The global lactic acid market size is poised to reach USD 8.77 billion by 2025, according to a new report by Grand View Research, Inc., rising at a CAGR of 18.7% during the forecast period. Surging utilization of cosmetics & personal care goods owing to development of sophisticated products coupled with increased focus on formulation enhancement for targeted consumer groups is likely to propel the market during the forecast period.
Lactic acid is used to produce implants, dialysis solution, pills, controlled drug release systems, and surgical sutures in the pharmaceutical industry. The product is also used for manufacturing cosmetics and hygiene products in the personal & oral care industry owing to its rejuvenating, antimicrobial, and moisturizing properties. Some of the latest applications of lactic acid are production of biocompatible & biodegradable PLA polymers, oxygenated chemicals, and solvents.
In the food industry, the product is used as a pH regulator, an inhibitor of residual bacteria, and flavoring agent in processing of various products including sweets, soft drinks, bread, and beer. Lactic acid is not only a significant ingredient in fermented foods such as yogurt, canned vegetables, and butter, but also utilized as an acidulant & preservative in pickled vegetables and olives.
Increasing consumption of pharmaceutical grade creams and other medicines among consumers is expected to augment the lactic acid market over the coming years. Moreover, the pharmaceutical industry acts as a key asset to the European economy as it is one of the region’s top performing, high technology sectors. Therefore, the growth of the industry in Europe is estimated to fuel the demand for lactic acid during the forecast period.
Further key findings from the report suggest:
- In terms of revenue, the sugarcane segment is anticipated to expand at a CAGR of 18.4% during the forecast period
- On the basis of application, the polylactic acid (PLA) segment dominated the lactic acid market, with a revenue share of over 27.9% in 2018
- Demand for lactic acid in the personal care segment is projected to witness a CAGR of 16.4% during the forecast period owing to growing demand for skin care products among consumers
- The Germany lactic acid market (in terms of volume of lactic acid produced) is anticipated to exceed 151.6 kilo tons by 2025
- Incorporation of biodegradable plastic packaging materials by various manufacturers including Plastipak and DSM will drive the demand for PLA, which in turn will bolster the growth of the lactic acid market.
- Easy access to healthcare services, increasing rate of diseases, and growing elderly population are poised to foster the market in the U.K.
- Major industry players aim to achieve optimum market growth and strengthen their presence through various market expansion strategies such as new product development, joint ventures, and acquisitions
- Some of the key companies present in the industry are Futerro, Galactic, Henan Jindan Lactic Acid Technology Co., Ltd., Corbion, Thyssenkrupp AG, Musashino Chemical (China) Co., Ltd., and Vaishnavi Bio-Tech Ltd.