Calcium Carbonate - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2019 - 2029

Key Highlights

• Over the medium term, major factors driving the global calcium carbonate market are growing construction activities in the Asia-Pacific region and the replacement of kaolin with calcium carbonate in the paper industry.
• Health hazards associated with calcium carbonate are expected to hinder the market's growth during the forecast period.
• The emerging importance of green applications is expected to provide new opportunities for the market studied.
• The Asia-Pacific region, which includes the major consumption countries, such as China, India, and Japan, dominates the global market.

Calcium Carbonate Market Trends

Paper Sector to Dominate the Market

• Calcium carbonate is one of the essential ingredients considered for applications in the paper industry, as it is employed as fillers and for coating purposes. The working qualities of CaCO3, like opacity, brightness, and smoothness, make it an ideal component for the manufacturing of writing, printing, and packaging-grade paper.
• It is a mineral filler, which substantially reduces the production cost of paper. As the minerals are easier to be dried than fibers, it also reduces the cost of basic materials. Calcium carbonate is also used in paper coating, as it brings out the brightness and smoothness on the surface of printing paper.
• In the present scenario, CaCO3 is dominant over other papermaking filler materials. The main reason behind the preference for calcium carbonate is the demand for brighter and bulkier paper. There are significant advantages to the use of CaCO3 in the alkaline papermaking process.
• In the paper industry, calcium carbonate is used as a replacement for kaolin. Since the synthesized precipitated calcium carbonate is brighter and whiter than kaolin, many manufacturers have been using it for paper filling and coating purposes. It offers better opacity, gloss, high brightness, surface finishing, and improves printability.
• Calcium carbonate is not only used as a substitute for kaolin but also for wood pulp and additives. In the alkaline papermaking process, calcium carbonate is used in a paper mill as a filler material. Calcium carbonate amounts for 32% of the total share of filler and pigments used in paper production.
• Currently, the Asia-Pacific leads the market demand for calcium carbonate in the paper industry, with China being the leading consumer. Increasing demand for paper packaging and tissue products is expected to drive the market in the Asia-Pacific region. According to the Indian Paper Manufacturers Association (IPMA), the Indian paper industry accounts for about 4% of the world's production of paper. The estimated turnover of the industry is INR 70,000 crore (~USD 8,474.56 million) (domestic market size of INR 80,000 crores (~USD 9,685.21 million)), and its contribution to the exchequer is around INR 5,000 crore (~USD 605.33 million).
• The packaging demand is driven by rapid economic upticks and growing food consumption in the region. The tissue demand is driven by population growth and improving hygiene standards.
• All the aforementioned factors are expected to boost the demand for calcium carbonate during the forecast period.

Asia-Pacific Expected to Dominate the Global Market

• The Asia-Pacific region is projected to lead the market for calcium carbonate owing to increasing construction activities in the region.
• Along with the growing construction industry in the region, the demand for calcium carbonate is expected to be driven by increasing economic activities and new investment opportunities in emerging economies, such as China, India, and Indonesia, among others.
• China is the largest pulp and paper producing country in the world, owing to large forest reserves, which amount to 22.5% of the land area. The industry is modern and highly mechanized, and labor is cheap. Forest cover is increasing in China owing to the government's afforestation initiatives.
• China is globally the largest manufacturer and consumer of plastics, adhesives and sealants, rubber, and paints and coatings. The majority of plastics, adhesives and sealants, and paints and coatings are consumed by the automotive and construction industries. The automotive industry is the major consumer of rubber.
• The Indian government's 'Housing for All by 2022' scheme is also a major game-changer for the industry. Additionally, the Union Cabinet has approved the setting up of a USD 3.58 billion alternative investment fund (AIF) in order to revive around 1,600 stalled housing projects across the top cities in the country.
• According to the Indian Paper Manufacturers Association (IPMA), even though India's pulp and paper market has been growing around 6-7% per annum, the industry witnessed a drop in production over the past three years. This contrasts with the consumption, which is exhibiting a steady rise.
• Overall, with the demand increasing from various end-user industries in the region, the Asia-Pacific market for calcium carbonate is projected to dominate the global market.

Calcium Carbonate Industry Overview

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