Glycerine：Current Industry Landscape Production Capacity

Glycerine is a versatile polyol used widely in pharmaceuticals, personal care, food, and industrial applications. Its global supply is primarily tied to the biodiesel industry, where it's produced as a major by-product.

1. Market Size and Growth

Current Market Value: The global glycerine market is valued between $3 billion to $5.6 billion, with variations depending on the reporting methodology and source.

Growth Forecast: The market is projected to grow at a Compound Annual Growth Rate (CAGR) of 5% to 12% over the next decade, with estimates ranging from $4.42 billion to $11.9 billion by. This growth is driven by strong demand from the personal care, pharmaceutical, and food industries.

2. Key Source: Biodiesel By-Product

Dominant Supply Source: Approximately 60% of the global glycerine supply originates from biodiesel production.

Production Mechanism: For every 1 gallon of biodiesel produced, about 0.3 kg of crude glycerine is generated as a co-product-7. This makes glycerine production dependent on biofuel policies, such as blending mandates in Indonesia (B40) and the U.S.

Production, Capacity, and Key Players

3. Production Output and Demand

Specific global total production volume is not pinpointed in the search results, but regional and segment data provide clear indicators of scale and trends:

The Asia-Pacific region dominates the market, accounting for about 36.94% to 48% of global consumption, with China as the leading country.

The U.S. market is significant, with production volumes supported by its biodiesel industry.

4. Major Producers and Recent Capacity

The market is led by large, integrated agri-business and oleochemical companies. Notably, Cargill, Wilmar International, KLK OLEO, P&G Chemicals, and Godrej Industries are frequently listed as key players.

Recent capacity expansions indicate strategic investments:

Louis Dreyfus Company (LDC) inaugurated a new high-purity glycerine refinery in Lampung, Indonesia, in May 2025 with an annual capacity of 55,000 metric tons. This caters to the pharmaceutical and personal care industries.

ORLEN's BioPG plant, launched in 2023, has a capacity of 30,000 metric tons per year, producing renewable propylene glycol from glycerine.

Market Trends and Challenges

5. Current Industry Dynamics

Demand Shift Towards High Purity: There is a growing demand for USP-grade refined glycerine, driven by stringent pharmaceutical requirements and consumer preference for pure ingredients in personal care. Refined glycerine is the dominant product type.

Price Surge in 2025: The market is experiencing a significant price surge due to a confluence of factors: disruptions in palm oil feedstock (key for biodiesel in Southeast Asia), high shipping costs, biofuel policies diverting raw materials, and geopolitical tensions.

Substitutes and Volatility: The market faces challenges from price volatility linked to biodiesel feedstocks and competition from substitutes like propylene glycol and sorbitol in some applications.

Summary: The glycerine industry is in a state of dynamic growth, fueled by biodiesel production and strong end-user demand. The market is increasingly focused on high-purity products, currently challenged by significant price pressures and supply chain volatility.

If you are interested in a deeper analysis of glycerine applications in a specific sector, such as pharmaceuticals or personal care, or more detailed price trend analysis, I can provide further information.