Procurement Opportunities And Forecast Of Acetic Acid Market


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The technology governing the manufacture of acetic acid is considered to be one of the most diverse among major industrial organic chemicals. Acetic acid is found to have manufacturing processes which use a variety of feedstock as well as production approaches. The production of Methanol carbonylation can be identified as one of the dominant technologies in the production of acetic acid. It roughly accounts for more than half of the acetic acid produced and manufactured across the globe. The classical approach of deriving acetic acid which runs knee-deep in the acetic acid market has been from the aerobic fermentation of ethanol. This approach allows for various different chemicals and feedstock to be used. The procurement opportunities and the cost of raw materials subsequently differed.

What Is Acetic Acid and How Was It Conventionally Made?

Acetic acid is a carboxylic acid which has two carbons. It is produced by the process of carbonylation of methanol. Its IUPAC name is ethanoic acid which is a colorless liquid with pungent odor. Acetic acid finds the usual application as a chemical reagent. The chemical is widely employed in the manufacturing of end-user products such as paints, adhesives, and sprays. It also finds applications in the making of many food products due to its taste and health benefits.

This chemical is a catalytically dehydrogenated or oxidized form of acetaldehyde, which when oxidized, yields acetic acid. This is an old technology which was soon modified by Perkebunan Nusantara. He built a 30,000 tonnes/year molasses-based plant of acetic acid in Jakarta, Indonesia. Further, a biocatalytic route to the procurement of acetic acid was invented which was in collaboration with Diversa.

Various Methods Of Procuring Acetic Acid

Acetic acid can be produced through various method alongside using different types and categories of raw materials prices, the availability of which directly impacts the price forecast and the dynamics of the acetic acid market across the globe.

It can be produced through the following methods:

Oxidation of Alkane

N-butane and light naphtha (containing hydrocarbons with low boiling points, such as pentanes and hexanes) are oxidized at 160-200 degree Celcius. The industrial process is carried out with additional use of cobalt or manganese as a catalyst. Although this process results in being expensive, it saves time. The main products used in this process are acetic acid as well as methylethylketone. Various other low-cost organic by-products such as methanol, ethanol,  propionic acid, formic, and butyric acids are also derived by the end of Alkane oxidation. It is predicted that hardly any new acetic acid plants that use non-selective oxidation of alkane will come up in the future.

Emerging Technologies Aiding In The Procurement Of Acetic Acid

Recently, an intention to construct a mega acetic acid-producing plant which semi-works on the basis of catalytic oxidation process has been announced. According to experts, acetic acid is also formed when ethane is oxidized in the presence of pure oxygen/air at a fairly high temperature of 150 to 450-degree Celcius and a pressure quantity of 15 to 750 psi. The newly developed Sabic system of catalyzes elements and compounds such as Mo, V, Nb, and Pd to form acetic acid. This technology is not only cost-effective but also fast and accurate in manufacturing acetic acid without the production of by-components. The employment of this technology alongside low-cost ethane is expected to benefit developing nations which compete on the efficiency of the technology of methanol carbonylation.

Market Scenario Of Acetic Acid Worldwide

The market value of acetic acid is increasing due to an apparent rise in the demand for acetic acid-based consumer goods. Asia is researched to be an important market for the chemical where it is generating new employment opportunities as more companies are entering the market which is producing acetic acid. Acetic acid is facing an increase in demand also due to a rise in the global demand of VAM (Vinyl Acetate Monomer) as well as PTA (Purified Terephthalic Acid). Vinyl acetate is one of the major products with significant global influence that uses acetic acid for its manufacturing. One of the fastest growing industrial compounds, PET (polyethylene terephthalate) textiles also uses acetic acid in the making of the application, as well as grease in the industries such as automotive, textiles, electronics as well as construction.

Other factors which are shaping the expansion and dynamics of the procurement of acetic acid revolve around the manufacture of monochloroacetic, diketene, camphor, acid, and photographic chemicals. As it is also responsible for the production of polyester and coatings, as well as grease in industries such as automotive, textiles, electronics as well as construction, the market for acetic acid is growing. Further, an increase in the global disposable income and more risk-taking capacities in industrialists are boosting the procurement opportunities and innovative ways of manufacturing of the chemical.