Global Fatty Acid Methyl Ester Market Size Analysis
According to a research survey conducted by ChemView Consulting, in 2022, the Global Fatty Acid Methyl Ester Market was worth US$ 16,422.3 Mn and is expected to grow at a CAGR of 5.3% over the forecast period. While the historical CAGR is 4.5%, the market is expected to hit US$ 27,524.4 Mn by 2032 end.
Transesterifying lipids with methanol produces FAME (fatty acid methyl ester), a type of fatty acid. FAME is the main component of biodiesel and is produced by transesterifying vegetable oils. FAME, used in the production of biodiesel and detergents, is produced by an alkali-catalyzed reaction between methanol and lipids when base chemicals like sodium methoxide, potassium hydroxide, or sodium hydroxide are present.
GROWING DEMAND FOR FATTY ACID METHYL ESTER FUELS THE MARKET
One of the key elements anticipated to propel the expansion of the worldwide fatty acid ester business is the low toxicity of fatty acid esters and the shift in end customers’ preferences toward biodiesel over conventional diesel. Because fatty acids are inexpensive and biodegradable, the gradual transition of the automotive industry to green mobility is anticipated to accelerate this expansion.
THE HIGH COST OF FATTY ACID ESTER RESTRAINS THE MARKET
The high price of raw materials and fatty acid esters, however, are anticipated to limit the growth of this industry shortly. The market for fatty acid esters may be hampered by the high processing costs of fatty acid esters and the fact that emerging nations like those in the Asia Pacific and the Middle East and Africa are not yet completely ready to use the high-cost technologies.
Market Segments Covered in Report
- Rapeseed methyl ester
- Soy methyl ester
- Palm oil methyl ester
- Metal Working Fluids
- Food & Agriculture
- Animal Fats
- Vegetable Oil
- Sunflower Oil
- Palm Oil
- Soybean Oil
- Coconut Oil
By Region and Country:
- North America (U.S., Canada)
- Latin America (Brazil, Mexico, Rest of Latin America)
- Europe (Germany, Italy, France, UK, Spain, Netherlands, Norway, Russia, Rest of Europe)
- Asia-Pacific (China, Japan, South Korea, India, Indonesia, Thailand, Vietnam, Australia & New Zealand, Rest of Asia-Pacific)
- Middle East (Saudi Arabia, Turkey, UAE, Rest of Middle East)
- Africa (South Africa, Nigeria, Egypt, Rest of Africa)
Why does the rapeseed methyl ester segment hold the largest share?
The rapeseed methyl ester segment dominated the market for fatty acid methyl ester. Rapeseed is increasingly employed as the main raw material for the production of oil methyl ester because it has a higher oil content (30–37%) than other types of raw materials.
Rapeseed oil biodiesel has a high cetane number, which allows for complete combustion and reduces emissions. Weather and low profitability are anticipated to impact rapeseed planting and oil methyl ester production. Most injection pump diesel engines can be utilized in pure form or combined with petroleum diesel at any concentration.
Why Fatty acid methyl ester is the most preferred alternative to conventional mineral-based products?
The most favored substitute for traditional mineral-based products in lubricants and coatings is fatty acid methyl ester. Its exceptional qualities include high lubricity, great inorganic solvent solubility, high boiling temperatures, non-toxicity, and biodegradability.
The regions analyzed for the market include North America, Europe, Latin America, Asia Pacific, the Middle East, and Africa.
- With a market share of 56.7%, the Asia-Pacific fatty acid methyl ester market is anticipated to experience rapid growth throughout the forecast period due to growing environmental awareness regarding the need to reduce greenhouse gas emissions and rising government support through the provision of tax breaks and rebates to promote the use of biodiesel in the region. Despite being in its infancy, the market in the area has enormous growth potential, particularly in China, Japan, India, and South Korea.
- Over the projection period, North America is anticipated to increase significantly, primarily due to the strong demand for the U.S. end-use industries. Purchasing personal care items is expected to boost regional fatty acid methyl ester market expansion.
Presence of several companies with no major market share, the fatty acid methyl ester market is fragmented.
The key developments in the Global Fatty Acid Methyl EsterMarket are:
- In March 2020, the performance chemicals factory of the specialty chemicals firm Matangi Industries LLP, which also produces fatty acid esters, will be expanding. After growth, the company’s production capacity increased to 14,400 tonnes annually.
A list of some of the key suppliers present in the market are:
- Acme Synthetic Chemicals
- ADM (Archer Daniels Midland Company)
- Berg + Schmidt GmbH & Co. KG
- Cargill, Incorporated
- Chemrez Technologies, Inc.
- CREMER OLEO GmbH & Co. KG
- Elevance Renewable Sciences, Inc.
- Emery Oleochemicals
- Godrej Industries Limited
- JNJ Oil Industries, Inc.
- KLK OLEO
- Krishi Oil Limited
- Mohini Organics Pvt. Ltd.
- P&G Chemicals
- Renewable Energy Group, Inc.
- Stepan Company
- Univar Solutions Inc.
- Vertec BioSolvents Inc.
- Victorian Chemical Company Pty Ltd.
