Industrial Alcohol Market Research Report - Forecast to 2027

Industrial Alcohol Market Information: By Source (Sugar & Molasses, Corn, Grains, Fossil Fuels), Type (Ethyl Alcohol, Methyl Alcohol, Isopropyl Alcohol), Application (Fuel, Pharmaceuticals, Personal Care Products, Chemical Intermediate & Solvent), And Region- Forecast Till 2027

ID: MRFR/CnM/4331-HCR | January 2023 | Region: Global | 100 Pages         

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Industrial Alcohol Market

Industrial Alcohol Market is projected to be worth USD 240.23 Billion by 2027, registering a CAGR of 10.2% during the forecast period (2021 - 2027).

By Source Sugar & Molasses Corn Grains Fossil Fuels
By Type Ethyl Alcohol Methyl Alcohol Isopropyl Alcohol
By Application Fuel Pharmaceuticals Personal Care Products Chemical Intermediate & Solvent
Key Players
Companies Profiled   Cargill Inc   MGP Ingredients Inc   Green Plain Inc   Birla Sugar   Cristalo   Greenfield Specialty Alcohols   Flint Hills Resources   Sigma Aldrich   The Andersons Inc   BASF SE
Market Driving Forces   Ethanol can be used in petrol engines as a blending fuel for gasoline    which is the major driver
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Industrial Alcohol Market Overview:

Industrial Alcohol Market is projected to be worth USD 240.23 Billion by 2027, registering a CAGR of 10.2% during the forecast period (2021 - 2027).

Industrial alcohol acts as a reagent and a chemical compound with solvent in various usage purposes of industrial applications like pharmaceutical, energy sectors, chemical industries, and personal care sectors. Such types of alcohol are used in making other types of beverages. According to the market's latest report, the multi-functionality increases the adoption in various end-use applications. However, ethanol is the primarily produced chemical, and it consumes alcohol which is widely used as bio-fuel worldwide. Such fuels are produced by the fermentation in which the sugar is derived from wheat, corn, sugar cane, molasses, andar beets. Moreover, it is used in petrol engines as an alternative to gasoline. Alcohol like methanol, benzyl alcohol, and propyl alcohol is widely used in the production of flavoring, cosmetics, adhesives, and the making of food products. 

The worldwide industrial alcohol market is raising by the on-growing demand for biofuels among the end-users for energy security and the increasing demand for the low-priced feedstock in the chemical industry. However, the flow of demand for the organic solids due to the incredible properties of such alcohols like excessive numbers and more flammability statistics, increase the industrial alcohol market sizein transportation sectors. The shortage of petroleum products and the rise in the cost-effectiveness of energy have also put out the issues of a serious energy crisis that is leading to the increasing utilization of alcohol as an energy source. Moreover, bioethanol is mixed with gasoline and diesel for the utilization of fuels in automobiles. On the other end, the enterprising government initiatives and the raising in the usage of methanol in chemical industries combined with the production and manufacturing facilities are expected to increase the global market growth. However, the increase in the number of partnerships between the companies emerging raises the global industrial alcohol market growth. 

Covid-19 Analysis:

The Covid-19 pandemic has made health, hygiene and safety a primary priority among global customers as well as the organization. After the announcement of a global health emergency by the World Health Organization, the government of several nations has been bound to issue strict lockdown procedures on the entire region. Due to this, numerous industries and manufacturing companies have been facing the loss of production as well as loss in revenue sections. During the lockdown, the international industrial alcohol market sector shaves been fallen severely, and the entire economic sector shave been facing a huge loss in the revenue section for the first time. Due to the lock of international borders, most commercial activities have been stopped, and the stoppage of international cargo tonnage, most factories and manufacturers have been facing a lack of raw materials as well as insufficient labor. 

Chief Existing Factors in the Market:

Key Market Drivers:The emerging global population, as well as the rising income level, have led the industrial as well as the manufacturing industries to grow significantly in this modern industrial alcohol market sector. Due to this, most of the key market drivers have placed their business and focused on generating more production for the customers. Market Challenges:The global industrial alcohol market has been facing several challenges during the production and packaging and other making the large infrastructure facility, but among them, the biggest challenge was to overcome this situation. Every manufacturing industry wants to generate the maximum number of products to meet specific demand of global needs. Market Opportunities:The global industrial alcohol market has been facing a huge loss during the pandemic time. Just after the release of the lockdown, the international market has been opened so vastly, and everybody wanted to increase their production rate. The release of lockdown helped to generate more new business faces to increase their production and meet the present industrial alcohol market challenges, which was the biggest opportunity in the present market. Market Restraints:During the global epidemic, the stoppage of cargo and other international commercial vehicles has shown the multi-manufacturing industries a huge loss in the production criteria. But after this, the cost-effectiveness of raw materials as well as other industrial equipment and factory accessories has led the industrial alcohol market to enter into a serious restraint.

Cumulative Evaluation of the Market:

Due to the declaration of global health security of the global epidemic, the raising of health consciousness has been increased significantly. Most of the people, as well as the workers, are willing to work from the home facilities. Due to the lockdown procedures have implemented in several nations, international business activities have fallen down, and as a result, the investors and the key shareholders in the global industrial alcohol market share have been facing a huge loss in their revenue section. The global industrial alcohol market also gives a huge opportunity for new business faces to overcome this current situation. According to this, most of the new industrial players have come up in this market to generate more production for global customers. During the pandemic, the rising demand for advanced equipment as well as modern infrastructure facilities has also increased tremendously. 

