White Biotechnology Market

White Biotechnology Market Size (2023 to 2028)

As per our analysis report, the Global White Biotechnology Market is expected to reach USD 515.7 billion by 2028 from USD 320.1 billion in 2023, growing at a compound annual growth rate (CAGR) of 10.1% during the forecast period.

White Biotechnology Market Share Insights:

• Biofuels hold the major share in the white biotechnology market due to the surge in demand to reduce the carbon emissions, especially from the automotive and industrial sectors.
• The North American region holds the significant share in this market and is anticipated to expand at a higher rate in the forecast period.

MARKET DRIVERS:

White biotechnology refers to the usage of renewable biomasses to produce energy and replace the infected process with pristine technologies. The major factor driving the white biotechnology market is the rising need to replace the fossil fuels with bio-based resources. Also, the growing awareness of eco-friendly practices to reduce pollution and control climate changes is pushing the demand for green chemicals in industrial practices. In addition, several governments across the world are offering more subsidies, tax benefits and incentives to encourage the usage of environmental friendly practices. The global need for sustainable products is allowing the industries to produce more biodegradable products and renewable fuels. Also, use of bio-based products in the industrial processes is comparatively cost-effective and easy to implement. Besides, the usage of biomasses to reduce the waste generation, along with the health and safety conditions offered by bio-based products is boosting the white biotechnology market. Increased demand from industries like consumer goods, automobiles and others is also promoting the white biotechnology business. Furthermore, the advances in the biotechnology, robotics, genetic engineering, enzyme technology and other developments are anticipated to propel the white biotechnology business in the foreseen period.

MARKET RESTRAINTS:

The major constraint to the white biotechnology market is the availability of the raw materials and the unwillingness among consumers to pay the premium prices for the bio-based products. Also, the market is facing challenges with the investments related to the infrastructure and technology set up for the manufacturing of the bio-based products. In addition, the technology needed for the commercial feasibility of these products is comparatively expense, creating the market hurdles in several parts of the world. The uncertain government policies and regulatory compliances for the production and commercialization of the bio-based products is another important factor restricting the business development. Besides, many bio-based products in the market are having limited performance compared to conventional products in several industrial activities. Moreover, the established players in the market are intensifying the competition, affecting the new entrants in the white biotechnology market.

Impact of COVID-19 on the White Biotechnology Market:

The COVID-19 pandemic initially had a negative impact on the global white biotechnology market. The lockdown restrictions resulted in supply chain disruptions, resulting in shortage of raw materials and delay in the production of bio-based products. The shutdown of several companies led to the halt of research and development activities and pause in the approval of several new products. In addition, the decreased budget and expenditures have affected the adoption of white biotechnology in different industries. Also, the temporary shutdown of industries and remote workforce limited the experiments related to bio-based products. All the major players shifted the investments to combat the pandemic, which resulted in the temporary standstill of new innovations related to the white biotechnology products. On the other hand, the white biotechnology market observed some positive demand with respect to several biodegradable products in the pharmaceutical and healthcare sector. Moreover, the rise in consumer awareness for healthy and sustainable products during the COVID-19 pandemic is anticipated to create more opportunities in the coming years for the white biotechnology market.

REPORT COVERAGE:

This research report on the global white biotechnology market has been segmented and sub-segmented into type, application and region.

White Biotechnology Market – By Type:

• Biofuels
• Biomaterials
• Bio-chemicals
• Industrial Enzymes

Biofuels held the dominant share in the global market with the increasing demand for fossil fuel alternatives. Biodiesel, ethanol and biogas are the three types of biofuels that are available in the market. Of these, biodiesel is being used in various diesel engines that can be combined with the traditional diesel fuel. The surge in requirement for carbon-free environment and decreased pollution conditions are supporting the growth in the biodiesel segment. In addition, ethanol is used as an additive in several vehicles to improve the performance and reduce the release of carbon monoxide in to the atmosphere. Ethanol is also the key ingredient in the hand sanitizers. Biogas is anticipated to hugely penetrate the market of electricity generation and vehicle fuels in the foreseen period.

Bio-chemicals segment is predicted to grow at a significant rate in the coming days with the shift of companies to biomass for producing energy and decrease overall production costs. The demand for sectors like textiles, personal care, food and beverages, etc., is also supposed to improve the bio-chemicals adoption.

