Global Castor Oil Derivatives Market- Market Overview

The global castor oil derivatives market is expected to grow from USD 1.6 Billion in 2020 to USD 2.6 Billion by 2028, at a CAGR of 6.2% during the Projection period 2021-2028. This growth of the castor oil derivatives market is mainly driven by an upsurge in demand and consumption of castor oil derivatives by end-use industries for manufacturing bio-based coatings, plastics, lubricants, hair care, skincare, and medicinal products.

Castor oil is obtained from castor seeds also known as Ricinus communis. Castor seeds comprise more than 50% oil and produce over 140 gallons of castor oil per acre. It is the plant oil with multipurpose usage. 

Diverse applications of castor oil are a key trend

Castor oil derivatives have distinctive chemical structure as well as enriching properties which fuel their usage in several industries such as pharmaceuticals, cosmetics, food, plastics & rubber, inks & adhesives, lubricants, electronics & telecommunications, agriculture, paints, and perfumeries. In addition to this, it has anti-inflammatory and antioxidant properties which makes it useful for a number of therapeutic applications. On the other hand, it has a consistent viscosity and does not freeze at lesser temperatures. This property has made castor oil a perfect substitute for synthetic lubricants in commercial manufacturing processes. Further, castor oil derivatives have a number of applications such as food additives & flavorings, cosmetic ingredients, and mold inhibitors.

Market Dynamics

Drivers:

• Rising awareness about castor oil and its derivatives

Rising awareness about numerous advantages of castor oil as well as its derivatives as compared with other traditional oil significantly fueling the growth of the market. This has led to a rising shift from oils derived from cotton, corn, soy, coconut, and rapeseed to castor oil derivatives due to their versatile and natural physicochemical properties. In addition to this, the usage of castor oil derivatives in medicines due to their ability to treat skin disorders, headaches, stools, and inflammatory problems is fueling the growth of the market. 

• Increasing usage of castor oil derivatives in production of bio-diesel

Castor oil can be synthesized to produce bio-diesel. The biodiesel obtained from castor oil has a very low cloud as well as pour points which makes it a good substitute in winter conditions. In addition to this, ricinoleic acid is the main fatty acid in castor oil with nearly 80-90% of total fatty acid content. This gives characteristics such as high viscosity, low iodine content, high miscibility, and low freezing point. The aforementioned factors make castor oil derivatives an appropriate raw material to produce biodiesel, fueling the growth of the market.

Restraints:

• Weather uncertainties and availability of substitute oil

Castor oil is derived from the castor plant which predominantly grows in tropical and subtropical regions. For instance, India produces 75% of the castor seeds, followed by China and Brazil. However, weather uncertainties are common in these countries, which may hamper the production of castor seeds, hindering the growth of the global market. In addition, the specific alternatives for castor oil include sunflower oil and soybean oil. The aforementioned factors may hamper the growth of the market to some extent.

Opportunities:

• Favorable government regulations

By Food and Drug Administration (FDA), castor oil is generally recognized as effective and safe for use as a stimulant laxative. In addition to this, there is favorable regulatory support for castor oil derivatives from developed economies of Europe and North America, due to the purpose of reducing environmental hazards associated with petrochemicals and conventional sources.

Challenges:

• Declined production during COVID-19 pandemic

Owing to the unprecedented crisis of COVID-19, a number of countries have employed nationwide lockdowns. However, as they are reopening, safety measures such as social distancing are still being applied. This has caused significant economic downturns across the globe. Due to a slowdown in industrial activities, the production of castor oil derivatives had been hampered. Hence, the emergence of the COVID-19 pandemic has posed challenges such as the halt on manufacturing sites and inadequate feedstock, and manpower to the global castor oil derivatives market.

Segmentation Analysis

The global castor oil derivatives market has been segmented based on product, application, and regions.

