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India Formic Acid Market

ID: MRFR/CnM/44120-HCR
111 Pages
Chitranshi Jaiswal
October 2025

India Formic Acid Market Research Report By Production Method (oxalic acid, carbonylation of methanol) and By Application (rubber, leather production, cleaning agent, finishing textile, preservatives, dyeing, animal feed, others) - Forecast to 2035

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India Formic Acid Market Summary

As per Market Research Future analysis, the formic acid market size was estimated at 200.38 $ Million in 2024. The formic acid market is projected to grow from 219.17 $ Million in 2025 to 537.45 $ Million by 2035, exhibiting a compound annual growth rate (CAGR) of 9.3% during the forecast period 2025 - 2035

Key Market Trends & Highlights

The India formic acid market is experiencing robust growth driven by agricultural demand and sustainable practices.

  • The agricultural sector emerges as the largest segment, reflecting a rising demand for formic acid in crop protection and animal feed.
  • Technological advancements in production processes are likely enhancing efficiency and reducing costs in formic acid manufacturing.
  • The textile industry is identified as the fastest-growing segment, driven by increasing applications of formic acid in dyeing and finishing processes.
  • Key market drivers include the expansion of the agricultural sector and increasing industrial applications, particularly in chemical manufacturing.

Market Size & Forecast

2024 Market Size 200.38 (USD Million)
2035 Market Size 537.45 (USD Million)
CAGR (2025 - 2035) 9.38%

Major Players

BASF SE (DE), Eastman Chemical Company (US), Huntsman Corporation (US), Perstorp Holding AB (SE), Mitsubishi Gas Chemical Company, Inc. (JP), Taminco (BE), Shandong Jinmei Fenghua Chemical Company (CN), Ferro Corporation (US)

India Formic Acid Market Trends

The formic acid market is currently experiencing notable developments, driven by various factors including industrial applications and environmental considerations. This organic compound, known for its utility in agriculture, textiles, and chemical synthesis, is witnessing increased demand as industries seek sustainable alternatives. The agricultural sector, in particular, utilizes formic acid as a preservative and feed additive, which appears to enhance livestock health and productivity. Furthermore, the growing emphasis on eco-friendly practices is likely to propel the market forward, as manufacturers adapt to regulatory changes and consumer preferences for greener products. In addition, the formic acid market is influenced by advancements in production technologies and supply chain dynamics. Innovations in manufacturing processes may lead to cost reductions and improved efficiency, thereby enhancing market competitiveness. The presence of a robust chemical industry in India, coupled with rising investments in research and development, suggests a promising outlook for the formic acid market. As industries continue to evolve, the interplay between demand, production capabilities, and regulatory frameworks will shape the future landscape of this market.

Rising Demand in Agriculture

The agricultural sector is increasingly adopting formic acid for its benefits as a preservative and feed additive. This trend indicates a shift towards enhancing livestock health and productivity, which may drive further growth in the market.

Focus on Sustainable Practices

There is a growing emphasis on eco-friendly solutions within various industries. This focus on sustainability suggests that formic acid, being a versatile organic compound, could see heightened demand as companies seek to comply with environmental regulations.

Technological Advancements in Production

Innovations in production technologies are likely to enhance the efficiency and cost-effectiveness of formic acid manufacturing. This trend may improve the competitive landscape, allowing for greater market penetration and expansion.

Market Segment Insights

By Production Method: Oxalic Acid (Largest) vs. Carbonylation of Methanol (Fastest-Growing)

In the India formic acid market, the production method segment is primarily dominated by oxalic acid, which holds a substantial share due to its extensive applications in various end-user industries. Its established presence in the market allows it to benefit from economies of scale, while the carbonylation of methanol is gaining traction, being recognized for its innovative approach to formic acid production. The growth trends in this segment are influenced by rising environmental regulations and a shift towards sustainable production techniques. The carbonylation process is emerging rapidly due to its efficiency in converting methanol into formic acid, thus attracting investments and technological advancements. This trend is anticipated to shape the competitive landscape of the production methods in the coming years.

Production Method: Oxalic Acid (Dominant) vs. Carbonylation of Methanol (Emerging)

Oxalic acid stands as the dominant production method in the India formic acid market, revered for its reliability and established applications across sectors, such as textiles and pharmaceuticals. Its production process offers cost advantages and continuous demand from established industries, rendering it a staple in the market. On the other hand, carbonylation of methanol is recognized as an emerging production method, gaining attention for its innovative synthesis approach. As companies focus more on sustainable practices, this method is anticipated to grow rapidly due to its effectiveness and lower environmental impact, thereby appealing to manufacturers looking to innovate while meeting regulatory requirements.

