The packaging industry is growing rapidly, as almost all small and big enterprises are largely focusing on their logistics. Also, some sectors such as food, pharmaceuticals, electronics, etc., are putting higher impetus on ensuring the safety of their products. In order to protect their products from moisture, they use silica gel as a desiccant. Additionally, apart from pharmaceuticals and food, the electronics industry can also be considered as an emerging market for silica gel. The number of electronics enterprises is increasing rapidly in countries such as China, Japan, India, etc., and therefore, the demand for silica gel to be used for the packaging of electronic devices is increasing, thereby aiding the expansion of the global silica gel market size, which is projected to progress at a value CAGR of 3.5% from 2020 to 2030.
Silica Gel Market Drivers
Growth of biotechnology is expected to increase silica gel demand over the forecast period. Within the pharmaceutical industry, silica gel column chromatography is helpful in collecting or segregating different components of a drug. This technique is also employed for researching various medicines such as local anesthetics, sedatives, hypnotics, analgesics, and steroids. Increase in demand for medicines, especially in emerging economies such as India and China, is projected to drive biopharmaceuticals demand, which, in turn, will boost the growth of the chromatographic silica gel market during the forecast period.
As the number of homes increase owing to urbanization, awareness related to keeping the air fresh and clean within homes is also increasing. Additionally, cabs, cars, etc., must also be maintained, cleaned, and refreshed on a regular basis to provide a comfortable and fresh environment for people opting to use them for traveling. The popularity of fragrance silica gel is growing, as it creates a suitable and comfortable environment, and thus, also enhances work efficiency.
Silica Gel Market Restraints
The availability of substitutes such as activated alumina, activated clay, activated charcoal, and molecular sieves is restraining the growth of the silica gel market. The usage of silica gel is limited to some end-use applications, whereas, its substitutes are used in many applications such as bioterrorism, biohazard, and gas and liquid dehydration applications, due to their low cost. As a consequence of their versatile applications and relatively low cost, customers often prefer these alternatives over silica gel. For instance, activated alumina is versatile, easy to use, affordable, and offers superior pH stability. It can also be used for reverse phase chromatography, and is stable and suitable for high-temperature HPLC. Furthermore, unlike silica, it does not break down.
Regional Outlook of Silica Gel Market
In terms of volume, North America is expected to be the second-fastest growing market for silica gel by the mid-term forecast period. To ensure consistency and good quality of food & beverage products, quantifiable trials while developing new products and during current group production of various food & beverage products are ongoing in North America. Chromatography has been an imperative method in obtaining endured and unadulterated food & beverage products. High utilization of silica gel in chromatography for research activities in pharmaceuticals and biopharmaceuticals is expected to boost the growth of the North America silica gel market. However, high cost of silica gel, coupled with environmental regulations imposed by the U.S. government that governs the usage of silica gel will impede market growth to some extent in the region.
Asia Pacific (APAC) will remain the most lucrative market for silica gel. The silica gel market in this region is projected to register the highest CAGR through 2030. Scope for the packaging industry in Asia Pacific is rapidly growing, with small and big industries majorly focusing on their logistics. For protecting their products from moisture, they are using silica gel as a desiccant. In addition, the electronics sector is estimated to be an emerging field for the adoption of silica gel. With a number of electronic enterprises growing rapidly in APAC countries such as China, India, and Japan, demand for silica gel will witness a surge in these countries. However, availability of substitutes such as activated alumina, activated charcoal, activated clay, and molecular sieves are expected to restrain the growth of silica gel market in APAC.
COVID-19 Impact on Silica Gel Market
The COVID-19 crisis has had only a mild impact on the silica gel market, as it is majorly used in essential industries such as food and pharmaceuticals, which were protected to minimize disruptions to the supplies of essential commodities. As a result, the silica gel market has not been hit as hard as most other sectors during the COVID-19 pandemic.
As per PMR analysis, the global silica gel market is anticipated to expand at a steady CAGR of 3.5% through 2030. Market players can look to Asia Pacific for the most lucrative opportunities over the coming years. Application of silica gel in desiccants will be the most over the next ten years.
Silica Gel Market – Report Scope
Persistence Market Research (PMR) recently published a study report on the global silica gel market. The report provides detailed valuation on key market dynamics, such as the drivers, trends, opportunities, and restraints, along with detailed information about the silica gel market structure. This market research report presents exclusive facts and figures about how the silica gel market will grow over the forecast period (2020 to 2030).
Key indicators of market growth, such as value chain analysis, compounded annual growth rate (CAGR), and year-on-year (Y-o-Y) growth of the market are explained in PMR’s study in a comprehensive manner. This information can help readers understand the quantitative development projections of the silica gel market over the forecast period.
The study is relevant for stakeholders in the silica gel market, as well as manufacturers, distributors, suppliers, and investors, as it can help them to understand the applicable strategies to grow in the market. Stakeholders, investors, industry experts, researchers, and journalists, as well as business researchers in the silica gel market can leverage the information and statistics presented in PMR’s research report.
The report includes facts and figures related to the macro- as well as micro-economic factors that are impacting the growth of the silica gel market. The study also offers actionable insights based on the future trends in the silica gel market. Furthermore, regional players and new entrants in the silica gel market can also use the information presented in this report to make business decisions and gain momentum in the market space.
Key Segments of Silica Gel Market
PMR’s study on the silica gel market is divided into four significant segments – product, pore size, application, and region. This report offers comprehensive data and information about the important market dynamics and growth parameters related to these categories.
Key Questions Answered in PMR’s Silica Gel Market Report
Silica Gel Market: Research Methodology
In PMR’s research report, an exclusive research methodology is utilized to conduct comprehensive research on the development of the silica gel market, and reach conclusions on the future growth factors of the market. In this research methodology, secondary and primary research is utilized by analysts to ensure precision and reliability of the conclusions.
Secondary resources are referred to by analysts during the evaluation of the silica gel market study, which comprises facts and figures from the World Bank, OEM websites, government websites, white papers, trade journals, and external and internal databases. Analysts have thoroughly interviewed several industry experts, such as sales supervisors, sales operation managers, product portfolio managers, senior managers, market intelligence managers, marketing/product managers, and production managers to provide insightful information.
Comprehensive information acquired from primary and secondary resources is validated from companies operating in the market, to make PMR’s projections on the growth prospects of the silica gel market more accurate and reliable.