Activated Alumina Market to Grow at 7.73% CAGR to 2020

The global activated alumina market 2016-2020 report says economic and Industrial growth in APAC will be a key trend for market growth. In APAC, the use of activated alumina, especially in emerging economies such as India and China, is increasing.

This is attributable to the industrial and economic development in these countries. The increase in demand for activated alumina in various end-user applications and the increase in production capacity in recent years is expected to benefit the global activated alumina market.

The rapid growth in the pharmaceutical industry has further increased the demand for activated alumina in the region. Developed countries, such as South Korea and Japan, are expected to account for a constant demand share for activated alumina and activated alumina-based adsorbents that can be used in chemical industry.

The analysts forecast global activated alumina market to grow at a CAGR of 7.73% during the period 2016-2020. According to the activated alumina market report, use of activated alumina in production of biopharmaceuticals and nutraceuticals will be a key driver for market growth. Nutraceuticals are products mostly derived from food sources, which add additional nutritional value. Biopharmaceuticals are natural bioactive chemical compounds that can be used as pharmaceuticals. Both these products have therapeutic applications; they prevent diseases, promote heath, or have medical properties.

Market analysts predict that the oil and gas segment will be the largest in the activated alumina market by 2020 and will post a CAGR of around 9%. The extensive application of activated alumina in natural gas industries for the purification and drying of natural liquids and gasses will lead to the growth of this sector. Also, activated alumina balls help eliminate water from natural gas transmission and prevent erosion of equipment.

During 2015, the AA300 grades segment dominated activated alumina market by accounting for approximately 55% of the total market share. AA300 activated alumina is a desiccant grade absorbent, which is primarily used for drying air or other steam gasses due to its excellent adsorption capacity of water vapor. One of the factors augmenting the growth of activated alumina market segment is its properties, such as high surface area and excellent crush strength, which results in its increased usage as a catalyst for natural gas operations, smelters, and refineries to prevent environmental pollution caused by hydrogen peroxides.