Glycerine, also referred to as glycerol, is a colourless and odour-free liquid. It has a thick, syrup-like consistency and is widely used across various industries. As an oleochemical, vegetable-based glycerine plays a significant role across numerous industries due to its stability, non-toxic nature, and high solubility in water. It exhibits a melting point of approximately 18.17 °C and a boiling point of 290 °C, with a flash point of 199 °C, making it a safe compound for various applications. Its high viscosity, low vapour pressure, and non-flammable nature further enhance its suitability for sensitive formulations. One of glycerine’s key advantages lies in its hygroscopic property, which allows it to retain moisture, making it highly valuable in food, pharmaceutical, and personal care sectors.

In the food industry, glycerine functions as a humectant, sweetener, and solvent, contributing to the texture and shelf life of baked goods, beverages, and confections. Its presence in pharmaceuticals is equally vital, where it is used in cough syrups, elixirs, and topical formulations for its soothing and stabilising qualities. Glycerine is widely utilised in the personal care industry for its hydrating qualities and its role in improving the texture of products such as lotions, soaps, and toothpaste. Beyond consumer goods, glycerine serves as an environmentally safer antifreeze in automotive applications and is used in the production of engine coolants and de-icing agents. Additionally, it is a critical by-product of biodiesel production and is further utilised in manufacturing resins, plasticisers, surfactants, and even explosives such as nitro glycerine.

With its wide-ranging chemical attributes and plant-based origin, glycerine continues to be a preferred raw material across industries focused on sustainability, performance, and safety. Its adaptability in formulations and environmentally friendly profile makes it an essential component in both consumer and industrial product development.

Manufacturing Process of Glycerine
Glycerine, or glycerol, is primarily produced through two major routes: natural (bio-based) and synthetic processes. The most common method globally is the bio-based route, especially through the transesterification of vegetable oils during biodiesel production.

1. Transesterification (Bio-based Route – Most Common)
This is the primary commercial method for producing glycerine today, especially from renewable sources.

Raw Materials: Vegetable oils (e.g., soybean, palm, coconut oil) and an alcohol (typically methanol)

Process

Transesterification Reaction: Triglycerides in vegetable oil react with methanol in the presence of a catalyst (usually sodium or potassium hydroxide), producing methyl esters (biodiesel) and crude glycerine as a by-product.

Separation: The glycerine is isolated as a by-product during the production process of biodiesel.

Purification: Crude glycerine is purified through neutralisation, filtration, vacuum distillation, and sometimes ion-exchange to obtain refined glycerine with purity levels ≥99.5 per cent.

End Use: Refined glycerine is used in food, pharmaceutical, personal care, and industrial applications.

2. Saponification (Soap Manufacturing By-product)
Historically significant, this process is now used more selectively.

Raw Materials: Fats/oils and a strong alkali (e.g., sodium hydroxide)

Process
Fats undergo a chemical reaction with alkaline substances, leading to the formation of soap and glycerine.

Glycerine is recovered by separating it from the soap mixture, followed by purification.

Use: Produces high-quality glycerine, often for pharmaceutical and cosmetic applications.

3. Synthetic Production (Petrochemical Route)
Used on a smaller scale due to higher production costs.

Raw Material: Propylene (derived from petroleum)

Process: Epichlorohydrin is synthesised through a two-step process, beginning with the chlorination of propylene to form allyl chloride, followed by its hydrolysis.

Epichlorohydrin is further hydrolysed to form glycerine.

Use: Synthetic glycerine offers consistent purity and is used in applications requiring strict quality control, such as electronics or specialty chemicals.

Glycerine Market Overview
The global glycerine market is expected to experience strong growth over the coming years, with projections estimating its value will reach approximately $7.65 billion by 2030, the expected CAGR of 6.54 per cent during the 2025 to 2030. This growth is primarily driven by the rising adoption of glycerine across the food and beverage industry, where it serves as a versatile humectant, sweetener, and preservative. The compound's natural origin and multifunctional properties continue to enhance its appeal across several end-user industries including pharmaceuticals, cosmetics, personal care, and industrial applications.

