MARKET ANALYSIS
Biorenewable chemicals or bio-based chemicals, or bio-based materials, are chemicals made from renewable resources such as microorganisms, plants, or biomass. These chemicals are considered alternatives to traditional petrochemical-based products derived from non-renewable fossil fuels. For producing biorenewable chemicals, less energy is required, resulting in lower gas emissions, lowering pollution, and mitigating climate change. Biorenewable chemicals come in a variety of chemical compositions and forms. This diversity promotes the creation of a broad range of biobased products, including specialty chemicals, lubricants, surfactants, polymers, solvents, and lubricants with specialized qualities for particular applications. Some commonly used bio-renewable chemicals are bio-glycerol, propanol, acetone, and others.
GROWTH DRIVERS AND CHALLENGES
Biorenewable chemicals can solve and reduce a number of environmental issues, such as reduced greenhouse gas emissions and reduced dependency on fossil fuels. Rising environmental concerns and consumer preferences for sustainable and eco-friendly products drive the demand for renewable chemicals. Biorenewable chemicals offer more environment-friendly alternatives in various industries, including packaging, textiles, personal care, and agriculture. The production and use of renewable chemicals are being encouraged by governments worldwide by implementing supportive policies, rules, and incentives. These initiatives include a carbon pricing scheme, renewable energy targets, tax credits, and grants.
A significant challenge for bio-renewable chemicals is cost competitiveness with traditional petroleum-based chemicals because, when compared to the traditional method, the production process used to turn biomass or renewable feedstock into chemicals can be expensive.
REPORT SEGMENTATION AND SCOPE
The "Global Biorenewable Chemicals Market Analysis to 2030" is a specialized and in-depth study with a major focus on the global biorenewable chemicals market trends and growth opportunities. The report aims to provide an overview of the global biorenewable chemicals market with detailed biorenewable chemicals market segmentation by type, application, and end-use. The global biorenewable chemicals market has been witnessing high growth over the recent past and is expected to continue this trend during the forecast period. The report provides key statistics on the consumption of biorenewable chemicals worldwide along with their demand in major regions and countries. In addition, the report provides the qualitative assessment of various factors affecting the biorenewable chemicals market performance in major regions and countries. The report also includes a comprehensive analysis of the leading players in the biorenewable chemicals market and their key strategic developments. Several analyses on the biorenewable chemicals market dynamics are also included to help identify the key driving factors, biorenewable chemicals market trends, and lucrative opportunities that would, in turn, aid in identifying the major revenue pockets.
Further, ecosystem analysis and Porter’s five forces analysis provide a 360-degree view of the global biorenewable chemicals market, which helps understand the entire supply chain and various factors affecting the biorenewable chemicals market growth.
SEGMENTAL ANALYSIS
The global biorenewable chemicals market is segmented on the basis of type, application, and end use. Based on type, the biorenewable chemicals market is segmented as, glycerin, lactic acid, succinic acid, and others. On the basis of application, the biorenewable chemicals market is classified as, bio-plastic, bio-based solvents, bio-based cleaners, and detergents, and others. On the basis of end-use, the biorenewable chemicals market is categorized into, industrial and domestic cleaners, personal care products, paints and coatings, printing inks, printing inks, and others.
Based on the application, the biobased solvents accounted for a significant share which can be attributed to their popularity across the globe and wide availability. Biobased solvents are a subset of bio-renewable chemicals derived from biomass and renewable feedstock such as crops, waste residue, or algae. Biobased solvents are receiving more attention due to their potential to reduce environmental impact and increase sustainability in various applications, such as biodegradability, low toxicity, and renewable feedstock availability. Biobased solvents can be utilized in a circular economy approach, encouraging resource efficiency and waste reduction by using a waste stream from one industry as feedstock for solvent manufacture. Ethanol, Lactic acid, Glycerol, D- Limonene are examples of biobased solvents.
REGIONAL ANALYSIS
The report provides a detailed overview of the global biorenewable chemicals market with respect to five major regions, namely; North America, Europe, Asia-Pacific (APAC), Middle East and Africa (MEA) and South & Central America. Asia Pacific is anticipated to have a substantial share of the biorenewable chemicals market. Various biomass resources, including agricultural products, forestry waste, and algae, are abundant in Asia. Countries like China, India, Indonesia, Thailand, and Malaysia have important agricultural sectors and extensive land resources, which provide a plentiful supply of feedstocks for renewable chemical production. The chemical sector is thriving in the Asia Pacific area, offering an excellent foundation for creating and using renewable chemicals. Integrating renewable chemicals into the market is made easier by the existing infrastructure, expertise, and supply chains. Companies in the region can leverage their chemical manufacturing capabilities and expertise to produce and commercialize biobased products.
INDUSTRY DEVELOPMENTS AND FUTURE OPPORTUNITIES
16 May 2023, ORLEN Po?udnie plant makes propylene glycol production more sustainable based on BASF technology. ORLEN Po?udnie, a leading player in biofuels in Poland, has recently concluded the first year of operation of its BioPG plant, converting glycerol, a by-product of biodiesel production, into renewable propylene glycol (BioPG).
13 June 2022, Industrial biotechnology with an innovative purification process and chemical catalysis presents an alternative way to convert renewable feedstocks into chemicals for use in a wide variety of everyday products.
Continued research and development in conversion technology, such as biotechnology, bioengineering, and chemical processes, offers opportunities for improving renewable chemical production's efficiency, scalability, and cost-effectiveness. New development in catalysts, enzymes, and biocatalysts can increase conversion yields and make a wider variety of feedstocks usable. This development will diversify the product offering and stimulate market expansion.
IMPACT OF COVID/IMPACT OF GEOPOLITICAL SCENARIO/IMPACT OF RECESSION
The Covid 19 pandemic has positively and negatively impacted the biorenewable chemicals market.
The pandemic has affected worldwide supply chains, particularly those manufacturing and distributing biorenewable chemicals. The sourcing of feedstock, transportation, and production processes have all been delayed due to lockdown, travel restrictions, and staff shortages. This disruption has affected the availability and delivery of renewable chemicals, impacting the market.
The government has introduced policies and incentives to support the development and adoption of renewable chemicals as a part of its green recovery strategies. This support can create opportunities for market expansion and investment in the sector.
The recent recession may impact the overall chemical industry. The raw materials prices may increase due to inflation however, the impact is anticipated to be mild and short. For instance, according to the American Chemistry Council forecasts, the US chemical production output is anticipated to drop by 1.3% in 2023.
COMPETITIVE LANDSCAPE AND KEY COMPANIES
Some of the key players operating in the biorenewable chemicals market include, Amyris Inc., BASF SE, E. I. Du Pont De Nemours and Company, Elevance Renewable Sciences, Inc., GC Innovation America., Myriant, Genomatica, Inc, Bioamber, Gevo, Inc., Lanza Tech, Vizag Chemical, Unilever plc, ZeaChem, and Cargill Incorporated, among others.