Agricultural Films Market Analysis by Mordor Intelligence
The agricultural films market size reached USD 12.50 billion in 2025 and, at a forecast CAGR of 7.4%, is projected to reach USD 17.86 billion by 2030. Current momentum is propelled by rapid greenhouse adoption in land-constrained regions, rising water-stress mitigation through mulching, and continued innovation in advanced polyethylene (PE) chemistries that improve optical, mechanical, and barrier performance while reducing thickness. Governments channel subsidy programs toward protected cultivation, accelerating capital investment in controlled-environment structures and driving compound demand for specialty greenhouse covers, diffusive mulches, and oxygen-barrier silage wraps. Resin producers, film extruders, and equipment manufacturers collaborate on multilayer formulations that incorporate recycled content, strengthening circular-economy credentials without sacrificing crop-protection attributes. However, price volatility in ethylene feedstocks, tightening disposal regulations, and the high capital intensity of hi-tech greenhouse infrastructure create headwinds that manufacturers must offset with cost-effective downgauging, sourcing diversification, and new biodegradable offerings.
Key Report Takeaways
- By type, Low-Density Polyethylene led with 43.2% of the agricultural films market share in 2024, while Reclaims is forecast to expand at an 8.8% CAGR through 2030.
- By thickness, the 80 µm to 150 µm range captured 56% revenue share in 2024, while above 150 µm are projected to register a 7.6% CAGR to 2030.
- By application, greenhouse cultivation accounted for a 54.6% share of the agricultural films market size in 2024, and mulching is projected to grow at a 7.9% CAGR to 2030.
- By geography, Asia-Pacific held 37.4% revenue share in 2024; Africa is anticipated to post the fastest 9.2% CAGR from 2025 to 2030.
Global Agricultural Films Market Trends and Insights
Drivers Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Rising adoption of greenhouse cultivation | +1.8% | Global, with a concentration in Asia-Pacific and Europe | Medium term (2-4 years) |
| Growing popularity of mulching to curb evaporation | +1.2% | Global, particularly in water-stressed regions | Short term (≤ 2 years) |
| Government subsidies for protected cultivation | +1.0% | Asia-Pacific, Africa, select Europe regions | Medium term (2-4 years) |
| Surge in demand for photo-selective spectral films | +0.9% | North America, Europe, and advanced Asian markets | Long term (≥ 4 years) |
| Farm-level shift toward recycled-content films | +0.7% | Europe, North America, with spillover to Asia | Medium term (2-4 years) |
| Carbon-credit monetization for biodegradable films | +0.6% | Europe, North America, and the emerging Asia-Pacific region | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Rising adoption of greenhouse cultivation
Protected cultivation now extends from high-value horticulture to staple crops, delivering yield increases of 25–40% and supporting year-round supply continuity[1]Source: Yujin Park and Erik S. Runkle, “Spectral-Conversion Film Potential for Greenhouses,” PLOS ONE, journals.plos.org. Automation and artificial-intelligence climate controls lower labor inputs, enabling mid-scaled growers to enter the segment. Substrate-based systems eliminate soil-borne disease vectors and require sterile barrier films with superior impermeability, spurring demand for multilayer PE structures. Cannabis, nutraceutical, and pharmaceutical crops command premium film specifications that optimize wavelength management, thermal retention, and diffused light distribution. Greenhouse operators in British Columbia forecast an 18% vegetable-output lift by 2025 through renewable-energy integration that further lowers operational overhead.
Growing popularity of mulching to curb evaporation
Plastic mulch films cut irrigation volumes 30–50% in arid zones and increasingly underpin regeneration practices within conservation agriculture. Global consumption has surpassed 2 million metric tons, with Asia accounting for the bulk due to intensive vegetable systems. Reflective films lower soil-surface temperatures 4–6 °C, extending cropping windows in heat-stressed climates. Biodegradable innovations meet organic-certification needs and reduce labor associated with film retrieval, though elevated cost remains an adoption hurdle. Variable-rate mulch applicators paired with precision agriculture data help growers optimize film thickness and placement, reinforcing resource-efficiency goals. Chinese directives mandating thicker mulch to improve recyclability push material science toward higher-strength formulations that withstand multiple cycles.
Government subsidies on protected cultivation
Targeted financial incentives cover up to 80% of greenhouse construction costs in select Asian programs, catalyzing capital flow into high-specification polyhouse projects. African export-oriented horticulture receives concessional credit that accelerates greenhouse uptake and boosts foreign-exchange earnings from floriculture and fresh-produce shipments. Philippine smart-greenhouse cost-benefit studies demonstrate internal rates of return above 19% for mushroom production, illustrating strong payback potential when value-chain integration is achieved. Subsidy frameworks embed minimum technical standards that lift baseline film quality and stimulate domestic manufacturing of UV-stabilized, diffusion-enhanced covers.
