Oleochemicals have several uses across the industry that are synthesized and are commercially enabled for daily use. The APAC regions have already demonstrated in a higher market share followed by a close consumption of oleochemicals products. There is a huge potential in the APAC market for newly installed capacities. With a cumulative rise in fatty alcohols and glycerin the market is projected to have an all-round development. Europe and China being the major players for 2019.
The market is strongly driven by rise in food & beverage industry with a highly predicted CAGR. In addition, oleochemicals is used as emulsifiers and specialties in bakery items. Oleochemicals find major use in food additives and packaged food products. The chemicals are widely used in consumption of milk and milk products and a higher demand for packaged foods in developing economies. The demand for oleochemicals witness a significant increase in food & beverages sector.
Glycerin, Fatty Alcohol and Fatty Acid are some important product types used as raw materials to manufacture oleochemicals. Fatty acids account for a greater share due to constant use for manufacture of soaps and detergents.
Application category in the oleochemicals market comprise soaps & detergents, pharmaceutical, polymers and personal care. Pharmaceuticals and soaps & detergents account for a significant market share due to greater demand and steady use as raw materials in manufacture of derivatives.
Asia-Pacific regions account for a dominant market position in terms of demand and value. It is highly estimated that the market might register a significant rate of growth due to urbanization and ongoing developments in the oleochemicals manufacturing sector. The market registers a higher demand from the pharmaceutical companies and rise in emergence of R&D for oleochemical derivatives in the personal care and cosmetic products.
North America and Europe have registered an excellent CAGR in the past and continue to maintain a dominant position, which in turn is expected to propel the market growth in these regions. Rise in production of pharmaceuticals and personal care products with a competitive pricing is highly responsible to create a steady demand for oleochemicals.
Prominent players in the oleochemicals market include KLK Oleo, Wilmar International, Emery Oleochemicals and IOI Group.