Premium Salicylic Acid Market Outlook - 2021–2030
The global premium salicylic acid market size was valued at $131.4 million in 2020, and is projected to reach $263.9 million by 2030, growing at a CAGR of 7.2% from 2020 to 2030.
A salicylic acid whose purity is higher than 99.5% is called as a premium salicylic acid. Premium salicylic acid is a lipophilic monohydroxybenzoic acid, which is 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. Premium salicylic acid acts as an intermediate in pharmaceutical and personal care industries.
Increase in demand for packaged food & beverages is a major factor that drives the growth of the premium salicylic acid market. This is majorly attributed to the fact that the use of premium salicylic acid in the food & beverage industry is increasing, as it helps to prevent spoilage and fermentation of packaged food products. However, the food & beverage and cosmetics industries are highly regulated, which is a challenging factor for the market growth. In addition, presence of alternatives hinder the growth of the market. On the contrary, the growing pharmaceutical industry in Asia-Pacific and Africa is expected to offer lucrative opportunities for the industrial participants in the global premium salicylic acid market.
Aspirin is an anti-inflammatory drug that is widely used as a painkiller and to treat fever, cold, and cough. Aspirin is one of the largest selling pharmaceutical drugs across the globe and its consumption is on the rise as it offers superior pain relieving action and is easily available in the market. This drug is increasingly being adopted to prevent and treat ailments, such as dementia, and strokes, especially among the aging population, thereby driving the growth of the premium salicylic acid market. In addition, salicylic acid offers many advantages to cure diseases, such as acne, blemishes, psoriasis, and others. These factors lead to increase in application scope for salicylic acid in the pharmaceutical industry and this trend is expected to drive the premium salicylic acid market.
The premium salicylic acid market is segmented on the basis of application and region. Depending on application, the premium salicylic acid market is segregated into pharmaceutical, skin care, hair care, and food preservatives and others. Region-wise, the market is analyzed across North America, Latin America, Europe, Africa, Asia-Pacific, and Middle East. The premium salicylic acid market share is analyzed across all significant regions.
The premium 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 premium salicylic acid market are Alta Laboratories Ltd., Novacap, Sigma Aldrich and Siddharth Carbochem Products Ltd, Seqens SAS, Spectrum Chemical Manufacturing Corp, Thermo Fisher Scientific
Premium Salicylic Acid Market, by Application
By application, the pharmaceutical segment garnered highest market share of 59.8% in 2020 in terms of volume and is projected to grow at a CAGR of 6.6% in 2020, in terms of volume during the forecast period. Premium salicylic acid is used in pharmaceuticals due to its anti-inflammatory properties. It is a key ingredient in manufacturing of aspirin; it reacts with acetic acid to produce aspirin.
Pharmaceutical application holds a dominant position in 2020 and skin care application is projected as the most lucrative segment.
Premium Salicylic Acid Market, by Region
Region-wise, Asia-Pacific garnered 34.1% of market share in terms of revenue in 2020 and is expected to grow at a CAGR of 7.6% during the forecast period. This is attributed to the presence of economies such as China and Japan. These economies have rapid growing consumer base such as personal care and pharmaceutical. In addition, the region comprises major industrial participants, especially in China. Furthermore, the major competitive advantage of Chinese premium salicylic acid companies is the cheap cost of premium salicylic acid. Furthermore, Africa is expected to grow at a CAGR of 7.4% in terms of revenue during the forecast period. The increasing scarcity of medications in various nations drives the expansion of the pharmaceutical market in Africa. Moreover, the rise in the fashion industry is expected to lead to increase in demand for the skin care products, which is believed to fuel the demand for premium salicylic acid, thus driving the growth of the market during the forecast period. In addition, rapid expansion of cities leads to increase in salons, which leads to increase in demand for premium salicylic acid-based products.
Asia-Pacific holds a dominant position in 2020 and is expected to grow at fastest growth rate during the forecast period.
Key Benefits for Stakeholders
- The report outlines the current trends and future scenario of the premium salicylic acid market from 2021 to 2030 to understand the prevailing opportunities and potential investment pockets.
- The premium 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 market trends.
- This report highlights the key drivers, opportunities, and restraints of the premium salicylic acid market along with impact analysis during the forecast period.
- The report also covers the impact of governmental regulations on the premium salicylic acid market.
- 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 premium salicylic acid market growth.
Impact of COVID-19 on Premium Salicylic Acid Market
- The COVID-19 outbreak has affected the demand for- and manufacturing of- premium salicylic acid.
- The raw material procurement was further challenged owing to outbreak of COVID-19.
- The COVID-19 pandemic is expected to have significant impact on industrial participants operations, indirectly and directly with respect to customer behaviors, labor shortages or stoppages, inventory, sales, business, and manufacturing operations.
- As per 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 and economic disturbance it might cause.
- Manufacturing and supply regions witnessed economic slowdown owing to lockdown.
Premium Salicylic Acid Market Report Highlights
The premium salicylic acid market is likely to exhibit high growth potential during the forecast period, owing to surge in demand from end-use industries, such as pharmaceutical and cosmetic, especially from countries, such as the U.S., Brazil, Germany, and China and due to rise in need for the aspirin drug & personal care products. However, harmful effects of premium salicylic acid are expected to hinder the market growth. By region, Latin America and Africa are projected to register significant growth as compared to other regions. This is attributed to rise in consumer base, such as pharmaceutical, skin care, and haircare industries.
Numerous economies across the globe are expected to emphasize on pharmaceutical and healthcare industries in next few years, owing to increased health awareness due to COVID-19. This is expected to boost the demand for premium salicylic acid, as it is one of the key ingredients used in the pharmaceutical industry. However, harmful effects associated with the usage of premium salicylic acid can have a restraining effect on the growth of the market. Furthermore, shifting consumer preferences for natural food additives and rise in health concerns are projected to create new opportunities for the premium salicylic acid market during the forecast period.