Green and Bio-Solvents Market

Global Green and Bio-Solvents Market:

The global green and bio-solvents market size reached US$ 12.9 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 24.4 Billion by 2032, exhibiting a growth rate (CAGR) of 7.1% during 2024-2032. The increasing focus of key players on sustainable development and the rising usage of environment-friendly solvents are primarily driving the growth of the green and bio-based solvents market.

Global Green and Bio-Solvents Market Analysis:

• Major Market Drivers: The increasing usage of green and bio-based solvents for drug discovery is one of the key factors propelling the market growth. Moreover, these solvents are widely utilized in the agriculture industry, as they assist in reducing the costs of production, enhancing product quality, increasing yield, etc., thereby augmenting the green and bio-based solvents market share.
• Key Market Trends: The emerging applications of green and bio-based solvents for separating compounds from mixtures are one of the emerging trends in the market. Furthermore, extensive investments in R&D activities and numerous advancements in production technologies are also fueling the green and bio-based solvents market growth.
• Geographical Trends: According to the green and bio-solvents market research, North America accounted for the largest market share. The launch of government policies in the region to replace petroleum-based solvents is positively influencing the market in North America. Besides this, the elevating emphasis of manufacturers on improving production processes related to green and bio-based solvents will continue to drive the regional market in the coming years.
• Competitive Landscape: Some of the leading players in the global green and bio-solvents market include Archer Daniels Midland Company, BASF SE, Cargill, Incorporated, CREMER OLEO GmbH & Co. KG, Dow Inc., Elevance Renewable Sciences Inc., Florachem Corporation, Huntsman Corporation, LyondellBasell Industries N.V., and Vertec Biosolvents Inc., among many others.
• Challenges and Opportunities: The wide accessibility of green and bio-based solvents can be limited than conventional solvents, which, in turn, can be a challenge for sectors that need large quantities of solvents. However, extensive R&D activities to enhance green and bio-based solvents are expected to fuel the global market in the coming years.

Global Green and Bio-Solvents Market Trends:

Rising Environmental Concerns

The increasing adoption of agricultural sources to extract green solvents, including distilled glycerin, lactic acid, maize, bio-succinic acid, etc., is positively impacting the green and bio-solvents market outlook. Additionally, the growing demand for eco-friendly consumer products, including perfume, owing to the European Commission (EC) and Eco-product Certification Scheme (ECS), is driving the usage of green and bio-based solvents in their production. Apart from this, as the adoption of hazardous substances and solvents has negative impacts on the environment, producers are focusing on using green and bio-based solvents, as they generate lesser volatile organic compounds (VOCs) emissions than conventional petroleum-based solvents.

Stringent Government Regulations

The green and bio-solvents market demand is propelled by the rising emphasis of government bodies on using bio-based products. For example, according to a report released by the Organization for Economic Co-operation and Development (OECD), the German Environment Agency (UBA), Nature Conservation and Nuclear Safety (BMU), the Swiss Federal Office for the Environment (FOEN), the Swiss State Secretariat for Economic Affairs (SECO), and the German Federal Ministry for the Environment are all actively encouraging the adoption of bio-based goods in a wide array of sectors. This, in turn, will provide lucrative growth opportunities for green and bio-solvent market revenue in the foreseeable future.

Diverse Applications of Product

The development of bio-based or green adhesives and sealants that are produced by using ingredients, including vegetable oil, proteins, starch, etc., is augmenting the market growth. Furthermore, according to Anagha Engineers, the adhesives and sealant sector is helping other conventional businesses in their initial transition to sustainability. In line with this, the percentage of green and bio-based solvents employed in the pharmaceutical industry ranges from 80% to 90%. Besides this, recent research has focused on the use of bio-based chemicals manufactured from agricultural wastes as green solvents to introduce novel pharmaceutical ingredients as a renewable alternative to fossil chemicals. Such innovations related to the utilization of green solvents in the pharmaceutical industry are projected to bolster the green and bio-solvents market value over the forecasted period.

