The market for fatty acid esters is expected to grow at a CAGR of over 4% globally during the forecast period. Increasing demand from food industry across the globe and as well as rising demand for personal care products are driving the market growth. On the flip-side, availability of cheap substitutes is expected to hinder the growth of the market.
- Growing awareness and preference towards biodiesels are expected to offer various opportunities for the growth of market.
- Asia-Pacific region is expected to account for largest market owing to the increasing demand from countries such as China, India and Japan.
Key Market Trends
Growing Demand from Personal Care and Cosmetics Application
- Fatty acid esters find a wide range of applications in the cosmetic industry and are more commonly used as emollients and thickeners, leading to higher demand in the market.
- These are also used in the manufacturing of soaps and detergents as they possess various functional properties such as foaming, stability, cleansing, and moisturizing properties among few others.
- The personal care and cosmetics industry is expected to grow over the forecast period, owing to the increasing demand for make-ups, creams, and lotions across the globe.
- In addition to this, there has been a considerable increase in demand for these products in various countries over recent years in a wide range of industries, including hair care, skincare, personal hygiene, fragrances, make-up products with few others. This growth is chiefly driven by the rapidly increasing demand from the younger generation as well as rapid expansion in the middle-class income levels.
- Such growth in the personal care and cosmetics industry is expected to drive the market for fatty acid esters during the forecast period.
Asia-Pacific Region to Dominate the Market
- Asia-Pacific region is expected to dominate the market for fatty acid esters during the forecast period. In countries like China, India, and Japan due to the growing demand for surfactants, personal care, and cosmetics, the demand for fatty acid esters has increased in the region.
- Asia-Pacific region accounts for the largest share of the global cosmetic market, followed by the Americas and Europe being the second and third largest, respectively. Skincare segment accounts for the largest market share in the cosmetics market, followed by hair care, makeup, and fragrances segments in the cosmetics market.
- In the Asia-Pacific region, China generated the highest sales for cosmetics products of around EUR 43.4 billion. Japan represents the second-largest market in Asia-Pacific.
- China is the largest lubricant consumer and producer in the Asia-Pacific region and around the world, in the current scenario. The rate of lubricant consumption is expected to remain the same in the country, despite the economy witnessing slow growth lately.
- Further, the increasing industrial production in the country is supporting the lubricant consumption in India. The lubricant blending in the country is increasing, and further growth is expected soon, owing to the domestic lubricant requirements.
- Such factors are expected to drive the market for fatty acid esters in the Asia-Pacific region.
The fatty acid esters market is partially fragmented in nature with the presence of various players in the market. Some of the major companies in the fatty acid esters market include KLK OLEO, Cargill, Incorporated, Estelle Chemicals Pvt Ltd, Merck KGaA, and Tokyo Chemical Industry Co. Ltd, among others.
Reasons to Purchase this report:
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support