The global oleochemicals market size is expected to reach USD 52.04 billion by 2028, exhibiting a CAGR of 6.4% between 2021 and 2028. The growing emphasis on natural oils & fats obtained from living feedstock, including plants, animals, and oilseeds, will enable speedy expansion of the market, states Fortune Business Insights, in a report, titled “Oleochemicals Market, 2021-2028.” The market size stood at USD 31.42 billion in 2020.
COVID-19 Impact-
The production of China's industrial firms fell by 14% in the first two months of 2020, according to statistics provided by the National Bureau of Statistics of China in 2020. The chemical industry was one of the most hit, with a 21% drop in output and a 66% drop in profit. In addition, growing limitations and issues with logistics, a paucity of staff and labor resources, and a lack of personal protective equipment all substantially influenced the production process. Continuing to produce some important feedstock chemicals for pharmaceutical uses, on the other hand, was a good move taken throughout the epidemic.
The Report Lists the Key Players in the Market:
- Cargill Inc. (Minnesota, U.S.)
- Kuala Lumpur Kepong Berhad (Perak, Malaysia)
- BASF SE (Ludwigshafen, Germany)
- Oleon N.V. (Ranst, Belgium)
- IOI Group Berhad (Putrajaya, ,Malaysia)
- Wilmar International (Singapore)
- Kao Chemicals (Tokyo, Japan)
- Twin Rivers Technologies (Massachusetts, U.S.)
- Croda Industrial Chemicals (Snaith, U.K.)
- Evonik Industries (Essen, Germany)
- Emery Oleochemicals (Selangor, Malaysia)
- Godrej Industries (Vikharoli, India)
Segmentation-
Fatty Acids to Account for the Largest Share
Based on type, the market is divided into fatty acids, fatty alcohols, methyl ester, and glycerin. The fatty acids category accounted for the majority of the market. The market is anticipated to expand due to rising demand for bio-based fatty acids from different end-use industries such as personal care, cosmetics, chemicals, food & beverages, pharmaceuticals, and others.
The market is split into three categories based on application: food & beverages, chemicals, and animal feed. North America, Europe, Asia Pacific, Latin America, and the Middle East, and Africa are the regions in which the market is classified.
Drivers & Restraints-
Rising Demand for Chemical-free Components in Cosmetics to Fuel Product Demand
The market is expected to grow significantly during the forecast period. Food and beverage, medicines, personal care, cosmetics, polymer and plastics, and other industries use oleochemicals extensively. These green compounds can be found in both hair and skin care products. Moreover, the Oleochemicals market growth is projected to develop rapidly due to the growing demand for hypoallergenic and chemical-free components in the cosmetics and personal care sector. Another element driving development is their usage in the food sector. Oleochemicals are used in FDA-approved food packaging and also as thickening and flow agents. Calcium stearate, for example, is employed as a food emulsifier and a flow agent in the production of sweets. One of the factors driving the market is the rising demand for bio-based and sustainable chemicals, owing to growing concerns about the harmful effects of chemicals on humans and the environment.