By Product

2-hydroxy stearic acid (12-HSA) segment accounted for the largest revenue share of the castor oil derivatives market

• The product segment includes sebacic acid, 12HSA, ricinoleic acid, undecylenic acid, dehydrated castor oil, hydrogenated castor oil (Castor wax), and others. The 12-hydroxy stearic acid (12-HSA) segment led the castor oil derivatives market with a market share of around 26.1 % in 2020. Growth of the segment is mainly attributed to the property of 12-HSA of insolubility in water and negligible solubility in organic solvents. In addition to this, there is significant growth in the consumption of 12-HSA to manufacture acrylic polymers and greases of lithium & calcium, which works as an internal lubricant for plastic molding. In addition, it is being used in aqueous and non-aqueous coatings for equipment, architecture, automotive, and appliances. Such applications further drive growth of the segment.

By Application

The plastics & resins segment to hold the major share of the global Castor oil derivatives Market

• The application segment includes lubricants, surface coatings, cosmetics & pharmaceuticals, biodiesel, plastics & resins, and others. The plastics & resins segment held the largest market share of 32.2% in 2020. Rising preference and demand for biodegradable plastics primarily drive the growth of this segment. Presently, castor oil derivatives have emerged as an efficient raw material for plastics manufacturing as compared with crude oil. However, the biodiesel segment is expected to witness the highest growth rate during the Projection period.

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By Regional Analysis

The regions analyzed for the castor oil derivatives market include North America, Europe, South America, Asia Pacific, and the Middle East and Africa. The Asia-Pacific region dominated the castor oil derivatives market and held the 59% share of the market revenue in 2020.

• The growth of the Asia-Pacific castor oil derivatives market is mainly driven by a number of factors such as an upsurge in the production and consumption of castor oil derivatives. China is the largest importer of castor oil and derivatives from India and the leading producer of sebacic acid. For instance, according to National Commodity and Derivatives Exchange Limited (NCDEX), an Indian online commodity and derivative exchange based in India, India exports a majority of the castor oil and derivatives to the international market with about 70% castor oil share in international trade.
• The European region is likely to register significant growth during the Projection period. The growth of the market in this region is attributed to the growing adoption of castor oil derivatives and favorable government regulations associated with the usage of bio-based chemicals.

Key Industry Players Analysis

Leading players are focusing on sustainable feedstock to meet the growing demand

The key players are now concentrating on implementing strategies such as adopting new technology, product innovations, mergers & acquisitions, joint venture, alliances, and partnerships to improve their market position in the global castor oil derivatives industry.

For instance, in June 2020, Rioconn Interactive, creative communications, and digital marketing agency have won the contract for a digital mandate for N.K. Proteins Pvt. Ltd., one of the leading market players. The mandate comprises working on digital marketing strategies, overall social media, and influencer outreach requirements of all sub-brands.

In May 2016, Adani Wilmar Ltd, a joint venture between Wilmar International Ltd. and Adani Enterprises Ltd (AEL), collaborated to join hands with Ruchi Soya to create one of India’s leading consumer goods companies.

• Hengshui Jinghua Chemical Co., Ltd.
• K. Proteins Pvt. Ltd.
• HOKOKU Co. Ltd.
• Adani Wilmar Ltd.
• Gokul Agri International Ltd.
• RPK Agrotech
• Thai Castor Oil Industries Co. Ltd.
• Sebacic India Pvt. Ltd.
• Arvalli Castor Derivatives Pvt Ltd.
• Krishna Antioxidants Pvt. Ltd.

Latest Development

August 2021- One of the leading market players namely Adani Wilmar, filed draft papers with Sebi which a top market regulator to launch its initial public offer (IPO) for funding its expansion by raising up to Rs 45,000 million.

