NEW YORK, Dec. 3, 2021 /PRNewswire/ -- The organic pigments market size will grow by USD 1.18 bn from 2020 to 2025, as per the latest market analysis report by Technavio. The report also identifies the market growth momentum to accelerate at 4.18% during the forecast period. The report offers an outlook on various factors influencing the current market scenario, latest trends, drivers, and challenges impacting the overall market environment.
Organic Pigments Market 2020-2025: Vendor Landscape The market is fragmented, and the degree of fragmentation will accelerate during the forecast period. Growing industrialization in developing regions has spurred the entry and growth of domestic vendors that often provide strong competition to global vendors because of better customer relationships. Many vendors also provide customized services that enable consumers to choose the exact hue they are looking for. Successful and long-term incumbency can be achieved with optimized production that generates economies of scale through penetration into multi-regional markets.
BASF SE, Clariant International Ltd., Sun Chemical Corp., Ferro Corp., Sensient Technologies Corp., Dainichiseika Color and Chemicals Mfg. Co. Ltd., DCL Corp., DIC Corp., Heubach GmbH, and LANXESS AG are among some of the major market participants. Many companies are offering innovative products to retain their market positions for longer tenures. For instance, BASF SE offers organic pigments which has color-based coating. Similarly, Clariant International Ltd. offers superior quality organic pigments, pigment preparations and dyes used in the automotive industry.
Organic Pigments Market 2020-2025: Drivers and Challenges Population growth and demand for urbanized areas has been instrumental in driving the growth of the market. The migration of individuals from rural to urban areas has led to an improved standard of living and people embracing urban lifestyles. This has further resulted in the development from automotive, construction, and general industrial segments. All these segments are increasingly depending on organic pigments sector for imparting aesthetic appeals. Furthermore, the demand for novel pigments to impose entailing color development for catering to individual tastes has also increased in recent years. For instance, water-based coating systems are being increasingly adopted in the automotive OEM, refinish, rim coatings, accessories, and interiors markets with numerous color-intensive design possibilities. This, in turn, is further expected to drive the organic pigments market growth during the forecast period. In addition, surging regulations on VOC emissions driving the organic pigments market and increasing demand from the coatings sector will further accelerate the market growth during the forecast period.
The high cost of organic pigments might hamper the market growth. Increased acceptance of these products has resulted in competitive pricing with inorganic pigments, which dominate the market, and hybrid pigments, which are slowly penetrating into the pigments market. In addition, the increase in raw material prices is expected to be a hindrance to the global organic pigments market. Added to this, high prices of raw materials are increasing concern for vendors of organic pigments. Fluctuation in the prices of crude oil over the years has had a significant negative impact on the operating costs of the vendors and their profit margins. Furthermore, factors such as volatile raw material prices to negatively impact organic pigments and cumbersome dispersion process will eventually limit the market growth in the long run.
Printing Inks application held the organic pigments market share in 2020. The segment will further dominate the market during the forecast period due to their increased preference of organic pigments over inorganic pigments as they are able to impart brilliance and have high tinctorial strength. Changes in consumer preferences, coupled with the growing importance of packaging in branding and advertising, have increased the use of organic pigments in the packaging sector, therefore, driving the growth of organic pigments in printing inks.
By Type, the market is classified into
Azo pigments led over 52% of the organic pigments market share in 2020. The segment is likely to retain its position as the largest revenue-generating type segment during the forecast period. These pigments are colorless earth and clay materials, which, when treated using azo compounds, impart colors. The pigment carrier is an important aspect that affects the light fastness of azo pigments.
In terms of Geography, the market is segmented by
APAC was the largest revenue-generating regional segment of the organic pigments market in 2020. The region is expected to record the fastest market growth in the upcoming years. The increase in focus on development, rapid industrialization, and the flourishing automotive industry, especially in China and India, are anticipated to drive the demand for paints and coatings. This, in turn, translates to the high demand for organic pigments in the region. End-user industries such as automotive and construction will drive the growth of the organic pigments market in APAC during the forecast period. Countries like China, India, and Japan contribute a major market share in the global automotive industry. In addition, stringent government norms to reduce products with high petrochemical or VOC content is a growth driver for the organic pigments market.
Organic Pigments Market 2020-2025: Scope Technavio presents a detailed picture of the market by the way of study, synthesis, and summation of data from multiple sources. The organic pigments market report covers the following areas:
APAC, Europe, North America, South America, and MEA
Performing market contribution
APAC at 47%
Key consumer countries
US, China, Germany, Japan, and India
Leading companies, competitive strategies, consumer engagement scope
BASF SE, Clariant International Ltd., Sun Chemical Corp., Ferro Corp., Sensient Technologies Corp., Dainichiseika Color and Chemicals Mfg. Co. Ltd., DCL Corp., DIC Corp., , Heubach GmbH, and LANXESS AG
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and future consumer dynamics, market condition analysis for the forecast period
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Key Topics Covered
Five Forces Analysis
Market Segmentation by Application
Market Segmentation by Type
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