Asia-Pacific Oleochemicals Market Expected to Reach $26.5 Billion by 2028

According to a new report published by Allied Market Research titled, “Asia-Pacific Oleochemicals Market by Type and Application: Asia-Pacific Opportunity Analysis and Industry Forecast, 2021–2028,” 

The Asia-Pacific oleochemicals market was valued at $14.8 billion in 2020, and is projected to reach $26.5 billion by 2028, growing at a CAGR of 6.5% from 2021 to 2028.

Oleochemicals are bio-based chemicals. Its raw materials are as oils and fats and others. The outbreak of COVID-19 increased the demand for products such as soap and sanitizers. This consequently increased the demand for oleochemicals. The panic buying of foods and consumer goods owing to lockdown increased the demand for oleochemicals as these are used in soap & detergent and food & beverage applications. Furthermore, the increased awareness regarding bio-degradable products surged the demand for oleochemicals in the market. However, volatile prices of raw material restrain the growth of the market. On the contrary, rise in application of oleochemicals in biopolymers, bio surfactants, and bio lubricants, is expected to offer lucrative growth opportunities during the forecast period. 

Fatty alcohols are being used in pharmaceuticals and cosmetics owing to their specific properties, such as emollients. Cetyl (C16) alcohol, the most common product, is used in shaving creams, lipsticks, and hair lotions. Cetyl and stearyl (C18) alcohols have similar qualities and are commonly used in dermatological bases, bath preparations, antihistamine creams, and other cosmetic products. Moreover, fatty alcohols provide the starting point for the chemicals used as corrosion inhibitors, lubricants, emulsion stabilizers, defoamers, metalworking inks, perfumes, fire retardants, and others.

The soap & detergent segment garnered 23.7% share in 2020, in terms of volume and expected to grow a CAGR 5.9% from 2021 to 2028. Oleochemicals are the used in manufacturing of soaps and there is an increase in demand for oleochemicals in synthetic detergent and soap manufacturing. 

Furthermore, personal care & cosmetics products are another leading application of oleochemicals owing to its anti-bacterial and moisturizing properties.

Among the Asia-Pacific countries China is the major consumer of oleochemicals. China has garnered 47.1% share in terms of consumption in 2020 owing to the presence of strong consumer base such as food & beverage, personal care, and others.

The Asia-Pacific oleochemicals market is segmented into type, application, and region. On the basis of type, the Asia-Pacific oleochemicals market is categorized into fatty acids, fatty alcohol, glycerol, and others. Various application of oleochemicals studied in the Asia-Pacific oleochemicals market include pharmaceutical, personal care and cosmetics, food and beverages, soap and detergents, polymers, and others. By country, the Asia-Pacific oleochemicals market is analyzed across Thailand, Vietnam, Philippines, Indonesia, Malaysia, Singapore, Japan, South Korea, India, China, Australia, and Rest of APAC. Asia-Pacific oleochemicals market share is analyzed for all countries and segments.

The Asia-Pacific oleochemicals market analysis covers in-depth information of the major industry participants. The key players operating and profiled in the Asia-Pacific oleochemicals market include Croda International PLC,EcogreenOleochemicals, Emery Oleochemicals, Global Green Chemicals, Oleon NV, Musim Mas, Klk Oleo, Unilever Oleochemical Indonesia, Sinarmas CEPSA PTE. LTD., Timur Oleochemicals, IOI Corporation Berhad, P and G Chemicals, Hancole, Kao Corporation, and Wilmar International Ltd.

Key findings of the study

•  The report outlines the current Asia-Pacific oleochemicals market trends and future scenario of the market from 2021 to 2028 to understand the prevailing opportunities and potential investment         pockets.
•  The Asia-Pacific oleochemicals market size is provided in terms of volume and revenue.
•  On the basis of type, the fatty alcohol segment is expected to grow at a CAGR of 7.4%, in terms of revenue, during the forecast period.
•  On the basis of application, the food and beverages segment gained 7.1% share in 2020 in terms of revenue.
•  On the basis of type, the glycerol segment garnered a share of 13.8% in 2020 in terms of revenue.
•  On the basis of country, India garnered a share of 10.4% in 2020 in terms of revenue.

 Impact of COVID-19 on the Asia-Pacific Oleochemicals Market

• The COVID-19 outbreak has affected the demand as well as manufacturing of Asia-Pacific oleochemicals.
•  The oleochemicals prices increased because of spread of COVID-19 in major raw materials supplying countries such as Malaysia, Indonesia, China, and others.
•  India’s demand for oleochemicals is expected to remain stable in 2021 as major home care manufacturers are working despite lockdown restrictions imposed to control the COVID-19. As the home care manufacturers are considered under essential category.