerobic composting systems, undergoes a cleaner breakdown process and emits minimal to no methane. This makes it a more climate-friendly solution—if the right composting infrastructure is available.
Certification and Misleading Claims
“Biodegradable” is a broad term with no global standard. Many products labeled biodegradable do not meet regulated criteria, and some may degrade only partially or under unrealistic conditions, making them vulnerable to greenwashing.
“Compostable,” by contrast, is a regulated term. Legitimate compostable packaging must pass stringent tests and certifications.
Comparison Table of Biodegradable and Compostable Packaging
| Aspect | Biodegradable Packaging | Compostable Packaging |
| Breakdown Conditions | Varies; often slow in landfills or nature | Designed for composting environments |
| Degradation Time | Months to years | 90–180 days (industrial); up to 12 months (home) |
| Residue | May leave microplastics or toxins | Leaves safe, nutrient-rich compost |
| Climate Impact | May emit methane in landfills | Minimal GHG emissions if composted properly |
| Certifications Required? | No standard required | Must meet regulated certifications |
Which Packaging Fabrics Can be Compostable or Biodegradable?
With the growing demand for sustainable alternatives to plastic, natural fabrics have become a popular option in eco-friendly packaging. This section explores which packaging fabrics are truly compostable or biodegradable and what factors businesses should consider when choosing them.
General Principles or Selection Criteria
Fabrics must be 100% plant-based, untreated, and free from synthetic coatings or dyes to qualify as compostable or biodegradable. Blended or coated fabrics disqualify the product from eco-certifications.
Packaging Fabrics
Natural fiber-based fabrics are widely used in reusable and sustainable packaging, especially for fashion, lifestyle, cosmetic, and gifting industries. Here’s a breakdown of the most common packaging fabrics:
100% Cotton
Cotton is a soft, breathable fiber derived from the cotton plant. It’s one of the most widely used fabrics in reusable packaging because it’s easy to sew, print, and customize.
Businesses use cotton for packaging items such as drawstring bags, dust covers, and branded tote bags. It offers a premium, natural feel and is especially popular in the fashion and gifting sectors.
It has a natural and familiar texture that resonates well with consumers seeking eco-conscious, reusable solutions, and the cotton is lightweight, flexible, and washable.
Sustainability:
- Biodegradable
- Compostable only when untreated (no dyes, chemicals, or synthetic stitching)
Organic Cotton
Farmers grow organic cotton without using synthetic pesticides, fertilizers, or GMOs. It’s favored by sustainable brands because it has a lower environmental impact during cultivation and is certified by standards like GOTS or OEKO-TEX, ensuring ethical and low-impact production.
In packaging, organic cotton is commonly used for custom pouches, high-end textile bags, and eco-luxury packaging.
Organic cotton has characteristics with chemical-free, soft, and durable, ideal for conscious branding.
Sustainability:
- Biodegradable
- Home compostable when chemical-free and undyed
Linen
Linen is a strong, durable textile made from the flax plant. It has a naturally textured appearance that gives the packaging a premium, artisanal quality.
Brands use linen for wine bottle sleeves, foldable packaging, gift bags, and dust bags. Its quick-drying and low-water cultivation qualities make it an environmentally responsible choice.
It is ideal for upscale presentation as it’s strong and wrinkle-resistant.
Sustainability:
- Biodegradable
- Compostable when not chemically treated
Hemp
Manufacturers derive hemp fabric from the stalks of the hemp plant, one of the fastest-growing and most resource-efficient crops. It produces a strong, durable textile that is naturally antibacterial and UV-resistant.
In packaging, hemp is used for reusable gift bags, wrap cloths, promotional merchandise carriers, and fabric tags. It adds a rugged yet refined touch, especially appealing to eco-conscious consumers.
Sustainability:
- Biodegradable
- Home compostable if free of dye and synthetic finishes
Jute
Processors extract jute, a rough natural fiber, from the outer layers of the jute plant stem. It is widely used in bulk packaging, rustic drawstring sacks, bottle bags, and eco-themed gift packaging. But not suitable for direct food contact unless lined.
