Chemical Product Wholesaling in the UK - Industry Market Research Report

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.

The Chemical Product Wholesaling industry distributes many products, including industrial chemicals and gases, essential oils, glues, construction-related products, agrochemical products and fertilisers. Many of these products are intermediates, meaning the industry has a vital role in many value chains, as it distributes a diverse range of items that serve an equally diverse range of downstream industries. These include construction, automotive, pharmaceutical, cosmetics and agrochemical industries.

Over the five years through 2024-25, the UK Chemical Product Wholesaling industry is expected to grow at a compound annual rate of 2.3% to £14.1 billion.

Trends and Insights 

• UK manufacturing drives sales opportunities. Growing business confidence bolsters manufacturing output and propping up wholesalers' sales volume.
• The UK's roaring construction sector powers polymer and essential oil sales. As residential construction climbs, demand for polymers and essential oils - used primarily in coatings and adhesives - drives sales.
• Economic activity brings wholesalers to the South East. A bustling economy, vast consumer base, proximity to London and access to ports encourage wholesalers to set up shop in the South East.
• High costs impede market entry for new players. Due to high setup costs for warehousing, distribution systems and the need for highly skilled personnel, new entrants must have sufficient financial capital to break into the chemical wholesale industry.

Market size and recent performance (2014-2029)

• Industry revenue has grown at a CAGR of 2.7 % over the past five years, to reach an estimated £14.1bn in 2024.