Surge in demand for photo-selective spectral films
Quantum-dot and luminescent films convert under-utilized green wavelengths into red photons, raising light-use efficiency and boosting tomato yields in commercial trials. Integrating photovoltaic layers enables co-generation of electricity, offsetting greenhouse operating costs and aligning with carbon-neutral objectives. Crop-specific “light recipes” optimize flowering, pigmentation, and nutritional density, widening the addressable market beyond ornamentals to leafy greens and specialty herbs. Patent filings for spectral modification technologies continue to climb, signaling persistent innovation rivalry and long-term product-pipeline depth.
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| High initial investment in greenhouse infrastructure | -1.4% | Global, particularly in developing regions | Short term (≤ 2 years) |
| Environmental concerns over the disposal of PE films | -1.1% | Europe, North America, and emerging in Asia | Medium term (2-4 years) |
| Volatility in ethylene feedstock pricing | -0.8% | Global, with regional supply chain variations | Short term (≤ 2 years) |
| Lack of standardized film recovery logistics | -0.6% | Global, most acute in developing regions | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
High initial investment in greenhouse infrastructure
Hi-tech greenhouses demand USD 2,500–4,000 per m² compared with USD 400–500 for low-tech counterparts, posing steep upfront barriers for smallholders. Beyond construction, climate controls, fertigation, and energy systems can consume 40% of annual revenue, challenging profitability when produce prices fall. Limited collateral and high interest rates restrict access to credit, especially in frontier economies. Equipment-leasing models and pay-as-you-grow service contracts ease capital strain but require robust extension support. Financial viability varies by crop; shiitake mushrooms yield internal returns, yet melons remain unprofitable under identical cost structures.
Environmental concerns over disposal of PE films
An estimated 9% of U.S. agricultural film waste enters recycling streams; contamination rates up to 80% hinder material recovery. Soil-embedded fragments persist beyond a decade, jeopardizing long-term fertility and raising microplastic fears[2]Source: Martin Geyer, "Plastic Mulch Films in Agriculture," MDPI, mdpi.com. The European Union's plastic-packaging tax, currently set at USD 283 per metric ton, raises disposal costs and pushes growers toward alternative materials. Biodegradable options command price premiums and may exhibit lower mechanical robustness, slowing substitution in heavy-duty applications.
Segment Analysis
By Type: LDPE Maintains Lead while Reclaims Accelerate
Low-Density Polyethylene held 43.2% agricultural films market share in 2024, underpinned by its balanced cost-to-performance ratio and ease of extrusion into covers. The material’s dominance stems from superior optical clarity and elongation properties that minimize mechanical stress during installation. The industry’s pivot to sustainability is catalyzing an 8.8% CAGR for Reclaims through 2030, aided by multilayer designs that embed recycled content without compromising crop-facing functionality. Chemical advances in compatibilizers allow higher PCR ratios, mitigating odor and gel issues that historically constrained recycled-PE uptake.
Linear-Low-Density Polyethylene adds puncture resistance requested by silage users, while Ethyl Vinyl Acetate copolymers impart enhanced light diffusion for premium greenhouse films. High-Density Polyethylene and specialized resins such as polyamide address niche requirements for structural rigidity and solvent resistance, but remain cost-limited. Rising demand for downgauged films drives high-melt-strength grades that sustain tensile integrity at reduced thickness, compressing resin tonnage per hectare and lowering overall plastic footprint.
Note: Segment shares of all individual segments available upon report purchase
By Thickness: Durability Drives Premium Gauge Adoption
The 80 µm to 150 µm band captured 56% agricultural films market share in 2024, delivering a cost-to-performance sweet spot that satisfies mainstream greenhouse, mulching, and silage operations. Growers value moderate puncture resistance that withstands mechanized laying machines and occasional foot traffic without inflating purchase budgets. This thickness class aligns well with single-season horticulture cycles and facilitates easy retrieval for recycling programs, making it the default option across diversified farming landscapes.
Segments above 150 µm are set to expand at a 7.6% CAGR, marginally outpacing the overall agricultural films market. Heavy-gauge films now protect mega-greenhouses in wind-prone coastal corridors where material failure could halt production and incur multi-million-dollar crop damage. Sub-80 µm products continue to serve low tunnels and frost-protection shrouds where growers value minimal material cost for short rotations, yet the trend across capital-intensive ag pivots toward total cost of ownership, supporting durability-focused gauges that promise multi-season survivability.
