Global Lactic Acid and Polylactic Acid Market: Snapshot

The use of lactic acid mainly for manufacturing biodegradable plastics is largely responsible for growth of the lactic acid market. Rising awareness about the environmental concerns over dumping plastics in landfills has encouraged further exploration over the bioplastics. Growing demand for the bioplastic is boosting the lactic acid market. Lactic acid is a carboxylic acid, which is used across a range of end-use industries for its chemical properties. Growing usage of lactic acid across the food and beverages, personal care or cosmetics, and pharmaceutical industries are boosting the lactic acid market.

The polylactic acid has the extensive applications of the biodegradable polymer in the packaging of food and beverages and textiles. Growing demand for the lactic acid and polylactic acid in the textile industry is fueling growth of the lactic acid and polylactic acid market. Additionally, the attractive demand for the polylactic acid as a substitute for fossil fuel-based plastics is driving growth of the global polylactic acid market. Moreover, growing adoption of polylactic acid in the personal care products, which is fuelling growth of the lactic acid market.

The global lactic acid market collected revenue of US$1,130.4 mn in 2014 and is expected to attain a value of US$3,381.8 mn by the 2023-end. The market is swelling is expected to expand at a CAGR of 13.0% over the forecast period from 2015 to 2023. The global polylactic acid market collected revenue of US$400.1 mn in 2014 and is expected to reach a value of US$1,358.1 mn by 2023-end. The market is expected to expand at a CAGR of 14.6% over the forecast period.

Biodegradable Plastics to be Largest Segment in the Lactic Acid and Polylactic Acid Market

Based on the end use, the lactic acid market is segmented into food and beverage, personal care, pharmaceutical, biodegradable plastics, and others (including detergents). Of these, the biodegradable plastics segment accounted for the leading share with more than 35% in the overall market in 2014. The market is expected to expand with a CAGR of 13.5% over the forecast period from 2015 to 2023. Lactic acid is extensively used in personal care products and in the food & beverages industry.

Based on the end use, the polylactic acid market is segmented into packaging, textile, electronics, automotive, biomedical, and others (including printing). Among these, the packaging segment procured leading share in an end-use segment by holding more than 45% share in the revenue of the global polylactic acid market in 2014. This is attributable to the growing demand from electronics, biomedical, textiles, and automotive end-use segments.

North America to be Leading Region in Lactic Acid Market and Asia Pacific to Dominate Polylactic Acid Market

On the geographical front, the lactic acid and polylactic acid market are segmented into North America, Latin America, Europe, Asia Pacific, And the Middle East & Africa. Of these, North America held the dominant share of the global lactic acid market in 2014. This growth of the lactic acid market in the region is attributable to the extensive demand for bioplastics. However, the Asia Pacific dominated the polylactic acid market and is expected to witness lucrative opportunities for growth of the market in the coming years.

Some of the key players in the lactic acid and polylactic acid market include Futerro SA, Zhejiang Hisun Biomaterials Co., Ltd., Teijin Ltd., Archer Daniels Midland Company, and Synbra Technology BV.

This report analyzes and forecasts the lactic acid market and polylactic acid market at the global, regional, and country level. The market has been forecast based on volume (Kilo Tons) and revenue (US$ Mn) from 2015 to 2023. The study includes drivers and restraints of the global lactic acid market and polylactic acid market. It also covers the impact of these drivers and restraints on the demand for lactic acid and polylactic acid during the forecast period. Additionally, the report highlights opportunities in the lactic acid and polylactic acid markets globally and regionally. 

The report includes a detailed value chain analysis, which provides a comprehensive view of the global lactic acid and polylactic acid markets. Porter’s Five Forces Model for both lactic acid and polylactic acid markets has also been included to help understand the competitive landscape in the market. The study encompasses market attractiveness analysis, wherein end-users are benchmarked based on their market size, growth rate, and general attractiveness.

The study provides a decisive view of the global lactic acid and polylactic acid markets by segmenting it in terms of end-user segment. Segments have been analyzed based on present and future trends. Regional segmentation includes the current and forecast demand for North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa. Furthermore, country-wise analysis has been carried out for individual regions.

The study includes profiles of major companies operating in the global lactic acid and polylactic acid markets. Key players include Corbion NV, NatureWorks LLC, Henan Jindan Lactic Acid Technology Co., Ltd., Archer Daniels Midland Company, Synbra Technology BV, Zhejiang Hisun Biomaterials Co., Ltd., Teijin Ltd., Galactic, and Futerro. Market players are profiled in terms of attributes such as company overview, financial overview, business strategies, and recent developments.

The report provides the market size of lactic acid and polylactic acid for 2014 and forecast for the next six years. The global market sizes of lactic acid and polylactic acid are provided in terms of both volume and revenue. Market volume is defined in kilo tons, while market revenue is in US$ Mn. Market numbers are estimated based on key end-user segments of lactic acid and polylactic acid. Market size and forecast for end-user segments are provided in terms of global, regional, and country markets.

In order to compile the research report, we conducted in-depth interviews and discussions with a number of key industry participants and opinion leaders. Primary research represents the bulk of research efforts, supplemented by extensive secondary research. We reviewed key players’ product literature, annual reports, press releases, and relevant documents for competitive analysis and market understanding. Secondary research includes a search of recent trade, technical writing, Internet sources, and statistical data from government websites, and trade associations and agencies. This has proven to be the most reliable, effective, and successful approach for obtaining precise market data, capturing industry participants’ insights, and recognizing business opportunities.

Secondary research sources that are typically referred to include, but are not limited to company websites, annual reports, financial reports, broker reports, investor presentations, SEC filings, Plastemart magazine, TPE magazine, internal and external proprietary databases, and relevant patent and regulatory databases such as ICIS, Hoovers, Onesource, Factiva, and Bloomberg, national government documents, statistical databases, trade journals, market reports, news articles, press releases, and webcasts specific to companies operating in the market.

Primary research involves e-mail interactions, telephonic interviews, and face-to-face interviews for each market, category, segment, and sub-segment across geographies. We conduct primary interviews on an ongoing basis with industry participants and commentators in order to validate the data and analysis. Primary interviews provide firsthand information on market size, market trends, growth trends, competitive landscape, and outlook, etc. These help validate and strengthen secondary research findings. These also help develop the analysis team’s expertise and market understanding.

The report segments the global lactic acid and polylactic acid markets as follows:

Lactic Acid Market - End-user Analysis

  • Food and Beverage
  • Personal Care
  • Pharmaceutical 
  • Biodegradable Plastics
  • Others (Including detergents, etc.)

Polylactic Acid Market - End-user Analysis

  • Packaging
  • Textile
  • Electronics
  • Automotive
  • Biomedical
  • Others (Including printing, etc.)

Lactic Acid and Polylactic Acid Market - Regional Analysis

  • North America

    • U.S.
    • Rest of North America
  • Europe

    • France
    • Germany
    • Italy
    • Netherlands
    • UK
    • Rest of Europe
  • Asia Pacific

    • China
    • Japan
    • ASEAN
    • Rest of Asia Pacific
  • Latin America

    • Brazil
    • Rest of Latin America
  • Middle East & Africa (MEA)

    • GCC Countries
    • South Africa
    • Rest of MEA