Global Specialty Pulp and Paper Chemicals Market: Overview
Specialty pulp and paper chemicals are raw materials used in the production of specialty papers and can be largely categorized into functional chemicals, bleaching chemicals, basic chemicals, and process chemicals. Specialty papers are the end result of the mixture of chemicals and paper pulp.
Dyes and coatings are functional chemicals that are used to give final color and texture to papers, which are subsequently used in numerous applications such as printing and packaging. Various chemicals are presently being used to brighten specialty paper and ward off discoloration; they include optical brightening agents (OBA), chlorine-based bleaching agents, deinking agents, hydrogen peroxide, and fluorescent brightening agents.
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Global Specialty Pulp and Paper Chemicals Market: Key Trends
The global demand for specialty pulp and paper chemicals is set to increase with rising demand for diazo paper, graphic papers, tissues, and other, making them the primary factors for the market growth. The augmented demand can also be attributed to the extensive use of specialty papers in large quantities in primary, secondary, and tertiary packaging of several non-perishable and perishable goods.
To meet strict environmental norms, manufacturers are innovating new and eco-friendly papers on a regular basis. In addition, increased usage of recycled paper products and the development of new enzymes to make the paper production procedure more efficient will propel the market growth over the forecast period.
On the contrary, large amount chemicals, energy, and water used for the manufacturing process will have a negative impact on the environment, thus posing a threat to the market growth.
Global Specialty Pulp and Paper Chemicals Market: Market Potential
Sappi – a South Africa-based pulp and paper company – is investing in a large number of projects in different nations to increase its reach far and wide. In one of its projects, the company proposes to convert its Maastricht plant in the Netherlands to a solid bleached board facility. The company expects that in the given three years, the solid bleached board business at the site will grow to 150,000 tpy (throughput yield).
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In addition, the company would up its lightweight packaging and specialty papers capacity at its German Alfeld site by 10,000 tpy. The company also stated that plants in Alfeld and Ehingen in Germany as well as in Lanaken, Belgium, and Maastricht will have upgraded equipment to improve efficiency.
Germany-based company Wacker Chemie AG has recently announced its expansion of its silicon production at the Jandira site near São Paulo, Brazil. The multi-purpose facility will be able to produce starting materials for additives for pulp and paper, specialized antifoam, and impregnating and release agents.
Global Specialty Pulp and Paper Chemicals Market: Regional Outlook
Geographically, Asia Pacific is known to largely contribute to the market and is expected to continue its dominance over the said market during the forecast period. The regional growth can be attributed to the rapid development of retail markets, especially in India and China, which is increasing the demand for packaging materials, invariably driving the demand for specialty pulp and paper chemicals.
With growing demand from Asia Pacific for specialty pulp and paper chemicals, the Europe market is expected to witness a decline in the global market in terms of share. Usage of paper for magazines will take a back seat owing to the rise of electronic media and the advent of the digital age will further exacerbate the situation in North America. Nevertheless, the demand for specialty papers for packaging will provide a much needed boost to the global specialty pulp and paper chemicals market in this region over the forecast period.
Global Specialty Pulp and Paper Chemicals Market: Competitive Analysis
Kemira Oyj, Shell Chemicals, Nalco Holdings, AkzoNobel N.V., Buckman Laboratories, BASF SE, SNF Floerger, International, Inc., Evonik Industries, Dow Chemical Company, and Ashland, Inc. are some of the prominent players in the global specialty pulp and paper chemicals market.
The leading players of the highly consolidated global specialty pulp and paper chemicals market collectively accounted for more than 75% of the global market share in 2015. Kemira Oyj is the largest contributor to the market and is rapidly increasing its output owing to its numerous facility expansion activities.
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