Castor Oil Derivatives Market Opportunities and Challenges by 2032

The global castor oil derivatives market size is expected to reach USD 1,429.7 million by 2027, exhibiting a CAGR of 4.3% during the forecast period. The growing demand for organic cosmetics products will create lucrative business opportunities for the market, states Fortune Business Insights, in a report, titled “Castor Oil Derivatives Market Size, Share & Industry Analysis, By Product Type (Sebacic Acid, Ricinoleic Acid, Hydrogenated Castor Oil, 12-Hydroxy Stearic Acid, Dehydrated Castor Oil and Others), Application (Cosmetic & Pharmaceuticals, Plastic & Resins, Lubricants, Biodiesel, and Others) and Regional Forecast, 2024-2032.” The market size stood at USD 1,035.4 million in 2019.

Source:

https://www.fortunebusinessinsights.com/industry-reports/castor-oil-derivatives-market-100537

Market Driver:

Growing Application of Oil Derivatives to Incite Development

The growing knowledge about the numerous advantages of castor oil and its derivatives compared to other traditional oil will have a tremendous impact on the market during the forecast period. The shift from oils derived from cotton, coconut, soy, corn, rapeseed to castor oil derivatives owing to its natural and versatile physicochemical properties will foster healthy growth of the market. The growing application of castor oil derivatives in lubricants, oleo-chemicals, medical, cosmetics, pharmaceuticals, bioenergy, and others will consequently boost the growth of the market. Moreover, the increasing inclination towards green chemicals will simultaneously improve the prospects of the market during the forecast period.

Declined Production to Retard Business Amid Coronavirus

The production of castor oil has dropped severely due to the coronavirus outbreak. The halt on manufacturing sites, inadequate feedstock, and manpower will harshly affect the global market. Disturbed supply chain and deteriorated manufacturing facilities have resulted in an enormous loss for the industry. However, the ease on lockdowns by the governments will subsequently facilitate the recovery of the market in the near future.

Regional Analysis:

High Availability of Castor Seeds to Augment Growth in Asia Pacific

The market in Asia Pacific is expected to experience a rapid growth rate owing to the growing production and distribution of oils in the region. China is a global leader in p sebacic acid with a production capacity of more than 210-kilo tons per year. According to The Solvent Extractors Association of India, China holds around 40% of castor oil export from India followed by Europe 30-35%.

The high availability of castor seeds will Further promote healthy growth of the market in Asia Pacific. India is a major producer & exporter of castor oil and castor oil derivatives such as 12-hydroxy stearic acid, castor wax, dehydrated castor oil, undecylenic acid. Europe is expected to rise tremendously during the forecast period owing to the rising adoption and favorable government regulations regarding the use of bio-based chemicals.