Market Segmentation:

According to the industrial alcohol market analysis report, the global market has been segmented into four types source, type, application and regional basis. On the basis of the source part, the entire market has been classified into five sections sugar & molasses, corn, grains, fossil fuels and others. In terms of the type section, the industrial alcohol market value has been divided into six sections such as ethyl alcohol, methyl alcohol, isopropyl alcohol, isobutyl alcohol, benzyl alcohol and others. According to the application segment, the entire  market sector shave been segmented into six parts fuel, pharmaceuticals, personal care products, food ingredients, chemical intermediate & solvent and others. With the regional basis, the entire market has been classified into five regional bases Asia-Pacific, Europe, North America, South America and Middle East & Africa.

Global Industrial Alcohol Share, by the Application (%)

 Industrial Alcohol Share

Regional Analysis:

In South America, the countries such as Brazil and Argentina have been estimated to increase high growth prospects in the upcoming years. They are the largest producers of grains and corn after the Unites States at the global level, which are driving the demand for the production of industrial alcohol in the other regional sectors. Besides this, the livestock product industries are witnessed a high growth rate, particularly in the Asia-Pacific region, due to the increase in the production of sugarcane. Such things have led to an increase in the production and the demand for sugarcane and bagasse as the livestock products in the other regional sectors. All of these things are ultimately expected to increase the global industrial alcohol market for the industrial alcohol production sectors in the upcoming future times. 

Competitive Intensity within the Industry:

South America has been holding the largest market share of the global industrial alcohol market sectors. All the governments of such countries are continuously focusing on generating a huge number of products which helps to increase the market’s most prominent players in the global business sectors. The countries like the US, Canada, Mexico have been giving a lot of changes to the new business and industrial sectors to increase their production rate. All these things have led this global industrial alcohol market to increase the production rate within the projected period of quarters. Some of the major market players in such industries are:

  • Cargill Inc.

  • MGP Ingredients Inc.

  • Green Plain Inc.

  • Birla Sugar

  • Cristalo

  • Greenfield Specialty Alcohols

  • Flint Hills Resources

  • Sigma Aldrich

  • The Andersons Inc.


Some of the other players who are involved in related industrial alcohol market major value chain are Haike Chemical Group, Lanxess, Exxon Mobil Corporation, Eastman Chemical, Birla Sugar, Khemani Group, Ethanol Company Ltd., Dollex Industries and Praj Industries. 

Recent Markets Development:

The Green Plains has extended all of its facilities at its subsidiary, such as Green Plain Wood River LLC, for the production of FCC grade and USP grade alcohol, meeting FDA specifications. This strategy would allow the company to cater to the demand for alcohol and serve a larger consumer base platform inside the global industrial alcohol market. The MGP ingredients also entered a new era with the collaboration and making the partnerships with RNDC to establish its Green hat Gin brand in Washington D.C. MGP Ingredients also acquired New Columbia Distilleries LLC, which improved the industry hold in the United States, and it also allowed to serve a larger client-based platform in the global business sectors just only to meet the global manufacturing demand. 

Report Overview:

The most recent updates on the industrial alcohol market offer a detailed analysis and information on the key factors of the global market and its revenue growth. The report also provides a thorough analysis of the major industrial opportunities and challenges of the global market. The impact of the global market on the present market has also been placed in this report. In the regional segment, the analysis report mentioned detailed information on the entire nation and the production as well as the leading manufacturing industries. 

Key Industrial Segment:

By Source:

  • Sugar & Molasses

  • Corn

  • Grains

  • Fossil fuels

  • Others

By Type:

  • Ethyl Alcohol

  • Methyl Alcohol

  • Isopropyl Alcohol

  • Isobutyl Alcohol

  • Benzyl Alcohol

  • Others

By Application:

By Regional Sectors:

  • Asia-Pacific

  • Europe

  • North America

  • South America

  • Middle East & Africa

Report Scope:

Report Attribute/Metric Details
  Market Size   2027: USD 241.42 Billion
  CAGR   11.7% (2021-2027)
  Base Year    2020
  Forecast Period    2021-2027
  Historical Data   2019 & 2020
  Forecast Units   Value (USD Billion)
  Report Coverage   Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
  Segments Covered   Source, type and application
  Geographies Covered   North America, Asia Pacific, Europe, Latin America, and the Middle East & Africa.
  Key Vendors   Cargill, Incorporated (U.S.), BASF SE (Germany), Raizen (Brazil), Exxon Mobil Corporation (U.S.), Royal Dutch Shell plc (Netherlands), Eastman Chemical Company (U.S.), Greenfield Global, Inc. (Canada), MGP (U.S.), Green Plains Inc. (U.S.), and Cristalco (France).
  Key Market Opportunities   Increasing demand for organic solvents due to their high efficiency and low toxicity is likely to drive the market
  Key Market Drivers   Ethanol can be used in petrol engines as a blending fuel for gasoline, which is the major driver

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Frequently Asked Questions (FAQ) :

Players like Raizen (Brazil), Cargill, Incorporated (U.S.), BASF SE (Germany), Eastman Chemical Company (U.S.), Exxon Mobil Corporation (U.S.), Royal Dutch Shell plc (Netherlands), Green Plains Inc. (U.S.), Greenfield Global, Inc. (Canada), MGP (U.S.), and Cristalco (France) would make a definite impact on the industrial alcohol market growth.

Eminent players of the industrial alcohol market would use brand positioning, collaboration, product launch, acquisition, innovation, rising R&D investment, merger, and others as effective strategies.

The Asia Pacific region would exhibit higher growth opportunities as the industrial alcohol market.

The implementation of technologies to develop low-cost industrial alcohols would ensure better growth for the industrial alcohol market.

Chemical, pharmaceutical, and others would make a definite impact on the industrial alcohol market.

Industrial Alcohol Market is projected to be worth USD 241.42 Billion by 2027, registering a CAGR of 11.7%