Ethanol Market, By Process (Wet Milling and Dry Milling), By Source (Natural Source and Synthetic Source), By End-Use Industry (Automotive, Alcoholic Beverages, Pharmaceutical, and Cosmetic), and by Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) is estimated to be valued at US$ 104.3 Bn in 2024 and is expected to exhibit a CAGR of 5.2% during the forecast period (2024 -2031), as highlighted in a new report published by Coherent Market Insights.
Increasing research initiatives by various organization is expected to drive the ethanol market growth. In March 2022, Ganesh Benzoplast Limited, K N Agri Resources Ltd, Golden Agri International Enterprises Pte. Ltd. (Singapore), and numerous investors, through Bluebrahma Clean Energy Solutions Pvt Ltd. ventured into the manufacturing of ethanol. This venture was possible with the acquisition of a 100% share of an ongoing distillery located in Maharashtra, India named Sagar Industries and Distilleries Pvt. Ltd. (SIDPL).
Ethanol Market– Impact of Coronavirus (COVID-19) Pandemic
The World Health Organization (WHO) designated the illness caused by the Severe Acute Respiratory Syndrome Coronavirus 2 (SARS-CoV-2), which first appeared in Wuhan (province of Hubei, China) in the last months of 2019 as "coronavirus disease 2019" or COVID-19. This virus spread quickly and had a serious negative impact on the economies, social behaviors, and healthcare of every country in the world.
COVID-19 affected the economy in three main ways: by directly affecting production and demand, by creating disruptions in distribution channels, and through its financial impact on firms and financial markets. Due to the lockdown, several countries, such as India, China, Brazil, and others, faced problems with regard to the transportation of drugs from one place to another.
Ethanol production facilities faced operational challenges, including ensuring worker safety, implementing health protocols, and, in some cases, scaling back or halting production due to the reduced demand for ethanol.
The ethanol market experienced price volatility as a result of the imbalance between supply and demand. Prices for ethanol as a commodity were also influenced by fluctuations in the price of corn, sugarcane, and other feedstock due to production and supply chain disruptions.
Some governments temporarily relaxed regulations around ethanol production and use, primarily to facilitate the increased production of ethanol for sanitizers. In other cases, regulatory support for ethanol blending mandates was reconsidered in light of changing market dynamics.
Some ethanol producers converted their facilities to produce higher-grade ethanol for use in sanitizers and cleaning products, rather than the lower-grade ethanol typically used for fuel.
Many ethanol producers faced financial difficulties as a result of shifting market conditions. These financial impacts were compounded by pre-existing market pressures such as trade tensions and competition from other fuels.
The pandemic has led to increased discussions around sustainability and environmental impact, which could influence long-term policy and consumer demand for renewable fuels including ethanol.
Link: https://www.coherentmarketinsights.com/market-insight/ethanol-market-276
Ethanol Market– Key Developments
In February 2023, as part of its growing Kemin Bio Solutions lineup, Kemin Industries unveiled FermSAVER, a tea-extract product utilized in yeast fermentation for the generation of ethanol.
Kemin Industries is a global ingredient manufacturer that supplies specialty ingredients for various industries, including human/animal health and nutrition, pet food, agricultural, nutritional, food technologies, crop technologies, and textile industries. The company was established in 1961 and is privately held, with more than 2,800 global employees and operations in 90 countries. It has manufacturing facilities in several countries, including the United States, Belgium, Brazil, China, India, Italy, Russia, and Singapore. Kemin Industries is known for its commitment to sustainability and its efforts to transform the quality of life for a large portion of the world's population.
Browse 36 Market Data Tables and 33 Figures spread through 180 Pages and in-depth TOC on “Ethanol Market, By Process (Wet Milling and Dry Milling), By Source (Natural Source and Synthetic Source), By End-Use Industry (Automotive, Alcoholic Beverages, Pharmaceutical, and Cosmetic), and By Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa)
Key Takeaways of the Ethanol Market:
- The ethanol market is expected to exhibit a CAGR 5.2% during the forecast period. The merger with emerging economies offers lucrative growth opportunities for players in the ethanol market.
- Among region, North America is expected to be dominant in the ethanol market, owing to the presence of major players such as Archer Daniels Midland Company, Grain Processing Corporation, and other key market player contributing to the growth in this region
- The major players operating in the ethanol market include Cargill Inc., Archer Daniels Midland Company, Grain Processing Corporation, Ace Ethanol LLC, Advanced Bio Energy LLC, MGP Ingredients, Flint Hills Resources, and Marquis Energy
