PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1290831
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1290831
Bio-based Platform Chemicals Market size was valued at USD 2,087.1 million in 2022, expanding at a CAGR of 12.8% from 2023 to 2030.
Bio-based platform chemicals indicate a group of twelve building block chemicals that can be formed from sugar via biological transformations. The group contains molecules with diverse functional groups, holding the potential to be converted into various other high-value chemicals. For instance, bio-based chemicals include fermentation products such as ethanol, lysine and citric acid, sorbitol, and glycerol as well as fatty acids. However, the majority of organic chemicals and polymers are still derived from fossil-based feedstock, predominantly oil and gas. Bio-based chemical manufacturers have targeted high-value fine or specialty chemicals markets, often where specific functionality played an important role.
The bio-based polymers are extensively used in several applications such as consumer goods, building & construction, automotive, which is expected to propel the demand for bio-based platform chemicals in the market. There are several ways bio-based materials may be used in automotive components. Beyond traditional uses, there are two primary ways these materials are used: to create polymers or as reinforcement and filler. Nowadays, polymeric materials represent approximately 20 % of the total weight of an automobile, in other words, 100 to 150 kg/car. According to the latest market data compiled by European Bioplastics in cooperation with the Nova Institute, global bioplastics production capacities are set to increase from around 2.2 million tons in 2022 to approximately 6.3 million tons in 2027.
The Global Bio-based Platform Chemicals Market is segmented on the basis of Product Type, Application, and Region.
The market is divided into five categories based on product type: Glycerol, Glutamic Acid, Itaconic Acid, 3-Hydroxypropionic Acid, Succinic Acid and Others. The Glycerol segment dominates the market. As a bio-based platform chemical, glycerol holds significant potential for various applications in the chemical industry.
The market is divided into two categories based on application: Food and beverage, Pharmaceutical, Chemical, Plastic, Biofuel, Research & Development and Others. The Food and beverage sector dominates the market and is likely to maintain its dominance during the forecast period. The food and beverage industry generates a significant amount of packaging waste. Bio-based platform chemicals can be used to produce biodegradable and compostable packaging materials, such as bio-based polymers derived from renewable sources.
Geographically, this market is widespread in the regions of North America, Latin America, Europe, Asia Pacific, and the Middle East and Africa. These regions are further divided as per the nations bringing business. Europe is expected to dominate the Bio-based Platform Chemicals market growth due to the innovation in renewable energies and the emergence of bio-based products. Recently European Bioplastic eV / Nova-Institute gave an overview of the biopolymers market volume which was estimated to be 2.11 million tons globally in 2018. The platform's bio-renewable chemicals ethanol, glycerin, and lactic acid make up the bulk of bio-renewable chemicals being sold in 2018, accounting for the vast majority of the market. Also, North America is expected to be the fastest-growing region during the forecast period, due to huge investment into its pharmaceutical industry, and stringent regulations promoting the use of environmentally friendly products.
There is a growing demand for sustainable and green products, including those made from bio-based chemicals. Companies that can offer bio-based alternatives gain a competitive edge by meeting consumer expectations. Companies that can offer cost-effective, sustainable, and high-quality bio-based chemicals while meeting market demands will have a competitive advantage in this evolving industry. For instance, LAPP and BASF are working together. Both companies want their products to help reduce the carbon footprint. An important component is the use of bio-based plastics. LAPP will now be presenting the first Ethernet cable with a bio-based sheathing in Hall 11, C05 at the Hannover Messe.
In 2022, Solvay is launching a new Renewable Materials and Biotechnology platform, dedicated to developing innovative and sustainable solutions for a range of markets, using renewable feedstock's and biotechnology.
The scope of this report covers the market by its major segments, which include as follows: