Pavel Molchanov reports on renewable chemical industry opportunities
In California, analyst Pavel Molchanov reported on a number of trends identified at the Biobased Chemicals Commercialization and Partnering Conference earlier this month. Highlights from the analysis include the enormity of the opportunity in the renewable chemicals industry ($500+ billion globally, depending on the estimate) especially for producers of both fuels and chemicals.
Snippets from the report below:
* Renewable chemicals are a major long-term opportunity – and it’s completely unsubsidized. The specialty chemicals market alone is worth $500+ billion globally (the precise number depends on how “specialty” is defined).
* For bioindustrial startups with the flexibility to produce both fuels and chemicals, it’s safe to say that the bulk have gravitated – mostly, if not entirely – to the chemicals side.
* At the ultra-premium end of the chemicals value chain, there is a wide range of niche, retail-oriented opportunities.
The Digest reported earlier this year on the risk of the renewable chemicals industry looking abroad due to the US’s focus on fuels. As major corporations like Coca-Cola and Wal-Mart demand cleaner chemicals to promote being green, they may turn to opportunities overseas if the climate in the US remains hostile toward the chemical industry, according to an article published in Environment & Energy Publishing.
Category: Research
