February 23, 2024

Bio Plasticizers Market Offers Potential for High Growth Due to Growing Need for Biodegradable Products

Bio plasticizers are biodegradable additives that are used as replacements for phthalate plasticizers in various plastic products. They impart flexibility and softness to plastics without interfering with the material properties. Due to the rising awareness about environmental hazards of conventional plasticizers, the demand for bio-based and eco-friendly alternatives is increasing. Bio plasticizers can be easily processed and incorporated into a wide range of polymers and materials.

The global bio plasticizers market is estimated to be valued at US$ 3.21 Bn in 2024 and is expected to exhibit a CAGR of 5.9% over the forecast period 2024-2031, as highlighted in a new report published by Coherent Market Insights.

Market Opportunity

Many countries have imposed regulations to ban certain phthalate plasticizers due to health and environmental concerns. This is driving the replacement of conventional plasticizers with safer bio-based alternatives. The market is expected to witness high growth owing to the opportunity presented by stringent regulations against harmful chemicals and the rising preference of end users for green and sustainable products. With continued innovations, bio plasticizers can displace a major share of the plasticizers market in the coming years.

Porter’s Analysis

Threat of new entrants: The threat of new entrants is moderate as the bio plasticizers market is growing. However, existing key players have strong hold and economies of scale. Significant capital is required to enter this market.

Bargaining power of buyers: The bargaining power of buyers is high as there are many suppliers in this market and buyers can negotiate on price. Buyers can opt for substitutes if pricing is not competitive.

Bargaining power of suppliers: The bargaining power of suppliers is moderate as raw material suppliers have limited control over pricing due to availability of substitutes. Suppliers also rely on orders from key players.

Threat of new substitutes: The threat of new substitutes is high as petroleum-based plasticizers can be replaced by bio-based substitutes. Continuous R&D leads to development of new green alternatives.

Competitive rivalry: Competition is high among existing players to gain market share. Players focus on product differentiation, customer service and competitive pricing.

SWOT Analysis

Strengths: Growing consumer preference for sustainable products. Stringent regulations boosting demand.

Weaknesses: High production cost compared to conventional plasticizers. Limited raw material sources.

Opportunities: Potential in emerging economies. New application areas can be tapped.

Threats: Volatility in raw material prices poses risks. Established petroleum-based products are economical.

Key Takeaways

The Global Bio Plasticizers Market Size  is expected to witness high growth. The global bio plasticizers market is estimated to be valued at US$ 3.21 Bn in 2024 and is expected to exhibit a CAGR of 5.9% over the forecast period 2024-2031.

Regional analysis comprises North America will continue to dominate the market during the forecast period. Asia Pacific is projected to register the highest CAGR during the forecast period. Increasing health awareness along with rising disposable incomes are fueling the demand for bio-based plasticizers in the region. Stringent environmental regulations regarding phthalate plasticizers will augment the bio plasticizers market growth in Europe.

Key players operating in the bio plasticizers market are Allphase Clinical Research, AlcheraBio, Alcami, Akos Urgent Care, Agilent, AGC Biologics, Affinity Life Sciences, Inc., Actimus Bio, ACI Clinical, Accumedix, Inc., Absorption Systems, A10 Clinical Solutions, Albuquerque Clinical Trials (ACT), Ajinomoto Bio-Pharma Services, Advanced Clinical Services LLC, ACM Global Laboratories, Accelerated Enrollment Solutions, AbbVie Contract Manufacturing, Advanced BioScience Laboratories, Advanced Clinical Research Institute, and Alliance for Clinical Trials in Oncology, among others. These players focus on new product development, capacity expansion and mergers & acquisitions to gain competitive advantage.

Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it