Lactic Acid Market Size By Application (Industrial, Food & Beverage, Pharmaceuticals, Personal Care), Polylactic Acid (PLA) Market Size By Application (Packaging, Agriculture, Transport, Electronics, Textiles), Industry Analysis Report, Regional Outlook, Application Potential, Price Trends, Competitive Market Share & Forecast, 2020 – 2026

Lactic Acid Market Size

Lactic acid market size exceeded USD 1.25 Billion, in 2019 and is estimated to grow at over 11.5% CAGR between 2020 and 2026. Growing demand for skincare products such as moisturizers and anti-aging products will propel the product demand.
 

Lactic acid is a yellowish or colorless organic acid which is commercially produced by the bacterial fermentation of carbohydrates such as cornstarch, molasses, and potatoes. It is also produced naturally in muscle tissues during arduous exercise and is produced during the preparation of fermented food products such as sour milk, sauerkraut, and yogurt.
 

Lactic acid is primarily used as a preservative & flavoring agent in foodstuff, in textile printing and dyeing, & in pharmaceutical products.
 

Lactic acid finds increasing adoption in cosmetic products owing to rising disposable income, changing consumer lifestyles and growing skincare concerns amidst changing climatic conditions & pollution which should stimulate lactic acid market demand. The product is well-suited for the formulation of hair dyes, colors, makeup, shampoos, cleansing products and moisturizers pertaining to its excellent exfoliation, collagen renewal, humectant and complex enhancement capabilities.
 

Increasing adoption of cosmetic products among men and growing consumer preference for natural & organic cosmetic ingredients should boost lactic acid industry growth.
 

Manufacturers are primarily involved in developing innovative production processes for lactic acid. For instance, Cargill has developed a unique biocatalyst which reduces environmental impacts and eliminates the requirement for expensive reagents in the production of lactic acid. This biocatalyst comprises of an innovative yeast which results in less gypsum waste generation and provides the company with competitive advantage.
 

Polylactic Acid Market Trend

Polylactic acid market size exceeded USD 585 Million, in 2019 and is estimated to grow at over 10% CAGR between 2020 and 2026.
 

Polylactic acid (PLA) is a versatile biodegradable polyester derived from lactic acid and is a commercial alternative to petroleum-based thermoplastics. The product is a type of bioplastic which has similar properties to conventional polymers such as acrylonitrile butadiene styrene, polyethylene terephthalate and polypropylene. The product is an ideal ingredient for various products such as plastic films, bottles, medical devices and for 3D printing.
 

Growing demand for natural fabrics owing to rising awareness among consumers for sustainability and resource conservation should boost polylactic acid market statistics. Polylactic acid offers various benefits such as high durability & tensile strength and can be converted into filaments by melt spinning which ensures cost effectiveness and convenience. Fabric manufacturers are increasingly incorporating innovative production technologies and sustainable business strategies to adopt natural fabrics in their products which should drive industry growth.
 

PLA manufacturers are increasingly engaged in production capacity expansion and the construction of new production facilities to meet rising product demand. In December 2018, Total Corbion PLA, a joint venture between global oil & gas firm Total and food organization Corbion opened a new polylactic acid production plant in Rayong, Thailand. This new facility increases the company’s production capacity by 75,000 tons per year and allows the company to meet growing demand from the packaging, 3D printing, automotive and consumer goods sectors.
 

Polylactic Acid Market Analysis

Global lactic acid industry is bifurcated on the basis of applications as industrial, food & beverages, pharmaceuticals, personal care, and other uses. The product imparts a mild sour flavor which lasts for longer periods and enhances the intensity of dairy flavors, orchard fruits & red fruits which is an acidulant for beverages. Global lactic acid market from food & beverage applications surpassed USD 470 million in 2019.
 

Lactic acid prevents precipitation scaling in food processing equipment caused by the formation of solid salts which gives food manufacturers greater control over their processing environment and reduces cleaning costs. The product is widely used as a raw material for producing emulsifiers, pickled foods, and boiled sweets. Rising concerns regarding the adverse health effects of synthetic acidulants and increasing focus on extending shelf life should accelerate the market outlook.
 

