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Compostable vs Biodegradable: What's the Difference?
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♻️ Compostable vs Biodegradable Packaging: What’s the Difference? (And Why It Matters for Cafés in Australia)
2 June 2025
As more Australian states — including South Australia (SA) and Western Australia (WA) — introduce strict bans on conventional plastics, understanding the difference between compostable and biodegradable packaging has become essential.
For cafés, restaurants, caterers, and takeaway food businesses, using the wrong type of packaging can now result in non-compliance, fines, or rejected waste from commercial collection services.
This guide breaks down what each term really means, why biodegradable packaging is not enough under current Australian laws, and how your business can stay compliant using certified compostable alternatives.
✅ What Does Compostable Mean? (The Legally Recognised Standard in Australia)
Compostable packaging is designed to break down safely and completely into nutrient-rich soil.
To qualify as compostable, a product must:
✔ Break down into non-toxic elements:
carbon dioxide
water
organic biomass
✔ Decompose within a defined timeframe
Most compostable packaging in Australia must break down within 90 days in a commercial composting facility.
✔ Meet Australian composting standards
The two main certifications are:
AS 4736 – Commercial/industrial composting
AS 5810 – Home composting
Products carrying these standards are certified by bodies such as the Australasian Bioplastics Association (ABA).
✔ Be disposed of through composting streams
Not landfill.
Not kerbside recycling.
Only in a green home composting bin or a commercial composting system.
Why cafés choose compostable packaging:
Required by law in SA & WA
Accepted by many food-waste collection services
Reduces landfill costs
No microplastic pollution
Supports sustainability commitments and customer expectations
♻️ What Does Biodegradable Mean? (The Misleading Term Businesses Must Avoid)
The word biodegradable sounds eco-friendly — but it does not guarantee environmental safety.
❌ No legal definition or timeframe
A biodegradable product may break down in weeks, years, or not at all in landfill conditions.
❌ May produce microplastics
Some biodegradable plastics simply fragment into smaller plastic particles — polluting soil and waterways.
❌ Not accepted under composting regulations
Biodegradable packaging is NOT considered compostable in Australia.
That means:
Biodegradable ≠ Compostable
And for regulated states, biodegradable is not compliant.
⚠️ Why Biodegradable Packaging Is No Longer Enough in SA & WA
Both states have introduced legislation banning many single-use plastics and requiring certified compostable food packaging instead.
Relevant laws include:
SA’s Single-Use and Other Plastic Products (Waste Avoidance) Act
WA’s Plan for Plastics
Under these laws, products labelled only as "biodegradable" are treated the same as non-compliant plastics.
Other states are expected to follow, meaning cafés nationwide should move toward compostable packaging now, not later.
🔍 What Australian Cafés Need to Know (Critical Summary)
✔ "Biodegradable" is not legally recognised
It cannot be accepted as compostable or eco-friendly under state waste systems.
✔ Compostable packaging must be certified
Look for AS 4736 or AS 5810 logos.
✔ Waste collectors will reject biodegradable packaging
This creates contamination issues for cafés and restaurants.
✔ Customers are increasingly eco-conscious
Clear sustainability practices lead to higher customer trust and loyalty.
✔ Compostable packaging performs better
Sugarcane bagasse and compostable paperboard offer excellent durability, insulation, and food presentation.
🛍 Choosing the Right Eco-Friendly Packaging for Your Café
At Food Packaging Online, we supply a complete range of certified compostable, biodegradable-free, plastic-free alternatives designed specifically for Australian cafés, food trucks, restaurants, caterers, and takeaway venues.
Each product meets AS 4736 or AS 5810 standards — keeping your café compliant, environmentally responsible, and ready for any future regulation.
⭐ Final Word: Choose Compostable, Avoid Biodegradable
For Australian foodservice businesses, the safest choice is clear: Use certified compostable packaging — not biodegradable alternatives.
This ensures:
✔ Full compliance with SA & WA legislation ✔ Better sustainability outcomes ✔ Zero microplastic pollution ✔ Compatibility with commercial composting systems ✔ Customer confidence and brand credibility
If your café or takeaway venue needs help choosing the right compostable packaging, our team is here to assist.
FAQs: Compostable vs Biodegradable Packaging in Australia
Is biodegradable packaging allowed in Australia? Biodegradable packaging is not recognised under Australian composting standards. In states such as SA and WA, it is treated much like conventional plastic and does not meet plastics-ban requirements.
What’s the difference between biodegradable and compostable packaging? Biodegradable means “will break down one day”, with no set timeframe or control over what is left behind. Compostable packaging must meet standards such as AS 4736 or AS 5810 and break down into safe, nutrient-rich organic matter without microplastics.
Which states require compostable packaging for food service? South Australia and Western Australia already require certified compostable packaging for many single-use food-service items. Other states are tightening regulations and moving in the same direction.
Can biodegradable cups or containers go into green organics bins? No. Only certified compostable packaging should go into home compost green bins. Biodegradable products can contaminate compost and may be rejected.
Why is compostable packaging better for cafés and takeaway venues? Compostable packaging keeps you compliant with state plastics bans, supports commercial composting programs, reduces landfill waste and matches customer expectations for sustainable packaging.
Are sugarcane bagasse containers compostable? Yes. Certified sugarcane bagasse containers are commercially compostable and widely accepted as a replacement for plastic takeaway containers.
How can I tell if packaging is certified compostable? Look for Australian standards AS 4736 or AS 5810 and recognised certification logos. If there’s no certification, it should not be treated as compostable.
What compostable packaging does Food Packaging Online supply? Food Packaging Online offers compostable coffee cups and lids, sugarcane bagasse trays and containers, plates, bowls, deli wraps and bags for cafés, restaurants and takeaway food-service businesses.