Bio-Based Propylene Glycol Market Research Report Information by Application (Solvent, Chemical Intermediates, Unsaturated Polyester Resin, and Antifreeze & Coolant, Others), By End-Use Industry (Transportation, Food & Beverages, Building & Construction,

In 2023, the Bio-Based Propylene Glycol Market Size was estimated to be USD 939.4 million. During the forecast period (2024-2032), the Bio-Based Propylene Glycol Market industry is anticipated to experience a compound annual growth rate (CAGR) of 8.9%, increasing from USD 993.8 million in 2024 to USD 1,970.7 million by 2032.

Bio-based propylene glycol is a sustainable and environmentally favorable substitute for conventional propylene glycol, which is frequently derived from petroleum. A catalytic reaction that involves the reaction of distilled glycerin with hydrogen is the process by which this vegetable-based propylene glycol is produced. The process commences with the production of biodiesel, which is produced by transesterifying vegetable oils to produce glycerin. The bio-based propylene glycol is subsequently produced by distilling this glycerin to a purity level of 99.7%.

The global Bio-Based Propylene Glycol (BioPG) market is primarily driven by the increasing demand from the food and beverage industry. The global food additives market, which includes BioPG, was valued at USD 38.2 billion in 2022, according to MRFR analysis. It is anticipated to grow at a compound annual growth rate (CAGR) of 5.60% from 2023 to 2032, reaching USD 62.37 billion by 2032. As consumers become more aware of the ingredients in their food and choose products that are free of synthetic chemicals and preservatives, the demand for natural and organic products is on the rise, which is driving this growth. BioPG is employed as a humectant, emulsifier, and food additive in a variety of food products, such as confectionery items, beverages, and baked goods. The demand for BioPG has increased because of the growing preference of consumers for natural and organic products. BioPG is a biodegradable and natural substitute for traditional propylene glycol, which is why it is a desirable choice for food manufacturers who need to meet the increasing demand for organic and natural products.

Market segment insights
The Bio-Based Propylene Glycol Market has been segmented according to its respective applications: solvent, chemical intermediates, unsaturated polyester resin, refrigerant & coolant, and others.
The Bio-Based Propylene Glycol Market is segmented into the following end-use industries: transportation, food & beverages, building & construction, pharmaceuticals, cosmetics & personal care, and others.

Regional Perspectives
The Bio-Based Propylene Glycol Market is segmented into North America, Europe, Asia-Pacific, Middle East & Africa, and South America, as determined by region. The Asia Pacific region accounted for the largest market revenue share of 42.98% in 2023. This figure is anticipated to increase at a compound annual growth rate (CAGR) of 8.98% during the forecast period of 2024-2032. The increasing demand for eco-friendly and sustainable products is the primary factor driving the growth of the bio-based propylene glycol market in Asia Pacific. Propylene glycol is a chemical that is highly adaptable and is employed in a variety of applications, such as pharmaceuticals, personal care products, and industrial processes.

Supporting the market's growth and development, the consistent production of soybean oil in China and India guarantees a stable supply chain to produce bio-based propylene glycol.

Major Players
Ayas Renewables Inc., Pacific Fluids LLC, Orlen, BASF SE, DOW, The Archer-Daniels-Midland Company, Oleon NV, Global Bio-chem Technology Group Company Limited, CORECHEM Inc, and UPM Biochemicals are among the top players in the bio propylene market.