By Application: Rubber (Largest) vs. Cleaning Agent (Fastest-Growing)

The application segment in the India formic acid market is prominently led by the rubber industry, which consumes a significant share of formic acid for various applications such as vulcanization and formulation of rubber-based products. Other noteworthy applications include leather production, which also contributes to the market share, alongside cleaning agents and preservatives. Each segment showcases diverse usage, reflecting the adaptability of formic acid across various industries. Growth trends indicate a rising demand for formic acid driven by innovations in end-user industries, particularly in cleaning and rubber manufacturing. The expanding automotive and textile industries are further fueling the consumption of formic acid. Among these, the cleaning agent segment is recognized as the fastest-growing, attributed to increased consumer awareness regarding hygiene and the need for effective cleaning solutions.

Rubber (Dominant) vs. Cleaning Agent (Emerging)

The rubber segment stands out as the dominant force in the application landscape due to its extensive use of formic acid in enhancing the properties of rubber products, making them more durable and flexible. Conversely, the cleaning agent segment is marked as emerging, driven by a surge in demand for eco-friendly and effective cleaning solutions. As consumers gravitate towards sustainable products, companies are increasingly incorporating formic acid into formulations to address this trend. The versatility of formic acid in both segments creates a robust competitive landscape, encouraging innovation and expansion to meet diverse market needs.

Get more detailed insights about India Formic Acid Market

Key Players and Competitive Insights

The formic acid market in India is characterized by a competitive landscape that is increasingly shaped by innovation, sustainability, and strategic partnerships. Key players such as BASF SE (DE), Eastman Chemical Company (US), and Huntsman Corporation (US) are actively pursuing strategies that enhance their market positioning. BASF SE (DE) focuses on sustainable production methods, which aligns with the growing demand for eco-friendly chemicals. Meanwhile, Eastman Chemical Company (US) emphasizes innovation in product development, particularly in applications for agriculture and textiles. Huntsman Corporation (US) is leveraging its extensive distribution network to optimize supply chains, thereby enhancing its operational efficiency. Collectively, these strategies contribute to a dynamic competitive environment where companies are not only vying for market share but also striving to meet evolving consumer expectations.

The business tactics employed by these companies reflect a nuanced understanding of the market's structure, which appears moderately fragmented. Localizing manufacturing operations has become a common tactic, allowing companies to reduce costs and improve responsiveness to regional demands. Supply chain optimization is also a focal point, as firms seek to mitigate risks and enhance reliability. The collective influence of these key players is significant, as they navigate a landscape that requires agility and adaptability in response to market fluctuations.

In October 2025, BASF SE (DE) announced a partnership with a local Indian firm to develop a new production facility aimed at increasing the output of sustainable formic acid. This strategic move is likely to bolster BASF's presence in the region while addressing the rising demand for environmentally friendly products. The establishment of this facility not only enhances production capacity but also signifies a commitment to local market needs, potentially positioning BASF as a leader in sustainable chemical solutions.

In September 2025, Eastman Chemical Company (US) launched a new line of formic acid derivatives specifically designed for agricultural applications. This initiative reflects Eastman's focus on innovation and its intent to capture a larger share of the agricultural chemicals market. By diversifying its product offerings, Eastman is likely to strengthen its competitive edge and respond effectively to the increasing demand for specialized agricultural inputs.

In August 2025, Huntsman Corporation (US) expanded its distribution network in India through a strategic alliance with a regional logistics provider. This expansion is expected to enhance Huntsman's supply chain capabilities, allowing for quicker delivery times and improved service levels. Such strategic actions are indicative of Huntsman's commitment to operational excellence and customer satisfaction, which are critical in a competitive market.

As of November 2025, the competitive trends in the formic acid market are increasingly defined by digitalization, sustainability, and the integration of advanced technologies. Companies are forming strategic alliances to enhance their capabilities and market reach, which is reshaping the competitive landscape. The shift from price-based competition to a focus on innovation, technology, and supply chain reliability is evident. Moving forward, competitive differentiation will likely hinge on the ability to innovate and adapt to changing market dynamics, with sustainability becoming a core component of strategic planning.

