Global Esters Market – Industry Trends and Forecast to 2029

Global Esters Market, By  Source (Natural, Synthetic), Product (Dibasic Esters, Polyol Esters, Methyl Esters, Nitrate Esters, Vinyl Esters, Phosphate Esters, Acrylic Esters, Sucrose Esters, Fatty Acid Esters), Application (Lubricants, Solvents, Plasticizers, Fuel and Oil Additives, Flame Retardants, Insecticides, Explosives, Surfactants, Flavoring Agents), End-Use Industry (Chemicals, Food, Automotive and Aviation, Marine, Textiles, Cosmetics and Personal Care Products, General Manufacturing) – Industry Trends and Forecast to 2029

Market Analysis and Size

Over the last few years, the esters industry has been gaining traction owing to their budding acceptance across the food and beverages industry due to their pleasant smell and tastes is boosting sales in the market. Additionally, due to their capacity to dissolve various substances, esters are among the most widely used solvents in the chemical, food, textile, and other sectors. Consequently, these determinants are estimated to accelerate the overall demand for the market.

Global Esters Market was valued at USD 76.28 billion in 2021 and is expected to reach USD 125.30 billion by 2029, registering a CAGR of 6.4% during the forecast period of 2022-2029. In addition to the market insights such as market value, growth rate, market segments, geographical coverage, market players, and market scenario, the market report curated by the Data Bridge Market Research team also includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, and climate chain scenario.

Report Scope and Market Segmentation

Market Definition

A non-hydrocarbon organic compound called ester is created when a carboxylic acid and an alcohol react. It can be acquired either naturally or artificially. Natural seed oils, including rapeseed, soy, and sunflower oil are the main sources of the occurring ester. Synthetic esters can be used as an oil additive, adhesive, sizing agent, binder, and many other things because of their great oxidation stability and low pour point. Finally, it finds usage in various end-use sectors, including construction, lubricants, paint and coatings, pulp and paper, cosmetics and personal care, and others.

Esters Market Dynamics

This section deals with understanding the market drivers, opportunities, restraints and challenges. All of this is discussed in detail as below:

Drivers

• High Demand Across Cosmetics Industry

The market for esters is anticipated to develop as a result of rising demand from the cosmetics sector. The market for esters is also anticipated to increase as a result of rising emulsifier and stabilizer demand in the personal care and detergent industries. As a result of the growing demand for cosmetics and personal care products worldwide, the esters market is growing along with the cosmetic sector.

• Growing Utilization across Food Industry

Esters' market growth is anticipated to be aided by their expanding use as food additives in the food industry. They are primarily used in processed foods, ice creams, and baked goods. It improves the texture of the food products by stabilizing and thickening the food. The global demand for processed food products is another factor contributing to the expansion of the ester market.

• Availability of Numerous Esters

The manufacturers can produce any lubricating product for a particular environment or application. This has emerged as the deciding element in solving the performance and environmental problems. There are many fluids and lubricants with ester bases on the market today that not only offer good performance but also have no effect on the environment. Phosphate esters and silicate esters, for example, are several types of ester-based fluids that are frequently employed as lubricants, hydraulic fluids, lubricant additives, and fire retardant lubricants. Silicate esters are widely utilized for low-temperature refrigeration compressor lubricating because they have good low-temperature characteristics. As a result, the global esters market is anticipated to experience strong growth over the forecast period.

Additionally, the rapid industrialization and urbanization along with the growing demand for esters derivatives such as polyesters largely accelerate the growth rate of the global esters market. Also, due to an increase in the installation of contemporary machinery across numerous industries, lubricants are assisting the esters market in seeing expanded growth. The rapid growth and expansion of the industries such as automotive and construction, are projected to bolster the growth of the market. Esters are the go-to base stock for lubricant formulation in the automotive, aerospace, and general manufacturing sectors because they offer low temperature flow ability and clean operation at high temperatures.

Opportunities

• Adoption of Environment-friendly Products and Other Advancements

Furthermore, the increase in adoption of environmentally acceptable lubricants (EAL), extend profitable opportunities to the market players in the forecast period of 2022 to 2029. Additionally, the advancements of technology such as the introduction of automation and increasing adoption of modern age machinery such as Industry 4.0 will further expand the future growth of the esters market.

Restraints/Challenges

• Inadequate Standardisation and Quantity Limitations

The market expansion of esters is anticipated to be constrained by a lack of adequate standardization for food-grade lubricants. In addition, there are limitations on the quantity of ester additives that can be used in the food sector. It is anticipated that all of these issues will impede market expansion.

