Phenoxyethanol preservatives are ethylene-based monophenyl glycol ethers. These are obtained when 2-Phenol reacts with ethylene oxide. Phenoxyethanol preservatives are also obtained naturally from green tea. Phenoxyethanol preservatives possess aromatic rose flavor with anti-bacterial property. Therefore, these are widely used in cosmetics, ointments, detergents, and cleaners. Phenoxyethanol preservatives are commercially traded under several names such as rose ether, ethylene glycol monophenyl ether (EGPhE), Dowanol Eph, and phenyl cellosolve under the CAS No. 122-99-6.
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Phenoxyethanol preservatives are largely used as bactericide in home and personal care products. These exhibit a broad spectrum of antibacterial activities against gram positive and gram negative bacteria. Phenoxyethanol preservatives are present in leave-on and rinse-off personal care products with maximum concentration up to 5% w/w. Color cosmetics such as lipstick, gloss, and compact powder provide substantial growth opportunities for phenoxyethanol preservatives in cosmetic applications. Spending on discretionary products such as color cosmetics and eye make-up is rising due to increasing per capita income and wider access to international markets. Thus, demand for these cosmetics is growing at a rapid pace. Phenoxyethanol is also used as a preservative in low concentration in several cleaners such as stain removers, multi-surface cleaners, washing liquids, dishwashing liquids, fabric softeners, and other laundry detergents. Furthermore, a shift towards phenoxyethanol preservatives as an optimum alternative to formaldehyde donor is likely to boost the phenoxyethanol market from 2014 to 2020.
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The phenoxyethanol preservatives market is largely hampered due to shift of customers towards natural and organic cosmetic products. Rising consumer awareness about safe and non-toxic cosmetic products is compelling manufacturers to develop novel cosmetic ingredients that have non-hazardous impact on the human body. Additionally, availability of a large number of cost-effective substitutes in the market such as parabens, iodopropynyl butylcarbamate (IPBC), formaldehyde & formaldehyde-donor, and isothiazolinone is projected to hamper market growth.
In terms of volume, phenoxyethanol P5 accounted for a substantial share of the global phenoxyethanol preservatives market in 2013. It contains less free phenol content (less than 5 ppm). Thus, phenoxyethanol P5 is widely used as a preservative in various cosmetic products. The market for phenoxyethanol P5 is anticipated to expand at an above average growth rate in the next few years.
Application segments of the phenoxyethanol preservatives market include home and personal care, pharmaceuticals, dyes and inks, and others. Pharmaceuticals application segment is estimated to be the fastest growing segment in the phenoxyethanol preservatives market. It held over 15% share in terms of volume in 2013. Home and personal care is the largest application segment in the phenoxyethanol preservatives market and is projected to exhibit above average growth rate during the forecast period. The others segment is likely to witness the slowest growth rate during the forecast period.
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Asia Pacific dominated the phenoxyethanol preservatives market in terms of volume with more than 40% share in 2013. The region has been experiencing high demand for phenoxyethanol preservatives in cosmetics and detergents application segment. Asia Pacific is emerging as the new epicenter for synthetic preservatives production. China is the leader in the phenoxyethanol preservatives market. Installation of new capacities for the production of phenoxyethanol preservatives in China has spurred the growth of phenoxyethanol preservatives in Asia Pacific Europe is expected to witness the slowest growth rate, as demand for natural preservatives-based cosmetics is higher compared to synthetic preservatives. The phenoxyethanol preservatives market in North America is projected to experience moderate growth rate during the forecast period owing to maturity of the cosmetic industry.
The global phenoxyethanol preservatives market is moderately fragmented in nature. Some phenoxyethanol preservatives manufacturers exhibit integration throughout the value chain. Furthermore, some manufacturers are largely backward integrated in the value chain. Key players in the phenoxyethanol preservatives market include The Dow Chemical Company, BASF SE, Galaxy Surfactants Ltd., Clariant Corporation, Symrise, Haihang Industry Co., Ltd., and Jinan Haohua Industry Co., Ltd.
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