The market is predicted to grow 5.4% over next five years
It's good news for those working in the ingredients market. Over the next five years, the industry looks set to continue on a strong growth path, with skin care ingredients continually the most sought after and hair ingredients emerging as the fastest growth driver.
A MarketsandMarkets report, Personal Care Ingredients Market by Type (Surfactants, Conditioning Polymers, Emollients, Rheology Modifiers and Others) and by Application (Skin Care, Hair Care, Oral Care and Others) - Global Trends & Forecasts to 2020, predicts that the overall global ingredients market will reach $17.8bn by 2020 in value terms, growing at a CAGR of 5.4%.
Skin care ingredients are predicted to continue accounting for the lion’s share of the market; in 2014, this sub-sector was responsible for 43.8% of the overall market value. MarketsandMarkets put the increase in demand of ingredients such as surfactants, conditioning polymners, emollients, rheology control agents and others down to the rise in spending capacity of consumers as well as an increasing demand for multi-functional ingredients.
The sub-sector with the highest growth rate, however, is expected to be conditioning polymers for use in hair care. Motivating factors behind this steep growth are thought to include an increasing demand for hair styling and conditioning products. This group of ingredients is forecast to grow at a CAGR of 7.3% from 2015 to 2020. The leading players in this market are identified as: Ashland, Croda, BASF, Solvay, Stepan Company, The Dow Chemical Company, Evonik, Dow Corning, DSM and Clariant.