The market demand for refined lanolin is strong, and the industry has great room for cost reduction

Lanolin is a natural substance secreted by the sebaceous glands of sheep. It has the characteristics of strong water absorption, non-irritation, and stable emulsification performance. Lanolin is the esterification product of lanolin alcohol and lanolic acid. It appears as a light yellow or brown ointment and is easily soluble in chloroform, ether and hot ethanol. Lanolin contains rich active groups and can be modified to produce phosphorylated lanolin, acetylated lanolin, ethoxylated lanolin, sulfonate lanolin, etc., which are widely used in medicine, feed, daily chemicals, leather and other fields. .

Refined lanolin is prepared from crude lanolin through acid refining, decolorization, saponification, stratification, dehydration and other processes. my country is a major sheep breeding country. In recent years, the scale level and production efficiency of my country’s sheep industry have been continuously improved. According to data from the Sheep Industry Branch of the China Animal Husbandry Association, in 2021, my country’s sheep population will be 319.69 million, a year-on-year increase of 4.3%; sheep slaughter 330.45 million, a record high, a year-on-year increase of 3.5%. my country’s sheep breeding scale is large and its crude lanolin resources are abundant, which is favorable for the development of the refined lanolin industry.

According to the “2022-2026 China Refined Lanolin Market Feasibility Research Report” released by the Industrial Research Center, it is expected that 2022-2026 In 2026, the global lanolin market will grow at a compound annual growth rate of approximately 5.2% and reach US$350 million in 2026. Globally, the Asia-Pacific region is the largest market for lanolin, and my country is one of the important economies in the Asia-Pacific region. It is expected that my country’s lanolin market will grow at a rate higher than the global average.

Lanolin is mainly used in medicine, daily chemical products and other fields, among which daily chemical products are the main application scenarios of lanolin. On July 1, 2020, the national standard for vitamin D3 oil was officially implemented. The new standard limits the use of brainstem cholesterol, and lanolin becomes the only legal source of raw material for the production of vitamin D3. Against this background, lanolin market demand will be further released, and the industry has broad prospects for development.

The production process of refined lanolin is complex and costly, and the industry has broad room for cost reduction. my country’s lanolin suppliers include Zhejiang Huayuan Bio, Shanghai Huating, Suzhou Xinyi Bio, Suzhou Prosperous Bio, etc. Among them, Zhejiang Huayuan Bio is the leading domestic vitamin D3 and lanolin cholesterol company. Refined lanolin is one of Zhejiang Huayuan Bio’s main products. With the 8,000-ton refined lanolin project in Jinxi Science and Technology Park put into operation, the company’s refined lanolin revenue is expected to further grow.

Industry analysts said that lanolin has the characteristics of moisturizing, softness, and non-irritation, and is used in daily chemicals, medicine and other fields. Extensive, my country’s consumption of daily chemical products and vitamin D3 is huge, the market demand for lanolin is strong, and the industry has broad room for development. Refined lanolin is difficult and costly to manufacture. Based on this, the refined lanolin market also faces the risk of being replaced by other low-cost products.