Butylated Hydroxytoluene Market - Forecast(2023 - 2028)

Overview

Butylated Hydroxytoluene Market is forecast to reach $297.18 million by 2025, after growing at a CAGR of 5.30% during 2020-2025. The global demand for butylated hydroxytoluene is rising due to its growing demands from food and beverage and oil and gas industries and this trend is projected to persist even during the forecast period. Butylated Hydroxytoluene is widely used to prevent oxidation in fluids like oil, fuel and other materials where the free radicals must be controlled. Moreover, increasing usage of butylated hydroxytoluene in plastic and rubber is driving the demand for butylated hydroxytoluene industry during the forecast period. The report covers Butylated Hydroxytoluene Market size by type and applications, Butylated Hydroxytoluene Market share by top 5 companies and also the market share by start-ups during the forecast period.

Report Coverage

The report: “Butylated Hydroxytoluene Market – Forecast (2020-2025)”, by IndustryARC, covers an in-depth analysis of the following segments of the Butylated Hydroxytoluene Market.

Key Takeaways

• The market for butylated hydroxytoluene is influenced by the rising demand for cosmetics products, the evolution of environment-friendly chemicals required by healthcare industries, and development of food and beverage industries, which require largely butylated hydroxytoluene.
• Utility of butylated hydroxytoluene as an animal feed to increase disease resistance in animals drives market growth.
• Usage of butylated hydroxytoluene in poultry to improve color and minimize sour taste in eggs as well as  meat will prompt the growth of the market.

By Grade - Segment Analysis

Food Grade segment held a significant share in the butylated hydroxytoluene market in 2019. BHT (Butylated Hydroxytoluene) is a food-grade antioxidant used to delay the oxidative rancidity of oils and fats and thereby extend the shelf life of both food and cosmetics. It is recognized as safe for use in food when the total content of antioxidants does not exceed 0.02% of the fat or oil content of the food. BHT species behaves like a synthetic analog of vitamin E, primarily acting as a terminating agent that suppresses autoxidation. BHT stops this autocatalytic reaction by converting peroxy radicals to hydroperoxides. BHT food grade is stable over long periods of time when stored under normal (below 77o), dry conditions, unopened, in the original container.

By End-Use Industry - Segment Analysis

Food and Beverage segment held a significant share in the butylated hydroxytoluene market in 2019. Due to oxidation limiting property, BHT is added to fish oil and meal. It helps to prevent lipid oxidation present in fish and fish products. Rising demand for caviar and other fishes due to increasing disposable incomes of consumers will have a positive impact on the market. BHT meets FDA requirements for utilization in food products. It is also considered GRAS (generally recognized as safe) by the FDA intensifying butylated hydroxytoluene market growth.

By Application - Segment Analysis

The cosmetic Ingredient segment held the largest share in the butylated hydroxytoluene market in 2019. Owing to the high utility of BHT in the manufacturing of cosmetic products, the usage of butylated hydroxytoluene in cosmetics is expected to grow during the forecast period. The product acts as an antioxidant & preservative and slows the degradation of cosmetics which occurs owing to a chemical reaction in the presence of oxygen. Rising population, improving the standard of living, and intensifying e-commerce activities have led to increased demand for cosmetic products which in turn increases the demand for butylated hydroxytoluene.

Geography - Segment Analysis

Asia-Pacific dominated the butylated hydroxytoluene market with a share of more than 38.5% during the forecast period. The high demand is mainly attributed to the industrial growth of the region. Asia-Pacific is a hub for plastics, animal feed chemical, personal care, pharmaceutical and food & beverages industries. Many foreign investors commenced the manufacturing facilities in the region due to low production costs. This is the one of the major factors contributing to the growth of butylated hydroxytoluene market in APAC.

Drivers – Butylated Hydroxytoluene Market

·         Burgeoning demand for food additives

Burgeoning demand for food additives as a result of the rising in the intake of processed diet including ready to cook food, meat, and noodles will accelerate the butylated hydroxytoluene (BHT) market. Preservative and antioxidant properties of the the product will help to prevent spoiling of the food, thereby further proliferating the market growth during the forecast period. In addition, the prominent rise in industrialization formed the basis for the growth of the manufacturing sector. This has turned into a high demand for lubricants in the processing industry of equipment. BHT, with its beneficial thermal deterioration characteristic in lubricant production, leads to protuberant growth in the market for butylated hydroxytoluene (BHT).

Challenges – Butylated Hydroxytoluene Market

·         Health issues due to excessive usage of BHT

Widespread use of BHT as an additive in the diet will have an adverse impact on the health of the individual. High consumption other than prescribed by FDA may result in illness including thyroid hyperactivity, enlargement of the liver, induction of several liver enzymes which may hamper butylated hydroxytoluene market. In a predictive clinical test, 100% BHT was a mild irritant and a moderate sensitizer. In provocative skin tests, BHT (in the 1% to 2% concentration range) produced positive reactions in a small number of patients. The European Union has put into effect an Integrated Pollution Prevention and Control (IPPC) Directive in order to restrict the utilization of harmful chemicals that shall have a negative effect on the overall growth of the butylated hydroxytoluene market in this region. Presence of several natural antioxidant substitutes including polyphenols, vitamin E, and vitamin C may hamper butylated hydroxytoluene market.

Market Landscape

Technology launches, acquisitions and R&D activities are key strategies adopted by players in the butylated hydroxytoluene market. In 2019, the market of butylated hydroxytoluene has been consolidated by the top five players accounting for xx% of the share. Top 10 companies in the butylated hydroxytoluene market are Sasol Limited, Lanxess AG, Eastman Chemical Company, Oxiris Chemicals S.A., HELM AG, Finoric Llc, Honshu Chemical Industry Co. Ltd, Twinkle Chemi Lab Pvt Ltd, Yasho Industries Limited, Milestone Preservatives Pvt Ltd, and Finar Limited among others.

Agreement/ Product Launch

Ø  In July 2017, Kemin industry launched a color protection simulator for food and beverages in their North America branch. The consumer friendly antioxidants are used as color protection solutions, including Butylated Hydroxyanisole, Butylated Hydroxytoluene, or Tertiary-Butylhydroquinone. The simulator helps production units to determine the optimal antioxidant solution in order to meet the requirements of their desired shelf life.

Ø  In August 2017, Cargill made an agreement with Richmond Va. -based Southern States Cooperative Inc. to acquire the animal feed business of Richmond Va. -based Southern States Cooperative Inc. With this, Cargill will introduce the venture into the animal feed industry, thus, strengthening its distribution.