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Esterquats Market to Reach a valuation of US$ 1,135.3 Mn by the end of 2026

Esterquats Market to Reach a valuation of US$ 1,135.3 Mn by the end

The global personal care and cosmetics market has been witnessing exponential growth since the past few years and is one of the key growth drivers of the global esterquats market. There is a shift in consumer preferences towards natural and organic cosmetics and manufacturers are launching ‘clean label’ cosmetic products incorporating plant based ingredients to meet the specific needs of their customers. Manufacturers are modifying their cosmetic formulations using natural alternatives to surfactants such as derivatives from palm oil and coconut oil – also known as green surfactants. Further, growing inconsistencies in the prices of oil at the global level are pushing manufacturers to incorporate oleo chemical alternatives such as coconut and palm oil.

Rising Demand for Bio-based, Eco-Friendly Alternatives Key Opportunity Area in the Global Esterquats Market

The use of certain types of conventional solvents causes emissions of volatile organic compounds into the environment, leading to critical hazards to human health. This has resulted in a steady rise in the demand for and consumption of bio-based chemicals that are both environmentally friendly and safe for human health. Green solvents and surfactants are being widely adopted across industries, providing immense growth opportunities for manufacturers of esterquats.

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The feedstock used to produce esterquats is vegetable based palm oil or tallow – both of which are natural sources. Also, esterquats are famous for their high biodegradable properties and are eco-friendly in nature. Capable of being easily hydrolyzed, esterquats are mostly preferred as cationic surfactants in various applications such as hair conditioners and fabric softeners. This growing demand for bio-based chemicals and surfactants especially in developed regions of the globe is expected to create lucrative opportunities for manufacturers in the global esterquats market.

In a recent report published by Persistence Market Research, the global esterquats market is projected to reach a valuation of US$ 1,135.3 Mn by the end of 2026, up from an estimated US$ 903.1 Mn in 2018, reflecting a growth rate of 2.9% during the eight year period 2018 – 2026.

Proliferating Demand for Surfactants and Burgeoning Personal Care Products Market to Drive Sales of Esterquats

Consumers the world over are being presented with advanced products incorporating automation. One such area is laundry operations where consumers have long shifted from traditional hand washing techniques to automatic washing machines. The demand for laundry products such as detergents and fabric softeners has peaked as a result. Esterquats are the primary raw material (surfactant) used in fabric softeners. An escalating demand for fabric softeners across the world is anticipated to drive revenue in the global esterquats market in the coming years.

There has been a steady rise in demand for surfactants across several key applications such as institutional and industrial cleaning products, home care products, and personal care products. The oil and gas industry is also one of the major consumers of surfactants. This growth in the surfactants market will have a direct and positive impact on the growth of the market for esterquats. Demand for esterquats is further anticipated to be augmented by the growing adoption of fatty acids across several end-use applications.

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Fluctuating Prices of Raw Materials to Restrict Revenue Growth in the Global Esterquats Market

The global market for esterquats is led by TEA-quat, which requires the raw materials mono-triethanolamine, di-triethanolamine, and fatty acids derived from tallow or vegetables. Typically, the feedstock for ethanolamine production is crude oil, and the prices of oil have witnessed severe volatility in the last few years. There have also been price fluctuations in vegetable oil and tallow based fatty acids owing to factors such as availability of raw materials and other external environmental aspects. Uncertainty in the pricing structure of raw materials used to produce esterquats is expected to have a negative impact on revenue growth of the global esterquats market in the near future.

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