For instance, according to Department of Industrial Policies and Promotion (DIPP), Department of Industrial Policies and Promotion (DIPP), Indian food processing sector has received around USD 7.54 billion worth of Foreign Direct Investment in period of 2000-2017, and it is projected that food processing sector has potential to attract as much as USD 33 billion of investment in next 10 years. This growing investment in food and beverage industry is highlighting potential demand for ammonium acetate.
On the basis of region, the global ammonium acetate market has been segmented into North America, Europe, Asia Pacific, and Latin America and the Middle East & Africa (LAMEA).
Asia Pacific is expected to hold the most significant share in the global ammonium acetate market during the assessment period, 2016–2026. This can be majorly attributed to the versatile applications of ammonium acetate in various industries such as pharmaceuticals, agriculture, and others. Increasing production of pharmaceutical drugs through ammonium acetate is also expected to boost market growth. According to IBEF, the Indian Pharmaceutical sector supplies over 50% of the global demand for different types of vaccines, 40% of the generic demand in the U.S. and approx. 25% of all pharmaceutical products in the U.K.
North America and Europe are expected to grow at a rapid pace, owing to the increasing use of ammonium acetate in the food and beverage sector as a natural and synthetic food additive. Thus, growth of the food and beverage industry is expected to provide impetus to the growth of the ammonium acetate market in the region.
Latin America and Middle East & Africa are expected to witness substantial growth in the global ammonium acetate market during the forecast period, owing to the growth of the commercial segment. The global ammonium acetate market is anticipated to expand significantly in developing regions such as Brazil, Colombia, United Arab Emirates, and others. Growing industrialization and commercial activities, especially in the Middle East region, are contributing to market growth in the region.
Ammonium acetate market is further classified into application and end user.
By application, the ammonium acetate market has been segmented into food additives, pharmaceuticals, electrolyte solution, and others. The electrolyte solution segment is projected to grow at a considerable CAGR between 2019 and 2026, owing to the increasing use of ammonium acetate in battery cells in the form of the electrolyte solution. For instance, according to Yano Research Institute, electrolyte solution is a critical component in the manufacture of lithium-ion battery cells. Lithium-ion battery cells predominantly find application in the automotive sector. In addition, they are employed in emerging and trending electric vehicles due to their high energy density with respect to weight and their ability to be recharged. Thus, ammonium acetate plays a vital role in batteries that have versatile applications in various segments such as automotive, uninterruptible power supply/backup, industrial equipment, and others.
By End User The medicine grade segment is expected to witness significant growth, owing to the increasing research and development activities for the development of innovative pharmaceutical products through the use of ammonium acetate, which will provide new opportunities for market growth during the forecast period, 2019–2026.
Ammonium Acetate Market Segmentation