Jute has a natural golden-brown appearance, which suits earthy branding and organic product lines. Although jute offers strength and cost-effectiveness, manufacturers often laminate or dye it, which can compromise its compostability.
Sustainability:
- Biodegradable
- Compostable if uncoated and chemical-free
Silk
Silkworms produce silk, a luxurious natural fiber, from their cocoons. It is smooth, glossy, lightweight, and associated with premium quality. Though not common in everyday packaging, it is occasionally used in boutique pouches, limited-edition cosmetic bags, jewelry packaging, or as an interior lining for luxury boxes.
Silk biodegrades over time but is rarely certified as compostable due to its protein structure and typical use of dyes.
Sustainability:
- Biodegradable
- Not compostable in standard home or industrial compost systems
Wool
The wool comes from sheep and serves as a natural animal fiber. It provides insulation, resists compression, and cushions fragile items effectively. These properties make it a practical choice for brands that use it in protective packaging inserts, premium gift wraps, or seasonal-themed packaging.
However, manufacturers often apply chemical treatments to improve wool’s durability. As a result, it tends to be heavier, decomposes more slowly than plant-based fibers, and doesn’t compost easily in standard conditions.
Sustainability:
- Biodegradable over an extended time
- Not compostable under typical composting conditions
Certifications and Compliance of Biodegradable Packaging
Biodegradable packaging claims can be misleading without proper testing. While there is no globally unified biodegradable standard, several respected organizations offer protocols to verify biodegradation in various environments such as soil, marine, and landfill conditions.
ISO 14855
An international standard developed by the International Organization for Standardization (ISO) that measures the aerobic biodegradability of plastic materials under controlled composting conditions by tracking carbon dioxide release.
This certification is commonly applied to bio-based plastics, such as PLA and starch-based blends, that are intended for packaging solutions in industrial composting environments. Manufacturers and suppliers use ISO 14855 to validate that their materials release carbon dioxide at acceptable rates when exposed to aerobic composting conditions.
Scope:
- Evaluates how much of the material microorganisms convert to CO₂
- Suitable for plastics and biopolymers
- Simulates industrial composting temperatures (58°C ± 2°C)
ISO 14855 confirms biodegradation but does not verify complete disintegration or absence of harmful residues—thus not sufficient for compostable certification.
ASTM D5511
A U.S. standard created by ASTM International evaluates anaerobic biodegradation of plastic materials in high-solids anaerobic digestion conditions, simulating landfill-like environments.
ASTM D5511 is most relevant for biodegradable plastics used in landfill-friendly packaging, including PBAT-based films, bags, and flexible pouches. It helps companies prove that their materials can break down under anaerobic digestion, a condition often found in municipal solid waste systems.
Scope:
- Measures the rate and extent of methane generation
- Mimics oxygen-free decomposition
- Used for materials labeled as “landfill biodegradable”
Certifications and Compliance of Compostable Packaging
Unlike biodegradable labels, compostable packaging is strictly regulated. To be certified, materials must break down into safe compost without harming soil or plants, usually within a defined timeframe.
EN 13432
An EU-wide standard specifies requirements for packaging recoverable through composting and biodegradation.
EN 13432 is typically required for compostable packaging products sold in the European Union, such as PLA-lined paper containers, compostable mailers, food trays, and flexible bioplastic films. Brands and suppliers targeting the EU market use this certification to ensure regulatory compliance and environmental safety.
Scope:
- The material must disintegrate within 12 weeks
- Biodegradation (90% in 6 months) under controlled composting
- Must pass ecotoxicity and heavy metal testing
- Must not hinder compost quality
ASTM D6400
ASTM International developed ASTM D6400 as a widely recognized U.S. certification standard that sets the requirements for labeling plastics and packaging materials as compostable in industrial composting facilities.
