KONSTANZ, Germany - In its latest study, Ceresana forecasts global revenues generated by the pigments industry to increase to $34.2 billion in 2020. Pigments are mainly used in the production of coatings and the coloring of plastics and construction materials. Other applications include the manufacturing of printing inks and paper. The most important indicator for the development of the pigment industry is the construction sector, as total demand for construction material, paints, varnishes, and plastics largely depends on the development of the construction industry.

The Asia-Pacific region accounts for almost half of global consumption of pigments and is expected to increase its share of the market even further. This region will continue to be the growth motor of the pigments industry, as China and India in particular are substantially increasing demand for pigments. Eastern Europe, the Middle East and South America will see demand rise by more than three percent per annum each, contributing to the positive development of the pigments industry. The rather saturated markets in Western Europe and North America will slowly return to a growth path after losses suffered in the past couple of years.

The presence of pigment-processing industries is subject to regional differences, and the demand for individual types of pigments depends on the requirements of the industry in question. Hence, demand for specific types of pigments may vary widely among the regions. Titanium dioxide is dominating the pigment market, given its widespread use in paints, varnishes and the processing of plastics. North America consumes a disproportionately large amount of organic pigments. In Asia-Pacific, on the other hand, iron oxides are accounting for a comparatively large share of regional consumption. The largest growth potential in Asia-Pacific is expected for carbon black pigments.

Paints and varnishes account for the most important sales market for pigments worldwide. More than 43 percent of global demand originates in this segment. “Processing plastics accounts for 27 percent of total demand for pigments. This segment will develop at the second-highest growth rate in the future,” explained Oliver Kutsch, CEO of Ceresana. Only the printing inks segment will grow at higher rates, thanks to an increase in demand for printed packaging. Ceresana expects the least dynamic development in the paper segment.

For additional information about the report, visit www.ceresana.com/en/Market-Studies/Additives/Pigments.