Report Metrics

Report Attribute	Details
Projection period	2021-2028
Base year considered	2020
CAGR (%)	6.2%
Market Size	1.6 Billion in 2020
Projection unit	Value (USD)
Segments covered	Product, Application, and Regions
Report Scope	Revenue Projection, competitive landscape, company ranking, growth factors, and trends
Companies covered	Hengshui Jinghua Chemical Co., Ltd., N.K. Proteins Pvt. Ltd., HOKOKU Co. Ltd., Adani Wilmar Ltd., Gokul Agri International Ltd., RPK Agrotech, Thai Castor Oil Industries Co. Ltd., Sebacic India Pvt. Ltd., Arvalli Castor Derivatives Pvt Ltd., and Krishna Antioxidants Pvt. Ltd among others.
By Product	Sebacic acid 12HSA Ricinoleic Acid Undecylenic acid Dehydrated Castor Oil Hydrogenated Castor oil (Castor wax) Others
By Application	Lubricants Surface Coatings Cosmetics & Pharmaceuticals Biodiesel Plastics & Resins Others
Regional scope	North America USA Canada Mexico Europe Germany France UK Italy Spain Russia Asia-Pacific Japan China India Korea Southeast Asia South America Brazil Peru Middle East and Africa UAE South Africa Saudi Arabia

Scope of the Report

Global Castor oil derivatives Market by Product:

• Sebacic acid
• 12HSA
• Ricinoleic Acid
• Undecylenic acid
• Dehydrated Castor Oil
• Hydrogenated Castor oil (Castor wax)
• Others

Global Castor oil derivatives Market by Application:

• Lubricants
• Surface Coatings
• Cosmetics & Pharmaceuticals
• Biodiesel
• Plastics & Resins
• Others

Global Castor oil derivatives Market by Region:

• North America
  • USA
  • Canada
  • Mexico
• Europe
  • Germany
  • France
  • UK
  • Italy
  • Spain
  • Russia
• Asia-Pacific
  • Japan
  • China
  • India
  • Korea
  • Southeast Asia
• South America
  • Brazil
  • Peru
• Middle East and Africa
  • UAE
  • South Africa
  • Saudi Arabia

Political- By Food and Drug Administration (FDA), castor oil is generally recognized as effective and safe for use as a stimulant laxative. In addition to this, there is favorable regulatory support for castor oil derivatives from developed economies of Europe and North America, due to the purpose of reducing environmental hazards associated with petrochemicals and conventional sources. The growth of the market in the European region is attributed to the growing adoption of castor oil derivatives and favorable government regulations associated with the usage of bio-based chemicals.

Economic- The yield of castor oil is mainly dependent upon temperature, rainfall, light, latitude, altitude, characteristics of soil, and several other factors. Thus depending upon the yield, the price of the product is decided. The unstable prices of castor oil affect downstream production of the castor oil derivatives, thus reducing the profit margin. However modern practices of agriculture backed by the policies of the government are expected to boost the growth of the market in near future.

Social- The growth of the Asia-Pacific castor oil derivatives market is mainly driven by a number of factors such as an upsurge in the production and consumption of castor oil derivatives. China is the largest importer of castor oil and derivatives from India and the leading producer of sebacic acid. For instance, according to National Commodity and Derivatives Exchange Limited (NCDEX), an Indian online commodity and derivative exchange based in India, India exports a majority of the castor oil and derivatives to the international market with about 70% castor oil share in international trade.

 

Technological- Castor oil derivatives have distinctive chemical structures as well as enriching properties which fuel their usage in several industries such as pharmaceuticals, cosmetics, food, plastics & rubber, inks & adhesives, lubricants, electronics & telecommunications, agriculture, paints, and perfumeries. In addition to this, it has anti-inflammatory and antioxidant properties which makes it useful for a number of therapeutic applications.

Environmental- Castor oil is derived from the castor plant which predominantly grows in tropical and subtropical regions. For instance, India produces 75% of the castor seeds, followed by China and Brazil. However, weather uncertainties are common in these countries, which may hamper the production of castor seeds, hindering the growth of the global market. In addition, the specific alternatives for castor oil include sunflower oil and soybean oil. The aforementioned factors may hamper the growth of the market to some extent.

