The Report “Bio Succinic Acid Market by Country (United States, Canada, India, China, Japan, United Kingdom), Company Profiles, Share, Trends, Analysis, Size, Opportunities, Segmentation and Forecast 2015 – 2021”
“Growing application market and quick movement of chemical industry towards the bio-based sustainable chemicals is driving the Global market of succinic and bio-succinic acid”. Currently, global succinic acid market is expected to grow well with a market share of 94.5%. However, the future of chemical market lies in the development of new processes that are eco friendly and will generate chemical with better efficiency. “
There is a high level of growing interest in the applications of bio-based succinic acid for the production of biodegradable polymers. Environment concerns are leading both consumers and governments to be more demanding of eco-friendly products. Research and development has been increasingly focused to make bio-succinic acid commercially viable. Genetically modified organism, E.coli is used for converting sugar to succinic acid. The bio based succinic acid is comparatively costlier than the petrochemicals available in the market, especially now that the price of petroleum has taken a huge dip. The processing cost is much more than the petrochemicals. It is also due to the huge investment in setting up the plant and the comparatively less production due to less demand. However, the demand is increasing gradually and would increase at a faster pace in the coming 5-10 years.
“However, the high price of bio-based succinic acid is a major entry level barrier in the industry. Moreover, the variation in the prices also creates a risk in the succinic market due to which the investors may vary and hesitate to invest initially.
In Europe and Asia, gasification higher demand for bio-succinic acid is driving production at a larger scale. However, companies have faced various operational issues from the local government. Moreover, higher price of raw material and low infrastructure development is still a challenge for the companies.
“Growing market share and demand will be the major driving force for succinic and bio-succinic acid market.”
The industry demands for an eco friendly approach in this space. The current process though incurring less cost, however, are can be made more effective with adoption of new technologies. Chemical companies are required to attract investments from local governments to overcome the operation challenges in the adoption of the new technologies.