• Fluctuating Raw Material Prices

The entire cost of the synthetic esters is impacted by the fluctuating price of crude oil as well as the raw ingredients used to prepare the chemically synthesized esters, which are made from petroleum products. This aspect is anticipated to challenge the esters market growth rate.

This esters market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the esters market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

COVID-19 Impact on Esters Market

The recent outbreak of coronavirus had a negative impact on the esters market. In a variety of industries, including the automotive, aviation, marine, and food sectors, esters are employed as lubricants. The automotive, aviation, and marine industries have all suffered because of the Covid-19 pandemic. For instance, the European Automobile Manufacturers' Association (ACEA) reports that overall new car sales in the European Union (EU) in the first two months of 2020 were 7.4% lower than during the same period in 2019. Germany, France, Italy, and Spain are the main EU nations that experienced a fall in demand in 2020. The expansion of Covid-19 is causing the automobile sector to suffer, which is lowering demand for the automotive lubricants market. The esters market was therefore adversely affected by the lesser demand from the end users.

Additionally, the disruption in supply chain and the suspension of various manufacturing and other operations largely impacted the overall market growth during the pandemic.

Recent Development

• In July 2021, An MoU (Memorandum of Understanding) was signed between Verbio AG and Indian Oil Corporation Ltd. By utilizing Verbio's technology and industry knowledge to produce biofuels (biomethane (CBG/BioCNG), bioethanol, and biodiesel) and market them through Indian Oil's network, the MoU will investigate the feasibility of establishing a joint venture company.
• In March 2021, Optimus technologies worked with Renewable Energy Group Inc. Through this partnership, biodiesel is delivered to fleets all around the United States. Biodiesel may now be used in fleets as B100, or with 100% blended biodiesel, thanks to new technology from Optimus.
• In August 2021, At its Fukuoka factory, Mitsubishi Chemical Corporation announced opening a new sugar ester production facility. In order to meet the growing demand from the food industry, where sugar ester is mostly used, the new facility will enhance the company's production capacity.

Global Esters Market Scope

The esters market is segmented on the basis of source, product, end-use industry and application. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Source

• Natural
• Synthetic

 Product

• Dibasic Esters
• Polyol Esters
• Methyl Esters
• Nitrate Esters
• Vinyl Esters
• Phosphate Esters
• Acrylic Esters
• Sucrose Esters
• Fatty Acid Esters

Application

• Lubricants
• Solvents
• Plasticizers
• Fuel and Oil Additives
• Flame Retardants
• Insecticides
• Explosives
• Surfactants
• Flavoring Agents

 End-Use Industry

• Chemicals
• Food
• Automotive and Aviation
• Marine
• Textiles
• Cosmetics and Personal Care Products
• General Manufacturing

Esters Market Regional Analysis/Insights

The esters market is analyzed and market size insights and trends are provided by country, source, product, end-use industry and application as referenced above.

The countries covered in the esters market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, Israel, Egypt, South Africa, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

North America dominates the market in terms of market share and market revenue and will continue to flourish its dominance during the forecast period of 2022-2029. The market growth over this region is attributed to the recovery of the industrial sector combined with increasing investments to revitalize the region's construction and paints and coatings sector.

Asia-Pacific on the other hand, is estimated to show lucrative growth over the forecast period of 2022-2029, due to the their extensive usage as formulating various lubricants due to their benefits including low cost, easy availability, high-performance and low environmental impact in the region.

The country section of the report also provides individual market impacting factors and changes in market regulation that impact the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.   

Competitive Landscape and Esters Market Share Analysis

The esters market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to esters market.

Some of the major players operating in the esters market are

• DuPont (U.S.)
• Solvay (Belgium)
• Huntsman International LLC (U.S.)
• DAIKIN (Japan)
• Dow (U.S.)
• Ashland (U.S.)
• DAK Americas (U.S.)
• Esterchem Ltd. (U.K)
• Sumitomo Chemical Co., Ltd. (Japan)
• ABITEC (U.S.)
• ADM (U.S.)
• BASF SE (Germany)
• IFFCO (Turkey)
• AkzoNobel N.V. (Netherlands)
• Biotage (Sweden)
• Stepan Company (U.S.)
• DSM (Netherlands)
• CEM Corporation (U.S.)
• Fine Organics (India)
• Subhash Chemicals (India)
• Gattefosse (France)
• Croda International (U.K.)