What Is Propylene Glycol and Why Does It Matter in 2030?

According to the report by Next Move Strategy Consulting, the global Propylene Glycol Market size is predicted to reach USD 6.22 billion by 2030 with a CAGR of 4.9% from 2025-2030.

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Propylene glycol is a colourless, viscous liquid (C₃H₈O₂) used as a solvent, humectant, and excipient across food, beverage, pharmaceutical, and industrial applications. It complies with both United States and European Pharmacopoeia standards for medicinal use, making it indispensable in formulations ranging from oral syrups to industrial coolants.

What Are the Recent Production Capacity Expansions in India?

According to the Indian Medical News, Manali Petrochemicals Limited Initiated Phase 1 of its propylene glycol capacity expansion in October 2024, targeting an additional 32,000 tonnes per annum (TPA) through a ₹94 crore investment structured on a 50:50 debt–equity basis, which is projected to deliver a 20.7 % internal rate of return. Building on this, in July 2025 the company inaugurated Phase 2, adding 50,000 TPA to raise total capacity to 72,000 TPA, further reinforcing India’s self‑reliance in propylene glycol production.

Conclusive Statement
The capacity expansions reflect a strategic alignment with “Make in India” and “Atmanirbhar Bharat,” reducing import reliance and strengthening India’s global competitiveness.

• Phase 1 targets the food, beverage, and pharmaceutical segments.
• Phase 2 increases total propylene glycol output by over 225%.
• Both phases leverage local talent and cutting-edge technology.

What Safety Issues Have Emerged for Medical‑Grade Propylene Glycol?

In October 2024, the World Health Organization issued Medical Product Alert N°4/2024 regarding falsified DOW USP/EP propylene glycol detected in Pakistan:

• Detection: Three new falsified batches in August 2024, and earlier five contaminated batches in April 2024, contained ethylene glycol impurity.
• Contamination Level: Lab analysis found ethylene glycol at 0.7624% v/v in batch F8900L8PPD6.
• Risks: Consumption of ethylene or diethylene glycol can cause acute kidney injury, altered mental state, and even death.
• Regulatory Response: Pakistan’s Drug Regulatory Authority issued rapid alerts on 22 August and 6 September 2024.
• Advice: Manufacturers must source from approved suppliers and test every raw material batch for EG/DEG by gas chromatography or thin‑layer chromatography.

Conclusive Statement
According to the report by WHO, Heightened surveillance and rigorous testing protocols are essential to safeguard public health and maintain trust in pharmaceutical excipients.

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Which Market Segments Will Benefit from Increased Propylene Glycol Output?

With expanded capacity, MPL will cater to diverse sectors:

• Food & Beverage: As a solvent for flavours and colour extracts.
• Pharmaceuticals: As a vehicle for syrups, injectables, and topical formulations.
• Industrial Consumers: In antifreeze, de‑icing fluids, and heat‑transfer applications.
• Domestic Uses: In cosmetics, personal care, and household humidifiers.

Conclusive Statement
The capacity ramp‑up ensures stable supplies for both regulated pharmaceutical channels and high‑volume industrial applications, driving downstream growth.

“Next Steps”: 4 Actionable Takeaways

1. Ensure Supply Chain Integrity
• Audit raw material suppliers against pharmacopoeia approvals and WHO alerts.
2. Implement Batch Testing Protocols
• Adopt GC or TLC methods for EG/DEG screening on every incoming propylene glycol batch.
3. Leverage Local Manufacturing Incentives
• Align procurement and production plans with government initiatives like “Make in India.”
4. Monitor Market Dynamics
• Track domestic demand trends in food, pharmaceuticals, and industrial sectors to optimize capacity utilization.