The global furfural derivatives market is a rapidly growing industry owing to rising demand for furfural as an industrial solvent in petroleum refining. Furfural is derived from agricultural byproducts such as corncobs, oat hulls, and sugar cane bagasse through acid-catalyzed dehydration. It is used to produce furfuryl alcohol, furoic acid, and tetrahydrofurfuryl alcohol derivatives which find extensive applications as solvents in petroleum refining, agricultural chemicals, resins, and lubricants.
The Global furfural derivatives Market is estimated to be valued at US$ 13.15 Bn in 2024 and is expected to exhibit a CAGR of 7.2% over the forecast period 2024 to 2031.
Key Takeaways
Key players operating in the Global Furfural Derivatives are Pyran, Pennakem, LLC, TransFurans Chemicals bvba, BASF SE, UBE Corp., Yuanli Chemical Group, Hefei Home Sunshine Pharmaceutical Technology Co., Ltd., AB Enterprises, Hefei TNJ Chemical Industry Co. Ltd., and International Furan Chemicals B.V. These companies hold a majority share of the market through patented furfural production technologies and wide distribution networks.
The global furfural derivatives market provides substantial opportunities for manufacturers in applications such as gasoline refining, agricultural chemicals, and solvent-based resin production. Rapid industrialization in Asia Pacific is expected to drive the demand for petroleum solvents and agricultural chemicals, benefiting furfural derivative producers.
Countries like China, India, and Southeast Asia are key markets for furfural derivatives and witnessing expansion of furfural production facilities. Manufacturers are investing in capacity expansion projects and product innovation to cater to the growing demand from end-use industries. Joint ventures with agro-industrial companies ensure secure raw material supply for sustainable market growth.
Market Drivers
The increasing demand for furfural as an industrial extraction solvent in petroleum refining is a key factor driving the Furfural Derivatives Market Size. Furfural and its derivatives effectively remove sulfur, nitrogen and oxygen impurities from gasoline and diesel during refining processes. Rapid industrialization and growth in oil refining capacities across Asia Pacific and Latin America are supplementing the demand. Stringent environmental regulations regarding low sulfur fuel also enhances furfural usage in petroleum refineries.