Aea Salicylic Acid Market Outlook - 2021–2030
The AEA salicylic acid market was valued at $274.5 million in 2020, and is projected to reach $553.8 million by 2030, growing at a CAGR of 7.3% from 2020 to 2030. Salicylic acid is a lipophilic monohydroxybenzoic acid, a type of phenolic acid, and a beta hydroxy acid, having molecular formula C₇H₆O₃. In terms of physical properties, it is odorless and colorless crystalline organic acid. Salicylic acid acts as intermediate in pharmaceutical and personal care industry.
The factor contributing toward the growth of the AEA salicylic acid market is increase in spending on cosmetics and personal care goods in developed countries. In addition, surge in demand for packaged food & beverages drives the market growth for salicylic acid. This is majorly attributed to the fact that the use of salicylic acid in the food & beverage industry is increasing, as it helps to prevent spoilage and fermentation of packaged food products.
However, the availability of alternatives hinders the AEA salicylic acid market growth. In addition, implementation of stringent regulations, especially for skin and hair products, is one of the challenging factors for the market growth. On the contrary, expansion of the pharmaceutical industry in Africa is expected to offer lucrative opportunities for the industrial participants. Africa is one of the major importers of pharmaceutical products. Owing to its dependence on imports for most medicines, antibiotics, and other health products, Africa's vulnerability has been underlined by the COVID-19 pandemic. According to the United Nations Economic Commission for Africa (UNECA), Africa imports around 94% of its pharmaceutical and medicinal needs from outside the continent, at a cost of $16 billion per year. These factors provide high growth opportunity for pharmaceutical companies in the region to manufacture pharmaceutical products, which, in turn, is likely to foster the growth of the salicylic acid market.
The AEA salicylic acid market is segmented into application and region. Depending on application, the market is segregated into pharmaceutical, skin care, haircare, and food preservatives & others. Region wise, the AEA salicylic acid market share is analyzed across North America, Latin America, Europe, and Africa.
The AEA salicylic acid market analysis covers in-depth information of the major industry participants. Some of the major players in the market are Alfa Aesar, Avonchem Limited, J.M. Loveridge Limited, Novacyl, Midas Pharma GmbH, Wego Chemical Group, Solvay Merck KGaA, and Reagents. Other players in the AEA salicylic acid market are Thermo Fisher Scientific, Alta Laboratories, and others.
By Application
Pharmaceutical application holds a dominant position in 2020 and skin care application is projected as the most lucrative segment.
By application, the pharmaceutical segment garnered highest market share in 2020 in terms of volume, garnering 60.1%. This is attributed to the fact that salicylic acid is used in pharmaceuticals due to its anti-inflammatory properties. Moreover, it is a key ingredient in the manufacturing of aspirin; it reacts with acetic acid to produce aspirin. Aspirin is an anti-inflammatory drug that is widely used as a painkiller and to treat fever, cold, and cough. In addition, it is one of the largest selling pharmaceutical drugs across the globe, and its consumption is on rise, as it offers superior pain-relieving action.
Region wise, Latin America is expected to grow at a CAGR of 7.7%, in terms of revenue, during the forecast period. This is attributed to the presence of economies such as Brazil, Argentina, and Chile, which have rapidly growing consumer base. However, Africa is expected to grow at a CAGR of 7.6% in terms of revenue during the forecast period, owing to scarcity of medications in various nations, which drives the expansion of the pharmaceutical market. Furthermore, development of the fashion industry is likely to escalate the demand for skin care products, which is expected to fuel the demand for salicylic acid. In addition, rapid expansion of cities led to increase in salons, which led to rise in demand for salicylic acid-based products, thus augmenting the market growth.
By Region
Europe holds a dominant position in 2020 and Latin America is expected to grow at fastest growth rate during the forecast period.
Key Benefits For Stakeholders
- The report outlines the current AEA salicylic acid market trends and future scenario of the market from 2021 to 2030 to understand the prevailing opportunities and potential investment pockets.
- The AEA salicylic acid market size is provided in terms of volume and revenue.
- The report provides an in-depth analysis of the market along with the current and future AEA salicylic acid market trends.
- This report highlights the key drivers, opportunities, and restraints of the market along with impact analysis during the forecast period.
- The report further covers the impact of governmental regulations on the AEA salicylic acid market.
- The Porter’s five forces analysis helps analyze the potential of buyers & suppliers and the competitive scenario of the industry for strategy building.
- The study provides a comprehensive analysis of the factors that drive and restrain the AEA salicylic acid market growth.
Impact Of Covid-19 On The Aea Salicylic Acid Market
- The COVID-19 outbreak has affected the demand as well as manufacturing of salicylic acid.
- The global health crisis affected the chemical industry supply chain to a major extent, which led to a major impact on raw material procurement.
- As per the companies operating in the market, there are numerous uncertainties about the COVID-19 pandemic, comprising the scope of scientific and health problems, the expected period of the pandemic, and the political & economic disturbance it might cause.
- The packaged food industry witnessed increased sales and profit. Consumers were increasing inventories as much as possible in March 2020, i.e., the initial phase of pandemic. This increased demand for salicylic acid from the food & beverage industry.
- The cosmetics industry witnessed decrease in product demand in the first quarter of 2020, owing to COVID-19 outbreak. In addition, store closures have affected the demand for cosmetics products. This has consequently decreased the demand for cosmetics raw materials such as salicylic acid. On the contrary, the pandemic had a positive impact on the overall market, owing to increase in online sales of cosmetic products are attributable to closure of saloons and beauty parlors.
AEA Salicylic Acid Market Report Highlights
| Aspects | Details |
 By APPLICATION |
|
 By Region |
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 Key Market Players | AVONCHEM LIMITED, NOVACYL, SOLVAY, J.M. LOVERIDGE LTD., WEGO CHEMICAL GROUP, ALFA AESAR, REAGENTS, MERCK KGAA, LARACHEM INC, MIDAS PHARMA GmbH |
Analyst Review
According to the insights of the CXOs of leading companies, the AEA salicylic acid market is likely to exhibit high growth potential during the forecast period, owing to surge in demand from end-use industries especially from countries such as the U.S., Brazil, Germany, and Italy as well as rise in need for aspirin drug & personal care products. However, harmful effects of salicylic acid are likely to hinder the market growth.
By region, Latin America and Africa are projected to register significant growth as compared to the other regions. This is attributed to rise in consumer base such as pharmaceutical, skin care, and haircare industries.
The CXOs further added that numerous economies across the globe are expected to emphasize on pharmaceutical and healthcare industries in next few years, owing to the increased health awareness due to COVID-19. This might boost demand for salicylic acid, as it is one of the key ingredients in the pharmaceutical industry.
Novacyl, Alfa Aesar, Midas Pharma, Avnochem Limited, and Merck KGaA are the some of the established players of the global AEA salicylic acid market
Skin care is projected to increased the demand for salicylic acid in the AEA salicylic acid market.
By application and region are the segments covered in the AEA salicylic acid market report. On the basis of regions, the market is analyzed across Americas, Europe and Africa region.
Skin care and hair care applications are expected to drive the adoption of salicylic acid in the AEA salicylic acid market.
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