That's an excellent question.
Many people think that biodegradable plastic is more costly than petroleum-based plastic. That is true, but in my opinion, or scientifically, we must consider the end product. Suppose we make a product, and the product is costlier than a petroleum-based product, so nobody is going to take that. That's not going to be accepted by society. In my opening remarks, I told you that currently, in order to support the circular economy, some agro-residues or food waste residues and some of the waste residues can be incorporated into the plastic so that the final cost of the product will be cost competitive and will still be green, and that is accepted.
Whatever research we do in the centre, anything we commercialize today, there is no cost penalty. This is supporting a circular economy, because we are incorporating agro-residues or some food residues into our biodegradable, costly plastic and making the final product cost competitive, and it is going to the market.
One of the biodegradable plastics, as told, has PBAT, which is polybutylene adipate-co-terephthalate. It costs four times more than the petroleum-based plastic. That cost has reduced currently. Why is that happening? There is a demand for biodegradable plastic around the world. For example, if biodegradable materials will be produced on a large scale, you can have cost competitiveness. It's good news that currently growth in biodegradable plastic is about 22.6% versus 5% for non-biodegradable petroleum-based plastics.
Biodegradable plastic is like a small child, while petroleum plastic is like a mature person, so we must take how old that technology is in the current scenario of climate change and the circular economy. There is a big demand for biodegradable plastic going on, so the final cost is going to reduce with the increase in capacity and with the incorporation of innovation by combining some biocomposite materials, taking some residues and putting that inside the bioplastic, making it cost competitive at the end.
That is one answer I can give you.