Bio-based Leather Market Size, Share & Industry Analysis, By Source (Mushroom, Pineapple, Apple, and Others), By Application (Footwear, Garments & Accessories, and Others), and Regional Forecast, 2024-2032

The global bio-based leather market size was valued at USD 122.6 million in 2023 and is projected to grow from USD 139.2 million in 2024 to USD 394.9 million by 2032 at a CAGR of 13.9% during the forecast period. North America dominated the bio-based leather market with a market share of 38.66% in 2023.

Bio-based leather is a type of leather made from plant or other biological materials. It offers the same appearance and properties as traditional animal leather. The leather is a more ethical and sustainable alternative to animal leather, which reduces the environmental impact associated with traditional leather manufacturing processes such as the use of water, land, and chemicals. Factors such as the increasing adoption of vegan products, rising awareness of environmental issues, and the fashion industry's shift toward more sustainable practices primarily drive the demand for plant-based leather.

The COVID-19 pandemic impacted several key areas of the market, such as supply chain disruptions, economic uncertainties, and changes in consumer behavior. Supply chain disruptions affected the availability of raw materials necessary for the manufacturing of bio-based leather. Similarly, economic uncertainties resulted in fluctuations in development and investment within the sector, impacting growth projections. However, after COVID-19, consumers' heightened focus on sustainability and ethical consumption has potentially increased interest in bio-based alternatives to traditional leather.

Bio-based Leather Market Trends

Growing Demand for Sustainable Alternatives to Drive Innovation in the Market

The growing emphasis on environmental responsibility and sustainability across industries creates an opportunity for manufacturers to capture more share in the market by introducing plant-based leather products. Bio-based materials can be derived from various sources, including mushrooms, agricultural waste, and other plant-based substances, offering a lower environmental footprint compared to traditional leather production. The growing demand for sustainable alternatives is reflected in people's lifestyle choices and their purchasing behaviors, particularly in sectors such as automotive and fashion, where leather is extensively used.

Bio-based Leather Market Growth Factors

Harmful Effects of Animal-based Leather on Human Health Drives the Market Growth

The harmful effects of animal-based leather on human health and the environment are driving the market. Traditional leather products consist of chemicals that cause sensitivities and allergies in some people. The contact of chemicals with the skin can cause rashes and other skin disorders. The health risks associated with chemicals in traditional leather products have led many countries to impose bans or restrictions on animal leather products due to a rising number of health issues.

Nowadays, consumers have become more aware of these issues, leading to a rising demand for eco-friendly and sustainable materials. Bio-based leather is made from renewable and natural resources. Hence, it offers a viable solution by conserving resources, reducing pollution, and providing safer options for people and the planet. This shift toward bio-based materials reflects a growing demand for ethical consumption and sustainability in the fashion industry and beyond.

Bio-based leather is gaining popularity in the fashion industry due to its ability to replace traditional leather materials in footwear, garments, and accessories.

RESTRAINING FACTORS

Fluctuations in Raw Material Prices to Impede Market Growth

Raw material price fluctuations will result in restraining market growth in the near future. An affordable and stable supply of raw materials is necessary to maintain competitive pricing of the product. As mentioned earlier, supply chain disruption due to the COVID-19 pandemic is also one of the factors that cause the fluctuations in raw material prices. Consistency in costs of raw materials is necessary for manufacturer in the bio-based leather industry to plan effectively, manage production costs, and produce their products at competitive prices. As the market continues to develop, finding solutions to mitigate the impact of raw material price volatility will be key in sustaining the growth and expansion of bio-based leather as a sustainable choice in the fashion industry.

Bio-based Leather Market Segmentation Analysis

By Source Analysis

Mushroom Segment Dominated the Market Owing to Increasing Use in Footwear Applications

Based on the source, the market is classified into mushroom, pineapple, apple, and others.

The mushroom segment held the highest share of the global market in 2023 and is estimated to record a significant growth rate during the forecast period. Mushrooms contain a fibrous material called mycelium. Rising consumer preference for eco-friendly and sustainable products contributes to the segment growth. Mushroom leather offers innovative design opportunities and allows for unique colors, textures, and patterns that appeal to both designers and consumers. The product's versatility makes it suitable for various footwear applications.

The pineapple segment will register a significant growth during the forecast period. Pineapple leather, such as Pinatex, is increasing in demand due to its cruelty-free and environmentally friendly nature. It is a byproduct of the fruit industry and is made from the fibers of pineapple leaves. It has recorded an increasing demand in the fashion industry.