- Wilmar International Ltd.
Global Fatty Acid Methyl Ester Market 2022-2032: Report Coverage and Highlights
- Assessment of the historical and current market size (2017-2021), market projections (2022-2032), and its contribution to the parent market
- Key drivers, restraints, opportunities, and key emerging trends impacting market growth
- Predictions on critical supply, demand, and technological trends and changes in consumer behavior
- Value chain analysis (list of manufacturers, distributors, end-users, average profitability margins, etc.)
- Segment-wise, country-wise, and region-wise market analysis
- Competition mapping, market share analysis, key strategies adopted by top players, and competitive tactical intelligence
- Key product innovations and regulatory framework
- Covid-19 impact on the market and how to navigate
- Strategic market analysis and recommendations on crucial winning strategies
|Historical data available for
||USD Million for Value and Tons for Volume, and CAGR from 2022 to 2030
|Key regions covered
||North America, Latin America, Europe, Asia-Pacific, Middle East, and Africa
|Key countries covered
||US, Canada, Brazil, Mexico, Germany, Italy, France, UK, Spain, Netherlands, Norway, Russia, China, Japan, South Korea, India, Indonesia, Thailand, Vietnam, Australia & New Zealand, Saudi Arabia, Turkey, UAE, South Africa, Nigeria, Egypt
|Key segments covered
||By Type, Application, Source, and Region
||Available upon Request
|Pricing and purchase options
||Available upon Request
- Report Includes
Market Size Data
- Global market size data, historical (2018 to 2022) and forecast (2023 to 2033), by each segment and region
- Regional level market size data, historical (2018 to 2022) and forecast (2023 to 2033), by each segment and country
- Country level market share data, historical (2018 to 2022) and forecast (2023 to 2033), by each segment
- Market attractiveness analysis based on market share index and CAGR index for each of the segments and regions
- Incremental dollar opportunity generated in the forecast period would be indicated
- Key Takeaways, Recommendations, and key investment pockets for the relevant segments would be highlighted
- Macroeconomic factors that impact the market developments
- Market dynamics (Drivers, Restraints, Opportunities) that positively or negatively influence market growth
- Supply Side and Demand Side trends – trends witnessed from buyers and suppliers side
- Production and Consumption Gap Analysis – analysis of gap between production and consumption in any geography to fulfil unmet demand
- Trade analysis and analysis of key supply and demand hubs
- Identification of hotbed opportunities existing in the market
- Porter’s and PEST analysis to understand the business environment of the geography
- Regulatory scenario – Identification of key sector specific and trade regulations, and assessment of whether it helps or hinder market development & growth
- Regional-level product pricing analysis to set and benchmark your current or future product offerings across each product type
- Historical and projected pricing trends of the product which helps in determining the product’s price and/or services beneficial for companies product lifecycle
- Cost teardown analysis and key factors impacting pricing
Value Chain Analysis
- Country-wise list of raw material suppliers
- Raw material price trends and buyers’ sentiment
- Overview of Intelligent Sourcing Technique
- Raw material procurement requirements
- Vendor selection criteria
- Country-wise list of product manufacturers
- Country-wise list of distributors/traders
- Country-wise list of end-users
- End-Users/Customers consumption mapping
- Key End-Users/Customers client list
- Country-wise list of other key channel partners
- Average profitability margins
- Regional value chain dynamics
- Market shares and production capacities of key players
- Tier structure analysis of market
- Comprehensive competition dashboard representing the top 10-15 players in the market
- Individual company profiles of top 15 to 20 manufacturers
- Business Overview
- Product Portfolio
- Key Financials
- Recent Developments
- SWOT Analysis
North America: U.S., Canada
Latin America: Brazil, Mexico, Argentina, Central America, Rest of Latin America
Western Europe: Germany, Italy, France, UK, Spain, Poland, Romania, Rest of Western Europe
Eastern Europe: Russia & Belarus, Balkan Countries, Baltic Countries, Central Asia, Rest of Eastern Europe
Middle East & Africa: KSA, UAE, Turkey, Israel, Northern Africa, South Africa, Rest of Middle East & Africa
East Asia: China, Japan, South Korea
South Asia & Pacific: India, ASEAN, Australia & New Zealand, Rest of South Asia & Pacific
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Frequently Asked Questions
In the forecast period between 2022 and 2032, the market is expected to grow at a CAGR of 5.3%.
One of the key elements anticipated to propel the expansion of the worldwide fatty acid ester business is the low toxicity of fatty acid esters and the shift in end customers’ preferences toward biodiesel over conventional diesel.
Key Global Fatty Acid Methyl Ester Market players are Acme Synthetic Chemicals, ADM (Archer Daniels Midland Company), Berg + Schmidt GmbH & Co. KG, Cargill, Incorporated, Chemrez Technologies, Inc., CREMER OLEO GmbH & Co. KG, Elevance Renewable Sciences, Inc.
The high price of raw materials and fatty acid esters, however, are anticipated to limit the growth of this industry shortly.
Asia Pacific Region is expected to account for the largest market revenue share in the Global Fatty Acid Methyl Ester Market.