The global benzyl alcohol industry size is expected to reach USD 87.1 Million in 2030 and register a revenue CAGR of 4% over the forecasted period. Rising demand for the chemical for skin medication and increasing adoption of benzyl alcohol in paints and coatings are key drivers expected to boost market revenue growth during the forecasted period. The increasing use of benzyl alcohol in polishes and inks is expected to bolster revenue growth of the benzyl alcohol market shortly.
Uses of Benzyl Alcohol
The chemical helps to eliminate the unpleasant odor from the products and gives a mild fragrance, which has aggravated its use in widespread applications. Benzyl alcohol is also used to improve the consistency and texture of the products, leading to rising demand for it. This is expected to drive the market's revenue growth in the coming days. Benzyl is also a degreasing agent for polyamide dyeing and bonding, increasing the demand for benzyl chloride. Additionally, increasing usage of benzyl alcohol in paints and coatings is also expected to boost the revenue growth of the market.
Key Benzyl Alcohol Market Trend
The increasing use of benzyl alcohol in personal care products will fuel the global benzyl alcohol market growth. Benzyl alcohol preserves beauty products and cosmetics such as sunscreens, shampoos, body lotions, soaps, and hair care solutions. It is derived from organic sources and is therefore in high demand. Growing focus on skin and hair has also boosted the demand for natural products. Increasing consciousness about the side effects of parabens and silicones is driving the need for benzyl alcohol in face creams, eye shadows, wrinkle-free creams, and other night creams. Such factors will increase the global benzyl alcohol market demand during the period mentioned above.
The key factors contributing to rising toluene prices are:
Toluene prices, a key raw material for manufacturing benzyl alcohol, are witnessing an upward trend.
1. The rising demand for downstream paints, adhesives, glues, etc.
2. The prolonged and ongoing Russia-Ukraine conflict has led to a rise in crude oil prices, which has subsequently affected the prices of benzyl alcohol and its derivatives.
3. Benzyl alcohol prices in Asia-Pacific are rising due to plants shut down in China, up-streaming crude prices, and Taiwan's CPC force majeure on benzyl alcohol cargoes.
4. The lockdown in China has resulted in a tight supply of the product in the regional market, pushing up benzyl alcohol prices even higher.
5. The EU and US ban on Russian oil has led to a tremendous increase in crude prices and feedstock benzene, affecting the toluene market in the EU and, in turn, benzyl alcohol prices. The situation will deteriorate further if the Russia-Ukraine conflict does not halt soon.
Competitive Landscape
The global market comprises various market players operating at global and regional levels. These key actors are adopting strategies such as license agreements, R&D investments, partnerships, collaborations, mergers and acquisitions, and joint ventures to increase robust footing in the market. This statistical study of the benzyl alcohol market encompasses business strategies deployed by the key vendors. The benzyl alcohol market is fragmented, and the vendors are deploying growth strategies such as deploying inorganic and organic growth strategies to stand firm in the market.
Conclusion:
The price of benzyl alcohol will continue to rise in the coming months due to increasing demand from downstream industries and a lack of a significant drop in petroleum prices.