US demand for industrial and institutional (I&I) cleaning chemicals is projected to increase 3.4 percent annually to over $10 billion in 2012. The leading product categories -- general purpose cleaners, floor care products and warewashing detergents -- will continue to rely on fairly conventional product formulations that offer cost-effective cleaning and satisfy environmental and workplace safety regulations. Novel formulations incorporating plant-derived raw materials and other biodegradable components will register above average growth, but will remain a relatively small segment of the overall market. These and other trends, including market share and company profiles, are presented in Industrial & Institutional Cleaning Chemicals, a new study from The Freedonia Group, Inc., a Cleveland-based industry research firm.
Growth is expected to be strong for hard surface disinfectants, general purpose cleaners, hand cleansers and other products used to ensure product and worker safety in food and beverage processing facilities -- by far the largest manufacturing market for I&I cleaning products -- and in foodservice applications, the dominant commercial market.
The commercial and manufacturing segments -- which combined to account for more than 85 percent of the I&I market in 2007 -- are expected to register growth comparable to the overall average. The smaller institutional segment is projected to post stronger advances, due mainly to sustained growth in health care applications, the largest institutional market. Aggressive surface cleaning, equipment disinfection, floor care and other janitorial operations will continue to expand in order to assure patient safety and to minimize health care facility liabilities resulting from subpar infection control procedures.
A number of trends in raw material usage are reshaping the I&I cleaning chemical product mix. Many product formulators are moving away from harsher caustic soda in favor of more benign chlor-alkalis such as soda ash and sodium bicarbonate that allow for milder, easier to use products with greener environmental profiles. Efforts to save water, packaging costs and logistical expenses have boosted demand for better performing surfactants in laundry detergents, which allow them to operate effectively with reduced water content.
The Freedonia Group is a leading international business research company, founded in 1985, that publishes more than 100 industry research studies annually. This industry analysis provides an unbiased outlook and a reliable assessment of an industry and includes product segmentation and demand forecasts, industry trends, demand history, threats and opportunities, competitive strategies, market share determinations and company profiles.