Press release
South Africa Extra Neutral Alcohol Market: Growth and Industry Revenue By Top Key Players Illovo Sugar (Pty) Ltd., NCP Alcohols (Pty) Ltd., USA Distillers, Agro Chemical and Food Company Limited (ACFC), Sasol Solvents & Others
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Recent developments in the sugar industries and increase in the usage of extra neutral alcohol across various industries such as pharmaceutical, cosmetic & personal care industries for various applications have increased the growth of the extra neutral market in African countries. Many developing countries in Southern Africa possess the potential to produce ENA with benefits extending into the social and economic spheres. Rapid urbanization and improvement in financial condition have fueled the demand for different and modern alcoholic beverages such as sparkling wine, vodka, whisky, gin, and others in the developed economies such as Europe and North America. Moreover, high standard of living, rise in disposable income, and western influence have fueled the demand for more sophisticated, moderated, and premium beverages among young generation in the emerging countries such as India & China. According to the United Nations, the global youth population is estimated to rise by 7% to 1.3 billion before 2030, which is anticipated to drive the alcoholic beverages market. This in turn supports the growth of the South Africa extra neutral alcohol industry.
Extra neutral alcohol (ENA), also known as absolute alcohol, is a food grade alcohol, which is colorless and has a neutral smell and taste. It is largely produced using grain and molasses as the raw materials. ENA plants are usually based on the principles of multi-pressure-cascading techniques, and the process control is done by digital distributed control system. Extra neutral alcohol is used in the production of potable alcohols. In addition, it finds a wide range of applications in cosmetics and pharmaceuticals industries. In the pharmaceutical industry, extra neutral alcohol is a prime carrier for a whole spectrum of medicines, and is therefore used for processing a wide range of drugs. In the flavors and fragrance industry, dilute ethanol is used to produce distilled vinegar, flavor extracts, and concentrates for soft drinks and food products.
The growth of the extra neutral alcohol market is expected to be driven by increase in consumption of alcoholic beverages during the forecast period. Improved standard of living of consumers and increase in their disposable incomes are expected to boost the demand for premium alcohols, which in turn is anticipated to fuel the growth of the extra neutral alcohol market in future. Implementation of stringent regulations on alcohol use, owing to rise in alcohol abuse in South Africa is anticipated to hamper the growth of the extra neutral alcohol industry in this region. However, the development of first- or second-generation biofuels from ethanol is projected to create new opportunities for the market players.
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The key players operating in the extra neutral alcohol market include Illovo Sugar (Pty) Ltd., NCP Alcohols (Pty) Ltd., USA Distillers, Agro Chemical and Food Company Limited (ACFC), Sasol Solvents, Mumias Sugar Company, Tag Solvent Products (Pty) Ltd., Swift Chemicals (Pty) Ltd., Enterprise Ethanol, and Greenpoint Alcohols (Pty) Ltd. These players have adopted the strategy of having multiple manufacturing units across various countries, thus, leading to easy distribution of extra neutral alcohol.
Table Of Content
Chapter: 1: INTRODUCTION
1.1. REPORT DESCRIPTION
1.2. KEY MARKET BENEFITS FOR STAKEHOLDERS
1.3. KEY MARKET SEGMENTS
1.4. RESEARCH METHODOLOGY
1.4.1. Secondary research
1.4.2. Primary research
1.4.3. Analyst tools and models
Chapter: 2: EXECUTIVE SUMMARY
2.1. Market snapshot
2.2. CXO perspective
Chapter: 3: MARKET OVERVIEW
3.1. Introduction
3.2. KEY FINDINGS
3.2.1. Top impacting factors
3.2.2. Top investment pockets
3.3. MARKET DYNAMICS
3.3.1. Drivers
3.3.1.1. High production potential of sugarcane and its by-product
3.3.1.2. Wide applications of extra neutral alcohol
3.3.1.3. Increase in consumption of alcoholic beverages
3.3.2. Restraint
3.3.2.1. Taxations, higher excise duties, and regulations imposed on ethanol
3.3.3. Opportunity
3.3.3.1. Potential bioenergy and biomass energy of ethanol
3.4. Porter’s five forces model
3.4.1. Bargaining power of suppliers
3.4.2. Bargaining power of buyers
3.4.3. Threat of substitution
3.4.4. Threat of new entrants
3.4.5. Competitive rivalry
3.5. Manufacturing process analysis
3.6. Value chain analysis
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