Propionic Acid Market

Propionic Acid Market Size

PRODUCT OVERVIEW

Propionic Acid Market is expected to exceed 2.5 billion USD by 2032 from 1.35 billion USD in 2021, growing at a CAGR of 5.9% during the forecast period i.e., from 2022-2032

Propionic acid is a water-soluble, three-carbon carboxylic acid with an unpleasant pungent smell and is colorless liquid. Propionic acid is manufactured by fermentation process and by hydro carboxylation of ethylene using nickel carbonyl catalyst. Propionic acid is utilized as preservative in food items like baked products, cheeses, and even as additive for artificial flavors. The raw materials used for production of propionic acid are carbon monoxide & ethylene. It is used as synthetic intermediate in production the of vitamin E, flavoring agents, esters, pharmaceuticals, solvents and many more. The usage of Propionic acid is studied to be safe and can be utilized as preservative in food items and in animal feed. Propionic acid prevents the growth of several molds, hence possess antibacterial properties and is used in breads as preservatives to increase the shelf life.

MARKET HIGHLIGHTS

Global Propionic Acid Market is expected to register a CAGR of 5.9% in 2032

Global Propionic Acid Market is expected to exceed 2.5 billion USD by 2032 from 1.35 billion USD in 2021, growing at a CAGR of 5.9% during the forecast period i.e., from 2022-2032 owing to the increasing necessity of Propionic Acid in the market as it possesses properties of preservative and is safe to use as an intermediate in production process. Propionic acid also functions as a fungicide and bactericide and is helpful in control fungi and bacteria. The esters of propionic acid are used as solvents, and artificial flavorings in food & beverages which is expected to boost the market growth in the forecast period.

GLOBAL PROPIONIC ACID MARKET: SEGMENTS

Rubber Products segment is expected to grow with a higher CAGR during 2022-32

Global Propionic Acid Market is classified based on the Application into Animal Feed and Food Preservatives, Calcium, Ammonium, and Sodium Salts, Cellulose Acetate Propionate, Herbicides, Plasticizers, Rubber Products, and Other Applications. The Rubber products segment is expected to grow with high CAGR during the forecast period owing to the versatile properties of rubber. The usage of rubber is increasing in various fields like the automotive, manufacturing, construction, polymer modification etc. Propionic acid is also helpful in the production of rubber, it acts as an intermediate.

Food & Beverage segment is expected to grow with a higher CAGR during 2022-32

Global Propionic Acid Market is classified based on the End User industry into Agriculture, Food & Beverage, Personal Care, Pharmaceutical, Other End-User Industries. The food & beverage segment is expected to grow with significant share in the forecast period owing to due to the rising use of propionic acid in food and beverages as it acts as preservative in production of various products like bread, cakes, cheese, jams, jellies, non-alcoholic beverages, etc. This also helps in increasing the shelf life of the food products.

MARKET DYNAMICS                                                     

Growth Drivers

Increasing demand in Food Industry is expected to drive the market growth

Propionic acid possesses the properties of preservative and is used in packaged food items & animal feed. The growing demand for preservatives and in animal feed along with the property of preventing the growth of mold, bacteria, and fungi helps increasing the shelf life of food and is expected to drive the growth of the market during the forecast period. Propionic acid has various properties and is used as herbicide, to manufacture cellulose acetate propionate which is expected to propel the growth of the market.

Rising demand for cellulose acetate propionate is expected to boost the growth of market

The rising demand for cellulose acetate propionate in the downstream industry is expected to help the growth of market. Cellulose acetate propionate is capable of withstanding huge physical stress and provide rigidity to the eyeglasses & goggles. It is an important thermoplastic cellulose ester and the increased usage of this cellulose acetate propionate is expected to boost the growth of the market.

Restraint

The Side Effects caused on using Propionic acid may restrain the market growth

Propionic acid should be handled safely to prevent any type of burns and pain.  Propionic acid when comes in contact with the skin may lead to severe damage and if it gets into eyes, may cause irritation and even blindness which may restrain the market growth. The increasing environmental issues due to the use of pesticides which contain propionic acid may hamper the growth of the market

 RECENT DEVELOPMENTS

• In January 2021, a biotechnology startup, Afyren started construction of Afyren Neoxy, an industrial-scale factory for green chemistry manufacture of organic acids, which has applications in cosmetics, flavors, perfumes, pharmaceuticals etc.
• Due to the huge applications possessed by propionic acid, five major key players of the industry, consolidated advanced composites market accounting to a share of 20% each.

GLOBAL PROPIONIC ACID MARKET:

Key Players

• BASF

(Company Overview, Business Strategy, Key Product Offerings, Financial Performance, Key Performance Indicators, Risk Analysis, Recent Development, Regional Presence, SWOT Analysis)

• The Dow Chemical Company
• PERSTORP ORGNR
• Oxea GMBH
• Krishna Chemicals
• Merck KGaA
• DAICEL CORPORATION
• Otto Chemie Pvt. Ltd
• Eastman Chemical Company
• Celanese Corporation
• BIOMIN HOLDING GMBH
• A.M. FOOD CHEMICAL CO. LTD
• CORBION N.V
• Hawkins, Inc
• Oman Oil Company SAOC
• Other Prominent Players

GLOBAL PROPIONIC ACID MARKET: REGIONS

Global Propionic Acid Market is segmented based on regional analysis into five major regions: North America, Latin America, Europe, Asia Pacific and the Middle East and Africa. Europe dominated the market, and is also expected to dominate in the forecast period owing to the presence of major market of food and agriculture sector in the European region which is further assisted by the investments in food industry, which is expected to dominate the market growth of propionic acid in the forecast period.

IMPACT OF COVID-19 ON GLOBAL PROPIONIC ACID MARKET

The outbreak of the COVID-19 pandemic has resulted in the economic slowdown across the world. Many countries imposed strict lockdowns and travel bans to control the spread of coronavirus. There was a disruption in several industries due to the Covid-19 has pandemic leading to shutdown of many business activities. COVID-19 has negatively impacted the Global Propionic Acid Market as the people were aware about healthy eating habits and it led to the decline in sales of packaged foods and preservatives, leading to downfall of the Propionic Acid Market.

Global Propionic Acid Market is further segmented by region into:

• North America Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – United States and Canada
• Latin America Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – Mexico, Argentina, Brazil and Rest of Latin America
• Europe Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – United Kingdom, France, Germany, Italy, Spain, Belgium, Hungary, Luxembourg, Netherlands, Poland, NORDIC, Russia, Turkey and Rest of Europe
• Asia Pacific Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – India, China, South Korea, Japan, Malaysia, Indonesia, New Zealand, Australia and Rest of APAC
• Middle East and Africa Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – North Africa, Israel, GCC, South Africa and Rest of MENA

GLOBAL PROPIONIC ACID MARKET REPORT ALSO CONTAINS ANALYSIS

Global Propionic Acid Market Segments:

• By Application
  • Animal Feed and Food Preservatives
  • Calcium
  • Ammonium
  • Sodium Salts
  • Cellulose Acetate Propionate
  • Herbicides
  • Plasticizers
  • Rubber Products
  • Other Applications
• By End-User industry
  • Agriculture
  • Food & Beverage
  • Personal Care
  • Pharmaceutical
  • Other End-User Industries
• Global Propionic Acid Market Dynamics
• Global Propionic Acid Market  Size
• Supply & Demand
• Current Trends/Issues/Challenges
• Competition & Companies Involved in the Market
• Value Chain of the Market
• Market Drivers and Restraints

Frequently Asked Questions (FAQ):