Report

The Brazil lignin market size is projected to grow at a CAGR of 1.60% between 2025 and 2034, aided by the increasing demand for low-emission biofuels in the domestic transportation sector.

Brazil Lignin Market Growth

As per the United Nations, the global population is expected to reach a size of 9.7 billion by 2050. To meet the growing demand for food, agricultural production must be doubled. Since Brazil is home to nearly 22% of the world's cultivable land, it is expected to witness a significant surge in the demand for lignin-based soil conditioners that facilitate nutrient retention and erosion control while enhancing soil texture.

In 2020, agribusiness constituted a share of 21.4% of Brazil's GDP and employed 19.5% of the country's workforce. Its performance is closely tied to the domestic livestock industry, which consumes 60% of Brazil's corn production. As per the OECD, the demand for meat products is expected to rise by 12% by 2029, which is expected to drive domestic corn production in Brazil. This is further expected to further drive the demand for lignin-based soil conditioners, which are relatively more sustainable than chemical-based pesticides and enhance soil fertility by adding organic matter.

By 2030, biofuels are expected to command a share of 18% in Brazil's energy matrix. The increasing emphasis of the government on minimising GHG emissions and promoting the transition towards clean energy is expected to accelerate the demand for lignin for biofuel production, thereby driving growth of the Brazil lignin market.

Key Trends and Developments

Favourable properties of lignin; rising use of lignin as biofuels; and growing efforts to enhance the cost-efficiency of lignin recovery technology are factors impacting the Brazil lignin market growth.

October 2023

Brazil-based Tecfil unveiled the EcoLigna, its sustainable lignin-based automotive filter, to the North American market. The filter, manufactured using an innovative filtering medium, lowers CO2 emissions by 20% while offering 15% superior performance.

April 2023

Ahlstrom launched a renewable lignin-based automotive filter media, Ahlstrom ECO, aimed at meeting the growing sustainability demands of the transportation sector. The company also partnered with Brazil-based Tecfil for the incorporation of its solution into a final Tecfil's automotive filter design.

Favourable Properties of Lignin

As per Brazil lignin market analysis, lignin boasts several favourable characteristics such as low weight, high thermal stability, excellent physicochemical and mechanical properties, microbial and oxidant resistance, low cost, high carbon content, and bio-renewability, boosting its use to manufacture different materials such as polymers and adhesives.

Growing Focus on Sustainability

The rising focus on sustainability is driving the applications of lignin in various sectors such as adhesives and plastics as a replacement for oil-based phenolic materials and petroleum-based feedstock.

Rising Use of Lignin as Biofuels

Technological advancements and innovations have enabled lignin to be converted into different types of biofuels such as aviation fuel, gasoline, and diesel and blended with traditional fuels to lower carbon emissions in the transportation sector. The potential uses of lignin-based fuels in different applications such as plastics, resin, and biochar are expected to provide a favourable Brazil lignin market outlook.

Increasing Research and Development Activities

Surging research and development activities aimed at creating lignin hydrogels and nanoparticles as well as lignin for biocomposites, 3D printing, electrodes for energy storage devices, and surfactants are aiding the market.

Growing Efforts to Enhance the Cost-Efficiency of Lignin Recovery Technology

Key players are increasingly attempting to enhance the cost-effectiveness of lignin recovery technology and developing innovative solutions to remove lignin from black liquor with improved efficiency.

Brazil Lignin Market Trends

Due to their favourable characteristics such as antimicrobial and antiviral, lignin is widely used as a bioactive agent in different sectors such as cosmetics, pharmaceuticals, adhesives, and medical, among others.

As lignin-based materials boast biodegradability, printability, biocompatibility, and non-cytotoxicity, they are increasingly used for 3D bioprinting in microextrusion, tissue engineering, and laser-assisted bioprinting techniques. Besides, surging research and development activities aimed at boosting the commercial applications of lignin in end-use sectors such as resins, coatings, and biorefineries, is driving market's expansion.

Brazil Lignin Industry Segmentation

The EMR's report titled "Brazil Lignin Market Report and Forecast 2025-2034" offers a detailed analysis of the market based on the following segments:

Market Breakup by Product Type:

- Lignosulfonates
- Kraft Lignin
- Organosolv Lignin
- Others

Market Breakup by Application:

- Construction Material
- Transportation Fuel
- Biopolymer
- Bio-asphalt
- Resins and Glues
- Animal Feed
- Others

Market Breakup by Region:

- Sao Paulo
- Minas Gerais
- Rio de Janeiro
- Bahia
- Rio Grande do Sul
- Other

Brazil Lignin Market Share

Based on application, the market is segmented into construction material, transportation fuel, biopolymer, bio-asphalt, resins and glues, and animal feed, among others. Over the forecast period, the demand for lignin in biopolymer production is expected to soar, recording a CAGR of 1.8%. This can be attributed to the shift towards sustainability and the rising appeal for eco-friendly materials among consumers.

Leading Companies in the Brazil Lignin Market

With the anticipated growth of the 3D printing industry, the demand for lignin materials for manufacturing bioplastics, composite materials, construction components, and medical devices is expected to grow in the forecast period. This provides various opportunities for Brazil lignin market players.

Klabin S.A

Klabin S.A, headquartered in Sao Paulo, Brazil and founded in 1899, is the largest producer and exporter of paper for packaging in Brazil and offers pulp, paperboard, corrugated boxes, and industrial bags. The company has a robust network of 24 industrial units in Brazil and Argentina.

LignoStar Group BV

LignoStar Group BV is based in Amsterdam, Netherlands, and was founded in 2014. It focuses on producing lignin-based products that serve a variety of applications, including biofuels and bioplastics. Its operations are primarily concentrated in Europe.

Suzano S/A

Founded in 1924 and headquartered in Salvador, Brazil, Suzano S/A is one of the largest producers of eucalyptus pulp globally. As per Brazil lignin market analysis, the company operates extensively within Brazil, where it has established multiple production facilities dedicated to pulp and paper products.

Borregaard AS

Borregaard AS has its headquarters in Sarpsborg, Norway, and was founded in 1889. The company operates on a global scale with a presence across Europe, North America, and Asia. It specialises in biochemicals and biorefinery products derived from wood. Its offers speciality cellulose, lignin, and other bio-based materials to construction, food, and pharmaceuticals industries.

Other players included in the Brazil lignin market report are Stora Enso Oyj, among others.