Biomaterials are finding humungous applications in the healthcare and pharmaceutical sector. Biomaterials have become the major source in certain healthcare activities like drug delivery, tissue reengineering, aesthetic improvements, implants and regenerative medicine. Some of the common biomaterials are collagen and hyaluronic acid.

Industrial enzymes are also gaining popularity in the industries like food & beverage, pharmaceuticals, textiles, detergents, paper and pulp, and biofuels. These enzymes can be considered as the biocatalysts in industrial processes, replacing the hazardous chemical and higher temperatures in the production environment.

White Biotechnology Market – By Application:

• Pharmaceuticals
• Food and Beverage
• Bioenergy
• Feed Additives
• Agriculture

Pharmaceuticals segment accounted for the lion’s share in the global white biotechnology market and anticipated to grow at a higher rate in the forecast period. The adoption of bio-enzymes in the production of active pharmaceutical ingredients is supposed to boost this segment in the future. Also, the surge in health consciousness among individuals after the COVID-19 pandemic is pushing more towards the requirement of biodegradable products. Similarly, bioenergy is also foreseen to expand at an exponential rate in the future due to the debates for clean energy alternatives to reduce environment issues and control fuel import expenses.

In the food and beverage industry, the demand for biochemical is gaining popularity. Several products like amino acids, organic acids, flavorings, and others are obtained using the bio-based techniques. Moreover, the use of bio-fertilizers and biological pesticides is given major significance in agricultural practices in several parts of the world.

White Biotechnology Market - By Region:

• North America
• Europe
• Asia Pacific
• Latin America
• The Middle East and Africa

North America holds the dominant share of the White Biotechnology market. The USA and Canada are the leading areas in this region. Being home to some of the dominant biotechnology companies, North America offers huge innovation opportunities for the bio-based products. The advanced pharmaceutical sector and the presence in biofuels are supporting the market dominance in this region. The government offered research and development incentives coupled with the growing demand for green chemicals is fuelling the business in North American nations.

The Asia Pacific is anticipated to emerge as the fastest growing region in this market over the forecast period due to increasing government investments and subsidies in the white biotechnology business. The availability of raw materials and surging demand for fossil fuel alternatives are likely to propel the market in this region. In addition, the spike in biotechnology start-up companies is also pushing the market forward in nations like Australia. Moreover, the emphasis on the recycling of products and ban on plastics in several nations is also boosting the demand for bio-based products in the Asia Pacific.

Europe is the second largest market after North America for the bio-based products. The increasing use of bio-enzymes and biomass for the chemical processes is the main reason for the white biotechnology market growth in this area. The concentration of well-established automotive industry in countries like Germany is fuelling the demand for biofuels. Besides, the bio-chemicals are also in high demand in Europe because of the increasing chemical industry and need for renewable sources.

Latin America, other than Brazil, has a relatively smaller presence in the global white biotechnology market compared to the aforementioned regions. The huge sugarcane plantations are supporting the biomass production in the Latin American nations.

The Middle East and Africa region has been a smaller player in the white biotechnology market. However, nations like Saudi Arabia, Israel and the United Arab Emirates are investing heavily in the renewable energy programs and green technology initiatives, which can increase the market share of this region by 2030.

KEY MARKET PLAYERS:

BASF SE, Dupont De Nemours Inc., Amyris, Cargill Inc., Codexis, BioAmber, Corbion N.V., Fermentalg, Fujifilm Holdings Corporation, Phillips Healthcare, Koninklijke DSM NV, Borregaard, GE Healthcare, McKesson Corporation, Novozymes A/S, Lonza Group Limited, Siemens Healthcare, InVivo Corporation and Archer Daniels Midland Company.

RECENT MARKET DEVELOPMENTS:

• In 2023, Indonesian state energy company PT Pertamina developed palm oil-blended jet fuel using hydro processed esters and fatty acid technology at its Cilacap refinery. This blended fuel was used in the Garuda Indonesian Boeing 737-800NG to cover a distance of 550 kilometres from Jakarta to Surakarta.
• In 2023, lecanemeb-irmb, a drug used in the treatment of Alzheimer’s disease was approved by the Food and Drug Administration of the USA. The drug was developed by Eisai Inc.
• In 2023, to improve the production of piglets in the United States of America, Danisco Animal launched introduced its product called AXTRA Prime. This is an enzyme aimed to improve the nutritional intake and gut health in the pigs, providing quantifying performance measures.