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                                  Home Press Releases

                                  Peracetic Acid Market Size Forecast to Reach $680 Million by 2026

                                  admin by admin
                                  February 14, 2022
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                                  (EMAILWIRE.COM, February 14, 2022 ) Peracetic Acid Market size is forecast to reach $680 million by 2026, after growing at a CAGR of 7.74% during 2021-2026. The market growth is attributed to the increasing consumption of peracetic acid as its decomposition products including acetic acid, oxygen, hydrogen oxide, and water which are environmentally friendly, corrosive substance, easy to apply and it doesn’t leave any toxic residues. Hence, due to various properties, it is highly demanded in food & beverages, wastewater treatment plants, pharmaceutical, agriculture, and other industries as high stronger oxidizer than chlorine dioxide. Peracetic acid is also known as peroxyacetic acid that is used to treat sand filters, humidifiers, storage tanks, ponds, reservoirs, canals, and greenhouses. It can be used in soil treatment to prevent bacterial and fungal diseases that help to grow crops production. According to the Organization for Economic Co-operation Development (OECD) and Food & Agriculture Organization (FAO), the world crop production (wheat, rice, soybean, maize) increased 15.8 tonnes/hectare in 2021 as compared to 15.7 tonnes/hectare in 2020. Additionally, meat consumption was 14.8 kilograms/capita in 2020 and is expected to grow 15.1 kilograms/capita by 2029. Hence, increasing consumption of packed food and crop production is estimated to grow the consumption of peracetic acid.

                                  Impact of COVID-19

                                  The tragedy of COVID-19, which is declared as a pandemic by the World Health Organization, is having a noticeable impact on global economic growth. However, due to the nationwide lockdown, the food & beverages, oil & gas, textile, wastewater treatment plants were set at the pause in 2020. Also, an insufficient supply of chemicals owing to the supply chain disruptions decreased the production of peracetic acid, which harmed the peracetic acid market growth.

                                  Peracetic Acid Market Segment Analysis – By Application

                                  Disinfectant held the largest share in the global peracetic acid market in 2020 and is growing at a CAGR of 8.23% during 2021-2026. Peracetic acid save food from bacteria, viruses, and fungi. It is a very powerful oxidant and antimicrobial disinfectant in agricultural, food, and pharmaceutical as well as in wastewater treatment. Peracetic acid solutions allow up to 95% faster disinfection times than conventional systems and do not require special ventilation systems as formaldehyde and smell such as acetic acid. Thus, peracetic acid is used for disinfection of high purity water systems for medical device manufacturing, poultry processing plants, and food processing facilities. Hence, the increasing food industry is estimated to grow the demand for peracetic acid. According to the China Food Industry (CFI), almost 15,00 tonnes of fresh food and 1.8 million bottles of disinfectant solution were sold in 2020. Thus, increasing demand for disinfection in various end-use industries is estimated to grow the demand for peracetic acid.

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                                  Peracetic Acid Market Segment Analysis – By End-Use Industry

                                  Food & beverages dominated the global peracetic acid market in 2020. Peracetic acid is also known as peroxyacetic acid is an organic chemical compound used in numerous applications, including chemical disinfectant in healthcare, sanitizer in the food industry, and disinfectant during water treatment. Peracetic acid is always sold in stabilized solutions that contain acetic acid, hydrogen peroxide, and water. Peracetic acid is typically sold in concentrates of 1%-5% and is diluted before use in processed food products. Thus, increasing demand for processed food is estimated to boost the consumption of peracetic acid. According to India Brand Equity Foundation (IBEF), the processed food market is forecast to reach US$70 billion by 2025. Hence, the increasing food & beverages sector is estimated to boost the consumption of peracetic acid.

                                  Peracetic Acid Market Segment Analysis – By Geography

                                  North America dominated the global peracetic acid market with a high share of 32% in 2020. The rising population with growing demand for food and rising wastewater treatment projects are estimated to grow the market size for peracetic acid. Wastewater systems consider peracetic acid unlike chlorine dioxide due to its decomposition into biodegradable residuals of acetic acid and hydrogen peroxide that can pass fish toxicity tests without removal. It is stronger oxidized than chlorine dioxide which concentrates at the rate of 15%-20% and is used at 1-2ppm in wastewater systems. Hence, increasing public and private investments in wastewater treatment are estimated to grow the market demand for peracetic acid. According to the Environment Protection Agency of America, the Nation’s wastewater footprint includes over 800,000 miles of public sewers and 500,000 miles of private lateral sewers in the region. In 2019, the annual water infrastructure capital investment was US$ 81 billion. Additionally, according to the International Trade Administration, (ITA), the USA exported food products to Canada including prepared food US$1.9 billion, fresh vegetables US$1.9 billion, fresh fruit US$1.5 billion, other snack foods US$1.4 billion in 2018. Thus, rising wastewater treatment projects and the food sector is estimated to drive the market of peracetic acid.

