The global wood vinegar market is expected to grow with the CAGR of approximately 7.4% during the forecast period (2016-2023). The major factors responsible for the growth of wood vinegar market are increasing adoption of organic farming, increasing application across various sectors such as agriculture, pharmacy etc. and growth in animal feed industry. The global wood vinegar market has a prime effect on agriculture sector. For example: A bio-based agricultural input as it supports to increase the quality, yield and level of nutritioninthe crops produced, which has led to its significant demand across the globe. Moreover, increasing demand for food products that are safe for consumption, especially in developed countries are restricting the demand for crop protection chemicals and enables the demand for wood vinegar in agriculture sector. Furthermore, stringent regulations on crop protection chemicals are further boosting the demand of wood vinegar market. However, increasing health consciousness among people and increasing government support for organic food products that are produced with the use of organic agricultural inputs and organic agricultural practices has led to the rise in usage of wood vinegar in agriculture. However, the harmful effects of wood vinegar are acting as a major restraint for the market.
Based on geography, Asia Pacific held major share, in terms of revenue of the global wood vinegar market in 2015. The reason for the dominance of the region is availability of renewable energy feedstock as well as increasing government support to renewable energy sources in the region. However, Europe & North America also expected to witness potential growth in the forecast period due to stringent regulations on crop protection chemicals in the region. The presence of major players such as being ACE (Singapore) Pte Ltd (Singapore), Canada Renewable Bioenergy Corporation (Canada), Nettenergy B.V. (Netherland), New Life Agro (U.S.), Tagrow Co., Ltd (China), Pyro Tech Energy Pty Ltd (Australia), Verdilife LLC (U.S.) etc. are creating opportunity for high innovations which will support to increase application areas and increase effectiveness.
The global wood vinegar market is segmented on the basis of application and pyrolysis method. According to application segment, the market is categorized intopharmacy, consumer products, agriculture, food and others (waste water treatment and acetic acid). Based on pyrolysis method, the market is classified into slow pyrolysis, fast pyrolysis and intermediate pyrolysis. Slow pyrolysis methodoccupied major share in 2015 due to its advantages related to yield and quality of wood vinegar created.