Octyl Octanoate Market size projected to surpass USD 1 Billion by the end of 2035 by growing at a CAGR of 5% over the forecast period, i.e., 2023-2035. In the year 2022, the industry size of octyl octanoate was over USD 932 Million. The growth of the market can be attributed primarily to the increasing usage of octyl octanoate to enhance the flavor of food items, coupled with the growing demand for natural ingredients for the preparation of food and beverages. A study conducted by researchers evaluated the effect of octyl octanoate on the organoleptic properties of fruit-flavored drinks. The results showed that the addition of octyl octanoate significantly improved the beverage's fruity aroma and overall flavor intensity, as assessed by a sensory panel.
Along with these, an increase in the launch of products with exotic and unique flavors, and a rapid surge in the sales of cosmetic products are projected to offer ample growth opportunities to the market in the forthcoming years. In 2020, the total spending in the global beauty industry reached a value of more than USD 450 billion, which is evaluated to amount to USD 700 billion by the end of 2025. Furthermore, escalating demand for processed food and beverages, and a surge in the use of specialty aroma substances in households are also expected to drive market growth shortly.
Growth Drivers
Challenges
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Base Year |
2023 |
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Forecast Year |
2035 |
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CAGR |
~5% |
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Base Year Market Size (2022) |
~USD 932 million |
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Forecast Year Market Size (2035) |
~ USD 1 billion |
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Regional Scope |
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End-user (Essential Oils, Fragrances, Flavouring Agents)
The global octyl octanoate market is segmented and analyzed to demand and supply by end-use into essential oils, fragrances, flavoring agents, and others. Out of which, the flavoring agent’s segment is anticipated to hold the largest share of the global octyl octanoate industry. This can be accounted to the growing use of flavors in the pharmaceutical industry as inactive ingredients in chewable tablets, syrups, and gums. Apart from this, the rise in demand for ready-to-eat food items that require more taste is also predicted to boost the growth of the market segment in the future. A 2020 survey found that 55% of U.S. consumers would eat more packaged and ready-to-eat foods compared to before the COVID-19 pandemic owing to the convenience and time-saving factors are purchasing.
Purity Level (Less than 98%, above 98%)
The global market of octyl octanoate is segmented and analyzed for demand and supply by purity level into less than 98% and above 98%. Based on purity level, the less than 98% segment is assessed to occupy the largest share during the forecast period. Owing to the high availability and low price of this type of octyl octanoate, as a result, it is extensively being used in a variety of industries. This segment utilization can be seen in various industries, such as in fragrance, cosmetics, pharmaceutical industries, and many more.
Our in-depth analysis of the global market includes the following segments:
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By Purity Level |
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By End Use |
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APAC Market Statistics
The market in Asia Pacific is estimated to witness noteworthy growth by the end of 2035. This can be attributed on the back of the rapidly expanding production of additive flavors and fragrances in the region, especially in China and South Korea. China in the Asia Pacific region is regarded as the biggest producer of the fragrance industry. According to a report, the 2020 fragrance market grew by 12% in Tier 2 cities compared to 8% in Tier 1 cities in China. In addition, the rising production of homecare and personal care products is also expected to drive market growth in the region. The rise in the flavored products in the India and China region is expected to drive the growth of the octyl octanoate market. Moreover, increasing demand for pharmaceuticals, supplements, and processed foods is also expected to fuel the market in the region.
North American Market Forecast
The market in North America is projected to grow at a significant share by the end of 2035. Ascribing to the high penetration of cosmetics, and the strong footprint of market players in the region. In the United States, the online channel for beauty grew by more than 5% in 2020. Also, the country accounts for more than 20% of the global value of the cosmetic industry globally. In addition, the rise in cosmetic therapy, more air freshener appliance production, and the high use of personal care products in the region. Anticipated to drive the demands of the octyl octanoate in this region. Additionally, lots of cosmetics brands are focusing on opening chains in the North American region will boost the octyl octanoate market.
Europe Market Forecast
The market in the Europe region is anticipated to account for the majority of the market share by the end of 2035. The market for octyl octanoate in Europe is driven by increasing demand for personal care products and cosmetics, as well as increasing the use of pharmaceuticals. The cosmetics industry is a major consumer of octyl octanoate in Europe. Octyl octanoate is also used as an additive in drugs, syrups, chewing gums, and more in the pharmaceutical industry. In addition to this, it also helps reduce the bitterness of the drug and make it consumable.
Author Credits: Smruti Ranjan, Rajrani Baghel
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