ID: MRFR/CnM/8346-HCR | July 2020 | Region: Global | 449 pages
According to MRFR analysis, the global cosmetic antioxidants market is expected to reach around USD 212 Million by 2028 at a CAGR of 6% from 2021 to 2028.
Cosmetic antioxidants are natural and chemically derived antioxidants used in various cosmetic products such as skincare, haircare, and makeup. Antioxidants are naturally made from vitamins and minerals that include vitamin A, vitamin C, vitamin E, butylated hydroxyanisole (BHA), carotenoids, and butylated hydroxytoluene (BHT), amongst others. These antioxidants are widely used in various anti-aging, anti-inflammatory, UV protection, moisturizing, and hair conditioning products.
The demand for cosmetic antioxidants is increasing mainly due to the growing personal care and cosmetic industry, especially in Asia-Pacific. Some of the key drivers of the cosmetics market are the rise of the middle and upper-income classes, the emergence of new consumer targets, including seniors and men, the digital revolution (as beauty has a vast potential in terms of engaging with people on the Internet), and e-commerce (extending the reach of the beauty industry to a larger number of consumers across the globe). Substantial spending on cosmetics & personal care products in emerging economies such as India, Indonesia, Hong Kong, Australia, and Japan boost the global demand. The factors attributed to the growth arean increase in income levels owing to higher employment levels, minimum wages, and urbanization. Moreover, continued growth in organized retail, the emergence of the young urban population with rising disposable income in emerging economies is estimated to propel the growth of the market. Furthermore, some other factors such as mounting aspirations, an increase in thenumber of working women, changing lifestyles, increased affordability of lifestyle-oriented and luxury products, greater product choice, and availability of a specific product in e-commerce platforms have positively influenced the growth of the global market.
The high cost of natural cosmetic antioxidants, such as rosemary extract, vitamin A, and vitamin C—due to high raw material cost—may hamper the growth of the market. Furthermore, the increasing prevalence of male-centric cosmetic products coupled with robust growth of the men’s grooming products market. Furthermore, the increasing trend of chemical-free products and rising consumption of organic and natural ingredients is boosting the growth of the market. Moreover, another prominent trend observed in the market is a continuous focus on multifunctionality as product development. Although multifunctionality is a relatively old trend in the market, it is being extended towards the newer products in the market. With changing lifestyles, consumer needs are evolving towards multifunctionality in various personal care product categories.
All the above-mentioned factors are projected to boost the demand for cosmetic antioxidants during the review period.
The cosmetic industry is highly regulated under the Federal Food, Drug, and Cosmetic Act (FD&C Act) by FDA. In addition to this, every region and country hasits own regulatory system that regulates cosmetic production and packaging. The European Cosmetics Regulation instructs that all cosmetics products must be produced in accordance with the harmonized standards laid out in Good Manufacturing Practices (GMP), in turn, described in the official journal of the European Union. Moreover, EU Cosmetics Regulation includes a set of strict rules for labeling cosmetic products; all of them must be present in the product container and packaging. If the product packaging does not have proper labeling, then it will not be permitted in the market. Furthermore, The Canadian government regularly updates the cosmetic ingredient hotlist that comprises hundreds of chemicals and contaminants prohibited and restricted from use in cosmetics. In 2013, the Israeli government announced new regulation, which is aligned with EU directive 1223/2009 that restricts the use of certain ingredients in cosmetics and personal care products. On similar lines, China Food & Drug Administration (CFDA) sets the standards for the use of cosmetics and personal care ingredients through a regulatory framework.
Covid Impact Analysis
The outbreak of COVID-19 has had a negative impact on cosmetic antioxidants production due to the disruption in the supply chain across the globe. This is because of the restrictions on travel and face-to-face meetings coupled with lockdown and curfews to limit the spread of the coronavirus. The majority of raw materials suppliers in this market had to shut down their operating facilities due to the outbreak of COVID-19. In response to combat the virus, the key suppliers shifted their focus toward offering relief in the pandemic. However, these companies have begun operations again. Looking at the situation, many chemical companies have halted their production facilities across the globe. Some other companies, which are still working, are operating at only 40-60% efficiency.
Manufacturers in this market have decreased their production capacities owing to the decline in demand from the end-use industries, reduced prices, and disruptions in the supply of raw materials. Key players in the market have witnessed a decline in revenue in the fiscal year 2020 as compared to 2019. The manufacturers are taking a toll due to reduced demand for products and have announced reduced capital for their prospects. In addition to this, the imposition of various fiscal and monetary policies across the globe to limit the damage caused by COVID -19 by the governments and managements is expected to result in certain relief.
Stringent regulations on cosmetic ingredients