DALLAS -- The worldwide market for conductive inks will grow 3.5% compounded annually between 2013 and 2018, a new report forecasts.

Demand for such inks, which include silver flake and nanoparticle, copper flake and nanoparticle, carbon/graphene, CNT, dielectric and polymer will reach $3.66 billion, says MarketsandMarkets.com.

Driving factors are the boost in demand for efficiency and miniaturization in consumer electronics which increases the demand for conductive inks to replace the bulky, energy consuming wire, and circuits. 

But before printed circuit board fabricators and suppliers concern themselves over process changes, the report warns that costs may curtail ink growht. "High investment and R&D costs along with the high and fluctuating prices of silver, which is mainly used in conductive inks, are the major restraints in the market," the firm said.

The photovoltaic industry is the largest consumer of conductive inks, the firm said. New growth will come from the display, RFID (radio frequency identification) , bio-sensor, and automotive sectors.

Leading players in the conductive ink market are DuPont, Henkel, Heraeus, Fujikura and Sun Chemicals.