#emea personal care and cleaning chemicals market shape

[trendingreportz]

EMEA Personal Care and Cleaning Chemicals Market - Forecast(2024 - 2030)

 Overview

EMEA personal care and cleaning chemicals market is forecast to reach $25 billion by 2024, after growing at a CAGR of 5% during 2019-2024. The growth of EMEA personal care and cleaning chemicals market is mainly driven the increasing initiatives by industry players to enhance the existing products through Research and Development (R&D). Apart from that, the growing demand for halal products, climate conditions, and growing population in Middle and Africa are also playing a pivotal role in supporting the growth of EMEA personal care and cleaning chemicals market.

Report Coverage

The report: “EMEA Personal Care and Cleaning Chemicals Market – Forecast (2019-2024)”, by IndustryARC, covers an in-depth analysis of the following segments of the EMEA Personal Care and Cleaning Chemicals Market.

Request Sample

Key Takeaways

· Europe dominates the EMEA personal care and cleaning chemicals market. European cosmetics, especially the branded products with the designer labels, are considered as high-end products in the global market. The German personal care and cleaning chemicals market accounted for the highest revenue share in 2017.

· The increasing demand for personal care chemicals, supported by the rising consumer awareness towards ingredients and the rising middle class with higher disposable income, is fueling the demand for surfactants.

· The demand for cleaning products is mainly driven by the more demanding lifestyles of people that require cleaning products, which are efficient and requires less time to clean things.

Type - Segment Analysis

Surfactants hold the largest market share of the EMEA personal care and cleaning chemicals market in 2018, followed by esters segment; while mild surfactants are expected to witness the highest growth rate during the forecast period. The growing demand for personal care products, supported by increasing household disposable income, has played a significant role in increasing the demand for surfactants. The personal care industry use amphoteric surfactants owing to its mild and skin-friendly features. Further, in 2017, the Organization for Economic Co-operation and Development (OECD) reported a 3.5% year on year (y-o-y) growth in the European Union’s household disposable income.

Inquiry Before Buying

 Application- Segment Analysis

Cleaning segment held the largest share in EMEA personal care and cleaning chemicals market in 2018, followed by personal care segment; while the personal care segment is expected to witness the highest growth rate during the forecast period. The personal care industry will remain the most attractive market for Europe chemical manufacturers in the forecast period.

Consumers are getting more aware of the organic and natural care products, around 80% the demand from Spain is driven by natural products, which were not tested on animals. The growing consumer demand for organic and natural care products has actuated many industry players to change their planning their production and R&D activities per their customer’s viewpoint.

Geography - Segment Analysis

Europe dominated the EMEA personal care and cleaning chemicals market with a share of 80%, followed by the Middle East and Africa. The growth of personal care and cleaning chemicals market in the European market is mainly driven by growing domestic demand for personal care and cleaning products. In the last few years, Germany has emerged as a major market for cosmetics; while the UK held in the largest share in European sun care products.

In European cleanings products market, household cleaning chemicals held the largest share while Industrial & Institutional segment holds the remaining share. The demand for household cleaning chemicals is mostly driven by the growing utilization of laundry detergents in household laundry activities. The increasing adoption of automated washing machine has boosted the demand for laundry detergent in millions of households around Europe.

Owing to its large consumer base and steady beauty care market, Germany continues to dominate the European personal care and cleaning chemicals market. In 2017, Germany had around 82 million consumers that played a key role in supporting the growth of personal care and cleaning chemicals market. Further, in 2017, the German Cosmetic, Toiletry, Perfumery, and Detergent Association (IKW) reported a 0.5 % y-o-y growth for the beauty care market.

Schedule a Call

 Drivers – EMEA Personal Care and Cleaning Chemicals

·         Product enhancement through R&D and focus on consumer safety in Europe cosmetic industry

The growing R&D investment mainly drives the cosmetics and personal care industry for product development and enhancement. In 2018, Cosmetic Europe reported that Europe has at least 77 innovation facilities that research cosmetics. Scientists in Europe are developing cosmetic products by reformulations and the adoption of modern procedures. European Scientists are using materials at a molecular level to develop whole new generation products, not only for cosmetic products such as sun creams but also medicines, electronics, and telecoms.

The European Union Cosmetics Regulation is another factor driving the market as it regulates the safety of cosmetics for consumers through rigorous science-based regulations. The European consumers are concerned about the quality, safety, and organic content in personal care products which has made the European Union Cosmetics Regulation body to draft the safety rules under Regulation (EC) No. 1223/2009 to fulfill the need and demand of consumer preference.

