Gaia Biomaterials has entered into an agreement with flexible packaging company Smartpack to launch Gaia's compostable plastic alternative material in Chile.
As part of this agreement, Gaia Biomaterials will introduce Biodolomer, a compostable material, in the country.
This move comes as the country seeks sustainable solutions following a new law banning single-use plastics in various sectors.
The packaging industry has been pursuing alternative materials that offer all the characteristics of plastic.
Smartpack commercial director Christian Spoerer said: "The market here needs new sustainable alternatives to fossil plastic, and we need it now. Biodolomer has proven to be a perfect match for us."
Biodolomer is based on limestone and can be implemented in most applications where plastic is used.
The material offers a viable option that is fully compostable and leaves no microplastics upon decomposition.
Spoerer added: “Smartpack specialises in providing complete packaging solutions. We handle everything from production line design to machine installation and material supply. When we tested a ton of Biodolomer, it seamlessly integrated into our existing processes.”
Smartpack has already ordered its first full container of the material, with e-commerce shipping bags to be the first products made from it domestically.
This represents the first agent agreement in South America for Gaia Biomaterials.
Gaia Biomaterials CEO Peter Stenström said: "It is interesting to see the demand for our material in new markets around the world.
"Chile is so aggressive in the sustainable transition, and we are already in discussions with companies [in] other Latin American countries."
Based in Helsingborg, Sweden, Gaia Biomaterials' Biodolomer solution also has low carbon dioxide emissions.
In May this year, Gaia Biomaterials’ Biodolomer T solution received compostability certifications from the Biodegradable Products Institute in the US.