Wednesday, March 21, 2018

Iodine Market worth 1,041.0 Million USD By 2022 - At a CAGR of 4.58%


Expansions and new product launches are the key development strategies adopted by leading players in the global iodine market.


Iodine is a non-metallic element with a blue-black color and lustrous appearance. It belongs to the halogen family in the periodic table and is the least reactive among the halogens. Iodine is a trace element that can be obtained mainly from three sources, which are underground brines, caliche ore, and seaweed. It is also recycled in many parts of the world, mainly in Japan. Iodine is either used in elemental or isotopic form and in the form of inorganic salts & complexes and organic compounds. It is widely used in numerous applications, such as X-ray contrast media, pharmaceuticals, iodophors, and optical polarizing films in LCDs, catalyst in polymer synthesis, biocides, human nutrition, animal feed, and fluorochemicals. Increasing use of iodine in optical polarizing films in LCD applications and growing deficiency of iodine in developing countries are the major factors driving the market for iodine globally. The growth is further driven by its application in X-ray contrast media, fluorinated derivatives, and photography. The global iodine market is estimated at USD 832.1 million in 2017 and is projected to reach USD 1,041.0 million by 2022, at a CAGR of 4.58% between 2017 and 2022.

               
Key companies manufacturing iodine were majorly involved in expansions to strengthen their positions in the market. It was the most preferred strategy adopted by the market players from 2013 to 2017. The increase in the number of expansions indicates that manufacturers are expanding their production facilities to establish a strong foothold in the iodine market and cater the escalating demand for iodine due to its deficiency, especially in developing countries. New product launch was the second-most preferred growth strategy by manufacturers. Major market players are adopting this strategy to diversify their product portfolio by bringing out new, innovative products.

Major manufacturers such as Sociedad Química y Minera (SQM) (Chile), Iofina (UK), ISE Chemicals Corporation (Japan), IOCHEM Corporation (US), Compañía de Salitre y Yodo (Chile), Algorta Norte SA (Chile), Nippoh Chemicals Co., Ltd (Japan), Kanto Natural Gas Development Co., Ltd (Japan), Toho Earthtech Co., Ltd (Japan), and Godo Shigen Co., Ltd (Japan), among others, are profiled in this report. These companies have large production facilities and have adopted organic strategies to become the leading players in the global iodine market.

Sociedad Química y Minera (Chile), Iofina (UK), ISE Chemicals Corporation (Japan), IOCHEM Corporation (US), Compañía de Salitre y Yodo (Chile), and Algorta Norte SA (Chile) are the leading players in the global iodine market. These companies accounted for the highest number of strategic activities, with expansions and product launches being the most preferred ones.
                           
SQM is the leading manufacturer of iodine with the largest production capacity of iodine globally. The company manufactures around 10,000 tons of iodine and its derivatives annually. The company, in 2016 launched a new product Ethyl-TriPhenyl-Phosphonium Iodide (ETPPI) through its brand Iodeal. ETPPI is a quaternary phosphonium salt used in the advancement or curing of thermosetting powder coatings and phenolic-based epoxy resins, as a phase transfer catalyst, and a Wittig reagent. This product launch helped the company enhance and broaden its product offerings.

Iofina is another major company operating in iodine manufacturing after SQM. For instance, in 2017, Iofina expanded its iodine production with the construction of IO#7, a new production plant for manufacturing iodine and its derivatives. With this expansion, the company will be able to increase its iodine production with lower per kilo cost of production.

Increasing use of iodine in optical polarizing films in LCD as well as other versatile applications and growing iodine deficiency disorders in developing countries are driving the growth of the iodine market.


Iodine is a trace element found in nature, occurring in earth’s crust as mineral deposits, in underground brines, and in seaweeds. It is a non-metallic element with a blue-black color and lustrous appearance. Iodine is essential for human and animals for proper functioning of thyroid glands, brain activities, and reproducibility. Iodine, owing to its high reactivity and occurrence in several oxidation states, gives numerous organic and inorganic compounds. It is used in a plethora of applications in three major forms, namely, organic compounds, inorganic salts & complexes, and elemental & isotopic form. It is used in many applications across the industrial sector. It is used in table salts for human consumption, and as an additive in animal feed, pharmaceutical, and healthcare applications. It is also used in polarizing films along with PVA in LCD components. It is used in iodophors, nylon manufacturing, as catalyst in polymer synthesis, as biocide in manufacturing of fluorinated compounds, and in agricultural intermediates and heat stabilizers. The market is witnessing growth due to its increasing use in optical polarizing films in LCD applications. Growing deficiency of iodine in developing countries and use of iodine in applications such as X-ray contrast media, fluorinated derivatives, and photography are some of the factors driving the market for iodine. The global iodine market is estimated at USD 832.1 million in 2017 and is projected to reach USD 1,041.0 million by 2022, at a CAGR of 4.58% between 2017 and 2022.

Asia Pacific is estimated to be the fastest-growing market, in terms of both value and volume, during the forecast period. China is projected to be the fastest-growing iodine market in Asia Pacific, accounting for a major share of the demand for iodine in the region. The growth in the chemical manufacturing industry, favorable demographic scenario, the rise in aging population, growing investments in the radiology market, and increasing government support to strengthen healthcare services in the emerging countries such as China, India, and Nepal are expected to increase the demand for iodine in the region during the forecast period.

Recycling is estimated to be the fastest-growing segment of the iodine market, by source during the forecast period. Owing to the continuous commercial exploitation of mineral deposits and underground brines, iodine reserves may eventually deplete. Recycling of iodine will ensure its sustainable availability in the near future.

Organic compounds is estimated to be the fastest-growing segment of the iodine market, by form during the forecast period. It is the fastest-growing segment due to the increasing consumption of organic compounds such as methyl iodide in pesticides and soil fumigants in the agrochemical industry. The growing consumption of organic compounds in electronics and healthcare industry is also expected to boost their demand during the forecast period.

Optical polarizing films is estimated to be the fastest-growing segment of the iodine market, by application during the forecast period. The growing demand for iodine in optical polarizing films is attributed to the improved standards of living, rise in disposable income in developing countries, and increasing preference for advanced and visually appealing LCD display panels. The aforementioned factors are expected to drive the demand for iodine from the optical polarizing films application during the forecast period.

Major players in the global iodine market undertook various development strategies in recent years. Expansions and new product launches are some of the key strategies undertaken by major manufacturers such as Sociedad Química y Minera (SQM) (Chile), Iofina (UK), ISE Chemicals Corporation (Japan), IOCHEM Corporation (US), Compañía de Salitre y Yodo (Chile), and Algorta Norte SA (Chile). These strategies have helped these companies increase their production facilities and enhance their shares in the iodine market. For instance, in the period of 2016-2017, companies such as Iofina and IOCHEM Corporation expanded their manufacturing facilities by constructing new manufacturing plants and drilling of production wells respectively to increase their production capacities in the coming years.

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