Legal- In May 2016, Adani Wilmar Ltd, a joint venture between Wilmar International Ltd. and Adani Enterprises Ltd (AEL), collaborated to join hands with Ruchi Soya to create one of India’s leading consumer goods companies. Adani Wilmar, filed draft papers with Sebi which is a top market regulator to launch its initial public offer (IPO) for funding its expansion by raising up to Rs 45,000 million.

1. Introduction
   • Objectives of the Study
   • Market Definition
   • Research Scope
2. Research Methodology and Assumptions
3. Executive Summary
4. Premium Insights
   • Porter’s Five Forces Analysis
   • Value Chain Analysis
   • Top Investment Pockets
     • Market Attractiveness Analysis By Product
     • Market Attractiveness Analysis By Application
   • Industry Trends
5. Market Dynamics
   • Market Evaluation
   • Drivers
     • Rising awareness about castor oil and its derivatives
     • Increasing usage of castor oil derivatives in production of bio-diesel
   • Restrains
     • Weather uncertainties and availability of substitute oil
   • Opportunities
     • Favourable government regulations
   • Challenges
     • Declined production during COVID-19 pandemic

6. Global Detergents chemicals Market Analysis and Projection, By Product
   • Segment Overview
   • Sebacic acid
   • 12HSA
   • Ricinoleic Acid
   • Undecylenic acid
   • Dehydrated Castor Oil
   • Hydrogenated Castor oil (Castor wax)
   • Others
7. Global Detergents chemicals Market Analysis and Projection, By Application
   • Segment Overview
   • Lubricants
   • Surface Coatings
   • Cosmetics & Pharmaceuticals
   • Biodiesel
   • Plastics & Resins
   • Others
8. Global Detergents chemicals Market Analysis and Projection, By Regional Analysis
   • Segment Overview
   • North America
     • USA
     • Canada
     • Mexico
   • Europe
     • Germany
     • France
     • UK
     • Italy
     • Spain
   • Asia-Pacific
     • Japan
     • China
     • India
   • South America
     • Brazil
   • Middle East and Africa
     • UAE
     • South Africa

9. Global Detergents chemicals Market-Competitive Landscape
   • Overview
   • Market Share of Key Players in the Detergents chemicals Market
     • Global Company Market Share
     • North America Company Market Share
     • Europe Company Market Share
     • APAC Company Market Share
   • Competitive Situations and Trends
     • Product Launches and Developments
     • Partnerships, Collaborations, and Agreements
     • Mergers & Acquisitions
     • Expansions

10. Company Profiles
    • Hengshui Jinghua Chemical Co., Ltd.
      • Business Overview
      • Company Snapshot
      • Company Market Share Analysis
      • Company Product Portfolio
      • Recent Developments
      • SWOT Analysis
    • K. Proteins Pvt. Ltd.
      • Business Overview
      • Company Snapshot
      • Company Market Share Analysis
      • Company Product Portfolio
      • Recent Developments
      • SWOT Analysis
    • HOKOKU Co. Ltd.
      • Business Overview
      • Company Snapshot
      • Company Market Share Analysis
      • Company Product Portfolio
      • Recent Developments
      • SWOT Analysis
    • Adani Wilmar Ltd.
      • Business Overview
      • Company Snapshot
      • Company Market Share Analysis
      • Company Product Portfolio
      • Recent Developments
      • SWOT Analysis
    • Gokul Agri International Ltd.
      • Business Overview
      • Company Snapshot
      • Company Market Share Analysis
      • Company Product Portfolio
      • Recent Developments
      • SWOT Analysis
    • RPK Agrotech
      • Business Overview
      • Company Snapshot
      • Company Market Share Analysis
      • Company Product Portfolio
      • Recent Developments
      • SWOT Analysis
    • Thai Castor Oil Industries Co. Ltd.
      • Business Overview
      • Company Snapshot
      • Company Market Share Analysis
      • Company Product Portfolio
      • Recent Developments
      • SWOT Analysis
    • Sebacic India Pvt. Ltd.
      • Business Overview
      • Company Snapshot
      • Company Market Share Analysis
      • Company Product Portfolio
      • Recent Developments
      • SWOT Analysis
    • Arvalli Castor Derivatives Pvt Ltd.
      • Business Overview
      • Company Snapshot
      • Company Market Share Analysis
      • Company Product Portfolio
      • Recent Developments
      • SWOT Analysis
    • Krishna Antioxidants Pvt. Ltd.
      • Business Overview
      • Company Snapshot
      • Company Market Share Analysis
      • Company Product Portfolio
      • Recent Developments
      • SWOT Analysis

