The global high purity lignin market is projected to witness commendable growth over 2022-2030, on account of the rising emphasis on sustainable packaging.
Efforts to implement green initiatives have been growing exponentially across various industry verticals, including packaging. Polymers such as polylactic acid (PLA) have the potential to create sustainable packaging systems. However, PLA is considered unsuitable for food storage applications that require a longer shelf life.
In keeping with this, several research studies have been conducted to overcome the limitations of PLA through the incorporation of lignin and other biopolymers. The shifting consumer focus toward sustainability is therefore expected to stimulate high-purity lignin production across the globe.
The high purity lignin industry is segregated in terms of product type, source, application, and regional landscape.
Based on the product type, the industry is divided into organosolv, kraft lignin, and others. The others segment, which includes soda lignin, is poised to depict a growth rate of over 6% through 2030. This is driven by favorable attributes of soda lignin including high molecular weight and the exploitation of non-woody biomass. This type of high-purity lignin chemical is also heavily condensed and devoid of native linkages, further contributing to industry progress from the segment.
In terms of source, the market is segmented into sugarcane bagasse, straw, softwood, hardwood, and others. The sugarcane bagasse segment was valued at over USD 3 million in 2021, due to the ability of this lignin cellulose biomass feedstock to be modified, making it suitable for varied industrial purposes. In addition, the abundance of sugarcane bagasse is expected to further add impetus to industry expansion over the estimated timeline.
With respect to the application spectrum, the industry is bifurcated into phenol, vanillin, binders & adhesives, activated carbon, carbon fiber, and others. The binders and adhesives segment is set to be valued at more than USD 8 million by 2030, on account of the bio-compatibility, high strength, and resistance to heat, chemicals, and water, among other favorable attributes demonstrated by lignin. The demand for adhesives based on non-fossil oil and gas resources is also likely to increase segment development.
From a regional perspective, the Latin America high purity lignin industry is set to register a revenue of more than USD 1 million by 2030. The growing meat consumption and the strong focus on animal health are anticipated to bolster the demand for high-purity lignin materials in animal feed applications in the region.
Meanwhile, the Asia Pacific region is also projected to emerge as a lucrative revenue pocket for the high purity lignin market over the forthcoming years. The regional market development is expedited by the increasing trend toward the utilization of bio-based products. The rising emphasis on reducing the adverse environmental effects of chemical-based products is also expected to escalate the usage of green lignin-based materials.