Salicylic Acid Market size is forecast to reach $888.32 million by 2025, after growing at a CAGR of 6.5% during 2020-2025. The increasing use of salicylic acid and its by-products in the food and beverage industry and in skincare products is expected to turn into increased market demand to avoid spoilage and fermentation.
Salicylic acid (from Latin salix, willow tree) is a lipophilic monohydroxybenzoic acid, a type of phenolic acid, and a beta hydroxy acid (BHA). This colorless crystalline organic acid is widely used in organic synthesis and functions as a plant hormone. Salicylic acid is administered in the form of aspirin which is less irritating to the stomach than salicylic acid. To prepare aspirin, salicylic acid is reacted with an excess of acetic anhydride. A small amount of a strong acid is used as a catalyst which speeds up the reaction.
Report Coverage
The report: “Salicylic Acid Market – Forecast (2020-2025)”, by IndustryARC, covers an in-depth analysis of the following segments of the Salicylic Acid Industry.
Key Takeaways
North America dominates the Salicylic Acid market owing to the cosmetic industry as it is one of the key ingredient to have anti-inflammatory and antimicrobial properties.
Salicylic acid is widely used in the treatment of many common dermatological conditions because of its keratoplastic properties.
Furthermore, growing use of salicylic acid as preservatives to extend the shelf-life of products such as sauces, beer, and wine is expected to augment the demand for salicylic acid products.
The increasing use of byproducts of salicylic acid is expected to drive the market growth over the forecast period.
Application – Segment Analysis
Cosmetic Industry accounts for the highest market share in the global market and is expected to grow with the CAGR of 5.5% over the forecast period from 2020 to 2025. Salicylic acid used as preservative up to 0.5 % in cosmetic products. At a level up to 1 % in leave-on hair products and up to 2 % salicylic acid is used in leave-on cosmetics products for its exfoliating and cleansing properties and in rinse-off products. The global cosmetics market continued to grow steadily, spurred on by consumer demand and rapid innovation. In 2018, 5.5 percent of growth was registered in cosmetics market globally. With North America being the largest consumer globally. The growth in cosmetics consumption will propel the market of salicylic acid as it is one of the key ingredients for cosmetics.
Geography – Segment Analysis
North America dominated the Salicylic Acid market with a share of more than 38%, followed by Europe and Asia Pacific. According to L’Oréal S.A, 25% of global market share in cosmetics were from North America followed by Asia Pacific with 39%, Western Europe with 18%, Latin America with 9%, Eastern Europe with 6%, Africa and Middle East with 3% in 2018. Skincare was the leading category, accounting for about 36 percent of the global market. Hair care products made up a further 23 percent, while make-up accounted for 18.2 percent in 2018. Salicylic acid used as a cosmetic ingredient has been one of the driving factor for its market.
Drivers – Salicylic Acid Market
· Surging Demand in its End Use Application
The salicylic acid market has a growing potential over the forecast period owing to rise in health awareness among consumers globally. Whereas upsurge in the demand for skin and hair care products globally has positively impact the salicylic acid industry. It is also utilized in the pharmaceutical industry as a byproduct such as 4-aminosalicylic acid sulpiride, and landetimide.
Challenges – Salicylic Acid Market
· Regulations can hamper the Salicylic acid market
The growing awareness of the harmful effects of improper use of the compound has led regulatory bodies such as the Food and Drug Administration (FDA) to enforce strict regulatory guidelines on the overall allowable limit for salicylic acid in various products, thus restricting their development over next few years.
Market Landscape
Technology launches, acquisitions and R&D activities are key strategies adopted by players in the Salicylic Acid market. In 2019, the market of Salicylic Acid has been consolidated by the top five players accounting for xx% of the share. Major players in the Salicylic Acid Market are Zhenjiang Gaopeng Pharmaceutical Co., Ltd, Hebei Jingye Group, Simco QC, Shandong Xinhua Longxin Chemical Co. Ltd., and Siddharth Carbochem Products Ltd, among others.
Acquisitions/Technology Launches
In September 2018, Eminence Organic Skin Care launched Acne Advanced skin care product which utilize encapsulated salicylic acid and botanical actives to offer a proven organic, non-irritating approach to treat and prevent moderate and severe acne.