PROPIONITRILE MARKET ANALYSIS

Market Challenges And Opportunities

Drivers

The growing awareness for calories intake has led to an increasing demand for low-calorie food products and is driving the market growth of the Propionitrile. It is used as a building block in the production of the pharmaceutical drug flopropione that is used as serotonin receptor antagonist and spasmolytic agent that acts as an inhibitor in the pharmaceutical industry. Hence, rising cases of irritable bowel syndrome is accelerating the demand for antispasmolytic drug and ultimately favoring the market growth. According to International Foundation for Functional Gastrointestinal Disorders, 2016, the count for irritable bowel syndrome was approximately 10-15% globally. Furthermore, as the same source states, in the U.S., there are between 2.4 and 3.5 million annual physician visits for IBS. According to the Anxiety and Depression Association of America, on an average one in five adults in the U.S. are suffering from irritable bowel syndrome. Hence, rising demand from pharmaceutical industry is expected to favor the growth of the propionitrile market over the forecast period. For instance, according to India Brand Equity Foundation (IBEF), the pharmaceutical sector in India accounted for 2.4% share of the global pharmaceutical industry in terms of value in 2017 and is expected to expand at a CAGR of 12.89% during 2015 to 2020. Additionally, the increasing inclination of the countries towards the healthcare system is expected to further boost the market in the coming years. For instance, according to the Office of National Statistics, the total healthcare expenditure in the U.K during 2017 was around 9.6% of the GDP.

Market Restraints

The toxic nature of propionitrile is hampering the product demand. According to International Labour Organization (ILO), propionitrile is acknowledged as a moderate or highly toxic compound. Its exposure can be through ingestion, inhalation, and absorption through skin, and the targeted organs are liver, kidney, lungs, and eyes.

It is also considered as a flammable and combustible material and can be ignited by heat or flames. When heated to decomposition, it is noted to emit toxic fumes of nitrogen oxides and cyanide. According to European Chemicals Agency (ECHA), propionitrile was listed as flammable liquid and toxic compound. High exposure to propionitrile can cause various health issues such as nausea, headache, weakness, and dizziness, which are the major factors restraining the growth of the propionitrile market across the globe.