Pine Chemicals Market

Uptake of Bio-Based Chemicals to Upswing Demand for Pine Chemicals

The global pine chemicals market is estimated to grow with a CAGR of over 5% during the forecast period (2019-2027) and reach a value pool of over US$ 19 Bn. Significant growth is projected within the pine chemicals market owing to increased demand for bio-friendly products.

In addition, pine chemicals are experiencing high demand in various applications due to its immense utilization in coatings, adhesives and disinfectants. Increasing demand of pine chemicals from the flavors and fragrances industry is also likely to boost market growth over the forecast period.

With these aforementioned factors, competitors are working on developing a cost-effective rectification process for pine chemicals to be utilized in adhesives, lubricants, inks, types and paint & coatings.

The pine chemicals market is witnessing prolific growth on account of raw material imports and exports. Raw materials purchased constitute over 50% of the shipment volume.

Fuel and electricity (including electricity purchased) are other high cost items, accounting for over 5% of the shipment cost. Extensive use of crude oil and natural gas products in the recent past has led to increased pollution.

Consequently, with the growing need to minimize fossil fuel consumption and reduce carbon dioxide emissions, the global pine chemicals market is gaining traction.

Coatings & Adhesives Remain on Top

The coatings & adhesives sub-segment accounted for the largest share (over 30%) within the application segment. For many years the pine chemicals industry has provided the significantly growing coatings & adhesives market with bio-renewable feedstocks.

Other products include tall oil rosin and tall oil fatty acids (TOFA) which are intermediates derived from pine trees, used for making coating & adhesive solutions safe and sustainable.

Pine chemicals are utilized in adhesives and sealants, paints and coatings, surfactants, inks and other additives to chemicals. Such materials in turn are used in manufacturing, paper, cleaning products, printing and publishing as well as a number of other industrial activities.

Presently, manufacturers of coatings & adhesives are turning their attention towards safe paints which are being derived from pine chemicals available in liquid-reducible formulations.

North America to Remain in Forefront, as Exports Soar

Due to the involvement of influential exporters, North America emerged in 2018 as the largest regional supplier within the pine chemicals market, covering a market share of more than 30%. The development of bio-refineries in the region is further providing impetus for regional market growth.

Europe emerged as the second largest market, mainly attributed to the region's prevalent ‘all-natural' trend for cosmetics and personal care products. In addition, the emergence of a robust manufacturing base for personal care industries in countries such as the United Kingdom, France and Germany will be a favorable market growth factor.

Asia Pacific is anticipated to be the fastest growing regional market, with a CAGR of over 4% due to increased demand in the cosmetics and personal care industries from developing countries such as China and Japan.

Competitors to Benefit from Rectification Processes and Robust Partnerships

The global pine chemicals market is consolidated in nature with key competitors such as Arakawa Chemical (USA) Inc., Arboris, LLC, ArrMaz Custom Chemicals, Inc., DRT and Eastman Chemical Company acquiring the top shares.

Recycled feedstock and recycled by-products from other sectors are used by suppliers as the preliminary raw material, considerably lessening production costs while maintaining sustainability.

Developing effective pine chemical rectification processes is the primary strategy for emerging competitors. In addition, the establishment of robust partnerships with several FMCG companies to ensure capital flow has been the prime factor in the growth of the pine chemical industry.

Global Pine Chemicals Market: In-Depth Assessment on Key Segments

The global pine chemicals market is segmented on the basis of product type, source, application and region.

• By Product Type :

  • Tall Oil
  • Rosin
  • Turpentine

• By Source :

  • Pine Trunks
  • Aged Pine Stumps
  • Kraft Pulp

• By Application :

  • Coatings & Adhesives
  • Solvents & Disinfectants
  • Printing Ink
  • Synthetic Rubber
  • Flavors & Fragrances

• By Region :

  • North America
  • Latin America
  • Europe
  • APAC
  • MEA

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