by The global bio plasticizers market is mainly driven by increasing demand for phthalate-free plasticizers from various end-use industries like automotive, building & construction, medical devices and others. Bio plasticizers are derivatives of plant oils and fatty acids produced from renewable resources like vegetable oils, which are safer alternatives to conventional phthalate plasticizers. They are characterized by low toxicity, enhanced biodegradability, and compliance with environmental regulations. Bio plasticizers help manufacture flexible and soft polyvinyl chloride (PVC) without compromising on mechanical properties. They are predominantly used in applications involving direct contact with food, water, and medical devices due to their non-toxic nature.
The global bio plasticizers market is estimated to be valued at US$ 2.78 billion in 2023 and is expected to exhibit a CAGR of 5.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
The increasing demand for phthalate-free plasticizers from the automotive industry is a major factor driving the growth of the market. Bio plasticizers are widely used in automobile interiors, electronic components, wires & cables, and seals & gaskets due to their compliance with stringent regulations. Moreover, the growing construction activities in emerging economies are also augmenting the market growth.
Market Dynamics:
The growing popularity of bio plasticizers over phthalate plasticizers due to their plant-based composition and non-toxic nature is fueling the market growth. Additionally, the implementation of stringent regulations restricting the use of phthalate plasticizers in consumer goods and medical devices is further propelling the demand for safer bio plasticizers. Moreover, the rising consumer awareness about potential health hazards of phthalates is also driving manufacturers to incorporate bio plasticizers in their products. However, high production costs associated with bio plasticizers compared to phthalate plasticizers may hamper market growth over the forecast period. Ongoing R&D activities to develop cost-effective production technologies and new applications are expected to create lucrative opportunities for stakeholders in the coming years.
Segment Analysis
The bio plasticizers market is dominated by epoxidized soybean oil sub segment which holds around 30% market share. Epoxidized soybean oil is the most widely used bio plasticizer due to its effectiveness, ease of availability and competitive pricing. It is considered a good substitute for phthalate plasticizers. The segments like citrates and succinic are expected to witness high growth during forecast period due to increasing R&D focus towards developing bio based alternatives for traditional phthalate plasticizers.
PEST Analysis
Political: Stringent regulations towards use of phthalate plasticizers in applications like toys and medical devices are driving the growth of bio plasticizers market.
Economic: Volatility in crude oil prices and availability of alternatives influences raw material prices of bio plasticizers.
Social: Increasing health awareness and demand for eco-friendly products is promoting use of bio plasticizers over conventional plasticizers.
Technological: Ongoing product innovation to enhance functionality and development of cost effective production processes is expected to support market growth.
Key Takeaways
The Global Bio Plasticizers Market Demand is expected to reach US$ 2.78 Billion by 2023, projecting a CAGR of 5.9% during the forecast period.
Regional analysis indicates Europe dominates currently while Asia Pacific is expected to witness fastest growth due to increasing regulations and growing consumption of bio based products in countries like China and India.
Key players operating in the bio plasticizers market are Allphase Clinical Research, AlcheraBio, Alcami, Akos Urgent Care. Epoxidized soybean oil remains the most widely used bio plasticizer due to its effectiveness and competitive pricing. Citrates and succinic acid segments are anticipated to register high growth in coming years supported by ongoing R&D for developing alternatives to phthalate plasticizers. Stringent regulations towards phthalates and rising environmental awareness are key drivers expected to support market expansion during the forecast period.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
