Market Size of Butane Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | > 6.00 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Need a report that reflects how COVID-19 has impacted this market and its growth?
Butane Market Analysis
During the forecast period, the butane market is estimated to witness a CAGR of over 6%.
The butane market was affected by the COVID-19 virus, as it is used in the residential sector. The major use of butane is in LPG, which increased demand during the pandemic as most families were confined to their homes. The consumption of LPG cylinders spiked exponentially for a major part of the year. India, the second largest LPG consumer, also saw a hike in demand. According to the Oil Ministry, the sales of domestic LPG have registered a growth of 10.3 % during the fiscal year (April 2020 to February 2021). After the COVID era, the other sectors have also started to open up, thus keeping the demand for butane high along with its usage in the residential sector, which had not seen much of a hit since the pandemic. Therefore, the demand for butane is positively impacted in the post-pandemic era.
- Over the long term, one of the major factors driving the market studied is the rising demand from the petrochemical industries. Apart from this, increasing demand from the metalworking and construction Industry is also considered one of the reasons driving the market forward.
- However, increasing research and development in renewable sources are expected to negatively affect the market's growth.
- Nevertheless, the increasing use of butane in power generation will likely act as an opportunity.
- Asia-Pacific dominated the world market, with the largest consumption generated by China and India.
