Mining Flotation Chemicals Market to Grow at a CAGR of 4.7% Till 2020
Chemicals used for processing ores into minerals are called mining flotation chemicals, which are broadly classified into collectors, frothers, dispersants, activators, depressants and flocculants. Growth in manufacturing and construction industry, coupled with technological advancements in mineral processing and rising demand for purest forms of minerals reshaped the dynamics of global mining flotation chemicals market.
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Market Drivers and Restraints
Limiting mineral deposits and deteriorating quality of ores has been one of the key factors catalysing the demand for mining flotation chemicals across the globe. Ageing mineral deposits has resulted into decreased grade of mineral ores, as a result mining flotation chemicals are required to extract optimum volume and quality of minerals.
Demand for minerals has also strengthened as a result of large scale urbanization and increasing construction activities. Minerals are used as raw materials in production of various products such as steel, wires, frames, etc., and mining floatation chemicals play an important role in production of these minerals. Thus, anticipated growth in construction activities and rapid urbanization worldwide are expected to create substantial opportunity for mining flotation chemical producers.
The global mining flotation chemicals market is projected to reflect positive growth over the forecast period. However, certain issues need to be addressed, which are adversely affecting profitability margin of involved players. Logistics and transportation costs of mining flotation chemicals is one such concern producers of mining flotation chemicals have encountered for a long period. Transpiration and logistics contributes to approximately 20% cost of the final product. Import duties on reagents used in production of mining flotation chemicals have also surged up in countries where mining flotation chemicals are concentrated. Such reagents are important in mining flotation chemical production, as they add to quality of extracted ores.
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New policies and changing regulatory landscape also influences the business. Various countries across the globe have legislations, which ensure minimal environmental impact due to production activities, as a result of which companies are opting for environment-friendly practices and are minimising usage of chemicals in mineral processing. Such legislations are especially stringent in North America and Europe. Key consuming countries of mining flotation chemicals in Asia Pacific, Latin America and Middle East and Africa are yet to formulate such legislations.
In this report, the global mining flotation chemicals market has been broadly segmented on the basis of ore type, chemical type and geography. Each segment is further analysed at sub-segment level, wherein, by ore type - market statistics for sulphide and non-sulphide ore has been included, by chemical type - market statistics for collectors, frothers, dispersants, activators, depressants, flocculants and other ore types has been provided. On the basis of geography, the market data has been presented for North America, Latin America, Western Europe, Eastern Europe, Japan, Middle East & Africa and Asia Pacific Excluding Japan.
Demand for mining flotation chemical was 50% higher for processing sulphide ores when compared to non-sulphide ores. In 2014, slightly less than 70% of total mining flotation chemical consumption was for sulphide ores and an increase of 1% is anticipated over by 2020. Around 95% of all sulphide ore containing precious metals and non-ferrous are processed using mining flotation chemicals.
In terms of type of chemicals, collectors represented widely consumed mining flotation chemicals accounting for 27% of the global mining flotation chemical value in 2014. Collectors are followed by frothers, dispersants and activators. Among all collectors available for mineral processing, Xanthates was reported to be most preferred type of collectors for mineral processing.
Some of the leading chemical companies analysed and profiled in this report are Cytec Industries Inc, Kemira Oyj, Huntsman corporation, Clariant, and BASF apart from other players such as Air Products & Chemicals Inc., Chevron Philips Chemical Company LLC, Cheminova A/S, Nasaco International LLC and Beijing Hengju Chemical Industry Co. Ltd.
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