Biocides Market Forecast: UK £10.2 Billion by 2032 Driven by Stricter Regulations and Growing Demand
The global biocides market is set to experience significant growth, with the market value projected to reach UK £10.2 billion by 2032, according to a new report by SNS Insider Research. This represents a compound annual growth rate (CAGR) of 4.3% over the forecast period of 2024-2032.
This robust growth is being fuelled by a combination of factors, including increasingly stringent regulations and rising demand across various industries. The European Commission's recent regulations, effective June 2024, have introduced stricter compliance requirements for biocide producers, forcing businesses to adapt and meet higher standards. The Global Product Compliance Group, in May 2023, also highlighted the importance of adhering to evolving regulations in this sector.
The Asia-Pacific region is experiencing exponential growth in industries such as food processing and agriculture, contributing to the biocides market expansion. This growth is closely linked to increased awareness of food safety and the need for effective pest and pathogen control. Furthermore, advancements in biocide technology are encouraging companies to invest in more efficient and environmentally friendly solutions, further propelling market growth.
Other industries witnessing strong demand for biocides include healthcare and construction, with antimicrobial coatings gaining popularity. The COVID-19 pandemic amplified the need for hygiene, leading to increased biocide consumption in disinfectants and sanitizers, particularly in healthcare settings. Meanwhile, water treatment, the dominant segment, continues to experience sustained growth driven by the increasing need to prevent microbial contamination in water systems due to urbanisation and industrialisation in developing economies. Leading companies such as Ecolab and Solvay are at the forefront of this trend, introducing advanced biocide formulations tailored for these vital applications.
Market Segmentation and Key Findings
The report delves into various market segments, including:
By Grade: Food Grade, Pharmaceutical Grade, Industrial/ Technical Grade
By Product Type: Halogen Compounds, Organo-sulfur, Metallic Compounds, Quaternary Ammonium Compounds, Nitrogen, Organic acids, Phenolic, Others
By End-Use: Water Treatment, Personal care, Wood Preservation, Food & Beverage, Oil & Gas, Agrochemicals, Pulp and Paper, Boilers, Cleaning Products, Paints and coatings, Others
The report reveals that in 2023, the halogen compounds segment dominated the biocides market, accounting for approximately 30% market share. This dominance can be attributed to the widespread use of chlorine and bromine-based biocides in water treatment, agricultural, and industrial applications.
Regulation and Key Players
The biocides market operates under a stringent regulatory framework to ensure safe and effective product usage. The Biocidal Products Regulation 528/2012 in Europe establishes a comprehensive system for approving and marketing biocidal products, requiring manufacturers to register their products and provide efficacy data while adhering to rigorous safety standards. In the United States, the Environmental Protection Agency oversees biocide regulation through the Federal Insecticide, Fungicide, and Rodenticide Act, requiring registration and specific labelling requirements.
Key players in the global biocides market include:
BASF SE
Solvay SA
Chemtreat Inc.
Veolia Group
Lanxess AG
Lubrizol
Troy Corp.
Shanghai Zhongxin Yuxiang Chemicals Co. Ltd.
Hubei Jinghong Chemicals Co. Ltd.
Wuxi Honor Shine Chemical Co. Ltd.
Finoric LLC
Recent Developments and Regional Analysis
Recent developments in the market include:
March 2024: UNIVAR SOLUTIONS LLC signed a distribution agreement with Arxada for biocides and preservatives, expanding its product offerings to the Brazilian industrial markets.
March 2023: KRAHN Chemie expanded its cooperation with LANXESS following the acquisition of a biocides business, broadening its product range and market presence in Germany, Austria, Belgium, and the Netherlands.
The Asia-Pacific region dominated the biocides market in 2023, holding an estimated 40% market share. This dominance can be attributed to rapid industrialisation and urbanisation, coupled with an expanding population, driving demand for biocides across various industries. Key contributors include China, India, and Japan, with significant investments in water treatment infrastructure and strict regulations regarding hygiene and sanitation.
Key Takeaways and Future Trends
The report concludes with several key takeaways:
Water treatment is the largest end-user of biocides, anticipated to hold around 35% market share by 2024 due to the significant need for effective microbial control.
Asia-Pacific dominates the market with a substantial 40% share, driven by growing industrialisation and increasingly stringent hygiene standards.
Companies are increasingly focusing on sustainable and green biocides, contributing to global efforts to reduce environmental impact.
Smart biocides and green chemistry are expected to dominate future market development.
The report provides a comprehensive analysis of the biocides market, offering valuable insights for industry players, investors, and policymakers looking to navigate this dynamic and growing sector.
