Steady growth in the market size of silica for toothpaste
Silica is a high-quality abrasive that has developed rapidly in recent years. It is the only abrasive for preparing transparent and translucent toothpaste. It has the advantages of low friction value and good fluorine compatibility. Its friction value, oil absorption value, specific surface area, water absorption capacity , light transmittance, refractive index, etc. can be adjusted in a wide range to suit the needs of each formula, and the paste can also have excellent thixotropy, dispersibility, stability and other physical and chemical properties.
The global market space in the toothpaste field is about 300,000 tons, of which about 60,000 tons are domestic, and it is expected to maintain stable growth. Market growth reports show that the global market size of silica for toothpaste in 2021 will be US$390 million, with a compound growth rate of 4.85% from 2021 to 2028, and the market size will reach US$494 million by 2026, of which the domestic demand for silica in toothpaste industry The scale is close to 800 million yuan, corresponding to an average price of about 0.8-15,000/ton (the global/domestic market demand is 30/60,000 tons).
With the improvement of health awareness, the oral care market in which toothpaste is located is expected to reach a CAGR of 10% in the next five years. Frost & Sullivan predicts that the total retail sales of my country’s oral care market will increase to 152.2 billion yuan in 2025, with a CAGR of 10%. Toothpaste is the main oral cleaning product, accounting for 60% of the oral care market, and as a daily necessities, the unit price is relatively low, with rigid demand, and the market size is expected to grow steadily.
The domestic market space of silica for toothpaste is about 800 million, and the demand is about 60,000 tons. Abrasives are the main raw materials of toothpaste, generally accounting for 20% to 30% of the total formula (by weight), and have an important impact on the basic functions of toothpaste to clean the mouth and reduce tooth stains. The global demand is predicted to be between 300,000 and 350,000 tons according to Market growth reports; the domestic consumption of silica for toothpaste in 2019 is 45,000 tons, and the China Oral Cleaning and Care Products Association predicts the scale of domestic demand for silica for toothpaste in 2026 It is close to 800 million yuan, corresponding to an average price of 0.8-15,000/ton, and the market demand is about 60,000 tons, with a compound growth rate of 5% in 2021-2026.
Under the trend of consumption upgrading, the proportion of silica in abrasives is expected to increase
As a high-quality abrasive for toothpaste, the penetration rate of silica in the domestic market is expected to further increase under the consumption upgrade.
Silica is expected to achieve product substitution due to the sharp rise in the price of calcium hydrogen phosphate. Phosphate rock is a non-renewable resource and has been approved by the State Council as a strategic mineral, and its mining is strictly controlled. At the same time, phosphorus chemical industry is a high-pollution, high-energy-consuming industry. The operating rate is limited under the background of environmental protection and dual carbon, and under the background of tight supply The price of phosphate continues to climb to 4,000 yuan / ton, an increase of nearly 100% from the beginning of 2020, and the price of food-grade calcium hydrogen phosphate has been higher than the price of silicon dioxide, so silicon dioxide is expected to realize the realization of hydrogen phosphate in the next 1-2 years. Fast replacement of calcium.
Calcium carbonate has disadvantages such as damage to teeth, and will be replaced at an accelerated rate under the trend of consumption upgrading. The RDA value of natural calcium carbonate is usually high, which is easy to damage the gums and dentin. In addition, calcium carbonate easily reacts with free fluorine in fluoride toothpaste to produce insoluble calcium fluoride, which affects the efficacy of fluoride toothpaste. At present, the proportion of A-grade toothpaste (> 9 yuan per stick) in the domestic market has reached 55%, and the proportion of calcium carbonate will decrease under the trend of consumption upgrading. And the rising price of calcium carbonate also makes the advantage of low price no longer prominent.