01.03.2021 (www.fractovia.org) - Soap noodles market to grow at 3% CAGR over the timeframe. Soap manufacturers have upped their efforts in purchasing the soap noodles and adding the pigments, flagrances, flavor and other components to have a competitive edge in the market. Use of soap noodles as the main ingredient in the production of soap bars is likely to be witnessed in the next few years.

A blend is said to be the 80/20 standard, containing 80% palm oil and 20% palm kernel oil or coconut oil. Besides, soaps with increasing level of diversity are hitting the shelves and will continue to present bullish picture of the soap noodles industry. In the latest research report, Global Market Insights, Inc., has projected soap noodles market size to expand $1.14bn by 2025.

Prevailing trends

Production of palm oil at an unprecedented level, especially in Indonesia and Malaysia, is likely to set the trend in soap noodles space. It is worth noting that Malaysia is the number 2 producer of the palm oil after Indonesia. Reportedly, inventories of palm oil in Malaysia rose to over 2 mn tons in April. Notably, these two South East Asian countries are perceived as the largest sources of soap noodles based on palm oils.

Given that soap noodles based on palm oil helps in providing high quality white soap and provides a consistent composition at the time of making soap, It is estimated that palm oil soap noodles as detergents will set the trend in the next few years.

Growth drivers

Growing traction for bar detergents and laundry noodle soap will continue to fuel growth in the industry. Used as the main ingredient in the production of soap bars, soap noodles are being produced from the saponification of oil and neutralization of saponification and fatty acid of methyl ethers.

A slew of companies has started manufacturing eco-friendly laundry soaps as they vie to boost their product portfolios, thereby creating viable revenue growth opportunity for stakeholders.

Potential opportunities

The consistent composition, tremendous detergency, high quality, ease of application, and bio-compatible nature of soap noodles have made them highly sought-after in industrial use, multi-purpose soaps, laundry soap and hygiene soap.

Growing preference of consumers towards cleanliness and hygiene will provide opportunities for manufacturers to expand their penetration and their consumer base.

Likely restraints and challenges

Growing preference of substitutes such as liquid soap, shower gels, and body wash are likely to derail the growth in soap noodles market. That said, demand for hygienic products is likely to translate into the production of anti-bacterial and other soap bars.

Being the main ingredient in the production of soap bars, production of soap noodles is expected to witness a notable uptick. Demand for palm oil-based soap will continue to set the trend as APAC is likely to be replete with investment. Use of soap bar will be more noticeable in the next few years. It is worth noting that bullish growth prospect in countries such as Indonesia, Malaysia, India and China will continue to boost the industry size expansion.