According to the Soap and Detergent Association, there are over 1,500 uses for glycerin. The uses range from energy bars to cough syrups to protective boat coatings. With 1,500 uses, the market is expected to be fragmented. While this traditionally meant that refiners commanded more market power, much of this power has been undermined with the recent glut of crude glycerin in the domestic market. The top three uses for refined glycerin are food products, personal care products, and oral care products. These three uses account for 64% of refined glycerin consumption. The graphic at right denotes a complete breakdown of glycerin consumption by end use.
Glycerin has unique properties which make it a useful component of food products – mostly as humectants in food products. As a humectant, glycerin absorbs water molecules from the air, helping keep food moist
and prevent crumbling. This property of glycerin helps preserve food and keep it fresh for longer periods of time. Glycerin is also making inroads into the sporting world as a unique carbohydrate source. Its chemical properties give it a sweet taste, but unlike other carbohydrates, glycerin does not cause an insulin surge during the digestion process. This means excess energy from glycerin is not stored in the body as fat, making glycerin ideal for body-builders as it provides short-term energy but does not increase body fat. Moreover, glycerin has water-retention properties which make it ideal for sports drinks. Glycerin can be used as a lubricant in food manufacturing facilities because it is non-toxic and has many lubricant properties.
Personal care products account for 23% of the usage of refined glycerin. The properties of glycerin are ideal ingredients in many personal care products, mostly helping to prevent moisture loss. Thus, glycerin is used as an emollient in skin creams, lotions, shaving creams, makeup, and deodorant. Oral care product usage accounts for 17% of refined glycerin demand. Glycerin is commonly found in toothpastes, mouthwashes, and sugar-free gum, giving these products a sweet taste without contributing to tooth decay. Gel toothpastes generally contain more glycerin than traditional toothpastes because glycerin helps to provide a smooth appearance.
Glycerin is used as a humectant and sweetener in the manufacture of tobacco, accounting for 11% of refined glycerin consumption. Glycerin is often sprayed on leaves before processing to prevent crumbling and dehydration. It is used as a plasticizer in cigarette papers as well as a sweetener in chewing tobacco. Glycerin provides one of the basic chemical building blocks for the construction of rigid polyurethane foams. The usage in this category accounts for 8% of glycerin consumption.
Glycerin is used in many medicinal formulations, accounting for 7% of refined glycerin consumption. Glycerin provides lubrication and smoothness to many cough syrups and elixirs. It can be used as a plasticizer in gel caps and is an active ingredient in the emergency heart medicine, nitroglycerine. Miscellaneous uses of glycerin account for 10% of refined glycerin consumption. About 3% of refined glycerin is used for the formulation of alkyd resins. Alkyd resins are used as protective surface coatings, components of plastics, and paints. Glycerin is also a component of nitroglycerine explosives.
Asia, Western Europe, and the United States together accounted for three-fourths of the total world consumption of refined glycerin in 2011.
Overall, refined glycerin consumption is expected to grow very strongly in the next several years, at an average annual rate of 10%.
Asia accounted for about 36% of global consumption of refined glycerin in 2011. The region was led by China, which accounted for about 18% of total global use. China will drive world consumption growth with very high
growth rates resulting from the further expansion of glycerin-to-epichlorohydrin production. Growth in glycerin demand for polyether polyol production and pharmaceutical uses will also make a relatively big contribution
to the glycerin consumption increase. It is expected that by 2016, China will account for 27% of the world’s refined glycerin consumption. Thailand will also experience high growth rates as a result of epichlorohydrin production. Both Indonesia and Malaysia will continue to export large amounts of refined glycerin. Japan’s refined glycerin consumption growth is expected to remain flat in the next several years. Overall, Asian consumption will significantly increase to 45% of the global refined glycerin total in 2016.
Western Europe accounted for 26% of the total world refined glycerin consumption in 2011. Consumption has been mainly for applications such as personal care, food and beverages, polyether polyols, and pharmaceuticals. Strong growth of nearly 8% annually is expected for the region as a result of the use of glycerin as a raw material for novel chemical production such as syngas, propylene glycol, and epichlorohydrin.
Consumption in the United Sates has recovered somewhat from the decline caused by the economic recession in 2009. Fairly strong growth of 6–8% annually is expected in the next several years. Moderate growth will occur for traditional glycerin market segments, while high growth for newer applications, such as propylene glycol production and recreational vehicle fluids, is expected.
Other regions, such as Central and Eastern Europe and the Middle East, will experience strong annual consumption growth of 6–7% during the next five years. In Central and Eastern Europe, increased demand in markets such as personal care and functional food will continue, along with epichlorohydrin production. In the Middle East, personal care and food account for more than one-third of the overall demand for glycerin,
followed by alkyd resins because the region has a highly developed paints and coatings industry. Growth is expected in all applications.
Africa will also show strong growth of 9% annually (cosmetics and personal care products have experienced the highest demand growth in recent years). The remaining world regions, such as Canada, Mexico, Central and South America, and Oceania, will continue to represent only a minor share of the world total. Refined glycerin is at some risk for substitution by competing products, mainly sorbitol and glycols. Substitution depends on availability and prices.
The ASG team has identified specific sources of crude glycerin supply as well as critical target customers of the plant production. These target customers include large, multinational companies as well as regional buyers and producers of glycerin products. There are numerous import and export opportunities available to ASG.
