Ethanol Market is anticipated to grow at a CAGR of 4.6% from 2020 to 2030.
Market Industry Reports (MIR) has published a new report titled “Ethanol Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2020–2030.” According to the report, the global ethanol market accounted forover US $19.71 billion in 2019. It is anticipated to grow at a CAGR of 4.6% from2020 to 2030.
The COVID-19 pandemic is a crisis,which presently has no therapeutic solution such as vaccines or drugs. Hence, countries & governments are taking serious decisions, including locking down the country for months or beyond, to control the spread of the Severe Acute Respiratory Syndrome Coronavirus 2 (SARS-CoV-2). As a result, there is a hugedrop in the demand for gasoline due to the unavailability of transportation. For instance, according to the Renewable Fuels Association (RFA),in the U.S., the sale of ethanol fell by approximately US$ 10 billion due to the COVID-19 pandemic. Additionally, more than 70 ethanol production facilities have been fully dysfunctional.
On the other side, sanitizers have been playing a vital role in controlling the spread of this virus, resulting inthehigh demand for sanitizers across the globe. Moreover, government regulations to manufacture sanitizers with more than 70% of alcohol content are positively impacting the market growth of ethanol. Various government initiatives to promote bio-based fuels due to rising environmental concernsare further driving market growth. Additionally, the growing use of food-grade ethanol to manufacture concentrated flavors is supplementing this growth.
However, the instability of raw material prices and restrictions on transportation due to the COVID-19 lockdown will pose major challenges for market growth. Also, the decreasing consumption of alcoholic beverages worldwide due to the COVID-19 pandemic is hampering market growth.
Browse key industry insights spread across 160 pages with market data tables & figures & charts from the report, Ethanol Market By Type(Bio-Ethanol and Synthetic Ethanol), By Grade (Food Grade, Industrial Grade, Pharmaceutical Grade, and Fuel Grade), By End-Use Industry (Food & Beverages, Automotive, Healthcare, Textiles, and Cosmetics & Personal Care)–Global Analysis & Forecast 2020-2030. in detail along with the table of contents:https://www.marketindustryreports.com/ethanol-market/326
North America accounted for the largest market share in 2019 owing to the extensive use of ethanol as a fuel. Also, the high consumption of alcoholic beverages in the region boostedthis growth. Currently, the ethanol market in North America has been facing various challenges due to the COVID-19 pandemic. However, the increasing demand for sanitizers is supplementing market growth. Asia Pacific is expected to grow with the highest CAGR during the forecast period. This growth can be attributed to the growing use of ethanol as a solvent to manufacture varnishes and perfumes.
Some of the prominent players in the ethanol market include ADM, POET, LLC, Valero Energy Corporation, Flint Hills Resources, Cargill Incorporated, The Andersons, Inc., and BP p.l.c., among others.
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