The Cosmetics Chemicals report from the market research company revealed that despite the difficult economic conditions in 2009, demand for these products remained buoyant with this trend expected to continue in the future.
According to GIA, the global market for cosmetic chemicals is predicted to reach $18.9bn (€15.5m) by 2015.
Europe largest market for cosmetics chemicals
Europe remains the largest market for cosmetics chemicals, according to the report, although the Asia-Pacific region and other emerging markets are expected to increase in size over the next few years.
In terms of ingredients, while cleansing agents and foamers represent the largest segment globally, emollients and moisturisers are set to experience the fastest growth from 2007-13, GIA said.
Chemicals players post improved results
Signs that customer demand is increasing have been seen in the recent financial results of some of the biggest players that dominate the market.
Despite a decrease in sales across all divisions for annual 2009, Germany-based Cognis recently turned in its best ever Q1 operating profit, with sales in the care chemicals division reaching a figure of €407m, an increase of 10 per cent on the same period last year.
Similarly, an otherwise weak 2009 was boosted by a stronger Q4 for fellow German chemicals player BASF, and the upward trend continued with the company posting at 2.6 per cent rise in sales for Q1 2010.
Rumours surrounding the sale of Cognis are continuing to circulate, although there have been reports that a deal is close to being struck. News agency Reuters reported yesterday that according to sources, BASF is near to agreeing to take over the company, saying that “haggling over liabilities is holding up an otherwise done deal.”