Global Butane Market Expected To Reach $ 203.26 Billion By 2020 At A CAGR Of 2.9% Between 2016 And 2020

Date: 2016-09-18

The global Butane market is anticipated to reach USD$ 203.26 billion by 2020, at a CAGR of 2.9% between 2016 and 2020. Increasing demand for liquid petroleum gas (LPG) on account of its growing adoption as a domestic fuel in Asia Pacific and Africa is expected to remain a key driving factor for the global butane market. Governments across these regions have been promoting the use of LPG as domestic fuel to replace coal and reduce its carbon footprints. The government offers LPG cylinder at subsidized rates to consumers which have been gaining acceptance and further driving the global butane market. Butane is used in fuel manufacturing processes due to its properties such as high flammability and easily liquefiable. 

Technological advancements in extraction and processing of natural gas liquids (NGLs) have given impetus for market expansion. Capacity expansion coupled with increased spending on development of refineries and petrochemical complexes particularly in the Middle East is expected to have a positive influence on butane market growth over the forecast period.

Increasing government support to promote the use of LPG as a domestic fuel particularly in Asia Pacific and Africa is expected to remain a key driving factor for global butane market over the next six years. Growth of global natural gas vehicle (NGV) industry is also expected to have a positive influence on the market growth. Rapid petrochemical capacity expansion particularly in Middle East and Asia Pacific is expected to further support the market growth over the forecast period. Volatile raw material prices and ban on MTBE based gasoline blending across several states in the U.S. on account of ground water contamination is expected to remain key challenges for market participants.

Asia  Pacific  dominated  the  global  butane  market  and  accounted  for  29.9%  of  total volume in 2013. Asia Pacific is also expected to witness highest growth over the forecast period. Butane demand in the region is expected to grow at a CAGR of 3% from 2014 to 2020. Increasing LPG consumption for cooking & lighting in emerging markets of China and India is anticipated to drive the regional market over the next several years.

butane

Read Full Report: http://www.gosreports.com/global-butanes-market-research-report-2016/

Joanna | Executive – International Business and partner Relations
E-mail: info@gosreports.com | Tel: 1-510-400-8520
Web: www.gosreports.com

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