Global polylactic acid market is bifurcated on the basis of applications as packaging, agriculture, transport, electronics, textiles and others. PLA finds widespread usage in the production of various packaging products such as flexible films, yogurt containers, extruded packages, lunch boxes & cups, bottled juices and water. Growing demand for sustainable packaging solutions with low environmental impact and increasing adoption of biodegradable packaging by consumer goods & food manufacturers should boost polylactic acid industry growth.
 

Global market size from packaging applications is set to surpass USD 430 million by 2026. PLA reduces energy consumption as compared to conventional plastics, generates lesser greenhouses gases and is completely recyclable which increases its suitability as a packaging material. Increasing government incentives which promote the adoption of biodegradable packaging and significant technological innovation in the packaging sector should stimulate polylactic acid market outlook.
 

North America lactic acid market is poised to witness over 11% CAGR through 2026. The region is witnessing growing requirement of basic chemicals primarily from the construction sector. Lactic acid serves as an essential precursor for various chemicals such as esters, biosolvents, pyruvic acid and acrylic acid. The presence of abundant feedstock and energy supplies is likely to drive chemicals industry growth and boost regonal market trends.
 

Rising business investment and strong export markets have boosted the demand for chemicals from various end-use sector such as housing and light vehicles. North America has the presence of major chemical manufacturers and there is significant possibility of new production capacity in the region. Increasing demand for various specialty chemicals such as electronics, adhesives, coatings, oilfield, cosmetics, flavor and fragrance chemicals is likely to drive lactic acid market growth.
 

Europe polylactic acid market size is expected to surpass USD 295 million by 2026. Growing demand for bioplastics from various end-use sectors such as packaging, consumer electronics, catering products, agriculture, textiles and toys should drive market growth. The region has witnessed growing production of bioplastics with manufacturers planning to expand production capacity which should drive regional market statistics.
 

Increasing prevalence of stringent government regulations which restrict the usage of synthetic plastics should increase bioplastics adoption and boost polylactic acid market growth. In March 2019, the European Parliament passed the Single Use Plastic Directive which seeks to ban plastic products with existing alternatives such as single-use plastic plates and cutlery in order to reduce littering and marine pollution.
 

Polylactic Acid Market Share

Global lactic acid market is significantly consolidated with key layers including:

• Corbion Purac
• Cargil
• Hebei Jindan
• BBCA Biochemical & Galactic
• Xinghan
• Baisheng.

Companies are primarily engaged in strategic partnerships & acquisitions to expand their distribution network and meet growing demand for natural products. Manufacturers are also developing new products for specific applications to achieve competitive advantage.
 

Global polylactic acid market is highly consolidated and the primary participants include  NatureWorks, Total Corbion PLA, Hisun, and BBCA Biochemical & Galactic. Manufacturers are involved in strategic agreements to enhance brand recognition and market penetration. Companies are also engaged in production capacity expansions to satisfy rising demand for bioplastics.
 

The Lactic acid and polylactic acid market research report includes in-depth coverage of the industry trends, with estimates & forecast in terms of volume (Kilo Tons) and revenue (USD Million) from 2015 to 2026, for the following segments:

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Lactic Acid Market, By Application

• Industrial
• Food & Beverage
• Pharmaceuticals
• Personal Care
• Others

Polylactic Acid Market, By Application

• Packaging
  • Rigid Packaging
  • Loose fill
  • Compost bags
  • Others
• Agriculture
• Transport
• Electronics
• Textiles
• Others

The above information has been provided for the following regions:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Netherlands
  • Belgium
• Asia Pacific
  • China
  • India
  • Japan
  • Malaysia
  • Thailand
  • Australia
  • South Korea
• Latin America
  • Brazil
• Middle East & Africa
  • Saudi Arabia
  • South Africa