Global Nitrile Butadiene Rubber (NBR) latex market is anticipated to grow at a robust rate through 2032, owing to the surging product usage across industries such as healthcare, and food and beverages among others.
However, ongoing price fluctuations in crude oil industry are likely to hinder market growth. Despite the fact, the market is pegged for growth as many leading market players are increasingly focusing on expanding their manufacturing facilities overseas. In addition, facility expansion initiatives undertaken by companies operating in the sector are also expected to foster industry share.
To cite an instance, in August 2021, the British chemicals company, Synthomer plc announced that it is increasing its NBR (nitrile butadiene rubber) latex production capacity by approximately 40% by building a new manufacturing plant in Asia. The facility is expected to have a production capacity of 200 kilotons per annum (ktpa) of NBR latex. The project will cost around $159 million to $212 million and is expected to complete by 2024.
The overall NBR latex market landscape is segregated in terms of application, end-user, and region.
Based on application, the industry has been divided into gloves and others. The others segment is slated to record strong growth, fueled by an increasing demand for latex gloves from a number of end-use sectors such as food & beverages and healthcare among others. Use of gloves, particularly in the wake of the COVID-19 pandemic, has notably increased as a form of hygienic practice across such industry verticals.
With respect to end-user, the food segment is poised to grow at more than 9% CAGR from 2023 to 2032. Many packaged food firms mandate the use of latex gloves among line workers to ensure that the people responsible for handling the food products on factory floor are doing so in a hygienic manner. With consumption of packaged foods growing at a steady pace, the demand for NBR gloves is also likely to go up in the sector.
From a regional outlook, the North America nitrile butadiene rubber latex industry is projected to witness over 7% CAGR from 2023 to 2032, fueled by the surging healthcare spending in the region. Healthcare professionals frequently use latex gloves when interacting with patients, which makes healthcare institutions some of the leading users of the product.
Meanwhile, the Middle East & Africa NBR latex market is also likely to record significant revenue share. Increasing investments on healthcare services and infrastructure in the region is likely to shape the market scenario. Meanwhile, a budding personal and homecare industry is also anticipated to bolster product demand throughout the region.