A cutting edge Bio degradable Insulation for Construction and other purposes has appeared in the market.Their website says "...
Greensulate™ is an affordable, environmentally-friendly drop-in replacement for the expanded polystyrene used in cavity walls and structural insulating panels.
Greensulate™ is produced from natural byproducts, such as buckwheat hulls and cotton burrs, without heat or light input. With superior strength and comparable insulating properties, Greensulate™ insulation helps you reduce the amount of energy used to build your home, and increases your efficiency over the long haul..."