By Application Analysis

Footwear Segment Dominated the Market due to High Product Adoption by the Fashion Industry

In terms of application, the market is segmented into footwear, garments & accessories, and others.

The footwear segment held the largest bio-based leather market share in 2023. The leather is records a major demand in footwear applications due to the fashion industry's growing commitment to reducing its carbon footprint and increasing interest in sustainable materials. Bio-based leathers are increasingly adopted by a range of footwear manufacturers, from luxury brands to more affordable, mass-market producers. These materials also offer unique aesthetic qualities, durability, and comfort. Similarly, technological advancements and material science have greatly improved the performance and quality of bio-based leathers, making them a viable alternative for a wide array of footwear applications — from athletic shoes to high-end fashion boots.

The garments & accessories segment is predicted to witness notable growth over the coming years. As technology advances, the durability, quality, and appearance of bio-based leathers continue to improve, making them a usable choice for various garments, ranging from shoes to jackets and accessories.

REGIONAL INSIGHTS

By region, the market is segmented into North America, Europe, Asia Pacific, and the rest of the world.

North America holds the dominant share of the global market. Advances in the bio-based leather industry, economic conditions, industry regulations, and increasing adoption of lightweight and sustainable materials are factors propelling the bio-based leather market growth in the region. The U.S. government’s focus on environmentally sustainable product renovation and carbon-free projects is driving the need for bio-based leather in the country’s footwear and automotive industries.

The Asia Pacific market is projected to register a significant share and is expected to be the fastest-growing region in the market during the forecast period. Developed and developing countries such as India, Japan, and China are raising their investments to produce and use sustainable products in various end-use industries. Such growing investment and innovation in the leather industry drive the demand for bio-based leather products. In addition, a growing trend in the footwear industry to use sustainable footwear materials as they are sustainable, eco-friendly materials, and durable is expected to drive the growth for sustainable leather products.  Such factors propel the demand for products in the regional market.

Europe registers a notable growth in the global market. The growing automotive and footwear industry in Europe due to innovations in mobility, production excellence, and rising consumer spending capacity drives market growth during the forecast period. Italy is registered as one of the key countries in the use of leather.

The market in the rest of the world is projected to grow significantly over the forecast period. The growing adoption of plant-based leather in furniture and the automotive industry positively impacted the market expansion in the region.

KEY INDUSTRY PLAYERS

Key Players Adopted Organic and Inorganic Business Growth Strategies to Enhance Their Presence In The Market

The market is in the initial phase of growth. Consumers are focusing on adopting sustainable solutions in their daily life products. With the growing trend and government support for sustainability, players are significantly investing in R&D facilities to develop sustainable leather products in the market. Natural Fiber Welding, Inc., MycoWorks, Bolt Threads Inc., MODERN MEADOW, Beyond Leather Materials, and Fruitleather Rotterdam are some of the key players in this market. These players are adopting organic and inorganic business growth strategies to enhance their presence in the market.

LIST OF TOP BIO-BASED LEATHER COMPANIES:

• Natural Fiber Welding, Inc. (U.S.)


• MycoWorks (U.S.)


• Bolt Threads Inc. (U.S.)


• MODERN MEADOW (U.S.)


• Beyond Leather Materials (Denmark)


• Fruitleather Rotterdam (Netherlands)


• Ananas Anam Ltd. (U.K.)


• Ecovative LLC (U.S.)

KEY INDUSTRY DEVELOPMENTS:

• June 2023: Modern Meadow announced a partnership with Navis TubeTex. This partnership revolutionized the company’s textile manufacturing process with sustainable solutions.


• May 2023: Modern Meadow launched a Bio-VERA. The new product is an animal-free biomaterial that looks similar to traditional leather, chamois, or suede. The launch of new products helps the company to enhance its product portfolio in the bio-based leather market.


• February 2023: NFW (Natural Fiber Welding Inc.) and Lenzing enter a partnership agreement to offer TENCEL branded fibers as another backer option for NFW’s patented plant-based technology, MIRUM.


• August 2021: The Dole Sunshine Company and Ananas Anam Ltd. announced a partnership to produce a vegan leather made from pineapple leaf fibres. With this partnership, Dole Sunshine Company focusing to achieve zero fruit loss by 2025.

REPORT COVERAGE

The report provides a comprehensive analysis of the market. It emphases on key aspects, such as leading companies, sources, and applications of the product. Moreover, it offers market insights, current industry trends, and highlights recent industry developments. In addition, the report covers several factors contributing to the market growth.

Report Scope & Segmentation