Organic waste management market to reach US$37.7B by 2034 – Precedence Research

GLOBAL – The global organic waste management solution market is projected to grow significantly over the next decade, reaching US$37.70 billion by 2034 from an estimated US$19 billion in 2025, according to a new market analysis report by Precedence Research.

This marks a compound annual growth rate (CAGR) of 7.91% between 2025 and 2034, driven by the increasing global emphasis on sustainability, circular economy initiatives, and rising waste generation due to urbanization and population growth.

In 2024, the market was valued at US$17.61 billion, with North America dominating the global landscape by holding over 39% of the market share.

The region’s well-established waste management infrastructure and strong policy support from environmental agencies such as the U.S. Environmental Protection Agency (EPA) have propelled its leadership.

The U.S. market alone was valued at US$5.15 billion in 2024 and is forecasted to double to US$11.24 billion by 2034, expanding at a CAGR of 8.11%.

According to the report, Europe is anticipated to emerge as the fastest-growing region during the forecast period, thanks to stringent environmental regulations like the EU Circular Economy Action Plan and the Waste Framework Directive.

These policies have prompted increased investment in composting and anaerobic digestion technologies, fueling demand for advanced organic waste solutions across the continent.

Meanwhile, the Asia-Pacific region shows considerable potential due to accelerating urbanization, increased waste generation, and rising environmental awareness.

Countries such as China and India are investing in smart waste management infrastructure and promoting energy-from-waste technologies like biogas and anaerobic digestion, supported by favorable regulations and low implementation costs.

Key market drivers and trends

The market benefits from a global push toward sustainable waste treatment, with governments and industries actively embracing renewable energy initiatives and circular economy models.

Organic waste—from food scraps and garden clippings to agricultural and biodegradable municipal waste—is increasingly being converted into valuable resources such as compost, biogas, and biofertilizers.

Artificial Intelligence (AI) is pivotal in revolutionizing waste sorting and processing. Companies like Recycleye and EverestLabs are using AI-powered robots to automate the sorting of compostable materials, achieving over 95% accuracy.

These smart technologies reduce landfill reliance, improve recycling rates, and increase the efficiency of waste-to-energy conversion processes.

Segment insights

By Product: Organic waste bins led the market in 2024 due to their widespread use in source segregation across homes and businesses.

Composting systems are expected to grow strongly through 2034, fueled by the rising demand for on-site composting in residential and industrial settings.

By Service Type: Collection services dominated in 2024, thanks to increased urban waste generation and investments in infrastructure.

The processing services segment is set to grow rapidly as composting and biogas facilities scale up to meet demand.

By Application: Composting accounted for the largest share (30%) in 2024, highlighting its affordability and ecological benefits.

Anaerobic digestion is projected to record the fastest CAGR. It generates energy from organic waste and aids in reducing greenhouse gases.

By End Use:

The residential sector led the market in 2024, while the commercial segment is expected to grow rapidly as hotels, supermarkets, and institutions adopt sustainable waste management practices.

Challenges and opportunities

While the market outlook is positive, challenges like inadequate waste collection and processing infrastructure in developing regions could hinder growth.

However, growing investments in public-private partnerships and technologies like plasma gasification and AI-driven sorting systems present new opportunities.

In February 2025, the New South Wales (NSW) government in Australia mandated Food Organics and Garden Organics (FOGO) recycling across municipalities, backed by a US$81 million fund—an example of policy-driven market expansion.

As cities and industries worldwide adopt greener practices and align with global sustainability goals, the organic waste management solution market is set for robust and transformative growth over the next decade.

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