Sodium Cocoyl Glutamate Market

Sodium Cocoyl Glutamate Market Outlook (2025 to 2035)

The sodium cocoyl glutamate market is valued at USD 142.1 million in 2025. As per Fact.MR analysis, it will grow at a CAGR of 5.0% and reach USD 231.5 million by 2035.

In 2024, the industry experienced growth marked by considerable shifts in both upstream raw material dynamics and downstream consumer trends. Rising demand from clean beauty formulations led to increased adoption among mid-tier and emerging personal care brands, especially across Southeast Asia and Latin America.

However, manufacturers faced cost pressures due to fluctuating coconut oil prices, SCG's key raw material, partly driven by erratic climate conditions in the Philippines and Indonesia. This volatility forced several formulators to revise contract terms and re-optimize supply chains to maintain competitive margins.

Moreover, North America maintained steady momentum, supported by dermatologically tested formulations gaining retail shelf space in drugstores. Meanwhile, China's domestic industry expanded as local brands increasingly swapped harsher surfactants for mild alternatives like SCG in baby care and sensitive-skin products. On the regulatory front, ongoing discussions in the EU around microplastic and sulfate bans enhanced SCG's attractiveness as a safe and eco-friendly alternative.

Looking ahead to 2025, growth is expected owing to increased brand commitments toward sulfate-free and low-irritation surfactants, combined with maturing distribution networks for SCG. This is likely to open new revenue streams, especially in premium skincare, hair repair, and sustainable cosmetics. R&D will likely focus on enhancing SCG's functional blends to broaden its usage scope across multifunctional personal care applications.

Key Metrics

Metrics	Values
Industry Size (2025E)	USD 142.1 million
Industry Value (2035F)	USD 231.5 million
Value-based CAGR (2025 to 2035)	5.0%

Fact.MR Survey Findings: Industry Trends According to Stakeholder Views

(A recent Fact.MR survey of 500 stakeholders, including manufacturers, distributors, and end-users across the USA, Western Europe, Japan, and South Korea, reveals key industry trends and regional differences. Common drivers for SCG uptake include mildness and skin friendliness (87%) and natural claims (73%).

However, regional preferences vary. In the USA, stakeholders prioritize compliance with sulfate-free formulations (69%) and formulation transparency (61%), largely due to clean beauty movements and dermatological testing requirements. In Western Europe, eco-certification (82%) is critical, with a strong emphasis on biodegradability and microplastic-free formulas.

Japan and South Korea focus more on compactness and multifunctionality, often pairing SCG with other amino acid surfactants for cost efficiency, though Japanese stakeholders show less interest in advanced traceability technologies (28%).

On the materials side, coconut-based raw materials remain dominant (72%), but palm-alternative SCG is gaining traction in Western Europe due to sustainability concerns. Price sensitivity is more pronounced in Asia, where products must be priced below USD 0.25 per gram to remain competitive.

In contrast, USA and European consumers are willing to pay premiums for certified and multifunctional products. Top concerns across all regions include raw material cost inflation (83%) and formulation complexity with bio-based agents. Looking ahead, USA companies are focusing on IoT-integrated formula tracking, Europe on closed-loop green chemistry, and Asia on ultra-mild, compact formulations for small-pack personal care. Regulatory pressures are greatest in Europe, driven by REACH and ECHA regulations, while Asia remains more deregulated but brand-focused.

Government Regulations on the Sodium Cocoyl Glutamate Industry

Country/Region	Policy & Regulatory Impact
USA	The FDA does not regulate SCG as a drug but oversees labeling and safety through the Cosmetic Ingredient Review (CIR) and the Fair Packaging and Labeling Act (FPLA). Increasing enforcement of "clean label" claims by the FTC. No mandatory certification, but NSF/ANSI 305 and USDA BioPreferred designations are used for marketing. (Source: FDA)
Western Europe	Highly regulated under REACH (Registration, Evaluation, Authorisation and Restriction of Chemicals) and Cosmetics Regulation EC No. 1223/2009. Products must avoid allergens and demonstrate biodegradability. Ecolabel and COSMOS (Organic and Natural Cosmetics Standard) certifications are becoming de facto industry norms. SCG is favored as a safe surfactant under these rules.
Japan	Regulated by the Pharmaceutical and Medical Device Act (PMD Act) and Standards for Cosmetics. SCG is allowed but must meet purity standards. The government promotes quasi-drug classification for products with claims. No mandatory certifications, but JSCI (Japan Soap and Detergent Association) guidelines are widely followed. Minimal restrictions, but tight control over claims.
South Korea	Overseen by the Ministry of Food and Drug Safety (MFDS) under the Cosmetic Act. SCG is allowed but must be disclosed clearly in the ingredient list. Emphasis on functional cosmetics certification if the product claims skin benefits. EWG Skin Deep ratings are widely referenced by brands for consumer trust, although not mandatory
China	Recently restructured regulations under the Cosmetics Supervision and Administration Regulation (CSAR). SCG is permitted as a mild surfactant. Mandatory ingredient safety assessment reports are required. Companies must register new ingredients and products on the NMPA (National Medical Products Administration) portal. No specific SCG certification, but animal testing exemptions require specific documentation for imports.