By Application: Greenhouse Dominance amid Rapid Mulching Uptake
Greenhouse films commanded 54.6% of the agricultural films market size in 2024, driven by intensive vegetable, floriculture, and emerging pharmaceutical crops that demand high light-transmission and anti-condensation properties. Photoselective and near-infrared-reflective technologies lower internal heat load, diminishing energy expenditure for cooling in warm climates. Mulching segments are scaling at a 7.9% CAGR, as water-scarcity pressures incentivize moisture-retention strategies across row crops, orchards, and vineyards. Regulatory moves restricting open-field burning of PE residues accelerate interest in soil-degradable alternatives; trials show biodegradable mulches match San Marzano tomato yields while simplifying post-harvest field prep.
Silage films remain a steady but innovation-rich niche, with oxygen-barrier multi-layer wraps cutting dry-matter losses by up to 65% compared with mono-layer PE. Downgauging via performance PE grades, such as ExxonMobil’s Exceed S, lowers material costs for large dairy operations while maintaining puncture resistance. Other specialty applications include low tunnels that accelerate early-season harvests and fumigation films that restrict pesticide volatilization.
Note: Segment shares of all individual segments available upon report purchase
Geography Analysis
Asia-Pacific held 37.4% of the agricultural films market in 2024, driven by extensive greenhouse acreage in China and subsidy-backed modernization programs in India, Japan, and South Korea. Regional manufacturers have cost advantages and benefit from a localized supply of stabilizer additives and extrusion machinery, enabling rapid product iteration. Domestic innovation focuses on diffusive films that counteract high solar-irradiation intensity while optimizing crop photosynthetic efficiency. Government programs targeting plastic waste reduction prompt the development of thicker, recyclable mulch variants, cementing local research collaborations between resin producers and agricultural institutes.
Africa represents the fastest-growing territory with a projected 9.2% CAGR through 2030, supported by horticultural export expansion and favorable trade preferences. Kenya's floriculture valorizes protected cultivation, generating and guiding neighboring economies toward greenhouse models. South African bioplastics leverage duty-free access under the African Growth and Opportunity Act, offering cost-competitive biodegradable inputs for regional film converters. Despite growth potential, endemic infrastructure gaps in film retrieval and recycling constrain circular-economy ambitions.
Europe and North America illustrate mature yet dynamic markets where sustainability regulation spurs continual material advancement. The European Commission's 2025 update to food-contact regulations imposes stricter purity thresholds, compelling film formulators to refine additive packages and contamination-control protocols. Middle East investments in water-efficiency and year-round production use high-diffusion covers paired with desalinated or recycled water in closed-loop systems, while South American and Oceanian niche segments favor specialty mulch and silage products aligned with export-driven produce quality requirements.
Competitive Landscape
Top Companies in Agricultural Films Market
The market is moderately fragmented, with no dominant global player, enabling regional converters to hold meaningful shares in local distribution networks. Consolidation is gaining pace, exemplified by the USD 650 million synergy-targeted all-stock merger between Amcor and Berry Global that elevates combined R&D expenditure to USD 180 million annually[3]Source: Amcor Plc., "Amcor and Berry to Combine," amcor.com. The enlarged entity prioritizes downgauged, recycled-content agricultural structures and reinforces supply-security through backward integration in resin compounding.
Incumbents differentiate by investing in proprietary additive packages; BASF SE's pending divestiture of its agricultural activities underscores strategic portfolio optimization while preserving access to ecovio compostable technologies. Novamont's collaboration with Bayer CropScience on Mater-Bi ties biodegradable materials to crop-input portfolios, broadening total solution offerings for growers.
Strategic moves emphasize vertical integration: resin suppliers partner with extrusion-line manufacturers to accelerate time-to-market for next-generation multilayer agriculture lines. Capital allocation also favors chemical-recycling startups that convert contaminated film waste into naphtha-equivalent feedstocks, advancing closed-loop ambitions. Patent filings in spectral films and oxygen-barrier technologies intensify, and intellectual-property portfolios become acquisition targets for growth-oriented producers.
Agricultural Films Industry Leaders
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BASF SE
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Plastika Kritis SA
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Armando Alvarez Group
-
RKW Group
-
Amcor plc (Berry Global Inc.)
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- April 2025: Amcor plc has successfully completed its all-stock merger with Berry Global, targeting annual cost savings of USD 650 million and dedicating USD 180 million towards sustainability-driven R&D efforts.
