Cresols are organic compounds that are also methyl phenols. Cresol is an organically occurring naturally occurring group of aromatic compounds. Cresol can also be synthetically manufactured. Cresols are widely adopted across different industry verticals owing to their wide applications.
The market growth for cresol is projected to witness a steady growth throughout the course of the next five years. The major factors bolstering the growth include the constantly growing importance of different types of cresol products across several industries such as stabilizers in vaccine and insulin formulations in the healthcare sector, as an additive in cement in the construction industry. Furthermore, the wide adoption of cresol in dietary supplements is further providing an impetus for the market to witness a considerable growth throughout the forecast period. Thus, the growing prevalence of chronic diseases coupled with the constant growth in the prevalence of diabetes has further augmented the demand for several vaccines and insulin formulations, thereby playing a significant role in shaping up the global cresol market growth. Additionally, the growing use of cresol in the electronics industry for encapsulation purposes in various devices such as smartphones, laptops, is also widening up the opportunities for the market players over the next five years. Furthermore, the use of eco-friendly products across different industries is also increasing, this, in turn, is also anticipated to drive the demand for cresol across industries as it is also a naturally occurring compound.
Growing Chemical Industry
The marketis poised to have a healthy growth throughout the forecast period on account of the growing chemical industry around the globe. There are wide applications of cresol in the chemical industry as it is used as a raw material in disinfectants, electronic chemicals. Thus, the growing chemical production on account of the growing demands from the electronics, food, and beverage, and several other industries is further expected to amplify the demand for cresol in the chemical industry. Furthermore, the booming demand for agrochemicals is also expected to widen up the growth opportunities for the market players as cresol is considered to be an essential ingredient used in agrochemicals. This can be backed up by the fact the global agrochemicals market has grown at a CAGR between 2018 to 2024 reaching a market size of US$323.825 billion by the year 2024 from US$258.486 billion in the year 2018. Furthermore, the demand for disinfectants is also projected to grow rapidly on account of the recent outbreak of the novel coronavirus disease as the disease is highly communicable. Also, the growing risks of hospital-acquired infections is also positively driving the demand for disinfectants across healthcare as well as other industry verticals.
Agrochemicals Market, Forecasts From 2018 to 2024, in US$Billion
Source: Knowledge Sourcing Intelligence Estimates
The global cresol market is segmented on the basis of source, product type, application, and geography. By source, the segmentation of the market has been done into natural and synthetic. By product type, the market has been segmented into o-cresol, m-cresol, and p-cresol. By application, the classification of the market has been done as herbicides, antiseptics and disinfectants, cleaning compounds, and others.
Natural Cresol to Hold a Decent Share
By source, the natural cresol is expected to hold a substantial amount of share in the market throughout the forecast period. The burgeoning adoption of eco-friendly products across industries is the primary factor that is driving the growth of this segment during the next five years. Being a chemical, cresol has less toxicity effect on the general population which is significantly boosting its adoption in different industries.
P-Cresol to Hold a Notable Market Share
By the product type, the p-cresol segment is expected to hold a notable market share throughout the course of the next five years. The major factors bolstering the significant share of this segment in the market include the wide application of p-cresol in the food and beverage and pharmaceutical industry among others. These are also being increasingly used in the manufacturing of adhesives, and additives for various applications. M-cresol is widely used in antiseptics and disinfectants, thus a healthy growth in the demand for disinfectants and antiseptics is projected to positively influence the growth of this segment during the forecast period. The o-cresol segment is poised to show a healthy growth on account of its application as sealing materials in the electronics industry. Furthermore, the growing focus towards crop protection in the agricultural sector is also driving the growth of this segment in the next five years on account of the wide application of o-cresols as stabilizers in pesticides.
Antiseptics and Disinfectants to Show Healthy Growth
By application, the antiseptic and disinfectants segment is poised to show a healthy growth throughout the course of the next five years due to the rapid growth in the demand for these products. The growing health concerns regarding the risks associated with healthcare infections is further providing an impetus for the growth of this segment during the next five years. The herbicides segment is projected to hold a considerable market share due to the movement towards sustainable agriculture in various developed economies of the world.
Apac to Hold a Noteworthy Market Share
Geographically, the Asia Pacific region is projected to hold a healthy market share throughout the forecast period. The presence of a well-established chemicals and materials industry coupled with a leading electronics manufacturing base in major countries like South Korea, India, China, and Vietnam are some of the factors supporting the significant share of the APAC region. Also, the constantly growing focus on sustainable agriculture in many countries further positively impacts the growth in the coming years.
Impact of Chemical Industry by Region, 2017, in US$Trillion
Source: International Council of Chemical Association (ICCA)
The figure represents the contribution made by the chemical industry regionally to the total GDP contribution. It can be clearly stated that the Asia Pacific region is a major leading producer of chemicals globally. This is also a key factor supporting the share of the Asia Pacific region in the global market during the next five years.