The global Oleochemicals Market is estimated to be valued at US$ 24.22 Bn in 2023 and is expected to exhibit a CAGR of 6.9% over the forecast period 2023 to 2030, as
highlighted in a new report published by Coherent Market Insights.
Key Takeaways
The global Oleochemicals Market Share is expected to witness high growth, exhibiting CAGR of 6.9% over the forecast period, due to increasing preference for sustainable bio-based raw materials.Market Overview:
Oleochemicals are chemical compounds derived from plant oils and animal fats. They are used in various industries like food, pharmaceuticals, soaps & detergents, and plastics. Oleochemicals are biodegradable and renewable in nature. They replace petroleum-based chemicals widely in different applications due to growing environmental concerns.
Market key trends
One of the key trends in the Oleochemicals Market is the increasing demand from end-use industries like food & beverages, personal care, and paints & coatings. Oleochemicals like fatty acids, esters, fatty amines, and fatty alcohols find wide application in these industries owing to their eco-friendly nature. Also, the growing health concerns have increased the demand for natural and sustainable ingredients which is propelling the oleochemicals market. Furthermore, stringent regulations regarding the use of hazardous chemicals and shift toward bio-based products will also contribute to the market growth over the forecast period.
Market key trends
One of the key trends in the oleochemicals market is the high demand for sustainable and eco-friendly raw materials. With rising environmental concerns, consumers are looking for greener products. Oleochemicals are renewable and biodegradable and offer a sustainable alternative to petrochemicals. Many oleochemical manufacturers are focusing on developing biodiesel, lubricants, greases, and other green chemicals from palm, coconut, soybean and other plant-based feedstocks. This is expected to boost the adoption of oleochemicals across various end-use industries like personal care, food and beverages going forward.
SWOT Analysis
Strengths:
– Renewable and biodegradable in nature
– Lower manufacturing costs than petrochemicals
Weaknesses:
– Supply chain disruptions due to dependence on vegetable oils
– Price volatility of raw materials
Opportunities:
– Growing demand for sustainable solutions in end-use industries
– Potential to substitute petroleum-based chemicals
Threats:
– Competition from petrochemical suppliers
– Stringent environment-related regulations
Regional analysis
Asia Pacific dominated the global market in 2023 and is expected to maintain its lead over the forecast period. This can be attributed to high consumption of oleochemicals in countries like China, India and Indonesia for applications in soaps, detergents, lubricants and other personal care products. Rapid industrialization and improving economic conditions in the region are further supporting market growth.
Key players analysis:
Key players operating in the oleochemicals market are Vantage Specialty Chemicals, Inc., Emery Oleochemicals, Evonik Industries AG, Wilmar International Ltd., Corbion N.V, Cargill, Incorporated, and KLK OLEO. The players are focusing on capacity expansion, acquisitions and partnerships to strengthen their global presence. For instance, in 2022, KLK OLEO inaugurated a new specialty chemicals facility in Indonesia to cater to the growing oleochemical demand.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
About Author – Money Singh
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc. LinkedIn Profile