Glycerine, a widely used by-product of biodiesel and oleochemical processes, plays a key role in several industries, from personal care to industrial chemicals. To understand its market behaviour, it is essential to analyse how upstream factors influence its production and how downstream industries shape its demand.

Upstream Market Dynamics

Feedstock Availability and Cost Fluctuations
Glycerine derived from sources like vegetable oils (palm, soybean, rapeseed) and animal fats. The supply and cost of these raw materials can vary due to factors such as seasonal crop patterns, global trade conditions, and geopolitical developments. Any disruption or price shift in feedstocks directly affects glycerine production costs and market availability.

Impact of Biodiesel Production
During the production of biodiesel, glycerine is produced as a secondary output. As global demand for cleaner fuels continues to rise, biodiesel production grows—consequently increasing the supply of crude glycerine. However, this often leads to periods of surplus, especially when demand in downstream sectors does not keep pace, putting pressure on prices.

Sustainability and Regulatory Factors
Environmental concerns and regulatory frameworks are increasingly influencing glycerine's upstream segment. For instance, regulations surrounding palm oil production, deforestation, and carbon footprints can limit the availability of feedstocks, especially in regions focused on sustainable sourcing.

Downstream Market Dynamics

Strong Demand from Consumer-Focused Sectors
Glycerine’s moisturising and stabilising properties make it a staple in personal care products, cosmetics, and pharmaceuticals. The growth of these sectors—driven by rising personal health awareness and increasing disposable incomes, particularly in Asia-Pacific and Latin America—has created a steady demand for high-purity glycerine.

Growth in Food, Tobacco, and Vaping Industries
In the food and beverage industry, glycerine is valued for its sweetening and moisture-retaining qualities. It’s also used in the production of e-liquids for vaping and as a humectant in tobacco products. Trends in consumer habits, such as the shift from smoking to vaping, are influencing glycerine consumption patterns globally.

Industrial Applications and Chemical Intermediates
Technical-grade glycerine is widely used in manufacturing paints, resins, antifreeze, and plasticisers. Moreover, it serves as a feedstock in the production of other chemicals like propylene glycol and epichlorohydrin. The push for bio-based chemicals has increased interest in glycerine as a renewable input in green chemistry.

Price Sensitivity and Substitute Competition
Glycerine’s price is often volatile due to fluctuations in biodiesel output and feedstock costs. In some industrial uses, this volatility opens the door for substitutes, especially when glycerine prices rise significantly. Manufacturers may switch to synthetic or petroleum-based alternatives if cost savings outweigh the benefits of using glycerine.

Quality Standards and Regulatory Compliance
For use in food, pharmaceuticals, and cosmetics, glycerine must meet strict quality standards such as USP, EP, or FCC. Regulatory compliance is a key factor for downstream buyers, especially multinational companies that require consistent quality, traceability, and certification to meet global safety norms.

Glycerine Market Sentiment and Trade Dynamics
The global glycerine market is under supply pressure, particularly in Europe, due to a significant reduction in biodiesel production the main source of glycerine. Lower biodiesel demand, driven by evolving energy policies and increased feedstock costs, has curtailed output, tightening glycerine availability across the region.

This constrained supply has led to rising prices and increased reliance on imports, especially for pharmaceutical and personal care applications. Europe is sourcing more from Asia, particularly countries like Malaysia, Indonesia, and India, to bridge the gap.

India has maintained a stable glycerine supply, supported by key domestic players such as Adani Wilmar and Godrej Industries. The country benefits from a strong refining capacity and diversified supply base, ensuring resilience despite global fluctuations.

Overall, the glycerine market remains closely tied to biodiesel trends, with supply dynamics heavily influenced by policy changes, feedstock availability, and regional production capabilities.

Global Top Manufacturers of glycerine

  • Wilmar International Ltd.
  • Cargill Inc.
  • IOI Oleochemicals
  • Emery Oleochemicals
  • Godrej Industries Ltd
  • KLK OLEO (Kuala Lumpur Kepong Berhad)