Tall Oil Fatty Acid Market: Key Drivers, Trends, and Challenges
The rising use in soaps and detergents is notably driving the tall oil fatty acid market growth, although factors such as declining production of paper may impede market growth. The holistic analysis of the drivers will help in deducing end goals and refining marketing strategies to gain a competitive edge.
Key Tall Oil Fatty Acid Market Driver
One of the key factors driving growth in the tall oil fatty acid market is the rising use in soaps and detergents. The physical state of oil and fats is based on their source or origin. The liquid state indicates soft texture while solid-state indicates hard texture. The improved physical and chemical properties of oils and fats have increased their use in soap and detergents. The growing awareness about the benefits of cleanliness and hygiene is creating a market for products such as soaps and detergents. The use of tall oil fatty acid is preferred due to its low cost, ease of handling, and easy availability. One of the key factors driving growth in the tall oil fatty acid market is the rising use in soaps and detergents. The physical state of oil and fats is based on their source or origin. The liquid state indicates soft texture while solid-state indicates hard texture. The improved physical and chemical properties of oils and fats have increased their use in soap and detergents. The growing awareness about the benefits of cleanliness and hygiene is creating a market for products such as soaps and detergents. The use of tall oil fatty acid is preferred due to its low cost, ease of handling, and easy availability.
Key Tall Oil Fatty Acid Market Trend
The increasing use in the rubber industry is another major factor supporting the tall oil fatty acid market share growth. Tall oil fatty acid is used as a stabilizing and vulcanizing agent in the manufacturing of rubber. Tall oil fatty acid is largely being used in the automotive industry, specifically in tire manufacturing. The increasing use of rubber mats, mechanical rubber goods, and others will increase the market share of tall oil fatty acid during the forecast period. Tall oil fatty acid with high saturated fat and low unsaturated fat is used for the vulcanization of rubber. Due to the better performance of vulcanized rubber, its demand is increasing globally. As the demand for vulcanized rubber is expected to grow, the use of tall oil fatty acid will also increase in the rubber industry.
Key Tall Oil Fatty Acid Market Challenge
The declining production of paper will be a major challenge for the tall oil fatty acid market. As tall oil fatty acid can be derived from plants, its production capacity is limited. Tall oil fatty acid feedstock is crude tall oil (CTO), which is produced through the wood pulping process associated with the paper milling business. The CTO produced is economical, but it cannot be produced by any other means other than paper milling. The decline in the production of paper due to the restrictions on cutting trees to produce paper will hamper the production rate of CTO, resulting in an overall decline in the production of tall oil fatty acid.
Download the Free Report Sample to Unlock the Tall Oil Fatty Acid Market Size for the Forecast Period and Other Important Statistics
Who are the Major Tall Oil Fatty Acid Market Vendors?
The tall oil fatty acid market consists of limited multinational players. The key factor driving the market from a competitive perspective is the threat of substitutes such as other plant-based and animal-based fatty acids. Competitors are highly investing in R&D activities to make their products innovative and differentiate their offerings from others.
The leading vendors in the market are –
- Eastman Chemical Company
- Georgia-Pacific Chemicals
- Harima Chemicals Group
- Ingevity
- Kraton Corporation
The other prominent vendors in the market are ExxonMobil, Forchem, Pasand Speciality Chemical, Spectrum Chemical Manufacturing, Technical Industries, and Werner G.Smith.
What are the Revenue-generating End-user Segments in the Tall Oil Fatty Acid Market?
- Soaps and detergents
- Plastic additives
- Coatings
- Lubricants
- Fuel additives
During 2016, the soaps and detergents segment accounted for the major shares of the tall oil fatty acid market. Factors such as the increasing usage of tall oil fatty acid in the production of soaps and detergents due to its low costs and cleaning properties will contribute to the growth of this industry segment in the coming years.
Which are the Key Regions for Tall Oil Fatty Acid Market?
- APAC
- Europe
- North America
- ROW
This market study estimates that in terms of geographic regions, North America will be the major revenue contributor to the tall oil fatty acid market throughout the forecast period. The rising demand for drilling fluids and lubricants and increasing need for rubber products in the automotive industry in the region will drive the market growth.
What are the Key Factors Covered in this Tall Oil Fatty Acid Market Report?
- CAGR of the market during the forecast period 2017-2021
- Detailed information on factors that will drive tall oil fatty acid market growth during the next five years
- Precise estimation of the tall oil fatty acid market size and its contribution to the parent market
- Accurate predictions on upcoming trends and changes in consumer behavior
- The growth of the tall oil fatty acid industry across APAC, Europe, North America, and ROW.
- A thorough analysis of the market’s competitive landscape and detailed information on vendors
- Comprehensive details of factors that will challenge the growth of tall oil fatty acid market vendors
We can help! Our analysts can customize this report to meet your requirements. Get in touch