Octyl Salicylate Market Expected to Reach $1.8 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Octyl Salicylate Market," The octyl salicylate market size was valued at $1.1 billion in 2021, and is estimated to reach $1.8 billion by 2031, growing at a CAGR of 5.4% from 2022 to 2031.

Octyl salicylate is a bright, clear, colorless liquid used to improve the Ultraviolet-B protection in a sunscreen. It is a common UV filter found in cosmetics and sunscreens, absorbing UVB rays at wavelengths ranging from 280 to 320 nm. Octyl salicylate is widely used in sunscreen lotions, creams, sprays, and sticks. It is also available in capsules, extended-release capsules, tablets, chewable tablets, and enteric-coated tablets in a range of doses and formats.

The growth of the global octyl salicylate market is majorly attributable to its wide applications in perfume, soap, sunscreens, and others. Further, the increasing demand for octyl salicylate in cosmetics industry is expected to boost the octyl salicylate market during the forecast period. Octyl salicylate is widely used in the cosmetics industry as lipsticks and lip balms, moisturizers, nail polish, and others. Octyl salicylate lip balm has unique properties of low viscosity and oily nature, which results in a no greasy, hydrophobic film when applied to the skin or lips. Octyl salicylate balms help relieve dry lips, make them soft again, and protect them against harmful elements, such as wind and UV damage. Octyl salicylate lip balm in summers has an additional feature of providing sun-protection to the lips. Further, octyl salicylate is also used as a moisturizer, which helps to minimize dark spots and pimples. It reduces dead skin cells and improves the effectiveness of face moisturizer by helping it to enter deeper into the skin.

However, moderate toxicity associated with octyl salicylate is projected to hinder the expansion of the market. Octyl salicylate sunscreens include compounds that can cause skin irritation, such as redness, swelling, irritation, and itching. Some customers experience severe allergic responses, including rashes and extreme itching. On the contrary, growth of the personal care & cosmetics industry is expected to offer ample growth opportunities for the octyl salicylate industry. Personal care products using octyl salicylate include, antiperspirants, scents, make-up, and shampoos, as well as soaps, and sunscreens. The personal care & cosmetics industry is growing faster than any other market category in the beauty industry. The U.S. sales of skincare products increased by 13% in 2018, while cosmetics sales increased by only 1%. During that period, online beauty businesses rose by 24% with skincare.

The octyl salicylate market is segmented into type, application, and region. On the basis of type, the market is categorized into colorless and light yellow. On the basis of application, the market is categorized into perfume, soap, cosmetics, sunscreens, and others. The perfume segment dominated the market in 2021. Octyl salicylate is used in perfume as a solvent for crystalline synthetic musks component and fixative floral scents, such as carnation, jasmine, lilac, and wallflower. The chemical components of octyl salicylate create a creamy, sand-like quality to a fragrance that has a smooth and mellow balsamic scent. Octyl salicylate perfume has a volatile scent component that disappears fast when exposed to air. Octyl salicylate is a fragrance molecule found in various fragrance compounds, such as ornamental cosmetics, fine scents, shampoos, toilet soaps, and other toiletries, as well as non-cosmetic items, such as home cleansers and detergents. Region-wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA. The octyl salicylate market share is anlyzed across all significant regions and countries. Asia-Pacific is expected to dominate the market in the near future. This growth is attributed to extensive use of octyl salicylate in sunscreen creams, lotions, sprays, and sticks in the region.

The major players operating in the global octyl salicylate market include, AAKO, Aceto Corporation, Clariant, Ernesto Ventós S.A., Labdhi Chemicals, MFCI CO., LTD., Otto Chemie Pvt. Ltd., Prakash Chemicals International Private Limited, Rishabh Metals and Chemical Pvt. Ltd., Siddharth Carbochem Products, TCI Chemicals, Toronto Research Chemicals, Unicorn Petroleum, Universal Esters, and Universal Preserv-A-Chem Inc.

COVID-19 Analysis:

The COVID-19 pandemic had negative impact on the manufacture of cosmetics and sunscreen, as well as the import and export of chemicals, such as octyl salicylate. The COVID-19 pandemic has had a detrimental effect on the cosmetics industry, which is one of the major end-user industries of octyl salicylate. However, cosmetic use is likely to revert back to pre-COVID levels for lip, eye, and skin cosmetics.

Further, the pandemic has greatly impacted consumer preferences and societal behavior regarding sun protection and skin cancer. Hybrid Sport Sunscreen containing 7% octyl methoxycinnamate, and 1.0% octyl salicylate is highly demanded in healthcare facilities, including hospitals, clinics, nursing homes, and cancer centers. As per IMPACT Melanoma, despite nationwide supply chain disruptions, sunscreens remained available for distribution, with hybrid sunscreens ordered most frequently. Orders of hybrid sunscreen increased by 41%, driven primarily by hospitals, which also ordered more sunscreen dispensers and experienced raised volume at facilities and outreach events (vaccination drives) during the pandemic.

Key findings of the study

• By type, the colorless segment was the highest revenue contributor to the market in 2021.
• By application, the perfume segment dominated the market in 2021.
• By region, Asia-Pacific was the highest revenue contributor in 2021.
• China was the highest revenue contributor in 2021, growing with a CAGR of 7.1%
• South Korea and Japan are expected to witness considerable CAGRs of 5.0% and 4.3%, respectively, during the forecast period.