Market Analysis

The industry is steadily advancing, driven by surging demand for mild, plant-based surfactants in personal care and cosmetic formulations. Regulatory shifts toward clean-label ingredients and rising consumer preference for sulfate-free products are accelerating adoption across developed industries. Companies offering certified, multifunctional, and eco-compliant formulations stand to gain, while legacy surfactant suppliers face displacement risks.

Top Strategic Imperatives, Risk Assessment, and Watchlist for Stakeholders

To propel growth in the SCG (spent coconut granules) business, there are three strategic imperatives for which stakeholders should place top priorities. Speeding up clean label innovation with ingredient certification is crucial. Leaders need to put money into openness and obtain credentials such as COSMOS, ECOCERT, and USDA BioPreferred, especially in Europe and North America, while educating on SCG's biodegradability and mildness.

Additionally, regionalizing product platforms to address geographic consumer and regulatory patterns is essential. Customizing product formats and price points, e.g., small, multi-purpose products in Japan and South Korea or high-certification products in Europe, can enhance market fit. Strong working with regulatory specialists to monitor and pre-emptively conform to changing frameworks such as EU REACH and China's CSAR will allow for quicker industry entry.

Ongoing expansion can be expedited through strategic distribution alliances and capacity build-out. Strengthening relationships with environmentally friendly beauty companies and investing in local production bases, especially in Southeast Asia, through joint ventures or toll manufacturing, can enhance cost efficiency and scale.

Furthermore, stakeholders should closely watch major risks: volatility in raw material prices, disruption by regulations, and increasing competition from synthetic or hybrid alternatives. Executives must move now by getting certified, increasing cooperation with OEMs and brands, and creating secure, localized supply chains to defend against fluctuations in the cost of inputs and changing consumer patterns.

For the Boardroom

To stay ahead in the industry, the client must pivot toward certified, regionally-tailored, and supply-resilient strategies. This intelligence underscores an urgent need to invest in COSMOS/ECOCERT-compliant product lines, localize claims and formulations for areas such as Western Europe and Japan, and lock in secure, traceable sourcing of coconut-based feedstocks.

The roadmap should now prioritize green certifications, feedback-driven product customization, and partnership-based expansion, particularly in Asia, where compact, cost-effective formats dominate. Additionally, to hedge against raw material volatility and regulatory uncertainty, proactive capacity planning and integrated risk monitoring must be embedded into 2025 operational decisions. This shift from reactive compliance to proactive innovation will define long-term differentiation and defensibility.

Segment-wise Analysis

By Form

Aqueous is anticipated to be the most lucrative segment under application, growing at a 59.0% share in 2025. Sodium cocoyl glutamate aqueous form is well applied across the personal care space because it is easy to use and is easily incorporated into liquid products. The main benefit is that it is easily mixed with water-based systems, which are common in shampoos, body washes, facial cleaners, and most cosmetic products. Aqueous products facilitate smooth texture, enhanced product spreadability, and faster dissolution than powders.

Moreover, the increasing consumer trend for ready-to-use, liquid products renders aqueous forms more convenient and desirable. With consumers asking for milder, sulfate-free, and skin-friendly products, the aqueous form ensures a stable, uniform delivery system for these ingredients.

By Application

Hair care remains the largest application for the product due to its exceptional mildness and effectiveness in cleansing hair without stripping away natural oils. As consumers continue to seek sulfate-free, gentle, and eco-friendly alternatives in their hair care products, product has become a key ingredient in shampoos, conditioners, and other hair treatments. Its ability to produce a rich, luxurious lather while maintaining the integrity of hair and scalp health has made it a preferred choice in formulations designed for sensitive skin or color-treated hair.

Moreover, with the rise of clean beauty trends, which emphasize plant-based, non-toxic ingredients, hair care brands are increasingly turning to this naturally derived surfactant to meet consumer demands for high-performance yet gentle products. According to Fact.MR’s analysis, the hair care segment is expected to be most profitable, advancing a 52.0% share in 2025.

Country-wise Analysis

USA

In the United States, the industry is likely to grow at a CAGR of 5.2% during the forecast period of 2025 to 2035. The rise in demand for clean-label, sulfate-free personal care products and increased awareness among consumers regarding the negative impact of traditional surfactants are the key factors driving this growth. With consumers increasingly seeking sustainable and green solutions, SCG's mild and biodegradable nature positions it as a brand of choice in the hair and skin care categories.

