Ethanol Market Analysis :
Ethanol, also known as ethyl alcohol, is an organic alcohol. It is a liquid with an agreeable odor and taste. Ethanol is generally produced by the anaerobic fermentation of sugar-based feedstock, such as sugarcane, wood, wheat, corn or barley, and can also be produced by hydration of ethylene. Ethanol is volatile and flammable in nature. It is widely used in various industries, such as pharmaceutical, food & beverages, chemical, and others, due to high solubility of ethanol in water and other organic solvents.
COVID-19 scenario analysis:
The outbreak of the COVID-19 pandemic has a mixed effect on the global ethanol market.
- Governments of several countries have imposed nationwide lockdowns to contain the spread of the virus. As a result, the demand for fuel decreased drastically, which also steeply reduced the demand for ethanol as a fuel additive.
- On the contrary, to maintain hygiene & cleanliness and to ensure safety measures shared by the World Health Organization, the use of hand sanitizers increased exponentially. This caused massive increase in demand for ethanol in the pharmaceutical sector, thereby driving the growth of the market.
Top impacting factors: Market scenario analysis, trends, drivers, and impact analysis
The major driving factor for the growth of the ethanol market is the product’s extensive use in the automobile industry as a fuel additive. Ethanol additives are being used to substitute leaded fuel as most of the countries have successfully banned the use of leaded gasoline. Gasoline itself has a low octane value and is not suitable to use as fuel, but by adding ethanol, the octane value rises to the standard level. Moreover, ethanol also has a wide range of applications in the pharmaceutical industry as medicinal solvent and antiseptic. It is a primary constituent of most of the hand sanitizer gels. In addition, it is also the main component of any alcohol beverage. The demand for alcoholic beverages increases at a rapid pace with increase in global population, which drives the growth of the ethanol market.
North America holds the largest share of the global ethanol market, owing to the high demand for ethanol as a fuel additive. The Renewable Fuels Association estimates that the U.S. exports about 850 gallon of ethanol to more than 50 countries. The market in the Latin America region is also expected to grow at a significant pace, with Brazil being the major consumer of ethanol as an additive for gasoline.
Key benefits of the report:
- This study presents the analytical depiction of the ethanol market along with the current trends and future estimations to determine the imminent investment pockets.
- The report presents information related to key drivers, restraints, and opportunities along with detailed analysis of the ethanol market share.
- The current market is quantitatively analyzed to highlight the ethanol market growth scenario.
- Porter’s five forces analysis illustrates the potency of buyers & suppliers in the market.
- The report provides a detailed analysis based on competitive intensity and how the competition will take shape in coming years.
Questions answered in the ethanol market research report:
- Which are the leading market players active in the market?
- What are the current trends that will influence the market in the next few years?
- What are the driving factors, restraints, and opportunities of the market?
- What are the projections for the future that would help in taking further strategic steps?
Ethanol Market Report Highlights
By Industry Vertical
Key Market Players
Flint Hills Resources, Green Plains Inc., Valero, MGP Ingredients, Marquis Energy, Grain Processing Corporation, Advanced Bio Energy LLC, Archer Daniels Midland Company, Cargill Inc., Ace Ethanol LLC