The Amines Market Is Estimated To Witness High Growth Owing To Growing Application In Agrochemicals
Amines Market
The Amines Market is estimated to be valued at Us$ 15.62 Bn in 2023 and is expected to exhibit a CAGR Of 4.5% over the forecast period 2023 To 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Amines are nitrogenous compounds derived from ammonia. They are organic derivatives of ammonia in which one or more hydrogen atoms are substituted by hydrocarbon or aryl substituents. These compounds are widely used as intermediates in the production of agrochemicals, pharmaceuticals, surfactants, rubber processing chemicals, and oilfield chemicals. Some key advantages of amines include their ability to act as a base, react readily and provide functionality and versatility.
Market key trends:
One of the key trends driving growth of the amines market is its growing application in agrochemicals industry. Amines are widely used as intermediates in the production of herbicides, insecticides, fungicides and other agrochemicals. According to the Food and Agriculture Organization (FAO), the use of agrochemicals has increased substantially over the past few decades to meet the rising global food demand. Growing population and increasing demand for food is necessitating higher agricultural output, which is fueling the demand for agrochemicals and subsequently amines. This is expected to remain a major growth driver for the amines market over the forecast period.
Porter’s Analysis
Threat of new entrants: The amines market has moderate barriers to entry as it requires large capital investments to build manufacturing plants. However, existence of established global players makes it challenging for new players to penetrate this market.
Bargaining power of buyers: Buyers have moderate bargaining power as amines have applications across diverse end-use industries. However, established customer relationships between buyers and suppliers creates interdependence.
Bargaining power of suppliers: Suppliers have moderate bargaining power owing to availability of raw materials from various sources globally. Established suppliers are few which influences their negotiating capacity.
Threat of new substitutes: Threat from substitutes is low as amines have diverse applications and development of alternatives will require significant investments and time.
Competitive rivalry: Intense due to presence of large global players and minimal product differentiation.
SWOT Analysis
Strengths: Wide applications in industries like agrochemicals, personal care, pharmaceuticals contributes to stable demand. Technical superiority and integrated production facilities provide competitive edge to major players.
Weaknesses: Vulnerable to fluctuations in raw material prices. Stringent environmental regulations regarding manufacturing processes increases compliance costs.
Opportunities: Rising demand from end-use industries especially construction, automotive offers lucrative growth pathways. Potential in bio-based amines to drive innovation.
Threats: Presence of toxic amines poses health & safety concerns. Introduction of stringent regulations can adversely impact growth.
Key Takeaways
The Global Amines Market Size is expected to witness high growth at a CAGR of 4.5% over the forecast period, due to increasing demand from agrochemical and personal care industries.
Asia Pacific dominates the global amines market, both in terms of production and consumption. China leads the regional market owing to large manufacturing base of agrochemicals and personal care products. North America and Europe are other major markets driven by well-established end-use industries.
Key players operating in the amines market are Arkema SA, AkzoNobel N.V., Alkyl Amines Chemicals Ltd., BASF SE, BASF-YPC Company Limited, The Dow Chemical Company, Huntsman Corporation, and Mitsubishi Gas Chemical Company Inc. These established suppliers continue expanding production capacities to leverage lucrative growth opportunities.
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