Strategic Analysis of Coco Betaine Market

Cocamidopropyl betaine (CAPB) or coco betaine made from coconut oil is a derivative of cocamide and glycine betaine. Coco betaine is a mild co-surfactant that is compatible with anionic, non-ionic, and cationic surfactants. It is an efficient cleanser and foam booster. It acts as a viscosity enhancer, a conditioning & anti-static agent, and a moderate emulsifier. Coco betaine finds applications predominantly in cosmetic products such as body washes, shampoos, bubble baths, cleansing lotions, creams, hand soaps, baby products, hair conditioners, and cream rinses.

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Coco betaine is considered a low to moderate hazardous product. Skin and eye irritations have been reported in certain cases; however, coco betaine is generally a harmless product for external use. The introduction of coco betaine provided manufacturers and formulators with a way to improve the mildness of their surfactant formulations over traditional sulfate systems. Coco betaine is generally regarded as a mild and safe ingredient. Hence, it is increasingly replacing cocamide DEA in cosmetic formulations. Coco betaine is considered skin-friendly and earth friendly as it is derived from coconuts.

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Presently, coco betaine is widely used in cosmetics across the world. EOC Group, Kao Corporation, Stepan Company, Evonik Industries AG, L'Oréal USA, ECHO CHEM SDN. BHD., Huntsman Corporation, and Miwon Commercial Co., Ltd. are the prominent players in the coco betaine market. The supply chain for the coco betaine market is well established, and hence the product is distributed globally through established traders.

The coco betaine market is driven by features such as good foaming and foam liquid stabilization properties, excellent wetting properties, ability to increase cleansing capability of non-ionic surfactants, and low impact on environment. Its reaction as an allergen to certain sensitive skin types acts as a restraint of the coco betaine market. Presence of certain impurities that induce allergic reactions may also hinder market growth.

The introduction of cocamidopropyl hydroxysultaines by companies such as Rhodia (Solvay) poses a threat of substitution to coco betaines. Cocamidopropyl hydroxysultaines are more active biodegradable surfactants that are self-preserved. These also claim superior foam quality and quantity over coco betaines, especially in the presence of soil and hard water. The coco betaines market is likely to witness a moderate growth rate from 2015 to 2023 due to the drivers and restraints mentioned above.

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