·         Demand for Halal products, climate conditions, and growing population in MEA region

The cosmetics industry in the Middle East and some part of the African region are focusing on producing Halal personal care products which meet the criteria according to the Islamic faith. The increase in population has escalated the demand for personal care products across the MEA region. With the growing population, more youngsters, including men and women’s are taking up personal care as their daily requirement, need to look better or beautiful.

The Halal products comply with the Islamic faith and reassure Muslim consumers that the products they use are natural, pure, and hygienically manufactured, and animal-cruelty free. The rise of halal category comes hand in hand with the rising segment of the young population keen to combine religious observance with an emphasis on fashion and beauty in the Middle East. Women who wear hijab often need targeted scalp care and hair products, and for men, beard oils and skin balm are popular.

The middle-class population in Africa has a triple fold in the last few decades, and modernization of many African countries has attracted the attention of big cosmetics groups to invest in personal care and cosmetic products.

Buy Now

 Challenges – EMEA Personal Care and Cleaning Chemicals

·         Regulatory challenges from government regulation body

Various regulations related to the usage of certain chemicals in personal care and cleaning products has emerged as a significant challenges beauty industry in Europe, Middle East, and Africa. In Europe, the beauty industry is facing challenges with regulations related to harmonizing the interpretation of the procedure of banning Carcinogenic, mutagenic, reprotoxic (CMR) substances. The EU Cosmetics Regulation 1223/2009 contains provisions on the use of CMR in cosmetic products.

The regulatory standard gives assurance to the consumers that a product is safe and of good quality. In Africa, countries such as South Africa is generally a self-regulated, and firms are still required to comply with certain standards such as Good Manufacturing Practice (GMP), which is costly. Currently, South African Bureau of Standards (SABS) does not offer this service and firms can only opt to private testing making it relatively expensive, but these regulations are not necessarily prohibitive for smaller players looking to access the mass market which in thus raises the concern among consumers for homemade products.

The members of the Gulf Cooperation Council have sophisticated chemical control regulations throughout the Middle East. They have a strict policy towards the consumer goods in chemical and personal care industry following the international market standards which sets a regulatory barrier for local manufacturers to penetrate or come in the market without having accreditation from well known regulatory bodies cited according to international standards.

·         Economic stress and geopolitical tension in the MEA region

The growth in the region can be achieved directly when the region is stable from inside in terms of economic growth and per capita income. The personal care and cleaning chemicals industry’s sales growth rates in the Middle East and some part of Africa has been slow in few years as the region grapples with, international trade regulations and rising geopolitical tensions.

All these factors are directly affecting the buyers buying power as it is crippling the economy, which is affecting the per capita income of the region. Further, it is directly affecting the FDI in the country’s small macro industries for producing commodities according to international standards. A plunge in the Egyptian currency was seen, and Saudi Arabia has reduced dependency on government subsidies, hitting consumer spending.

The unbalance in some parts of African countries such as Zambia has seen a decrease in sustainable economic growth and employment creation, which has affected the spending capabilities of consumers.

South Africa has experienced a premature decline in employment rate and production of the commodity. According to Trade and Industrial Policy Strategies Forum 2017, trade data shows that there is a trade deficit of $536 million for cosmetics and $667 million for soaps and detergents in South African Development Community (SADC) region.

Market Landscape

Product launches, merger & acquisitions, and R&D activities are key strategies adopted by players in the EMEA personal care and cleaning chemicals. In 2018, the market of EMEA personal care and cleaning chemicals had been consolidated by the top five players accounting for xx% of the share. Major players in the EMEA personal care and cleaning chemicals are BASF SE, DowDuPont Inc., Solvay SA, Evonik Industries, AkzoNobel N.V., Symrise AG, Lanxess AG, and Ashland Global Holdings Inc. among others.

Product Launches/ Merger and Acquisition/Product Development

Ø In March 2017, Evonik acquired cosmetics specialist Dr. Straetmans GmbH of Hamburg, Germany. Dr. Straetmans GmbH specializes in developing and marketing alternative preservatives for the cosmetic industry. The move allows Evonik to complement the broad specialties portfolio of its cosmetics business and to further consolidate its position as a leading global partner for the cosmetics industry.

Ø In April 2017, Ashland launched personal care products that are designed to add significant value to industry-leading hair, face and body products. FiberHance bm builds core hair strength without compromising color; Antaron helps sunscreen formulations deliver SPF 50+ UV (ultraviolet) protection without greasiness; and Harmoniance, one of Ashland’s biofunctional products, helps users care for aging skin in multiple ways.

Ø In February 2018, Symrise developed the sensory ingredient for use in creams, gels, and balms and it is readily available to cosmetic formulators.

Ø In July 2018, Symrise launched a SymControl Care active ingredient product that regulates the skin’s sebum production and strengthens the skin barrier.