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Frost & Sullivan: Quest for a Green Economy Sustains Organic and Natural Ingredients Market for Home and Personal Care in Western Europe

-- Strategic partnerships between specialty chemical companies and plant-based extract manufacturers will be the trend

LONDON, Jan. 27, 2014 /PRNewswire/ -- Bio-degradable home and personal care end products, which have a lesser environmental impact than synthetic solutions, are in demand among environmentally conscious European consumers. These early adopters are set to transform the highly user-centric organic and natural ingredients market in Western Europe into a fast-growing market by fuelling the need for sustainable ingredients, such as enzymes and plant-derived active ingredients. Exploring novel sources, including oleochemicals, to develop specialty ingredients will enable product manufacturers to keep up with consumer requirements and achieve an edge over the competition.

Frost & Sullivan's (http://www.chemicals.frost.com) new study, Analysis of Organic and Natural Ingredients Market in Western Europe for Home and Personal Care, estimates revenues of $659.2 million in 2012 with projections to cross $800 million in 2017.

"Innovation and product differentiation are key success factors in this fiercely competitive market," said Frost & Sullivan Chemicals, Materials and Food Research Analyst Aparna Balasubramanian. "The cost associated with the procurement and processing of organic and natural raw materials into specialty ingredients is higher than that for synthetic chemical based ingredients."

Further, the lack of common unified standards leads to end-user confusion, affecting market development. Although certifying bodies such as Ecocert are well-recognised across Europe, regional certifications find better acceptance. This poses a challenge for producers that must comply with various certification rules for marketing products in different countries.

"To overcome cost restraints, employing lean manufacturing and price optimisation will be vital," noted Frost & Sullivan Chemicals, Materials and Food Research Vice President Shomik Majumdar. "As a multitude of suppliers scramble to expand their share in the market, strategic partnerships and backward integration of specialty chemical companies with plant-based extract manufacturers will also simplify supply chain difficulties and enhance product lines."

If you are interested in more information on this research, please send an e-mail to Julia Nikishkina, Corporate Communications, at julia.nikishkina@frost.com, with your full name, company name, job title, telephone number, company e-mail address, company website, city, state and country.

Analysis of Organic and Natural Ingredients Market in Western Europe for Home and Personal Care is part of the Chemicals & Materials Growth Partnership Service program. Frost & Sullivan's related research services include: Asia-Pacific Synthetic Fertilizers and Biofertilizers Market, North American Oral Solid Drug Dosage Excipients Market, and European Oleochemicals Market. All research services included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

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Analysis of Organic and Natural Ingredients Market in Western Europe for Home and Personal Care
M978-39

Julia Nikishkina
Corporate Communications – Europe
P: +7 (499) 213 0156
E: julia.nikishkina@frost.com
LinkedIn: Future of Chemicals - A Frost & Sullivan Forum

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