by Biodiesel is a transportation fuel produced from renewable biological sources such as vegetable oils and animal fats, and it is a cleaner substitute for petroleum diesel. Biodiesel catalysts are compounds used to help convert vegetable oils or animal fats into biodiesel through a chemical process called transesterification. Transesterification allows the glycerin that makes up vegetable oil/animal fats to be cleaved from the fatty acid chains using an alcohol such as methanol in the presence of a biodiesel catalyst.
The global biodiesel catalyst market is estimated to be valued at US$ 40 Mn in 2023 and is expected to exhibit a CAGR of 24% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the major trends in the biodiesel catalyst market is the shift towards developing heterogeneous catalysts. Heterogeneous catalysts offer various advantages over homogeneous catalysts that are commonly used for biodiesel production. Heterogeneous catalysts can be easily separated from the biodiesel product after the catalytic reaction and reused multiple times without losing catalytic activity. They are more economically viable and environmentally friendly than homogeneous catalysts. Several research studies are ongoing to design robust heterogeneous catalysts using inexpensive materials like metal oxides that can work effectively under mild reaction conditions and improve the efficiency of biodiesel production from waste cooking oils and other low-cost feedstocks. This shift towards heterogeneous catalysts would significantly reduce biodiesel production costs and drive higher adoption of biodiesel as a transportation fuel.
Porter’s Analysis
Threat of new entrants: The threat of new entrants in the biodiesel catalyst market is moderate as significant capital investment is required to enter this market to develop technologies, establish manufacturing facilities and distribution network.
Bargaining power of buyers: The bargaining power of buyers in the biodiesel catalyst market is low as there are many established players offering similar products at competitive prices.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as the raw materials used in biodiesel catalysts such as sodium hydroxide and potassium hydroxide are widely available from various suppliers globally.
Threat of new substitutes: The threat of substitutes is low as there are limited alternatives to biodiesel catalysts for biodiesel production.
Competitive rivalry: The competitive rivalry in the market is high due to presence of many global and regional players offering comparable products.
Key Takeaways
The Global Biodiesel Catalyst Market Size is expected to witness high growth driven by supportive governmental policies and regulations regarding the use of biofuels.
The Asia Pacific region dominates the global biodiesel catalyst market with the largest market share. Growing biodiesel production in countries like China, India and Indonesia is fueling demand in the region.
Key players operating in the biodiesel catalyst market are Evonik Industries AG, BASF, DowDuPont,Criterion Catalysts & Technologies L.P., Honeywell International Inc., Haldor Topsoe A/S and Albemarle Corporation. Most manufacturers are focusing on developing innovative catalyst formulations to reduce production costs and increase biodiesel yields.
