The Global Market for Lactic Acid is Projected to Reach 1.6 Million Metric Tons by 2024

Growing Commercial Value of Biodegradable & Bioactive Compounds Drives Lactic Acid Consumption in Myriad Industrial Applications, 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 Lactic Acid market. The global market for Lactic Acid is projected to reach 1.6 million metric tons by 2024, valued at US$3.7 billion, led by the increasing focus on bio-based materials against the backdrop of growing awareness about environmental conservation.

The global lactic acid market is expected to witness steady growth over the short- to medium-term supported by expanding applications in the food & beverages, industrial, personal care, detergent, pharmaceuticals, and cosmetic sectors. Demand for the chemical will also receive a major boost from increasing consumer focus on bio-based contents. Increasing awareness about environmental conservation, growing demand for eco-friendly products, and the rising costs involved in manufacturing products made from petroleum-based feedstocks are expected to stimulate demand for lactic acid.

One of the key end-uses of lactic acid is the production of Polylactic acid (PLA) plastics that are primarily used in the manufacture of eco-friendly packaging products. PLA is an important biodegradable polymer of lactic acid that is expected to witness strong demand across various industry verticals. Biodegradable polymers represent the largest and the rapidly growing end-use market for lactic acid due to the high demand for eco-friendly packaging materials in the food and beverages industry. Growing demand for substitutes to petroleum-derived polymers, and the need to cut down production costs while achieving sustainability are driving growth in the PLA market. The PLA segment is estimated to exhibit robust growth over 2016-2024 on account of the ongoing trend towards green, sustainable, and recyclable packaged products.

Food and beverages constitute another major end-use market for lactic acid. Based on its antibacterial, emulsifying, pH regulating, flavoring and acidulant characteristics, lactic acid’s application within the food and beverages sector is forecast to increase at a notable rate over the analysis period. Other major factors responsible for the strong demand of lactic acid in food applications include availability of affordable raw materials and regulatory support. With greater preference for eco-friendly products across the globe, cosmetic manufacturers are increasingly focused on developing products that have a minimal impact on the environment.

Lactic acid serves as a highly-potent and economically-viable base compound for manufacturing a number of high-volume commodity chemicals including esters, glycols, and acrylates which have applications in the fields of heat transfer fluids, personal care, polyesters, and aircraft de-icing. In addition, lactic acid is considered as a suitable chemical base for producing biosolvents and green solvents. In terms of cosmetics, manufacturers are increasingly focused on developing products that have a minimal impact on the environment. This trend towards sustainability is also getting percolated across the supply chain with cosmetic chemical makers responding favorably to the rising calls to produce greener ingredients.

As stated by the new market research report on Lactic Acid, the United States represents the largest market worldwide. Asia-Pacific ranks as the fastest growing market with a CAGR of 11% over the analysis led by factors such as rapid expansion of production capacity of bioplastics plants and the ensuing increase in demand for lactic acid as the primary feedstock; expanding opportunities in the food industry on the back of growing awareness over the health benefits of lactic acid fermented foods in numerous Asian cuisines; and continuous R&D focus on developing new roles and industrial applications for lactic acid. 

Major players in the market include Corbion Purac, Galactic S.A., Henan Jindan Lactic Acid Co. Ltd., Jungbunzlauer AG, Musashino Chemical Laboratory Ltd., and NatureWorks LLC, among others.

The research report titled “Lactic Acid: A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive review of market trends, issues, drivers, mergers, acquisitions and other strategic industry activities of global companies. The report provides market estimates and projections for all major 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), The Middle East & Africa, and Latin America (Brazil and Rest of Latin America). The market is analyzed by the following end-use applications: Personal Care, Biodegradable Plastics, Food & Beverage, Pharmaceutical, and Others. 

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