Bio-based platform chemicals, represents the group of building block chemicals which can be manufactured from sugar via the process of biological conversions. The development of bio refineries has driven the evolution of bio-based chemicals as an alternative to petrochemicals. Such chemicals are produced from renewable resources either by chemical & enzymatic conversion or by fermentation, followed by product isolation and cleaning procedures. The increased public concerns about the environment, health, and limited fossil resources has driven rising interest towards the use of sustainable technologies to produce plastics, chemicals, and other products from renewable resources. This factor has fueled the interest towards Bio-based platform chemicals around the globe.
The market for Bio-based Platform Chemicals is expected to reach rise at a CAGR of 12.5 percent during the forecast period. Increasing regulatory concerns pertaining to the environmental pollution triggered by harmful chemicals fuels growth of the Bio-based Platform Chemicals market.
The global bio-based platform chemicals market has observed considerable growth over the past few years due to the rising inclination of consumers towards the environment-friendly products. In addition to this, bio-based chemicals are experiencing huge demand as the stringent government policies and regulations are leading to the reduction in use of petroleum-based chemicals. Moreover, growing population in developing economies as well as increasing disposable income is projected to supplement the demand for bio-based platform chemicals in bio-fertilizers, biocides, cosmetics, plastics, and chemical formulations. Furthermore, depletion of fossil fuels is predicted to promote the demand for bio-based platform chemicals over the forecast period.
However, high cost of production for bio-based chemicals due to the shortage of raw materials as well as the surge in popularity along with the well-rooted application areas of fossil-fuel products may hamper growth of the market to some extent during forecast period. On the other hand, rising support from the federal government as well as the modernization in production techniques along with the ongoing technological advancements in the bio-based chemicals industry will further create lucrative growth opportunities for the market.
Throughout the forecast period, Bio-Itaconic acid (IA) segment will continue to hold a dominant share of the global market, on the basis of product type. Itaconic acid (IA) is also known as methylene butanedioic acid or methylene succinic acid which is an organic compound manufactured by the fermentation process. Surge in application of superabsorbent polymers is major factor fueling the demand for bio-based itaconic acid. Superabsorbent polymers (SAPs) materials have the ability to retain and absorb large volumes of aqueous or liquid solutions. Such properties makes them ideal for water-absorbing applications, such as baby nappies, absorbent medical dressings, adult incontinence pads, and controlled release drugs. However, the Bio Succinic Acid segment is anticipated to witness highest growth rate during the forecast period. This is attributed to the fact that the Bio Succinic Acid is a major platform chemical for the manufacture of biodegradable plastics and as a substitute of several chemicals such as adipic acid.
BIO-BASED PLATFORM CHEMICALS MARKET SEGMENTATION:
By Product Type
- Bio Glycerol
- Bio Glutamic Acid
- Bio Succinic Acid
- Bio Itaconic Acid
- Bio-3-Hydroxypropionic Acid
- Other Product Types
- North America
- Latin America
- Asia Pacific
- Middle East & Africa
North America dominated the global bio-based platform chemicals market and is likely to be the most profitable region throughout forecast period. This is mainly attributed to the supportive government regulations that encourages usage of bio-based products. In addition to this, the innovation in renewable energies and emergence of bio-based products have significantly contributed to job creation in the region, further fuelling the bio-based economy of North America. On the other hand, Europe region is anticipated to witness considerable growth rate during the forecast period, due to growing focus of European government towards the expansion of bio-based sector along with a number of policies and strategies to achieve sustainable economic growth. The major initiatives that contribute to the regional market growth in Europe includes, European Innovation Partnerships (EIP), Commission Expert Group for bio-based products, Circular Economy Package model, and The flagship initiative for a resource-efficient Europe under the Europe 2020 strategy.
On the contrary, in the Middle East and Africa, the market is likely to experience a massive rise in valuation in the upcoming years due to augmented demand from the key end-use industries.
Further, Asia-Pacific region is expected to witness highest growth rate during the forecast period. This is attributed to the factors such as several increasing adoption of bio-refinery concepts, rising application of bio-based polymer, rapid expansion of bio-based polymer industry, and increasing regulatory concerns related to the environmental pollution caused by harmful chemicals in this region. Furthermore, Latin America region is expected to strengthen the usage of Bio-based Platform Chemicals in the upcoming years; this is opportunistic for the market growth. This is mainly attributed to the increasing prices of raw materials needed for the production of petroleum-based chemicals and increased awareness among consumers about the bio-based platform chemicals.
FEW KEY PLAYERS IN BIO-BASED PLATFORM CHEMICALS MARKET:
- BASF SE
- Cargill, Incorporated
- Avantium N.V.
- DuPont Tate & Lyle Bio Products Company, LLC
- Parchem Fine & Specialty Chemicals
- Butamax Advanced Biofuels LLC
- PTT Global Chemical Public Company Limited
- Champlor (Valtris Specialty Chemicals)
Get a brochure of this research study Click Here