The rising environmental concerns pertaining to the marked increase in air pollution world over has favorably impacted the lignin market space. In order to find effective alternatives to fossil fuel based raw materials, it has been observed that massive research initiatives have been undertaken by various universities and national laboratories around the globe. Apparently, the outcomes of these research projects have been encouraging with lignin being recognized as an excellent alternative to conventional raw materials such as plastics and carbon fibers. Moreover, there has been a commendable spurt, of late, in the demand for value-added products derived from lignin – a factor that has further boosted the commercialization potential of the global lignin industry.
U.S. Lignin Market Size, By Application, 2016 & 2024 (Kilo Tons)
Even though there has been a rapid progression in technological innovations across the biofuels and bioenergy sectors, renewable fuels are yet to attain widescale popularity as complete and wholesome substitutes for fossil fuels. Furthermore, it would be prudent to mention that the prices of oil and natural gas have significantly slumped over the past few years. This has, in consequence, compelled the biorefineries, researchers, and prominent lignin market participants to explore options for developing economically viable products derived from lignin. Enumerated below are a few instances which underline the significance of research programs that would prove to be quite advantageous to the overall lignin industry space:
Elaborating on the geographical growth prospects, lignin has gained massive popularity across European countries as a colorant in various end use sectors including printing inks, wood stain, food processing, and textile processing. Furthermore, the escalating demand for bio-based products in this region has eventually had a favorable influence on the Europe lignin industry space over the past few years.
Speaking on similar lines, strict regulations such as REACH (namely the registration, evaluation, authorization, and restriction of chemicals) are being laid out by European Union in the recent times. These regulations apparently intend to restrict the transportation and utilization of synthetically driven chemicals – a factor that has consequentially acted as a significant cause to propel the Europe lignin market share. In fact, as per a report compiled by Global Market Insights, Inc., the overall Europe lignin industry share is expected to exceed a striking USD 350 million by 2024.
Concurrently, the rising popularity of lignin-based products and the presence of stringent regulatory structure is certain to impel the fortunes of lignin industry in the near future. Add to it, rapid adoption of new technologies and the abundance of raw materials would vigorously expand the global lignin market share which is forecast to surpass USD 960 million by 2024, as per authentic estimates.