Middle East and Africa Pine Chemicals Market Size, Share & Trends Analysis Report By Product Type (Tall oil, Rosin, Turpentine, Others), By Application (Paints and Coatings, Solvents and Disinfectants, Printing Ink, Synthetic Rubber, Flavors and Fragrances) and By Country(UAE, Turkey, Saudi Arabia, South Africa, Egypt, Nigeria, Rest of MEA) Forecasts, 2024-2032

Market Overview

The Middle East and Africa pine chemicals market share witnessed significant growth in the past and is expected to grow at a CAGR of 5.6% during the forecast period (2022-2030).

Pine compounds are derived from substances extracted from the pine tree genus Pinus. While these trees are native to the northern hemisphere, they can now be found all over the globe. Chemicals from pine are extracted using techniques such as wood carbonization and oleoresin distillation. They are primarily derived from three main sources: decomposing pine stumps and logs, tree byproducts, and sulphate pulping. These chemicals have numerous industrial applications, including resins, cleansers, detergents, plasticizers, fragrance compounds, and surface coatings.

Market Dynamics

Middle east and africa pine chemicals market drivers

Surging rosin demand catapults pine chemicals market opportunities

Gum rosin, a highly desirable chemical in printing, adhesives, and lubricants, is experiencing high demand. The need for environmentally friendly and non-hazardous chemicals, mandated by regulatory guidelines, has intensified the demand for such substances. As a result, the rosin segment has emerged as a key driver in the pine chemical industry, representing 50% of the total market share. The growing demand for rosin can be attributed to the proliferation of small-scale businesses. The pandemic has witnessed the rise of numerous small enterprises that incorporate rosin products in manufacturing items like soaps, ink, tile coatings, furniture, and more. Consequently, there has been a significant upsurge in market demand for rosin.

Adoption of bio-based materials spurs the rise in pine chemical manufacturing

The sub-category of adhesives, coatings, and sealants is vital in driving the growing demand within the pine chemicals industry, representing a 40% market share. This expansion is primarily fueled by the thriving construction and development sector. The increased demand for coatings and adhesives can be attributed to the rise in renovation and retrofitting projects in both residential and commercial infrastructure. According to the Adhesives and Sealants Industry (ASI), the pine chemicals market is expected to grow at a compound annual growth rate (CAGR) of 5%, reaching a market value of approximately USD 19 billion. This growth is mainly stimulated by regulations and guidelines promoting using environmentally friendly and bio-based products, including disinfectants, coatings, and adhesives.

Middle east and africa pine chemicals market restraint

Pine chemicals market growth hindered by substitute products

The pine chemicals market faces a significant obstacle with the existence of easily accessible alternatives to pine-based products. These substitutes provide cost benefits to consumers, and despite the growing importance of environmentally friendly products, their availability and affordability often overshadow environmental considerations. Substitutes such as acrylic resin, alkyl succinic acid, and vegetable oil (particularly soybean-food grade) divert consumer attention away from different pine-derived chemicals. As a result, this has a considerable impact on the pine chemicals market and other industries like printing, painting, adhesives, oil, and gas, among others.

Middle east and africa pine chemicals market opportunities

Organic materials offer lucrative pathways for success

The coatings and adhesives sector has a significant opportunity to meet the increasing demand for sustainable materials by offering renewable and reusable alternatives. Producers in the industry prioritize the supply of materials that promote economic growth and drive both demand and supply.

Several factors, including climate change, notably impact the industry, emphasizing the importance of sustainable and organic materials. In this context, the pine chemicals market stands out as a prominent source of raw materials. These materials, obtained from living trees, deceased pine logs, and pulping stumps, are sourced and processed in a safe, bio-based, and non-hazardous.

Promoting environmental stewardship: pine-based material as a game-changer in packaging

The food and beverage packaging sector holds the largest market share, accounting for 92% of total retail packaging volume, which amounts to approximately 3.4 trillion units in the food industry alone. The substantial quantity of packaging has raised concerns regarding its environmental impact. As a result, industry regulations and standards drive the growing demand for sustainable packaging. To meet this demand and address global climate challenges, market participants, including producers and suppliers, are shifting their focus toward incorporating packaging solutions that are compostable, renewable, recyclable, and reusable. Pine chemicals, derived from plant sources, are promising as they can be transformed and processed into sustainable ingredients for packaging materials.

Regional Analysis

The Middle East and Africa pine chemicals market is segmented by country: Saudi Arabia, GCC, Egypt, South Africa, and the Rest of the Middle East and Africa. Saudi Arabia dominated the market with a CAGR of 6.2% during the forecast period.

The pine chemicals market is witnessing steady growth in the Middle East and Africa region. The market is driven by increasing industrial activities, particularly in construction, paints and coatings, adhesives, and food processing. Additionally, rising awareness about sustainable and eco-friendly products contributes to the demand for pine-based chemicals in the region.

Segmental Analysis

The Middle East and Africa pine chemicals market is segmented into product type, application, and source.

It is further segmented by product type into tall oil, rosin, turpentine, and others.

Tall Oil dominated the market and is expected to register a CAGR of 6.5% over the forecast period. Tall oil, a dark, pungent liquid byproduct of the sulphate (kraft) process of paper production, is refined and used to produce coatings, paper sizing, paint, varnish, linoleum, drying oils, emulsions, lubricants, and detergents. Tall oil primarily comprises resin acids, such as abietic, fatty, oleic, linoleic, sterols, and other compounds. It is produced by chemically treating the cooking fluid produced during papermaking. The tall oil is a component of adhesives, rubbers, and inks. The pitch is utilized as a cement binder and asphalt emulsifier.

Based on application, it is further segmented into paints and coatings, solvents and disinfectants, printing ink, synthetic fiber, and flavors and fragrances.

Paints and Coatings dominated the market and is expected to register a CAGR of 6.6% over the forecast period. Coloring and protecting surfaces like homes, cars, road markings, and even subterranean storage tanks are common uses for paints and coatings. Rosin is frequently used as a varnish ingredient in producing paints and coatings. It promotes speedy drying and results in shiny paintings. The most common solvents in paint production are mineral turpentine and white spirit.

Based on the source, it is further segmented into pine trunks, aged pine stumps, and kraft pulp.

Pine Trunks dominated the market and are expected to register a CAGR of 5.3% over the forecast period. Pine oils are typically sourced through the time-honored and extensively used extraction method from pine trunks. This is the standard method for producing pine oil all around the world.

Recent Developments

• March 2021 – Eastman and GP Cellulose worked with the Longleaf Alliance (LLA) to provide 60,000 longleaf pine seedlings to Torreya State Park in Northwest Florida. This collaboration is intended to protect forest ecosystems, support delicate wildlife communities, and help repair the planet for future generations.
• September 2021 – Kraton Corporation signed an agreement with DL Holdings Co, Ltd. As per the agreement, Kraton Corporation stockholders will receive USD 46.51 in cash for each share of Kraton common stock they own.