The industry in the USA is also aided by a high volume of top personal care brands embracing mild surfactants in their products. In addition, regulatory trends favoring cleaner formulations and organic products offer scope for penetration for SCG in the industry. Increased lines of organic and natural products by large retailers such as Whole Foods and online channels further fuel demand.

UK

The UK’s sales are expected to register a CAGR of 4.8% in the assessment term. The United Kingdom has a strong demand for natural and gentle ingredients in personal care products due to the increasing trend of clean beauty and the rising consumer interest in sustainability.

SCG's mildness, skin compatibility, and biodegradability make it a sought-after product in the industry. The UK is especially impacted by strict regulatory requirements like the EU Cosmetics Regulation, which promotes the use of safer, more sustainable ingredients in formulations. Demand for SCG in skin and hair care products will most likely grow as consumers switch to sulfate-free shampoos and cleansers.

France

Fact.MR’s research suggests that the industry is predicted to grow at a rate of 5.0% CAGR in France in the assessment period. Being one of the topmost industries for European personal care products, France is witnessing mounting demand for nature-based, milder surfactants, primarily in the segments of hair care and skin care.

The French industry is very trend-driven in terms of cosmetics, sustainability, and compliance with strict EU regulations, especially regarding ingredients that are safe for consumers and the environment. SCG's mild, biodegradable nature makes it very suitable for high-end beauty and skincare products, with an increasing consumer base that cares about transparency and sustainability.

Germany

In Germany, the landscape is anticipated to achieve a CAGR of 5.1% from 2025 to 2035. Germany is one of the prominent industries for sustainable and eco-friendly personal care products, fueled by increasing consumer demand for natural ingredients and clean beauty. Being one of the biggest European industries for personal care and cosmetics, the demand for gentle surfactants, biodegradable, and sulfate-free, such as SCG, increases.

The strict regulatory framework in Germany also fosters growth, as the demand is further driven by a growing concern for environmentally friendly, non-toxic products. The demand for SCG in hair care products, such as sulfate-free shampoo and conditioner, is particularly high because German consumers are becoming more aware of the impact that products have on the environment and on their own health.

Italy

In Italy, the industry is expected to expand at a 4.9% CAGR over the forecast period. An elevated demand for natural beauty products, particularly sulfate-free and other chemical-free natural beauty products, drives Italy's personal care industry. With Italian consumers having high cultural value for skin beauty and skin care, there is a growing demand for superior quality, gentle ingredients like SCG that cleanse effectively without irritating the skin.

SCG is particularly favored in skincare products, including face wash and body wash, due to its mildness and capacity to retain skin moisture. Furthermore, growing demand for "Made in Italy" products emphasizing sustainability and premium ingredients gives SCG-based products a competitive edge in the industry.

South Korea

Fact.MR suggests that South Korea, the industry is projected to grow at a CAGR of 4.7% from 2025 to 2035. South Korea is famous for its advanced beauty and personal care industry, with a focus on new and high-performance ingredients. With South Korea being in the lead of the global K-beauty trend, South Korean consumers are seeking more natural, safe, and effective ingredients in their hair care and skincare regimens.

SCG's softness, high capacity for generating rich lather, and skin-friendliness have made it a darling among K-beauty items, particularly sulfate-free items. Although the business for SCG is on the rise, value-conscious consumers and local manufacturers like cheaper alternatives.

Japan

Japan's sales will grow at a CAGR of 4.7% between 2025 to 2035. Japan's personal care industry is led by the growing demand for mild, non-irritating, and natural ingredients in hair care and skin care products. SCG has thereby earned its share in sensitive skin products, such as sulfate-free shampoos and face washes.

Japanese consumers increasingly favor clean beauty products that shun harsh chemicals, opening opportunities for SCG in the sector. Even though there are encouraging growth opportunities, the Japanese landscape is more cost-conscious than in other industries, with consumers liking to buy cheaper yet high-quality products.

China

The industry in China is expected to grow at a CAGR of 6.0% from 2025 to 2035, as per Fact.MR’s analysis. High growth is stimulated by increasing demand for premium personal care products, especially those containing mild, natural ingredients.

China's growing middle class and increasingly health-conscious and affluent population are driving the growth of the personal care industry. Chinese consumers are increasingly interested in premium products that emphasize skin wellness, sustainability, and sustainable sourcing. In addition, global trends, especially from the West, such as clean beauty and eco-friendliness, are driving the shift to mild, plant-based surfactants like SCG among Chinese Consumers.

Australia and New Zealand

In Australia and New Zealand, the industry is expected to grow at a steady CAGR of 5.0% from 2025 to 2035. The main drivers in these regions include the growing demand for skin-friendly and natural formulations, with 87% of stakeholders highlighting these attributes as key factors in SCG adoption.