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                                  Peracetic Acid Market Drivers

                                  Growing Demand from Various End-Use Industries

                                  Rapidly growing end-use industries particularly in the APAC region are estimated to grow the demand for peracetic acid. Peracetic acid (peroxyacetic acid) is widely used in food processing and packaging food products such as fruits, meat, and others. It is extensively used as a bleaching agent in the healthcare sector. Hence, increasing food & beverage, pharmaceutical industry, agriculture sector, and others are estimated to grow the demand for peracetic acid. According to healthcare information company IQVIA, the pharmaceutical sector of China was US$122.6 billion in 2017, and is forecast to reach US$175 billion by 2022. Furthermore, according to the National Bank for Agriculture and Rural Development, in 2020, the Indian government plans to set up a subsidiary to provide guarantees for loans under agriculture and rural development. Therefore, according to the Indian Council for Agricultural Research (ICAR), in India, the food grain demand is expected to increase by 345 million tonnes by 2030. Additionally, according to the India Brand Equity Foundation (IBEF), India’s food processing sector is expected to reach US$ 535 billion by 2025-26. However, the Indian government approved Rs. 107.42 crore (US$ 15.25 million) to implement 28 food processing projects. Thus, all factors are estimated to grow the demand for peracetic acid.

                                  Increasing Adoption for Wrapped Food

                                  Peracetic acid is a very effective antimicrobial compound and effective more than hydrogen peroxide. Peracetic acid helps to reduce pathogen levels when it is applied directly to the meat. Peracetic acid has a lack of harmful decomposition products such as acetic acid, water, oxygen, hydrogen peroxide that enhances the removal of organic materials at low temperatures. Peracetic acid is approved as a sanitizer for wrapped food such as fruits, vegetables, poultry, seafood, and others by U.S. Food and Drug Administration (FDA). Thus, peracetic acid is used as a disinfectant against bacteria, fungi, and viruses in food products which is estimated to grow the consumption of peracetic acids.

                                  Peracetic Acid Market Challenges

                                  Peracetic Acid Pose a Health and Environment Risk

                                  Peracetic acid is a highly flammable and toxic chemical to aquatic organisms. It is explosive at temperatures above 40.50C (104.90F). peracetic acid required adequate ventilation and personal protective equipment such as eyes protectors and gloves. “The material is corrosive to the eyes, skin, and respiratory tract,” according to the International Chemical Safety Card (ICSC) for stabilised peracetic acid. While OSHA does not establish a permissible exposure limit (PEL) for peracetic acid, IH and OEHS specialists are not completely in the dark. The ACGIH established a 0.4 ppm (1.24 mg/m3) Threshold Limit Value–Short-Term Exposure Limit (TLV-STEL) for peracetic acid as a 15-minute time-weighted average (TWA) exposure that should not be exceeded at any time throughout the workday in 2014. Hence, these factors are limiting the market growth.

                                  Peracetic Acid Market Landscape

                                  Technology launches, acquisitions, and R&D activities are key strategies adopted by players in the peracetic acid market. Major players in the Peracetic Acid Market are:

                                  1. Solvey

                                  2. Evonik

                                  3. PeroxyChem

                                  4. Ecolab

                                  5. Enviro Tech Chemical Services

                                  6. Airedale Chemical

                                  7. Kemira

                                  8. Mitsubishi Gas Chemical Company

                                  9. Loeffler Chemical Corporation

                                  10. Aditya Birla Chemicals, and others.

                                  Acquisitions/Technology Launches

                                  In February 2020, Evonik completed the acquisition with PeroxyChem (a manufacturer of hydrogen peroxide and peracetic acid), for USD 640 million. This acquisition creates an opportunity for Evonik, especially in the market for environment-friendly disinfectants.

                                  Key Takeaways

                                  North America dominates the peracetic acid (peroxyacetic acid) market owing to increasing consumption as a sanitizer for food products and growing demand for disinfection in wastewater treatment in United States, Canada, and Mexico.

                                  The demand for peracetic acid, and its decomposition products such as acetic acid and hydrogen oxide as a sanitizer for poultry is increasing, as it is used to reduce pathogen levels when applied on meat during production.

                                  Increasing adoption of peracetic acid for disinfection as they protect against fungus, bacteria, and other viruses to food products which are estimated to grow the market demand.

                                  Related Reports:

                                  A. Organic Acids Market

                                  https://www.industryarc.com/Report/16128/organic-acids-market.html

                                  B. Inorganic Acid Market

                                  https://www.industryarc.com/Report/15902/inorganic-acid-market.html

                                  For more Chemicals and Materials Market reports, please click here

                                  About IndustryARC: IndustryARC primarily focuses on Cutting Edge Technologies and Newer Applications market research. Our Custom Research Services are designed to provide insights on the constant flux in the global supply-demand gap of markets. Our strong team of analysts enables us to meet the client research needs at a rapid speed, with a variety of options for your business. Any other custom requirements can be discussed with our team, drop an e-mail to sales@industryarc.com to discuss more about our consulting services.



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