Benzyl Alcohol Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | > 5.00 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Benzyl Alcohol Market Analysis
The global benzyl alcohol market is projected to register a CAGR of over 5% during the forecast period.
- COVID-19 impacted most industries worldwide. Excluding pharmaceutical applications, the demand for benzyl alcohol in cosmetics decreased in 2020 due to the lockdown scenario and halted production units. However, now the market is stable and growing steadily.
- Over the short term, the increasing demand from the food and beverage, cosmetics, and personal care industries is expected to drive the market's growth. On the flip side, a high concentration of benzyl alcohol causes toxic effects on humans and hinders the market's growth.
- The increasing demand for benzyl alcohol as anti-parasite medicine and a common preservative in injectable drugs and the product's growing popularity because of its wide applications, fragrance component, viscosity-decreasing agent, and preservatives accelerate the benzyl alcohol market growth. The use of benzyl alcohol in preservatives (2%), solubilizing agents (5%) and disinfectants (10%) and its extensive use in antibiotics, anti-inflammatory products, or neuroleptics to reduce pain further influence the benzyl alcohol market.
- Additionally, expansion of the pharmaceutical sector, consumption of aromatic solvents for drug formulation in the pharmaceuticals sector, and surge in investment positively affect the benzyl alcohol market. Furthermore, research and development and intensification of nitro benzaldehydes synthesis from benzyl alcohol extend profitable opportunities to the benzyl alcohol market players in the forecast period.
- Asia Pacific represents the largest market and is expected to be the fastest-growing market over the forecast period due to the increasing consumption from countries such as China, India, and Japan.
Benzyl Alcohol Market Trends
This section covers the major market trends shaping the Benzyl Alcohol Market according to our research experts:
Food and Beverage Industry Segment to Dominate the Market
- Food additives and preservatives derived from benzyl alcohol are intensively used in the food and beverage industry. The food preservative market is expected to register a compound annual growth rate (CAGR) of more than 6% during the forecast period, owing to the rising consumption of processed and packaged food. This is expected to ensure the regular demand for benzyl alcohol as many preservatives are derived from it.
- The food and beverages industry worldwide generated a revenue of USD 740 billion in 2022. The market is expected to grow at a (CAGR) of 7.14% during 2022-2027 annually, resulting in a projected market volume of USD 1.10 billion by 2027.
- According to the Bureau of Economic Analysis (BEA), the total value added by the food and beverages industry (including tobacco products) in the United States in the first three quarters of 2022 was about USD 967.6 billion, 1.3% more than the previous year's value added in the same period.
- Furthermore, the overall value added by food and beverage retail outlets in the third quarter of 2022 was roughly USD 201.5 billion, representing an almost 10% increase over the value generated in the third quarter of 2021 (around USD 183 billion).
- In 2022, the Europe food and beverages industry employed approximately 4.6 million people and generated EUR 1.1 trillion (USD 1.159 trillion) in revenue and EUR 230 billion (USD 242.37 billion) in value-added, making it one of the largest manufacturing industries in Europe, increasing the food and beverages industry in the region.
- Therefore, the abovementioned factors will significantly impact the market in the coming years.
Asia Pacific to Dominate the Market
- In terms of benzyl alcohol consumption, Asia-Pacific is likely to be the major market. This is due to China's dominance in end-user sectors such as paints and coatings, adhesives and sealants, chemical processing, cosmetics, and personal care. China's glue usage accounts for around 32% of global consumption.
- Benzyl alcohol is commonly used in construction to make adhesives, paints, varnishes, sealants, and other goods. The paints and coatings industry, where benzyl alcohol is used as a general solvent, is predicted to grow at a compound annual growth rate (CAGR) of around 6% in the region over the projection period. This is because China is predicted to experience the highest increase in construction activity, followed by India.
- The Chinese government has increased its investment in inexpensive housing facilities to meet housing demand. Furthermore, public-private partnership (PPP) projects have boosted the domestic construction sector.
- China has the largest construction market in the world, encompassing 20% of all construction investments globally. China is expected to spend nearly USD 13 trillion on buildings by 2030, creating a positive market outlook for the paint and coating industry and thus driving the studied market.
- Furthermore, according to the Ministry of Land, Infrastructure, Transport and Tourism (MLIT) of Japan, the total investment in the construction sector in the year 2022 was about 66,990 billion yen (USD 508.16 billion), which is an increase of around 0.6% as compared to the previous year.
- Paints and coatings find their application in the automotive industry as well. According to the China Association of Automobile Manufacturers (CAAM), the production of automobiles in the country also saw an increase of 3.4% in the year 2022, as compared to 2021. The total production in 2022 was approximately 27 million units; in 2021, it was about 26 million.
- Benzyl alcohol is also used in various cosmetic formulations as a fragrance component, preservative, solvent, and viscosity-decreasing agent. China is also one of the major consumers of cosmetics. In 2022, wholesale and retail companies' retail sales of cosmetics in China reached CNY 393.6 billion (USD 57 billion). This was a slight decrease compared to the previous year, which was about CNY 402.6 billion (USD 58.6 billion).
- Therefore, the abovementioned factors are expected to impact the market in the coming years significantly.
Benzyl Alcohol Industry Overview
The benzyl alcohol market is fragmented by nature. The major companies in the market studied include (not in any particular order) Gujarat Alkalies and Chemical Limited, Elan Chemical, Lanxess, Tosoh Corporation, and Valtris Specialty Chemicals, among others.
