Formate Brines Market Trends

Growth Drivers

• Increased Development in Drilling Activities – including both exploration and production drilling, as well as drilling new wells and re-drilling existing wells. Therefore, increased drilling activity for development raises the demand for formate brines, and it is predicted to rise the market’s growth. According to the India Brand Equity Foundation, in 2019, onshore development drilling activities in India increased to 649, up from 338 in 2018.
• Increased Research and Development Expenditure – Increased R&D spending on formate brines can result in the creation of new and improved formate brine products and uses, which can enhance the effectiveness and efficiency of oil and gas drilling operations. According to data from the World Bank, global research and development expenditure in terms of GDP (Gross Domestic Product) increased from 2.33% in 2019 to 2.63% in 2020.
• Growth of Textile and Printing Industry – Increasing adoption of sodium formate brine in the textile and printing industries to improve color in printing fabrics, and it is anticipated to surge the growth of the market. For instance, global revenue from print advertising grew by over 17% from 2019 to 2020.
• Increasing growth of the Leather Industry – Sodium formate has properties to induce chrome penetration therefore, it is applied in leather tanning formulations and enhances the quality of the final product. As per data by India Brand Equity Foundation, in India, leather goods exports were valued at USD 1.29 billion in the years 2021-2022, an increase of 36.3% over the previous year.

Challenges

• Lack of Consumer Awareness about the Benefits of Formate Brines
• High Cost of Raw Materials
• Hygroscopic Nature of Sodium Formate Results in the Need for Special Handling and Care - Since sodium formate is a hygroscopic material, it quickly absorbs moisture from the air. This makes it difficult to handle and store since it can clump or cake if it becomes too wet. To avoid this, additional precautions must be taken when storing and handling sodium formate.