The new report by Expert Market Research titled, ‘Global Cosmetic Ingredients Market Growth, Size, Share, Price, Trends, Report and Forecast 2020-2025’, gives an in-depth analysis of the global cosmetic ingredients market, assessing the market based on its segments like applications, types, and major regions. The report tracks the latest trends in the industry and studies their impact on the overall market. It also assesses the market dynamics, covering the key demand and price indicators, along with analysing the market based on the SWOT and Porter’s Five Forces models.

The key highlights of the report include:
Market Overview (2015-2025)

1. Forecast CAGR (2020-2025): 8%

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The increasing preference for organic products is driving the demand for natural ingredients among cosmetic manufacturers. This can be attributed to the growing awareness regarding the adverse effects synthetic products tend to have on skin and hair over a long-term use period. Due to the rising environmental consciousness globally, firms are also investing in R&D activities regarding the use of ethically and sustainably-sourced ingredients.

The continued rise in demand for cosmetic products in North America and Europe as well as in the developing regions of Latin America and the Asia Pacific is expected to drive the global cosmetics ingredients market due to their perception as an increment to quality-of-life.

Industry Definition and Major Segments

Cosmetics are a range of products used to enhance or change the physical appearance of the skin, hair, or body. Cosmetic ingredients are the chemicals and materials used in the manufacture of cosmetic products, which are regulated by organisations like the Food and Drug Administration (FDA).

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The market can be categorised based on application as:

1. Perfumes and Fragrances
2. Hair Care and Skin Care
3. Colour Cosmetics
4. Others

The market can be divided into the following types:

1. Emollients, Film-Formers, and Moisturizers
2. Surfactants
3. Single-Use Additives
4. Carriers, Powders, and Colourants
5. Thickening Agents
6. Others

The major regions in the global cosmetic ingredients market are:

1. North America
2. Europe
3. Asia Pacific
4. Latin America
5. Middle East and Africa

Market Trends

The increasing demand for clean labelling in cosmetic formulations has led firms to increase their capacities for widely-approved cosmetic ingredients. Another change has been the increase in investments in the R&D sector towards obtaining healthier and more organic substitutes to synthetic ingredients currently being used in the cosmetics industry.

In 2019, BASF (OTC:BASFY) increased its production capacity for alkyl polyglucosides (APG) by 10,000 MT in China. APGs are used to enhance the foam characteristics of personal care products. Hence this step is expected to directly increase the production of cosmetic ingredients in this region. On June 29, 2020, China released two drafts supporting the Cosmetic Supervision and Administration Regulation (CSAR), which are expected to streamline the process of notifying and registering new cosmetic ingredients. This move is aimed at reducing barriers and supporting the entry of new cosmetic companies, which will provide a further boost to the growth of the industry.

Key Market Players

The major players in the market are BASF, Eastman Chemical Co., Evonik Industries AG, DSM, and Solvay, among others. The report covers the market shares, capacities, plant turnarounds, expansions, investments and mergers and acquisitions, among other latest developments of these market players.

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