It is widely used for compostable plastic packaging intended for industrial composting facilities in North America. This includes items like PLA/PBAT films, certified compostable liners, food containers, and packaging pouches. Businesses use it to demonstrate that their materials break down efficiently in large-scale composting environments without harming the resulting compost.
Scope:
- Must disintegrate within 180 days
- No toxic residue or metals
- Must result in biologically stable compost
- Verifies both disintegration and biodegradation
OK Compost
OK Compost is a globally recognized certification label issued by TÜV Austria that confirms whether a product is truly compostable under specific conditions. It is one of the most trusted and visible compostability marks used in packaging, especially within the European Union and international eco-conscious markets.
- OK Compost INDUSTRIAL is applied to packaging products intended for commercial composting, such as bags, wrappers, coffee pods, and laminated paper products. Brands selling across Europe and internationally use this label to assure buyers and regulators of composting performance in facility-controlled conditions.
- OK Compost HOME is granted to lightweight packaging designed for backyard composting systems, including mailers, stickers, flexible pouches, and cellulose films. This certification is particularly useful for companies selling to eco-conscious consumers who want home-friendly, plastic-free alternatives.
Scope:
- OK Compost INDUSTRIAL: Meets EN 13432 requirements
- OK Compost HOME: Requires lower temperature breakdown, suitable for backyard bins
- Test materials, inks, adhesives, and coatings
How Should Businesses Decide Whether to Use Biodegradable or Compostable Packaging?
As sustainable packaging becomes a competitive advantage—not just a compliance requirement—businesses must carefully evaluate which material aligns with their product needs, target market, disposal infrastructure, and brand image.
Understand Your Product’s Requirements
The nature of your product directly affects the type of packaging you need. For example, if your product contains liquid, or oil, or requires a long shelf life, compostable packaging (which tends to be moisture-sensitive and break down under heat) may not be suitable. In such cases, a biodegradable but more durable material, such as laminated kraft with a PBAT blend, maybe the better option.
Also, consider the packaging’s functional life:
- If it’s single-use (like a takeaway container or mailer), compostable materials offer a clean, fast-return option when paired with proper disposal.
- If it’s designed for reuse (like tote bags or fabric pouches), biodegradable natural textiles such as cotton or hemp are more appropriate, as they provide value and environmental friendliness over time.
Know the Legal and Regulatory Environment
Your packaging decision must align with the regulations in your selling regions, especially if you export internationally. Many countries are implementing strict bans or restrictions on single-use plastics and only allow certified compostable alternatives in specific applications.
For example:
- In the European Union, the EN 13432 certification is mandatory for anything marketed as compostable. Regulators may bar non-compliant items from entering the market.
- In California and several U.S. states, only ASTM D6400-certified compostable plastics can be labeled as such.
In some cases, using biodegradable-only materials without recognized testing (like ASTM D5511 or ISO 14855) could result in rejection by commercial composters or labeling penalties.
Consider Branding and Sustainability Goals
Packaging plays a major role in how your customers perceive your brand. Businesses that position themselves as ethical, organic, or climate-friendly need to ensure their packaging reflects those values, not only in material but also in clarity and transparency.
When paired with certifications like OK Compost or BPI Certified Compostable, the compostable packaging is ideal for brands in food service, beauty, health, and e-commerce.
Biodegradable packaging adds long-term value for reusable items, especially if your brand promotes waste reduction, circularity, or premium experiences (e.g., fashion, home goods, artisan products).
Conclusion
Both biodegradable and compostable packaging offer sustainable alternatives to plastic, but they are not interchangeable. Biodegradable materials are broader in definition and decomposition behavior, while compostable packaging guarantees clean, safe breakdown under the right conditions.
Businesses should choose based on product needs, customer expectations, disposal infrastructure, and legal regulations. Certified materials, clear labeling, and responsible sourcing will not only support the environment but also strengthen your brand’s position in a competitive, eco-aware global market.
Looking for premium, custom-made biodegradable or compostable packaging for your brand? Visit Gentle Packing to request a free consultation or sample today.