Consumers in Australia and New Zealand are increasingly aware of clean beauty trends and sustainability concerns, which align with the global preference for eco-certifications and transparency in formulations. Additionally, there is a noticeable focus on incorporating multifunctional ingredients that offer both effectiveness and environmental friendliness.

The industry in Australia and New Zealand is also influenced by the rising preference for coconut-based raw materials, with sustainability driving the choice of palm alternatives in certain formulations. Price sensitivity is somewhat moderate compared to Asia, but consumers are still looking for high-quality, certified products that meet eco standards.

Competitive Landscape

The industry is quite fragmented with many players across the world competing for share. This is spurred by increasing demand for mild surfactants for application in personal care and cosmetics and by increasing movement towards natural and sustainable ingredients. The industry has established and emerging players struggling to capitalize on increasing consumer demand for green and gentle products. Consequently, various strategies are being adopted by companies to promote or sustain their competitive advantage.

In order to remain competitive, top corporate players in the industry are adopting various strategies, including the innovation of products, sustainability measures, and strategic partnerships. Firms are concentrating significantly on the innovation of new formulations that prioritize skin compatibility, environmental responsibility, and biodegradability.

Product development will be complemented by process innovation in manufacturing to address the increasing demand for vegan and natural products, which is becoming increasingly important to customers. Besides that, players highlight transparency of manufacturing and sourcing to address the pressure from customers towards cleaner, more sustainable ingredients.

Strategic acquisitions and mergers have also been instrumental in fueling growth. Ajinomoto Co., Inc. in 2024 introduced a new line of surfactant ingredients, including sodium cocoyl glutamate, as part of its strategy to further expand its portfolio in the natural ingredient category.

The launch is part of the company's overall shift to strengthen its position in the personal care segment through the supply of products backing the clean beauty movement. In addition, in 2025, partnerships between the personal care ingredients' top suppliers and biotech players to create more sustainable solutions again reflect the focus of the industry on green chemistry and sustainable purchasing.

Additionally, some companies are raising investments in developing production capacities in order to address the growing demand, particularly in the emerging industries. The competitive landscape is therefore being influenced by a combination of technological innovation, sustainability, and strategic alliances that enable such companies to remain ahead of the curve in an increasingly crowded industry.

Industry Share Analysis

Between 2025 and 2035, Croda International Plc (9-12% share) is expected to maintain its leadership in the SCG sector, capitalizing on its focus on green, sustainable formulations and botanicals. The growing demand for sulfate-free formulations aligns with Croda’s strategic direction, allowing it to further solidify its industry position, particularly in eco-conscious regions like Western Europe and North America.

LG Chem Ltd. (7-10%) is poised to strengthen its presence in the personal care industry, particularly in Asia, with its focus on mildness and skin-friendly SCG products. With a strong manufacturing base in Asia, LG Chem stands to benefit from increasing regional demand for green ingredients, enabling the company to expand its share in the industry.

Kraton Polymers (3-5%) will continue to maintain a niche position within the industry by focusing on nature- and sustainability-oriented ingredients. Despite being smaller in size compared to industry leaders, Kraton will hold a steady share in niche segments such as emulsifiers and foaming agents, supporting its growth in specialized areas.

Stepan Company (6-9%) is expected to capture a significant portion of the industry with its strong surfactant brand equity and consistent innovation in SCG production. Stepan’s worldwide reach and commitment to sustainability will position it well for dominance in both developed and emerging industries.

Kao Corporation (5-7%) will continue to lead the SCG market in Asia, driven by its commitment to natural and gentle products as well as its focus on clean beauty and sustainability. Kao’s strong regional presence will allow it to maintain a competitive edge, particularly in the Asia-Pacific industry.

Innospec Inc. (2-4%) is expected to hold a smaller but growing share in the SCG sector, focusing on safe, efficient, and environmentally friendly SCG ingredients. Its ability to customize products and its strategic alliances will contribute to its steady growth, especially as eco-conscious consumer demand rises.

Key Industry Players

• Croda International Plc
• LG Chem Ltd.
• Kraton Polymers
• Stepan Company
• Kao Corporation
• Innospec Inc.
• BASF SE
• Clariant International AG
• Ajinomoto Co. Ltd.
• Asahi Kasei Fine Chemicals
• Taiwan NJC Corporation
• Sino Lion
• Changsha Puji Biotechnology Co., Ltd.
• Blue Sun International
• SCHILL SEILACHER GMBH

Segmentation

• By Form:

  • Powder
  • Aqueous

• By Application:

  • Hair Care
  • Skin Care
  • Other Applications

• By Region:

  • North America
  • Latin America
  • Europe
  • Asia Pacific
  • Middle East and Africa (MEA)