Phenoxyethanol Market - Global Industry Size and Trend Till 2027

Posted by Apeksha on June 28th, 2019

Phenoxyethanol is also known as glycol ether or phenol ether. In fragrances, perfumes, cleansers, and soaps, phenoxyethanol is used as stabilizer, preservative, or antibacterial in order to prevent products from losing their effectiveness or spoilage. Phenoxyethanol is used as a fixative for cosmetics, perfumes, and soaps. It is also used as preservative in cleaning & furnishing home care products, pharmaceutical products, ink, toner, and colorant products.

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Increasing demand for phenoxyethanol from personal care & cosmetics industry is expected to boost growth of the phenoxyethanol market over the forecast period. Phenoxyethanol is largely used as a fragrance component in cosmetics, home care, and personal care products (color cosmetics, wipes, skin and hair care products, detergents, and cleaners). It has aromatic properties that can optimize the scent of any skin product. For instance, according to Scientific Committee on Consumer Safety’s report ‘Opinion On Phenoxyethanol’ published by European Commission in 2016, the volume of 2-phenoxyethanol used as a fragrance ingredient in all finished consumer product categories is in the range of 100-1,000 metric tons annually, worldwide.

Phenoxyethanol is also added as a preservative in personal care products, in order to prevent bacterial attack and is used in aqueous cleaning and stain removing homecare products. Benefits offered by phenoxyethanol in home care, personal care, and cosmetics products are expected to increase demand for phenoxyethanol, thereby driving growth of the market.

However, adverse effects of phenoxyethanol on human health is expected to act as a major factor hindering growth of the market during the forecast period.

The global phenoxyethanol market was valued at US$ 159.0 Mn in 2018, and is expected to register a CAGR of 5.2% in terms of revenue over the forecast period, to reach US$ 248.8 Mn by 2027.

Among regions, Asia Pacific held dominant position in the global phenoxyethanol market with revenue share of 33.1% in 2018, and is projected to maintain its dominance over the forecast period. Phenoxyethanol is used as a preservative in various personal care products. Asia Pacific is expected to witness significant growth in the global phenoxyethanol market during the forecast period. This is owing to increasing disposable income in the region, which is expected to result in high expenditure on personal care and cosmetics products.

Among applications, the home & personal care segment accounted for the largest revenue share of 31.8% in the global phenoxyethanol market in 2018, and is expected to maintain its dominance over the forecast period. Phenoxyethanol is used in home and personal care products. Home and personal care industry is witnessing significant growth worldwide, which in turn is expected to propel growth of the phenoxyethanol market. For instance, according to annual report 2016 of Cosmetics Europe, the global cosmetics and personal care products industry accounted for US$ 295.05 Bn in 2016, of which Europe accounted for US$ 87.38 Bn, the U.S. for US$ 72.63 Bn, and China for US$ 46.53 Bn. Therefore, significant growth of the personal care products industry worldwide is expected to increase demand for phenoxyethanol.

Major players operating in the global phenoxyethanol market include, DowDuPont Inc., BASF SE, Clariant AG, Air Liquide Group (Schulke & Mayr), Ashland Global Holdings Inc., Lonza Group Ltd., Penta International Corporation, Galaxy Surfactants, and Akema Fine Chemicals.

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