The pelargonic acid market has witnessed significant growth over the past few years owing to its extensive use in manufacturing bio-based products. Pelargonic acid, also known as nonanoic acid, is a saturated carboxylic acid used in the production of various industrial and household chemicals. It has a banana-like or coconut-like odor and occurs naturally in certain essential oils. Major advantages of pelargonic acid include its biodegradability, safety for use, and compatibility with a wide range of substrates. The rising preference for bio-based and environmentally-friendly alternatives has boosted the demand for pelargonic acid significantly.
The Global pelargonic acid market is estimated to be valued at US$ 226.19 Mn in 2024 and is expected to exhibit a CAGR of 3.3% over the forecast period 2024 to 2031.
Pelargonic Acid Market Share finds extensive usage in manufacturing cosmetics, paints, lubricants, food additives, pesticides, and pharmaceuticals. It acts as an effective antimicrobial and preservative in various personal care products. Moreover, pelargonic acid is used as a feedstock in producing specialty chemicals like fatty esters, amides, and polyamide resins. The growing environmental consciousness and stringent regulations favoring bio-based alternatives are projected to drive market growth over the next decade.
Key Takeaways
Key players operating in the pelargonic acid market are Matrox Imaging Ltd., Omron Adept Technology, Inc., Toshiba Teli Corporation, Ltd., Cognex Corporation, ISRA VISION AG, Panasonic Corporation, Omron Microscan Systems Inc., Perceptron, Inc., Sharp Corporation, Edmund Optics, AMETEK, Inc., Teledyne Technologies, Keyence Corporation, Datalogic S.p.A., Sony Corporation, Basler AG, Vitronic GmbH, SICK AG, IMS Messsysteme GmbH, Industrial Vision Systems Ltd., Allied Vision Technologies, Baumer Group, and Dark Field Technologies. Major players are investing heavily in R&D to introduce new bio-based products derived from pelargonic acid.
The growing demand from end-use industries like personal care, food and beverages, coatings and lubricants is a major factor propelling the pelargonic acid market. Personal care products containing pelargonic acid as a preservative are gaining immense traction. Moreover, regulations favoring bio-based chemicals over their petrochemical-based alternatives are further fueling consumption.
Recent advancements in fermentation technology have enabled large-scale production of pelargonic acid from renewable feedstocks like plant oils, rendering the process more economical and sustainable. Many players have indigenously developed fermentation routes for commercial-scale manufacturing of pelargonic acid and its derivatives from renewable sources.
Market Trends
Growing Research on Fatty Acid Derivatives: Major players are focusing on developing novel fatty acid esters, amides, and alkoxylates using pelargonic acid. These bio-based chemicals have myriad industrial applications and help replace petroleum-based alternatives. Continuous research and new product development will expand the product portfolio and drive revenues.
Rising Popularity of Green Chemicals: stringent environmental regulations curbing the usage of hazardous chemicals and the growing demand for sustainable solutions are compelling industries to adopt bio-based and green alternatives like pelargonic acid. The trend towards eco-friendly chemicals is creating significant opportunities.
Market Opportunities
Increased Usage in Personal Care: Pelargonic acid is an effective preservative widely used in personal care products like cosmetics, hair care, skin care due to its anti-microbial properties. With the rising expenditure on personal grooming, its demand from this segment is projected to increase substantially over the forecast period.
Emerging Applications in Agriculture: Research studies indicate that pelargonic acid and its derivatives have applications as natural pesticides and fungicides. Further development can open lucrative opportunities in the high-growth agricultural chemicals market.
Impact of COVID-19 on Pelargonic Acid Market
The COVID-19 pandemic has negatively impacted the pelargonic acid market. Lockdowns imposed to contain the spread of virus have disrupted supply chains and halted manufacturing activities globally. This led to reduced production of pelargonic acid during 2020-2021. Closures of factories manufacturing personal care and home care products that use pelargonic acid as a raw material further reduced demand. Stringent import-export restrictions imposed by many countries aggravated supply shortages.
The pelargonic acid market is slowly recovering post pandemic. With lifting of lockdowns and resumption of industrial activities, production and supply chains are normalizing. However, rising raw material costs due to shortages and high inflation will moderately increase pelargonic acid prices in the short term. The personal care and home care sectors that use pelargonic acid are witnessing steady recovery. With economic growth improving globally in 2022-2023, demand from end use industries is estimated to rise, aiding the market's growth trajectory in the coming years. Innovation in bio-based production of pelargonic acid also provides opportunities for more sustainable market growth post pandemic.
Geographical regions concentrating pelargonic acid market value
North America holds the largest share of the global pelargonic acid market in terms of value currently. The region accounted for over 35% value share in 2024 owing to high demand from personal care and home care sectors in the US and Canada. Europe is the second largest regional market led by manufacturing clusters in Germany, Italy and UK that produce pelargonic acid and end use products. Asia Pacific is projected to be the fastest growing regional market during the forecast period with China, Japan and India driving growth through robust industrial activities.
Fastest growing region for pelargonic acid market
Asia Pacific region is estimated to be the fastest growing regional market for pelargonic acid during the forecast period of 2024 to 2031. Growth will be driven by expanding personal care, home care, textile and agrochemical industries in developing economies like China and India. Rising disposable incomes, growing middle class population and swift urbanization trends in the region are increasing consumption of products using pelargonic acid as an ingredient or formulation aid. Establishment of manufacturing facilities by leading producers to cater to the rising local demand will further propel the APAC pelargonic acid market. The region is expected to surpass North America as the largest pelargonic acid market globally by 2031.
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