The Global Market for Fatty Esters is Projected to Reach US$2.1 Billion by 2022

Established Applications Sustain Growth in the Fatty Esters Market, According to a New Report by Global Industry Analysts, Inc.

GIA launches comprehensive analysis of industry segments, trends, growth drivers, market share, size and demand forecasts on the global Fatty Esters market. The global market for Fatty Esters is projected to reach US$2.1 billion by 2022, driven by well entrenched applications in the food, personal care and cosmetic sectors.   

Fatty esters are derivatives of fatty acids and are used as emollients, emulsifiers, and lubricants in various industries. The cosmetics and personal care sector represents one of the largest end-use markets, with growth supported by the steady rise in consumer spending on appearance maintenance products. A major factor that makes fatty esters a vital ingredient in cosmetics is their cost-effective ability to enhance product functionality by imparting an array of anti-microbial, cleansing, and conditioning properties. Easy dissipative properties of fatty esters enable active ingredients in cosmetics to easily penetrate into the skin, while also reducing greasiness. Unlike synthetic petroleum-based esters, fatty esters are natural and relatively cheaper and are therefore favored by manufacturers seeking to reduce production costs in a competitive market environment. In the food industry, fatty esters are used as food additives and emulsifiers. Use of fatty esters in food processing imparts taste, appeal, stability, freshness, quality, consistency and texture to the food preparation. With fatty esters considered as an effective additive to cut down fat content in food products, the market stands to benefit from the growing trend towards fat reduction in food products. With the focus centered squarely on health and nutrition, manufacturers are investing in R&D to develop innovative products using fatty esters, given their multi-functional attribute, which ensures their use in a broad array of healthy food products.   

The growth in the market will also be driven by emerging new uses of fatty esters in automotive functional fluids and in the production of biodiesel. Fatty acid methyl ester (FAME), a type of fatty acid ester, is nontoxic bio-degradable biodiesel. The growing regulatory pressure encouraging the production and consumption of biodiesel will benefit the market in the coming years. Pure biodiesel minimizes 75% of the emissions of carbon dioxide, which is considered as one of the main greenhouse gases that cause global warming. However, a blend of 20 percent biodiesel can minimize the emissions of carbon dioxide by 15%. Biodiesel offers lubricity to the engine, which increases engine life span. Biodiesel added in any amount to conventional fuel increases engine lubrication and also gives cleaner emissions. Lubricity of the engine can be increased by 65%, when 1% of biodiesel is added to the conventional fuel. Increasing demand for diesel-based automobiles, particularly light vehicles and cars, is one of the factors driving the demand for biodiesel in developed countries. A growing diesel-based automotive market means that more number of vehicles can utilize biodiesel as an alternative fuel, either in pure or blended form.

As stated by the new market research report on Fatty Esters, the United States represents the largest market worldwide. Asia-Pacific is expected to spearhead global growth with a CAGR of 4.8% over the analysis period, led by stable GDP gains, and growing base of affluent middle class population and the ensuing increase in spending on food, pharmaceuticals, personal care products and cosmetics. Also, the growing obesity epidemic in the region is encouraging adoption of fatty esters as a fat replacer in convenience foods. Glyceryl Monostearate (GMS) represents the single largest market, while Triglyceride (MCT) oil is the fastest growing product segment in the fatty esters market.

Key players covered in the report include ABITEC Corporation, Archer Daniels Midland Company, Akzo Nobel N.V., BASF SE, Croda International Plc., Faci Asia-Pacific, Felda IFFCO LLC, Fine Organics, Gattefossé, IOI Oleochemical Industries Berhad, KLK Oleo, Lonza Custom Manufacturing, P&G Chemicals, PMC Biogenix Inc., Sasol Limited, Stearinerie Dubois, Stepan Company, Subhash Chemical Industries, and UNDESA Group, among others.

The research report titled "Fatty Esters: A Global Strategic Business Report" announced by Global Industry Analysts, Inc., provides a comprehensive review of market trends, drivers, mergers, acquisitions and other strategic industry activities of major companies worldwide. The report provides market estimates and projections for geographic markets such as the US, Canada, Japan, Europe (France, Germany, Italy, UK, Spain, Russia, and Rest of Europe), Asia-Pacific (China, India and Rest of Asia-Pacific), Latin America (Brazil and Rest of Latin America), and Rest of World. Key segments analyzed include Glyceryl Monostearate (GMS), Medium Chain Triglyceride Oil (MCT Oil), Isopropyl Palmitate & Isopropyl Myristate (IPP & IPM), and Other Fatty Esters. End-use applications analyzed include Food, Personal Care & Cosmetics, Functional Fluids, and Other Applications.

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