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The global kaolin market price is projected to reach USD 5,833.5 million by 2027, exhibiting a CAGR of 5.1% during the forecast period. Rising awareness about the benefits of china clay in skincare applications will be a prominent growth determinant for this market, states Fortune Business Insights™. For ages, clay has been known to fight skin-harming developments, such as acne. The increasing pollution levels, adoption of unhealthy diet regimes, and constant stress have had severe impacts on general health and skin in particular. Kaolin, or china clay, has emerged as one of the potent acne and oily skin-fighting formulations in recent times. For example, according to experts at the Mount Sinai Hospital in New York, china clay can absorb excess oil without drawing away too much of the skin’s moisture. Thus, people with inherently dry skin or sensitive skin can apply it without worrying about dryness. Further, research at Mount Sinai also showed that green kaolin clay, derived from plant matter and iron oxide, sucks out the dirt and bacteria that cause acne while removing excess oil. With the cosmetics & personal care industry growing rapidly worldwide, the employment of china clay in skincare products is likely to rise in the near future.

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Restraining Factor

COVID-19 to Negatively Impact the Paper Industry, Stall Market Growth

The COVID-19 pandemic outbreak has dealt notable blows to the paper industry as a result of lockdowns, supply chain disruptions, trade restrictions, and economic downturn. According to a study published by North Carolina State University, certain types of paper products have suffered because of the pandemic. For example, the demand for printing paper and copier paper has noticeably shrunk due to the shutdown of colleges and universities worldwide. In India, the Indian Paper Manufacturers Association stated in August 2020 that since March, paper supply chains have undergone widespread upheavals and are still in recovery mode. Moreover, the closure of educational institutions and commercial establishments has further diminished the demand for paper, intensifying the downturn of the domestic paper industry. Kaolin is the most widely utilized mineral in the filling and coating of paper, and with the paper industry getting hit by the coronavirus, the growth of this market will inevitably get stalled.

Regional Insights

Asia Pacific to Spearhead the Market Supported by Speedy Economic Development

Asia Pacific is expected to lead the kaolin market share during the forecast period owing to the remarkable economic growth displayed by countries such as China and India. This growth has augmented the demand for high-end household consumer goods, where china clay is commonly used. The rapid expansion of the middle-class population in the region will also accelerate the growth of the regional market. In 2019, the Asia Pacific market size stood at USD 1,086.9 million.

In Europe, the heightened demand for packaged food and beverage items amid the COVID-19 pandemic has fueled the uptake of kaolin in the region’s food & beverage industry. On the other hand, in North America, technological advancements in the paper and packaging industries will stoke the regional market.

Competitive Landscape

Rising Costs to Force Key Players to Raise Product Prices

With the demand for high-performance raw materials soaring across various end-user industries, key players in the china clay market are engaged in the development of innovative offerings. However, the costs associated with the production of such materials are escalating worldwide. As a result, several companies are being forced to increase the prices of their products.

Industry Development:

December 2020: KaMin LLC and CADAM SAannounced that they would be increasing the price of their kaolin performance minerals by 4% to 9% in the global markets from January 2021. According to the company, the price rise is unavoidable as it needs to offset the growing costs related to logistics and mining operations and to comply with the environmental requirements.

 

www.fortunebusinessinsights.com

Kaolin Market Size, Share & Growth | Industry Report [2027]

The global kaolin market size was USD 4,168.8 million in 2019 and is projected to reach USD 5,833.5 million by 2027, exhibiting a CAGR of 5.1% during the forecast period.

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