Benzyl Alcohol Market Leaders
-
Valtris Specialty Chemicals
-
LANXESS
-
Elan Chemical
-
Gujarat Alkalies and Chemical Limited
-
Tosoh Corporation
*Disclaimer: Major Players sorted in no particular order
Benzyl Alcohol Market News
- February 2023: Shandong Lukang Pharmaceuticals received market approval from China's National Medical Products Administration (NMPA) for the use of benzyl alcohol as a chemical raw material.
- March 2022: The Canadian government proposed adding the alcohols methanol, 1-butanol, and benzyl alcohol to the country's toxic substances list in Schedule 1 of the Canadian Environmental Protection Act. If the move is confirmed following public consultation, regulatory risk management measures will be implemented against the substances.
Benzyl Alcohol Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions
1.2 Scope of Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Drivers
4.1.1 Increasing Demand from the Food and Beverage Industry
4.1.2 Growing Demand from the Cosmetics and Personal Care Industry
4.2 Restraints
4.2.1 High Concentration of Benzyl Alcohol Causing Toxic Effects on Humans
4.2.2 Other Restraints
4.3 Industry Value Chain Analysis
4.4 Porter's Five Forces Analysis
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining power of Buyers
4.4.3 Threat of New Entrants
4.4.4 Threat of Substitute Products and Services
4.4.5 Degree of Competition
5. MARKET SEGMENTATION (Market Size in Volume)
5.1 End-user Industry
5.1.1 Cosmetics and Personal Care
5.1.2 Paints and Coatings
5.1.3 Chemical Processing
5.1.4 Pharmaceutical
5.1.5 Food and Beverage
5.1.6 Other End-user Industries
5.2 Geography
5.2.1 Asia Pacific
5.2.1.1 China
5.2.1.2 India
5.2.1.3 Japan
5.2.1.4 South Korea
5.2.1.5 Rest of Asia Pacific
5.2.2 North America
5.2.2.1 United States
5.2.2.2 Canada
5.2.2.3 Mexico
5.2.3 Europe
5.2.3.1 Germany
5.2.3.2 United Kingdom
5.2.3.3 Italy
5.2.3.4 France
5.2.3.5 Rest of Europe
5.2.4 South America
5.2.4.1 Brazil
5.2.4.2 Argentina
5.2.4.3 Rest of South America
5.2.5 Middle-East and Africa
5.2.5.1 Saudi Arabia
5.2.5.2 South Africa
5.2.5.3 Rest of Middle-East and Africa
6. COMPETITIVE LANDSCAPE
6.1 Merger and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Market Share (%)**/ Ranking Analysis
6.3 Strategies Adopted by Leading Players
6.4 Company Profiles
6.4.1 Elan Chemical
6.4.2 Gujarat Alkalies and Chemical Limited
6.4.3 Hubei Greenhome Materials Technology,INC.
6.4.4 LANXESS
6.4.5 Merck KGaA
6.4.6 Tokyo Chemical Industry Co. Ltd
6.4.7 Tosoh Corporation
6.4.8 Shimmer Chemicals Pvt. Ltd
6.4.9 Valtris Specialty Chemicals
6.4.10 Wuhan Biet Co. Ltd
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 Intensification of Nitrobenzaldehydes Synthesis from Benzyl Alcohol in a Micro-reactor
7.2 Other Opportunities
Benzyl Alcohol Industry Segmentation
Benzyl alcohol is a colorless and mild odor aromatic alcohol that is mainly manufactured from the hydrolysis of benzyl chloride and hydrogenation of benzaldehyde. It is mainly used as a solvent in paint and coatings formulations and as a flavoring agent in the food and beverage industries.
The benzyl alcohol market is segmented by end-user industry and geography. By end-user industry, the market is segmented into cosmetics and personal care, paints and coatings, chemical processing, pharmaceuticals, food and beverage, and other end-user industries. The report also covers the market size and forecasts for the benzyl alcohol market in 15 countries across major regions.
For each segment, the market sizing and forecasts have been done based on volume (metric ton).
| End-user Industry | |
| Cosmetics and Personal Care | |
| Paints and Coatings | |
| Chemical Processing | |
| Pharmaceutical | |
| Food and Beverage | |
| Other End-user Industries |
| Geography | |||||||
| |||||||
| |||||||
| |||||||
| |||||||
|
Benzyl Alcohol Market Research FAQs
What is the current Benzyl Alcohol Market size?
The Benzyl Alcohol Market is projected to register a CAGR of greater than 5% during the forecast period (2024-2029)
Who are the key players in Benzyl Alcohol Market?
Valtris Specialty Chemicals, LANXESS, Elan Chemical, Gujarat Alkalies and Chemical Limited and Tosoh Corporation are the major companies operating in the Benzyl Alcohol Market.
Which is the fastest growing region in Benzyl Alcohol Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Benzyl Alcohol Market?
In 2024, the Asia Pacific accounts for the largest market share in Benzyl Alcohol Market.
What years does this Benzyl Alcohol Market cover?
The report covers the Benzyl Alcohol Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Benzyl Alcohol Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Benzyl Alcohol Industry Report
Statistics for the 2024 Benzyl Alcohol market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Benzyl Alcohol analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
