Retailers, regulators and consumers are increasingly demanding environmentally responsible packaging solutions. For this reason, the terms “compostable” and “biodegradable” are used everywhere in the fresh produce packaging world. Not only that but they’re often used interchangeably. As expectations rise, these labels have become shorthand for sustainability, yet they’re often misunderstood or misused.  

Because packaging claims are under greater scrutiny than ever before, the materials we choose and how we label them can influence everything from waste stream contamination to regulatory compliance and brand credibility. 

What is the difference between “compostable” and “biodegradable”? 

Compostable 

Compostable packaging is designed to fully break down into non-toxic, nutrient-rich soil under specific conditions. In fresh produce, common compostable materials include PLA (polylactic acid), PHA (polyhydroxyalkanoates), PBAT (polybutylene adipate terephthalate), cellulose, and are commonly used in fiber-based films, nets, trays, clamshells, bags, and compostable price look-up (PLU) stickers.  

Unlike conventional plastics, a compostable package is designed to return to the earth completely. However, this only happens if the right environment is available, usually in home composting or industrial composting settings. The main difference between home composting and industrial composting is the temperature and the time it takes to fully break down. For compostable materials to break down properly, they need: 

• High Heat: Steady heat around 50–60°C (122–140°F) 

• Moisture: Adequate humidity supports active microbial decomposition 

• Oxygen: Airflow creates an aerobic environment for decomposers 

• Microbial Diversity: A diverse population of bacteria and fungi 

These conditions are most reliably found in industrial composting facilities, not in landfills, natural environments, or home composting systems. Certified industrial compostable packaging can completely disintegrate into industrial compost within 3-6 months. 

In a home composting environment, the material also needs moisture, oxygen, and microbial diversity, but needs lower heat (25 ± 5 ᵒC) and longer time (6-12 months). Certifications such as the BPI Home Certification verify that packaging will decompose in a typical home compost system in 6-12 months without leaving harmful residues. Other certifications include TÜV AUSTRIA, ABA, Din Certco, BNQ, and Cré. 

Biodegradable 

“Biodegradable” is a much broader (and often misunderstood) term. 

Technically, it refers to any material that can be broken down by microorganisms over time. But here’s the issue: there are no consistent standards for how quickly or safely that breakdown must occur.  

The Reality Behind “Biodegradable” Packaging 

• No required timeframe for decomposition 

• May break down into microplastics rather than fully degrade 

• Can leave behind toxic residues 

• Often loosely regulated, making it vulnerable to greenwashing 

• Typically breaks down very slowly, especially in landfills 

In other words, a “biodegradable” label doesn’t guarantee environmental benefit and thus, can be misleading. 

Why does this distinction matter for fresh produce packaging? 

In fresh produce, mislabeling compostable and biodegradable materials causes confusion and contamination throughout the supply chain. When biodegradable materials enter compost facilities, they may often fail to break down, causing operational issues and sending materials to landfill instead. 

The distinction affects: 

• Waste bin decision‑making for consumers 

• Facility sorting processes 

• Packaging compliance 

• Retailer sustainability goals 

• Compostability of packaging contaminated with residual food 

Why does this distinction matter for composting facilities? 

Eliminating plastic contamination in California’s compost stream is essential for improving compost quality and supporting sustainable agricultural systems. Clear distinctions between compostable and biodegradable materials allow facilities to better manage contamination and produce cleaner, more marketable compost. 

How does this distinction impact composting facilities? 

Composting facilities face increasing challenges as they work to minimize contamination and produce high‑quality soil amendments. Persistent microplastics in compost create long‑term problems for farmers and for upstream facility operations. Ensuring that compostable materials are composted and non-compostable materials are properly disposed of can help to keep compost used for agriculture clean of contamination.  

Where do compostable and biodegradable materials end up after disposal? 

Compostable materials 

Compostable materials do not break down efficiently in landfills or natural environments due to lack of heat, oxygen, and other controlled conditions. But when placed in industrial composting systems, they can properly decompose into usable compost, even  when contaminated with food waste. 

Biodegradable materials 

Biodegradable packaging typically: 

• Break down very slowly, especially in landfills 

• Has the potential to leave behind microplastics or contaminant residues 

• Often does not meet composting standards, and may be screened out and sent to landfill 

Which option is more suitable for fresh produce? 

Certified compostable packaging is generally the better option for produce, particularly when food contamination is unavoidable. Compostable materials can be processed alongside organic waste and are designed to degrade safely within a defined timeframe.  

Allowing certified compostable packaging into organics recycling systems also enables greater recovery of food waste. When food is sold or stored in non‑compostable packaging, consumers often throw both the food and the packaging into the trash, sending recoverable organic material to landfills. Compostable packaging provides a simple solution: food‑soiled packaging and food scraps can be composted together, reducing contamination while diverting more organic waste into composting systems. This improves overall organics recovery rates and helps communities meet their landfill‑reduction and climate goals. 

Biodegradable packaging, by contrast, does not guarantee safety or complete breakdown and may worsen microplastic pollution.  

For more information about Sustainable Packaging, check out the Sustainable Produce Packaging Alignment (SPPA) Roadmap.