The Rising Environmental Concerns Are Anticipated To Open Up The New Avenues For Bio Plasticizers Market

ashwinicmi

posted on 9 months ago — updated on 1 second ago

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The Bio Plasticizers Market is estimated to be valued at US$ 2.78 Bn in 2023 and is expected to exhibit a CAGR of 6.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

The Rising Environmental Concerns Are Anticipated To Open Up The New Avenues For Bio Plasticizers Market

Market Overview:
Bio plasticizers are natural compounds used in replacement of phthalates to provide flexibility to plastic materials. They are derived from plants and vegetable oils such as glycerol, citrates, and fatty acid esters. Bio plasticizers are produced using sustainable processes and reduce toxic emissions. They help plasticizers provide a similar level of flexibility and performance to conventional phthalate plasticizers with improved recyclability, biodegradability, health, and environmental benefits. Bio plasticized materials find applications in construction materials, wire and cables, food packaging, pharmaceutical packaging and medical devices.

Market Dynamics:
The growth of the bio plasticizers market is driven by rising environmental concerns regarding usage of conventional phthalate plasticizers. Phthalates are known endocrine disruptors that leach out and contaminate the environment. Strict regulations banning phthalates especially in food contact applications and children's toys have boosted the demand for safer bio-based alternatives. Additionally, growing preference of consumers and industries for sustainable and recyclable products further propels the bio plasticizers market growth. However, high production costs and limited availability compared to phthalates restrain the market to some extent.
Segment Analysis

The bio plasticizers market is dominated by the epoxidized soybean oil (ESO) segment due to its favorable properties over conventional phthalate plasticizers. ESO is the most common type of bio-based plasticizer which is derived from refined soybean oil through an epoxidation process. It is non-toxic in nature and offers high stability and compatibility with PVC along with imparting flexibility. Rising regulatory push against phthalate plasticizers have further augmented the demand growth of ESO segment in recent years.

PEST Analysis

Political: Stringent regulations banning phthalate plasticizers across major economies like Europe is driving increased adoption of bio-based substitutes. Economic: Cheaper extraction costs and growing plasticizer prices are expected to make bio plasticizers more cost competitive against traditional options. Social: Rising health and environmental concerns among consumers have increased the popularity of sustainable and non-toxic alternatives like bio-based plasticizers. Technological: Continuous R&D into developing bio-based plasticizers with improved performance characteristics similar to conventional plasticizers is boosting the market growth.

Key Takeaways

The Global Bio Plasticizers Market Demand was valued at US$ 2.78 Bn in 2023 and is expected to witness high growth, exhibiting a CAGR of 6.8% over the forecast period, due to increasing regulatory push against phthalate plasticizers. Regionally, Europe dominated the global market in 2023 and is anticipated to witness fastest growth during 2023-2030 period driven by rigorous enforcement of REACH regulations in the region. Key players like Givaudan SA, International Flavors & Fragrances Inc., Firmenich SA etc. are investing in developing new bio-based formulations to replace phthalate plasticizers and expand market share.

The Asia Pacific region is also projected to exhibit high growth in the market during the same period. Abundant availability of raw materials coupled with growing PVC production in China, India and other developing Asian countries are supporting market growth in the region. Key players operating in the bio plasticizers market are Givaudan SA, International Flavors & Fragrances Inc., Firmenich SA, Symrise AG, Takasago International Corporation, Sensient Technologies Corporation, T. Hasegawa Co., Ltd., Kerry Group, Mane SA, and Huabao International Holdings Limited. These leading players are focusing on introducing bio-based product lines and accelerating R&D activities to strengthen market position.