Key Companies in the India Formic Acid Market market include

Industry Developments

The India Formic Acid Market has experienced notable developments in recent months. In September 2023, Jiangsu Zhongtian expanded its production capabilities, tapping into the increasing demand in the region. Vasantha Chemicals reported a surge in production output, reinforcing its position in the market amid rising raw material costs. Meanwhile, Bohui Chemical announced strategic investments aimed at enhancing their manufacturing efficiency, supporting the growing consumption of formic acid in the agriculture and leather industries. Current affairs highlight a competitive landscape driven by technological advancements and sustainable practices, with companies like Puyang Yintai implementing eco-friendly processes.

In a significant move in January 2023, Methanol Holdings acquired a stake in local production to boost supply, emphasizing the importance of regional production amidst global supply chain challenges. Growth in market valuation has been notable, spurred by rising applications across sectors, including textiles and pharmaceuticals. Over the last couple of years, Tamil Nadu Petroproducts has been focusing on diversifying its portfolio, aiming to meet the increasing domestic and export demand. Overall, the India Formic Acid Market reflects robust growth dynamics driven by both domestic and international market forces.

Future Outlook

India Formic Acid Market Future Outlook

The formic acid market in India is projected to grow at a 9.38% CAGR from 2024 to 2035, driven by increasing demand in agriculture, textiles, and pharmaceuticals.

New opportunities lie in:

  • Expansion of production facilities to meet rising agricultural demand.
  • Development of eco-friendly formic acid derivatives for sustainable applications.
  • Investment in R&D for innovative applications in pharmaceuticals and textiles.

By 2035, the formic acid market is expected to achieve robust growth, driven by diverse applications and strategic investments.

Market Segmentation

India Formic Acid Market Application Outlook

  • Rubber
  • Leather Production
  • Cleaning Agent
  • Finishing Textile
  • Preservatives
  • Dyeing
  • Animal Feed
  • Others

India Formic Acid Market Production Method Outlook

  • Oxalic Acid
  • Carbonylation of Methanol

Report Scope

MARKET SIZE 2024200.38(USD Million)
MARKET SIZE 2025219.17(USD Million)
MARKET SIZE 2035537.45(USD Million)
COMPOUND ANNUAL GROWTH RATE (CAGR)9.38% (2024 - 2035)
REPORT COVERAGERevenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR2024
Market Forecast Period2025 - 2035
Historical Data2019 - 2024
Market Forecast UnitsUSD Million
Key Companies Profiled["BASF SE (DE)", "Eastman Chemical Company (US)", "Huntsman Corporation (US)", "Perstorp Holding AB (SE)", "Mitsubishi Gas Chemical Company, Inc. (JP)", "Taminco (BE)", "Shandong Jinmei Fenghua Chemical Company (CN)", "Ferro Corporation (US)"]
Segments CoveredProduction Method, Application
Key Market OpportunitiesGrowing demand for sustainable agricultural practices enhances opportunities in the formic acid market.
Key Market DynamicsRising demand for formic acid in agriculture and textiles driven by regulatory support and sustainability initiatives.
Countries CoveredIndia

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FAQs

What is the expected market size of the India Formic Acid Market in 2024?

The India Formic Acid Market is expected to be valued at 229.0 USD Million in 2024.

What will the market size grow to by 2035?

By 2035, the India Formic Acid Market is projected to reach a value of 717.0 USD Million.

What is the expected CAGR for the India Formic Acid Market from 2025 to 2035?

The expected CAGR for the India Formic Acid Market from 2025 to 2035 is 10.933 %.

Which production methods are significant in the India Formic Acid Market?

The significant production methods in the market are oxalic acid and carbonylation of methanol.

What is the market value for oxalic acid in 2024?

The market for oxalic acid is expected to be valued at 90.0 USD Million in 2024.

What will the oxalic acid market value be in 2035?

The oxalic acid market is projected to reach 284.0 USD Million by 2035.

How much is the carbonylation of methanol segment valued at in 2024?

The carbonylation of methanol segment is expected to be valued at 139.0 USD Million in 2024.

What will the value of the carbonylation of methanol segment be in 2035?

By 2035, the carbonylation of methanol segment is anticipated to be valued at 433.0 USD Million.

Who are the key players in the India Formic Acid Market?

Key players include Jiangsu Zhongtian, Vasantha Chemicals, Puyang Yintai, and BASF, among others.

What are the main applications driving the growth of the India Formic Acid Market?

The main applications driving growth include agriculture, leather processing, and pharmaceuticals.

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