Green and Bio-Solvents Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global, regional, and country levels for 2024-2032. Our report has categorized the market based on type and application. 

Breakup by Type:

• Lactate Esters
• Methyl Soyate Solvents
• Bio-Alcohols, Bio-Diols and Bio-Glycols
• D-Limonene
• Others
   

Bio-alcohols, bio-diols and bio-glycols hold the majority of the total market share

The report has provided a detailed breakup and analysis of the market based on the type. This includes lactate esters, methyl soyate solvents, bio-alcohols, bio-diols and bio-glycols, d-limonene, and others. According to the report, bio-alcohols, bio-diols and bio-glycols accounted for the largest market share.

The widespread adoption of bio-based diols for adhesives and sealants, polyurethane coatings, elastomers, foam applications, etc., is catalyzing the market growth in the segmentation. Moreover, these greener alternatives are gaining popularity, on account of a 61% reduction in greenhouse gas emissions as compared to petroleum-based products. Besides this, the Pacific Northwest National Laboratory (PNNL) introduced the catalytic process for converting plant-based raw material to produce bio-based glycol. Consequently, these green and bio-based solvents find widespread applications across the globe.

Breakup by Application:

• Paints and Coatings
• Printing Inks
• Cleaning Products
• Adhesives and Sealants
• Others
   

Paints and coatings currently exhibit a clear dominance in the market

The report has provided a detailed breakup and analysis of the market based on the application. This includes paints and coatings, printing inks, cleaning products, adhesives and sealants, and others. According to the report, paints and coatings accounted for the largest market share.

The elevating usage of lactate ester solvents in the paints and coatings industry is augmenting the market growth in the segmentation. Moreover, the shifting preferences from solvents, including toluene, acetone, NMP, xylene, etc., towards ethyl lactate in the coatings industry are acting as significant growth-inducing factors. Besides this, the growing housing construction and the inflating income-levels of individuals in countries, such as Mexico, India, China, Brazil, etc., are escalating the demand for paints and coatings, which, in turn, will augment the green and bio-based solvents market over the forecasted period.

Breakup by Region:

• North America
  • United States
  • Canada
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

North America leads the market, accounting for the largest green and bio-solvents market share

The market research report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, North America accounted for the largest market share.

Favorable government regulations in the region and several investments in R&D activities are fueling the market growth in North America. Moreover, in countries, including Germany, there is an increasing demand for green and bio-based solvents, particularly in the automotive and cosmetics industry, which is catalyzing the North America green and bio-based solvents market.

Leading Key Players in the Green and Bio-Solvents Industry:

The market research report has provided a comprehensive analysis of the competitive landscape. Detailed profiles of all major companies have also been provided. Some of the key players in the market include:

• Archer Daniels Midland Company
• BASF SE
• Cargill, Incorporated
• CREMER OLEO GmbH & Co. KG
• Dow Inc.
• Elevance Renewable Sciences Inc.
• Florachem Corporation
• Huntsman Corporation
• LyondellBasell Industries N.V.
• Vertec Biosolvents Inc.
   

(Please note that this is only a partial list of the key players, and the complete list is provided in the report.)

Global Green and Bio-Solvents Market News:

• January 2024: Syensqo Ventures participated in the US$2.1 Million financing round for Bioeutectics, a start-up producing green solvents.
• April 2023: The University of York developed a new institute, called the Circa Renewable Chemistry Institute (CRCI), for the promotion of bio-based products.
• June 2023: Water Gremlin announced the Gremlin Green Program to increase solvent-free coating capabilities by 2025.

Green and Bio-Solvents Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the green and bio-solvents market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the global green and bio-solvents market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the green and bio-solvents industry and its attractiveness.
• The competitive landscape allows stakeholders to understand their competitive environment and provides insight into the current positions of key players in the market.