The biocides market is valued at USD 11.8 billion in 2021 and is poised to grow at a significant CAGR of 6.3% over 2022–2028. The creation of synergistic chemistries for product diversity, innovation, improved performance, and application expansion, together with ongoing R&D investments, are all responsible for the rise. Third-party distribution channels have been fueled by increased penetration and the primary manufacturers’ focus on specialized consumers. Distributors have expanded their investment in cutting-edge technologies and digital solutions to boost their competitiveness. The industry is dominated by direct B2B distribution of the product because most of the industry end-users are in the fields of pulp and paper, food and beverage, wood preservation, personal care, paints and coatings, plastics, oil & gas, boilers, and fuels. Manufacturers might obtain an advantage over rivals by adhering to industry norms and clients’ specific requirements. Every application’s demand fluctuates over time in response to seasonality fluctuations. For example, the pulp and paper industry has adopted oxidizing biocides more frequently due to their efficiency and affordable price tags, which has increased manufacturers’ propensity for oxidizing biocides. Water treatment and pharmaceuticals have been expanding the use of on-site-generation technologies for oxidizing biocides, such as chlorine dioxide on-site generation. To remain competitive in the global market, the leading competitors implement various methods, including product launches, company expansions, acquisitions, and joint ventures. One example is BASF, which doubled the annual capacity for higher carboxylic acids from 55,000 metric tonnes to 68,000 metric tonnes. Isononanoic Acid (INA) and 2-Ethylhexanoic Acid are two of the carboxylic acids included in these (2-EHA). In some formulations, EHA is also utilized as a building block to create plasticizers, PVC stabilizers, lubricants, biocides, cosmetics, and drying additives for coatings. Additionally, Lanxess purchased Itibanyl Produtos Especiais Ltd. in 2020. (IPEL). It is one of the top producers of biocides in Brazil. By making this acquisition, LANXESS solidifies its position as one of the top producers of antimicrobial active ingredients and formulations worldwide.
Recent Market Developments:
In January 2021, LANXESS has acquired a French company Intace SAS as part of their expansion in holding their position as one of the leading manufacturers of biocides. Intace SAS is a French company specialized in the formulation and applications of fungicides and biocides for packaging industries. LANXESS has completed the acquisition and is expecting to have a stronghold in biocides manufacturing and applications