Fatty Alcohol Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

Fatty Alcohol Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028) The fatty alcohol market is projected to register a CAGR of over 6% during the forecast period. Key HighlightsThe COVID-19 pandemic negatively impacted the cosmetic and personal care industry in 2020. This has highly impacted the market of cosmetic ingredients and thus tends to constrain the growth of fatty alcohol. However, the growing cosmetic industry has propelled the market growth post-pandemic.In the short term, one of the major factors driving the market studied is the growing surfactants industry in the Asia-Pacific region. However, high volatility in raw material prices is likely to constrain the growth of the fatty alcohol market.Increasing focus on producing fatty alcohol by microbial fermentation is projected to offer new growth opportunities to the overall industry growth. Asia-Pacific dominated the global market with the largest consumption from countries such as China and India.Fatty Alcohol Market TrendsGrowing Demand for Surfactants Fatty alcohols are among the most used ingredients in surfactant formulations. Surfactants are used in a variety of personal care products, such as shampoo, conditioner, shower gel, antiperspirant, and lipsticks as emollients and thickeners, owing to their amphipathic and non-ionic surfactant nature. Additionally, they are used in skin care products as a solvent, emulsifier, antiseptic, buffer, and penetration enhancer (improves delivery of an ingredient into the skin). The global market for personal care products is expected to witness substantial growth over the coming years, owing to the growing disposable income of consumers and awareness of consumers for natural and organic products, thus enabling them to spend on luxury personal care products. Constant innovations and product improvisations have also led to the demand for multifunctional and cosmeceutical products. The detergents and cleaning products industry plays a significant role in the European economy. In 2021, the average monthly spending on beauty products in Italy amounted to approximately Euro 32 (USD 37.35) for women and Euro 28 (USD 32.68) for men. Between 2021 and 2022, the sales value of laundry detergents in Italy decreased by about 0.6 percent. More specifically, the figure went from EUR 903 million (USD 1,054 million) to EUR 897 million (USD 1,047 million). The product which accounted for the largest sales value was liquid detergent. In 2022, it held 75.9 percent of the sales value of all considered laundry detergents. The demand for cleaning products is increasing rapidly in the United States with the growing population. The cleaning industry can be divided into residential, commercial, specialty, and laundry services. In 2021, the average annual expenditures for soaps and detergents in the United States amounted to roughly USD 80.5 per consumer. Hence, owing to the above-mentioned factors, the application of fatty alcohol as surfactants in beauty and personal care products will likely dominate during the forecast period. Asia-Pacific Region to Dominate the Market Increasing demand for surfactants in the manufacturing of personal care products in major economies, such as China, India, and Japan, is estimated to boost the market studied during the forecast period. The growing consciousness toward maintaining an individual'sindividual's appearance and a considerable increase in disposable incomes are the factors majorly driving the cosmetics products market in the Asia-Pacific region, which, in turn, increases the demand for fatty alcohol in this region. Rising consumer expenditure on green products and increasing awareness regarding the harmful effects of chemicals used in cosmetic products have resulted in a rise in the oleochemicals market in the region, especially over the past few years. Asia-Pacific is the largest oil and fat producer and raw material base for oleochemicals globally, followed by Europe. Thus, as a consumer, Asia-Pacific has better control of the production and distribution of oleochemicals. In China, the revenue from beauty and personal care products reached a new record high of over USD 51 billion in 2021. Personal care products made up the biggest share of this revenue, with over USD 24 billion, followed by skin care products generating over USD 14 billion. In December 2022, cosmetics retail sales in China amounted to around CNY 29.02 billion (USD 4.53 billion), lower than the same quarter of the previous year. The value of cosmetics retail sales was CNY 393.6 trillion (USD 61.32 trillion) in 2022. However, retail cosmetics demand is anticipated to grow as the demand for cosmetic goods in China's second and third-tier cities increases. Owing to the above-mentioned factors, the market for fatty alcohol in the region is projected to grow significantly during the study period.Fatty Alcohol Industry Overview The fatty alcohol acid market is partially fragmented in nature with only a few major players dominating the market. Some of the major companies (not in any particular order) are SASOL, Croda International Plc, Arkema, Emery Oleochemicals, and Godrej Industries Limited (GIL), among others.Additional Benefits: The market estimate (ME) sheet in Excel format 3 months of analyst support