With growing concern over the negative effects of chemical pollutants on the environment, there is an increasing focus on the use of green or renewable chemicals in various industries. These green chemicals are mainly used for the development of various products and processes. Renewable chemicals along with other natural resources are used for the production of electricity, lubricants, gasoline, diesel, synthetic rubbers and other petrochemicals. This enables industries and households to save cost on many appliances and household goods. Besides, green chemicals also have a positive impact on the economy.
The primary reason behind the growing demand for renewable chemicals is the need for more jobs and improved infrastructure in developing nations. In fact, there are many multinational companies that have their manufacturing facilities in developing nations such as China, India, and others. These companies provide a large amount of employment to these communities. Moreover, these jobs are considered as the engine of economic growth of these communities. Therefore, developing nations are in much need of these chemicals, and there is a huge potential of the market for them.
Another reason behind the growth of the market for global renewable chemicals is the growing demand in the industrial sectors in developed countries. Many multinational companies are exploring for alternative sources of energy to reduce their dependency on crude oil and generate green energy. There are many initiatives taken by developed nations to develop new technologies for the use of energy and other materials. With the help of developed countries, there is a lot of effort and research done to find alternative sources of energy. It is clear that the demand for the global chemical market will be growing dynamically in the coming years. The increasing demand for feedstock and the availability of a sufficient amount of water and space for agricultural usage also encourage the use of recycled chemicals in the production of feedstock. For instance, in August 2021, the U.S.-based hybrid bio-refinery major, Petron Scientech Inc., partnered with KBR to develop licensed sustainable technology for the production of renewable chemicals.