Stearic Acid Market Analysis

The Global Stearic Acid Market is estimated to be USD 33.8 Bn in 2021 and is expected to reach USD 50.80 Bn by 2028, growing at a CAGR of 8.70%. Stearic acid is a colorless waxy substance that is also known as octadecanoic acid. It can be found in plant and animal fats and oils. Personal care, soaps and detergents, agrochemicals, food items, medicines, and textile sizing are all made with it. Because of its ability to lower surface tension, stearic acid is increasingly being used in the production of cosmetics, soaps, and detergents, which is driving up demand. The global stearic acid market is being driven by a growing personal care industry as a result of increased spending on cosmetics and skin and hair care products. The market is expanding due to the rising demand for various detergents for various types of clothing. The textile sector in India and China, as well as shifting fashion trends and consumer purchase decisions, are driving the rising demand for stearic acid. Stearic acid is gaining popularity due to rising consumer health concerns. Because of its increasing use as an emulsifying agent, solubilizing agent, and capsule lubricant in the pharmaceutical industry, the market is expected to rise. Because of its softening and dispersing capabilities, stearic acid is becoming more used in the automotive industry. Consumer demand is being boosted globally by the booming textile sector, which is fueled by increased aspirational purchasing and high per capita disposable income. Although the product is safe to use, some skin-sensitive people may be unable to tolerate the use of stearic acid in cosmetic goods, according to the Food and Drug Administration (FDA).

Key Players

Some of the key players in the global stearic acid market are Akzo Nobel N.V. (Netherlands), Wilmar International Ltd (Singapore), Croda International Plc (UK), Deeno Group (China), Emery Oleochemicals (Malaysia), Godrej Industries (India), Oleon (Belgium), Pacific Oleochemicals Sdn Bhd (Malaysia), Kaula Lumpur Kepong Berhad (Malaysia), kao Corporation (Japan), Cayman Chemical (U.S.), Procter and Gamble (U.S.).

November 2023: The company Godrej Industries Limited increased its stearic acid production capacity by expanding its facility in India to cater to both domestic and international markets more efficiently. To achieve this the company expanded its facility in India that produces stearic acid in November 2023. This will enhance the production capability of the manufacturing plant to address rising demand within India and abroad. Therefore, with the new technology integrated into it, it can improve efficiency and quality of production at a factory, which has been expanded recently.

Market Synopsis:

Stearic acid is also known as octadecanoic acid, is a colorless, waxy solid. It is found in the fats and oils of plants and animals. It is widely used in the production of personal care, soaps & detergents, agrochemicals, food products, pharmaceuticals, and textile sizing.

Increasing use of stearic acid in the manufacturing of cosmetics products and soaps & detergents due to its function of lowering the surface tension is fuelling the product demand. Growing personal care industry as a result of increased spending on the cosmetics and skin & hair care products is the major factor driving the global stearic acid market. Rising demand for different detergents for a variety of clothes is propelling the market growth. For instance, in 2017, Unilever introduced new laundry detergent under the brand name “Persil Powergems” for removing stains while maintaining the freshness of clothes. The product consumption in the food industry is increasing for the dietary supplement in food products. Rising health concerns among the consumers are impelling the growth of stearic acid. Growing pharmaceutical industry is augmenting the market growth due to its increasing use as an emulsifying agent, solubilizing agent, and capsule lubricant. Stearic acid use is rising in the automotive industry owing to its softener and dispersing properties. Burgeoning textile industry due to rising aspiration based purchasing and high per capita disposable income of the consumers is stimulating the product demand globally. Although, according to the Food and Drug Association (FDA), the product is safe to use, however, some skin sensitive people may not be able to tolerate the use of stearic acid in cosmetic products.

Global Stearic Acid Market Share, By End-Use Industry (%)

 

Source: MRFR analysis

Regional Analysis

Asia Pacific is the fastest growing market for stearic acid across the globe owing to the increasing demand for personal care products coupled with rising consumer disposable income. The use of stearic acid is rising in cosmetics as a result of increasing consciousness about personal appearance. Rising preference towards organic, herbal, and ayurvedic products is stimulating the product demand in India. For instance, the Indian beauty and personal care market rose by approximately 70% in the past five years. The product consumption in the healthcare industry is growing with respect to the rising health concern among the consumers. The demand for stearic acid is escalating from the textile industry in India and China coupled with changing fashion trends and purchasing decision of the consumers. The flourishing automotive industry is another significant user of the stearic acid market. Moreover, the surface chemistry plant established by Akzo Nobel N.V. in China for expanding the business in Asia Pacific is likely to bolster the market growth in this region.

North America and Europe are expected to grow at a staggering rate due to growing beauty and cosmetics industry together with rising skin-benefiting and beautifying aspects of new cosmetic products. Growing healthcare industry in these regions as a result of rising geriatric population and high per capita income is stimulating the product demand.

Latin America and the Middle East and Africa are likely to propel the market with increasing spending on the cosmetics products for personal grooming. Furthermore, steps taken by the government in Latin America to promote the innovation in ingredients and new technologies are expected to augment the market growth.

Recent Development

August 2022: KLK Oleo changed her Malaysian plant by adopting modern technologies to improve efficiency and product qualities​.

March 2022: For Wilmar International Ltd., its oleochemical sector showed significant progress due to an increased demand for eco-friendly products, including stearyl acid.

January 2021: Another announcement was made by Wilmar International Ltd regarding the expansion of its Indonesian oleochemical production sites so as to meet world demands for stearic acid, among other oleochemicals. This will further enhance the position of this business entity in terms of market share and improving supply chain systems.

July 2020: Godrej Industries Limited released a range of skin care products containing high amounts of steric acid for sale based on their cleansing properties.

May 2020: In May, KLK Oleo, which is a subsidiary of Kuala Lumpur Kepong Berhad, announced about strategic cooperation with a European chemical firm aimed at boosting capacities in terms of study work related to derivative forms arising from Stearic Acid derivatives.

Intended Audience

• Stearic acid manufacturers


• Traders and distributors of stearic acid


• Research and development institutes


• Potential investors


• Raw material suppliers


• Nationalized laboratory