11 September 2019
Visiongain’s new report the Chemical Distribution Market Report: Forecasts by Product (Plastics, Agrochemicals, Specialty Polymers, Commodity Chemicals), by Application (Automotive & Transportation, Construction, Agriculture, Industrial Manufacturing, Consumer Goods, Textiles, Oil & Gas Mining, Healthcare & Pharmaceuticals, Food Processing), by Region and Analysis of Leading Companies Operating in This Industry. Global chemical distribution market was valued at more than USD 200 billion in 2018 and is expected to grow on account of increasing demand for automotive, construction, oil & gas, and agrochemicals industry.
The market is witnessing a significant evolution as a result of vendors consolidating with strategic initiatives, such as merger & acquisition, research & development, partnership, and joint ventures, to strengthen supply in developing economies such as India, China, Japan, Brazil, Saudi Arabia, and UAE. Commodity and specialty chemical distribution by intermediators has been significantly growing than the sale of products by direct distribution channels through suppliers owing to outsourcing of value-added service. Apart from the basic tasks of selling and transporting, distributors also offer value-added services, such as logistics, blending, packaging, inventory management, waste removal, and imparting technical training.
The sector is motivated by the increasing demand for services from consumers and the network of accessible supply chain. In addition, it is anticipated that increased demand from end-use sectors, including building, automotive, infrastructure, electronics, and pharmaceuticals, will stimulate market growth. The chemical industry generates and supplies businesses in the industrial and manufacturing industries with vital raw materials. These products can be spread by containers, barrels, pipelines, bags or tiny packages to customers or customers.
Construction industry is a dominant consumer of plastics, adhesives, sealants, coatings, and various chemicals including waterproofing compounds, mortars, admixtures, and grouts. Recently, the International Finance Corporation (IFC) of the World Bank Group invested over USD 4 billion in the building materials sector that helped boost the availability of affordable local sources.
Specialty polymers such as thermosets, composites, thermoplastics, and resins are increasingly being used in several high-performance applications as they have inherent noise control, tensile strength, viscosity, and waterproofing, and are highly shock-absorbent and heat-and chemical-resistant. Exponential growth throughout Asia Pacific in the plastics industry and the introduction of bio-based polymers has had a beneficial effect on the market for specialty chemicals.
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