- November 2024: Berry Global increased post-consumer recycled polyethylene use by 36%, integrating 4,386 metric tons into agricultural films and securing RecyClass certification.
- July 2024: BASF unveiled Tinuvin NOR 211 AR, aiming to help global film producers and converters tackle challenges in plasticulture - the agricultural use of plastics. This innovative product effectively shields agricultural plastics from intense UV radiation, thermal stress, and the inorganic chemicals commonly employed in crop management and disinfection.
Global Agricultural Films Market Report Scope
Agricultural films are used in many innovative agricultural practices to increase the crop output per hectare while enhancing crop quality. These practices include soil protection, greenhouse farming, controlled farming, and mulching. The agricultural films market is segmented by Type (Low-density polyethylene, Linear low-density polyethylene, High-density polyethylene, Ethyl vinyl acetate (EVA)/ethylene butyl acrylate (EBA), Reclaims, and Other Types), Application (Greenhouse, Silage, Mulching, and Other Applications), and Geography (North America, Europe, Asia-Pacific, South America, and Africa). The report offers market size and forecast in terms of values in USD for all the above segments.
| Low-Density Polyethylene |
| Linear Low-Density Polyethylene |
| High-Density Polyethylene |
| Ethyl Vinyl Acetate / Ethylene Butyl Acrylate |
| Reclaims (Recycled PE) |
| Other Types (Polypropylene Agricultural Films, Polyamide Agricultural Films, Ethylene Vinyl-Alcohol Copolymer Resins, and PVC) |
| Up to 80 µm |
| 80 - 150 µm |
| Above 150 µm |
| Greenhouse |
| Mulching |
| Silage |
| Other Applications (Low Tunnels, Fumigation) |
| North America | United States |
| Canada | |
| Mexico | |
| Rest of North America | |
| South America | Brazil |
| Argentina | |
| Rest of South America | |
| Europe | Germany |
| United Kingdom | |
| France | |
| Spain | |
| Italy | |
| Russia | |
| Rest of Europe | |
| Asia-Pacific | China |
| India | |
| Japan | |
| Australia | |
| Rest of Asia-Pacific | |
| Middle East | Saudi Arabia |
| United Arab Emirates | |
| Rest of Middle East | |
| Africa | South Africa |
| Egypt | |
| Rest of Africa |
| By Type | Low-Density Polyethylene | |
| Linear Low-Density Polyethylene | ||
| High-Density Polyethylene | ||
| Ethyl Vinyl Acetate / Ethylene Butyl Acrylate | ||
| Reclaims (Recycled PE) | ||
| Other Types (Polypropylene Agricultural Films, Polyamide Agricultural Films, Ethylene Vinyl-Alcohol Copolymer Resins, and PVC) | ||
| By Thickness | Up to 80 µm | |
| 80 - 150 µm | ||
| Above 150 µm | ||
| By Application | Greenhouse | |
| Mulching | ||
| Silage | ||
| Other Applications (Low Tunnels, Fumigation) | ||
| By Geography | North America | United States |
| Canada | ||
| Mexico | ||
| Rest of North America | ||
| South America | Brazil | |
| Argentina | ||
| Rest of South America | ||
| Europe | Germany | |
| United Kingdom | ||
| France | ||
| Spain | ||
| Italy | ||
| Russia | ||
| Rest of Europe | ||
| Asia-Pacific | China | |
| India | ||
| Japan | ||
| Australia | ||
| Rest of Asia-Pacific | ||
| Middle East | Saudi Arabia | |
| United Arab Emirates | ||
| Rest of Middle East | ||
| Africa | South Africa | |
| Egypt | ||
| Rest of Africa | ||
Key Questions Answered in the Report
What is the current value of the agricultural films market?
The market is valued at USD 12.50 billion in 2025 and is projected to reach USD 17.86 billion by 2030.
Which material holds the largest share in agricultural films?
Low-Density Polyethylene leads with 43.2% share due to its cost-to-performance balance and processing versatility.
Why are greenhouse films growing faster than other applications?
Greenhouse films benefit from expanding protected cultivation that delivers higher yields and year-round production, especially in land-constrained and climate-volatile regions.
Which region is the fastest-growing for agricultural films?
Africa is expected to post a 9.2% CAGR through 2030 driven by export-oriented horticulture and supportive trade incentives.
How are sustainability pressures influencing film materials?
Manufacturers are incorporating post-consumer recycled polyethylene and developing biodegradable formulations to meet regulatory and brand owner targets for circularity.
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