List of Table

1. Global Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
2. Global Sebacic acid Market, By Region, 2020–2028(USD Billion) (Kilotons)
3. Global 12HSA Market, By Region, 2020–2028(USD Billion) (Kilotons)
4. Global Ricinoleic Acids Market, By Region, 2020–2028(USD Billion) (Kilotons)
5. Global Undecylenic acid Market, By Region, 2020–2028(USD Billion) (Kilotons)
6. Global Dehydrated Castor Oil Market, By Region, 2020–2028(USD Billion) (Kilotons)
7. Global Others Market, By Region, 2020–2028(USD Billion) (Kilotons)
8. Global Hydrogenated Castor oil (Castor wax) Market, By Region, 2020–2028(USD Billion) (Kilotons)
9. Global Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
10. Global Lubricants Detergents chemicals Market, By Region, 2020–2028(USD Billion) (Kilotons)
11. Global Surface Coatings Detergents chemicals Market, By Region, 2020–2028(USD Billion) (Kilotons)
12. Global Cosmetics & Pharmaceuticals Detergents chemicals Market, By Region, 2020–2028(USD Billion) (Kilotons)
13. Global Biodiesel Detergents chemicals Market, By Region, 2020–2028(USD Billion) (Kilotons)
14. Global Plastics & Resins Detergents chemicals Market, By Region, 2020–2028(USD Billion) (Kilotons)
15. Global Others Detergents chemicals Market, By Region, 2020–2028(USD Billion) (Kilotons)
16. Global Detergents chemicals Market, By Region, 2020–2028(USD Billion) (Kilotons)
17. Global Detergents chemicals Market, By North America, 2020–2028(USD Billion) (Kilotons)
18. North America Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
19. North America Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
20. US Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
21. US Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
22. Canada Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
23. Canada Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
24. Mexico Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
25. Mexico Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
26. Europe Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
27. Europe Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
28. Germany Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
29. Germany Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
30. France Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
31. France Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
32. UK Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
33. UK Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
34. Italy Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
35. Italy Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
36. Spain Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
37. Spain Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
38. Asia Pacific Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
39. Asia Pacific Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
40. Japan Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
41. Japan Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
42. China Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
43. China Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
44. India Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
45. India Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
46. South America Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
47. South America Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
48. Brazil Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
49. Brazil Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
50. Middle East and Africa Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
51. Middle East and Africa Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
52. UAE Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
53. UAE Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)
54. South Africa Detergents chemicals Market, By Product, 2020–2028(USD Billion) (Kilotons)
55. South Africa Detergents chemicals Market, By Application, 2020–2028(USD Billion) (Kilotons)

List of Figures 

1. Global Detergents chemicals Market Segmentation
2. Detergents chemicals Market: Research Methodology
3. Market Size Estimation Methodology: Bottom-Up Approach
4. Market Size Estimation Methodology: Top-Down Approach
5. Data Triangulation
6. Porter’s Five Forces Analysis
7. Value Chain Analysis
8. Global Detergents chemicals Market Attractiveness Analysis By Product
9. Global Detergents chemicals Market Attractiveness Analysis By Application
10. Global Detergents chemicals Market Attractiveness Analysis By Region
11. Global Detergents chemicals Market: Dynamics
12. Global Detergents chemicals Market Share By Product(2021 & 2028)
13. Global Detergents chemicals Market Share By Application(2021 & 2028)
14. Global Detergents chemicals Market Share by Regions (2021 & 2028)
15. Global Detergents chemicals Market Share by Company (2020)