Bio-acetic Acid Sector: Growth Drivers and Challenges
Growth Drivers
- Growing Prices of Crude Oil– Brent crude futures jumped USD 1.10, or 1.3%, to USD 86.24 per barrel, while West Texas Intermediate crude rose USD 1.27. A rise in crude oil prices can push the economic incentives for the development and production of bio-based chemicals, including bio-based acetic acids.
- Increasing Demand for Biofuels – In comparison to 2021, the demand for biofuel in the world will rise by around 6% or 9100 million liters per year in 2022. Renewable diesel accounts for the majority of this year-on-year growth. The higher production of biofuel can also benefit the production of bio-acetic acid, as it can rely on shared feedstock infrastructure of biomass, sugarcane, corn, and others.
- Growing Production of Automobiles- In 2022, around 85 million motor cars were manufactured around the world, representing a 5.7% increase over 2021. The automotive industry is increasingly using bio-based acetic acid for manufacturing the interior components of automobiles.
Challenges
- Slow Scaling of the Bio-acetic Acid- It is difficult to maintain efficiency, and cost-effectiveness and to achieve scalability at the same time. Therefore, achieving economies of scale is crucial to compete with the production of conventional acetic acid.
- Low Awareness Among People Related to Bio-acetic Acid
- Lack Of Raw Material for Bio-acetic Acid
Bio-acetic Acid Market: Key Insights
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
5.2% |
|
Base Year Market Size (2024) |
USD 224.53 million |
|
Forecast Year Market Size (2037) |
USD 433.99 million |
|
Regional Scope |
|
Browse key industry insights with market data tables & charts from the report:
Frequently Asked Questions (FAQ)
In the year 2025, the industry size of bio-acetic acid is assessed at USD 233.87 million.
Bio-acetic Acid Market size was over USD 224.53 million in 2024 and is likely to reach USD 433.99 million by the end of 2037, witnessing around 5.2% CAGR during the forecast period i.e., between 2025-2037. Increasing demand for textiles and growing demand for sustainable buildings will drive the market growth.
Asia Pacific industry is anticipated to hold largest revenue share of 33% by 2037, backed by growing production of medicines and other pharmaceutical products in the region.
The major players in the market are Airedale Chemicals, Bio-Corn Products EPZ Ltd., Godavari Biorefineries Ltd., Sucroal SA, Novozymes A/S, LanzaTech, Afyren SAS, BTG Bioliquids, Sekab and Wacker Chemie AG.
