Bio-Based Adipic Acid Market Report

Bio-Based Adipic Acid Market Analysis, Market Size, Application Analysis, Regional Outlook, Competitive Strategies And Forecasts, 2014 To 2020

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  • Report ID: 637
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Bio-based adipic acid market is expected to register significant growth on account of increasing demand for production of industrial chemicals through sustainable means. The market is still in nascent stages with companies focused R&D to develop manufacturing capabilities to produce bio-based adipic acid on an industrial scale. Rennovia, Verdezyne, Bio-Amber and Genomatica are some of the few companies to have successfully developed manufacturing processes for 100% bio-based adipic acid and are vying to commercially produce the product. Rennovia uses proprietary catalytic process technology with glucose as a raw material. Development of bio-based adipic acid as a substitute for conventional adipic acid is expected to impact the latter’s demand in the market.

Key factors influencing the shift from adipic acid produced through crude oil could be attributed to growing concerns regarding environmental impact and high feedstock prices of petrochemical based products. Traditionally, adipic acid is used as an immediate precursor for the production of nylon and polyurethane. Consequently, growing demand for nylon in durable applications such as automotive components and textiles is expected to drive the demand for bio-based adipic acid over the future period. Growing preference for bio-based polyurethane (PU) as an alternative to conventional PU in applications such as automotive, construction and electronics is expected to further fuel bio-based adipic acid demand. 

Other than being used in the production of nylon, adipic acid finds applications in medical and food industries. It is used as a gelling aid and flavorant in food preparation. Adipic acid is used in polymeric coating of hydrophilic drugs and other controlled-release formulations in medical industry. Stringent regulations by FDA regarding nitrogen dioxide emissions from adipic acid are expected to act favorably for bio-based adipic acid market. The demand for bio-based adipic acid in medical and food applications is expected to grow over the forecast period owing to the above stated regulatory scenario.

High investment and R&D costs associated with the production of bio-based adipic acid are expected to pose challenges to the market participants. The global market is still in initial stages with adipic acid manufacturers such as DSM, Genomatica and Bio-Amber shifting their capabilities towards the production of its bio-based alternative.

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