The global cosmetics industry is booming, with sales expanding at a high rate in a variety of categories. With a market value of almost US$ 400 billion in 2019, the industry has seen a number of positive developments, including the introduction of organic beauty products and the integration of smart technology throughout the supply chain.
Furthermore, consumers are more likely to spend on beauty and personal care when their disposable income rises. This trend is gaining traction in a number of emerging economies, particularly in Asia, Africa, and Latin America. The future picture for cosmetic chemicals is brightening as the popularity of cosmetics grows.
The global environment is characterised by continual R&D activity tied to product innovation, according to Fact.MR's cosmetic chemicals industry report. Environmentally friendly formulations made from natural ingredients are being prioritised by major corporations.
These natural raw materials contain no artificial additives, which is expected to become a competitive advantage for all major cosmetic chemical manufacturers in the next years. As consumers want greater brand transparency, cosmetic companies ensure that ingredient lists reassure buyers about the lack of harmful ingredients.
A study of the cosmetic chemicals landscape in the United States predicted a value share of more than US$ 6 billion by 2021. The ever-increasing diversity of the beauty and personal care sector is acknowledged as the primary growth driver for cosmetic chemicals in the United States.
In the cosmetics industry in the United States, increasing transparency regulations for ingredient labelling is a popular trend. Clean beauty has been gaining traction in the industry since 2018, according to Yeildify. Businesses are gradually embracing eco-friendly materials as a result of the FDA Ban 11 prohibiting the use of synthetic compounds such as bithinol and chloroform, resulting in increased production of organic cosmetic chemicals on a large scale.
Despite progress, the selling of cosmetic chemicals is projected to confront significant challenges in the future. Compliance with increased regulatory criteria by individual countries is a major development stumbling block.
While China appears to be a promising market, its regulations are continuously changing, making it difficult for businesses to keep up. The registration process can be time-consuming at times.
