Levulinic Acid Market Analysis

Levulinic Acid Industry Insights

Technology Analysis

The acid hydrolysis category holds the larger revenue share, of 70%, in 2024, and it will also grow the faster during the forecast period. This can be due to the wide usage of this technology for the production of levulinic acid and its derivatives, and this process allows for a wider range of heterogeneous lignocellulosic feedstock utilization. Also, with the increasing awareness regarding the benefits of the process, its adoption is expected to rise at a rapid pace in the coming years.

Moreover, many concepts for the commercial production of levulinic acid are based on acid hydrolysis technology, wherein the processes are conducted in a continuous manner at high pressures and temperatures. Also, the increasing inclination to derive this acid from biomass and rice husk is surging the need for acid hydrolysis technology. Moreover, the extensive research on the acid hydrolysis of cellulose to make levulinic acid is further propelling the adoption of this approach.

The following technologies have been considered:

• Biofine
• Acid Hydrolysis (Larger and Faster-Growing Category)

Application Analysis

Agricultural products hold a significant share in the levulinic acid market. This is due to the increasing use of delta-amino levulinic acid (DALA), a derivative of levulinic acid, in herbicides, insecticides, and fungicides for crop protection. As per forecasts, crop protection chemical sales could be worth USD 117,436.6 million by 2030. This is itself due to population growth, food security, the scarcity of agricultural land, and the growing demand for more crop production to raise crop yields.

Furthermore, farmers are under tremendous pressure to increase the productivity of agricultural farmlands and associated facilities due to the population's rapid growth. Because of this, the use of agrochemicals (such as pesticides, herbicides, and insecticides) and adjuvants, in conjunction with improvements in farming methods, is a crucial way to resolve this dilemma.

The fuel additives application category dominates the market, with around 20% revenue share in 2024, and it is also expected to witness the fastest growth during the market during the forecast period. This can be mainly attributed to the surging usage of levulinic acid and its derivatives in fuel additives, on account of their functionally viable properties, such as low toxicity, high lubricity, stable flash point, and appreciable flow attributes, which make them a suitable additive for gasoline and diesel fuels.

Moreover, such acid derivatives are used to enhance the fuels’ properties. Ethyl levulinate, an ester of levulinic acid, holds a high potential to be used as a blend component in diesel formulations. In addition, the usage of ethyl levulinate in diesel results in lower sulfur emissions than those caused by traditional diesel. This is attributed to the high lubricity of ethyl levulinate blends. Moreover, with the shift toward organic and bio-based fuel additives in view of the growing environmental concerns, the levulinic acid demand will rise in the coming years.

We studied these applications:

• Food Additives
• Pharmaceuticals
• Agricultural Products
• Personal Care Products
• Plasticizers
• Fuel Additives (Largest and Fastest-Growing Category)
• Others