Global Bio Succinic Market 2022-2028

Global Bio Succinic Market 2022-2028

For many years, coal, gas, and oil are being used in chemical industry for the production of a range of industrial products. Several companies have evaluated the potential of both bio-based chemicals and polymers for identifying products that are lucrative. One of the most promising chemicals is succinic acid, which owing to its ability to convert into several important products has been preferred over other chemicals. Succinic acid or amber or 1,4 butane-dioic acid is used as an intermediate chemical for wide range of industries such as cosmetics, pharmaceuticals, plastics, textiles, and food & beverage. Succinic acid can be produced naturally as well synthetically. Synthetically it is produced from maleic anhydride whose raw material at industrial level comes from fossil fuels. It is produced naturally as a product of cellular metabolism which is referred to as bio-succinic acid. This 4-carbon dicarboxylic acid has diversity of applications from pigments and plastics to pharmaceuticals and metal plating.

Bio-succinic acid is widely adopted across industries as a result of growing environmental concerns regarding the production of petroleum based succinic acid, as the production of bio-succinic acid has the same performance as that of one produced from the industry. With increasing costs of oil and petroleum, it may be appropriate for companies to invest in the development and production of bio-based succinic acid. One of the best features of this technology is that carbon dioxide (CO2) is needed as a second substrate by the microorganisms for succinic acid production. Therefore, in addition to producing succinic acid, this process uses up the CO2 to avert the dangers of excessive carbon dioxide emissions.

The global bio-succinic acid market was valued at $XX million in 2021, as per the OMR Analysis. This value is further estimated to reach $XX million in 2028, growing at a CAGR of 23.1% during the forecast period. Major factors that are contributing towards the growth of the market includes availability of raw material, instability in crude oil prices, and rising demand for 1,4-butadineol. Agricultural feedstock such as sugarcane, corn, and cassava are extensively required for the manufacturing of bio-succinic acid compared to petroleum-based succinic acid. Since, these feedstocks are easily available and are biodegradable in nature, thereby, production of bio-based succinic acid is gaining traction over petroleum-based succinic acid. The unstable crude oil prices are one of the major reasons that the industry is switching to bio-succinic acid, thereby, augmenting the market growth. Bio succinic acid do not leave any carbon footprint and is environment friendly due to which the product is likely to foresee lucrative demand in the near future.

The global market of bio-succinic acid is segmented on the basis of applications and raw-materials. Bio-succinic acid has been extensively used in the chemical industry. On the basis of application, the market is further classified into chemical industry, pharmaceutical industry, food & beverage industry, and others. Chemical industry is further broadly classified into BDO, plasticizers, polybutylene succinate (PBS), solvent and lubricant, and polyols. Chemical industry dominated the global bio succinic acid market in 2021 and is estimated to follow the same trend over the forecast period.On the basis of raw material, the market is analyzed as corn-based succinic acid, sugarcane- based succinic acid, cassava-based bio-succinic acid and other raw material based succinic acid. Corn-based succinic acid segment led the global market in 2021 and is further estimated to continue the same trend over the forecast period.

Geographically, the market is segregated into North America, Europe, Asia-Pacific and the rest of the world (RoW). Asia-Pacific led the global bio-succinic acid market in 2021. Further, the growth of the market is influenced by the presence of bio succinic acid manufacturers across the globe. As of December 2017, the production of bio succinic acid is carried by only a handful of manufacturers including BioAmber Inc., Myriant Corp. (GC Innovation America), Succinity GmbH, and Reverdia. Each of these manufacturers of bio-succinic acid has collaborations with a host of other companies on development of new technologies for the production of succinic acid and its derivatives. These market players are extending their product portfolio, increasing their R&D centres, adoption of new development strategies, and advancements in technology for gaining a competitive edge over their competitors.