Cinnamic acid is an organic compound that is used in the production of various cosmetic and personal care products. It has immense antibacterial and antifungal properties which boosts the immunity. Cinnamic acid also exhibits antioxidant properties and protects the skin from environmental damage. It is widely used in skin care products such as oils, lotions, creams due to its excellent anti-aging abilities. The global cinnamic acid market is estimated to be valued at US$ 24.33 Bn in 2023 and is expected to exhibit a CAGR of 6.7% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
The growing demand from personal care and cosmetics industries has been a major driver boosting the cinnamic acid market growth. Cinnamic acid reduces spots and pigmentation to give even skin tone. It also regulates sebum production and prevents acne breakouts. Thus, it is widely used in anti-aging creams, facial cleansers, sunscreens and other personal care products. With rising awareness about the benefits of natural ingredients, the demand for cinnamic acid from cosmetic manufacturers has surged significantly. Furthermore, increasing consumer spending on premium skin care products containing organic ingredients is expected to propel the cinnamic acid market during the forecast period.
Strength: Cinnamic acid has applications in perfumes, flavorings, and insect repellents due to its pleasant odor. It is widely used in the food and beverage industry as a flavoring agent.
Weakness: Volatility in raw material prices can hamper the overall profit margins of players operating in the market. Stringent regulations regarding the use of cinnamic acid may restrict its application scope.
Opportunity: Growing demand for natural fragrances and flavors from the personal care and food & beverage industries presents lucrative opportunities. Increasing consumption of processed food worldwide is also boosting the market growth.
Threats: Availability of substitutes such as benzoic acid can threaten the existing demand for cinnamic acid. Stringent environmental norms associated with production may restrict the entry of new players.
The global cinnamic acid market is expected to witness high growth. The market size for 2024 is US$ 24.33 Bn with a forecast period of 2023 to 2030 and a CAGR of 6.7%.
Regional analysis: Asia Pacific dominates the global cinnamic acid market and is expected to continue its dominance over the forecast period. This can be attributed to high demand from end-use industries such as food & beverage and personal care in India and China. Key players are expanding their production facilities in the region to leverage lower costs and satisfy the growing needs of local consumers.
Key players: Key players operating in the cinnamic acid market are BASF, Guangzhou Shiny Co. Ltd., BestAroma Biotech, Daurala Organics, Yuancheng Saichuang Technology, Wuhan Organic Material, Omega Ingredients, Elan Chemical Company, DSM, King-Pharm, Kay Fries, Juhua Group, and Bayer ltd. amongst others. The players adopt strategies such as capacity expansions, new product innovations, and mergers & acquisitions to strengthen their foothold in the market