Algae Ingredients Market

Algae Ingredients Market Size, Share, Growth (2023-2028)

Algae Ingredients Market is likely to register a CAGR of 8.2% over the conjecture period (2023-2028).

Algae Ingredients Market Overview

Algae are composed of organisms that range from microscopic unicellular microalgae to macroscopic multicellular forms that are generally found floating, attached to the bottom of seas, rivers, lakes, also called algae. Ingredients for seaweed can be found in dairy products, non-dairy dairy supplements, spirulina and chlorella products, sea vegetables, favorite marine spices, supplements containing milk oil fish, omega-3 fatty acids, and blue algae, and many more. Some algae are a rich source of protein and can be used as functional food ingredients. Seaweed protein has high nutritional value in terms of protein content, amino acid quality, and nutritional acceptability. The ingredients in seaweed are essential fatty acids that can provide many health benefits, including brain, eye, and cardiovascular health.

Recent Developments

1. Corbion, a food and biochemical company based in Amsterdam, the Netherlands, and posted net sales of € 897.2 million in 2018. It indicates that the change is mainly due to the acquisition in 2017 of the assets of TerraVia, which had been filed for bankruptcy. Corbion's organic sales growth, less the acquisition, was 3.7%.

2. Solabia Group published its purchase of Algatech Ltd., a renowned company in the development, creation, and commercialization of ingredients that are extracted from microalgae and adopted in food supplements and cosmetics around the world.

Algae Ingredients Market Drivers and Restraints:

Omega-3 fatty acids, especially EPA and DHA, are essential in the human diet for proper growth, development, and good health. These are especially good for heart health, joint support and inflammation, eye health, cognitive function, pregnancy, and healthy child development and immune function, among other benefits. There are a variety of complementary life cycle strategies to improve cardiovascular health in children and adults. These approaches focus both on improving cardiovascular health in those who currently have sub-optimal levels and maintaining cardiovascular health in those who currently have ideal levels. Increasing awareness of the importance of healthy eating among people and the need for a high protein diet is expected to increase demand for seaweed products. This, in turn, stimulates market growth. Changes in customer preferences and the increasing demand for pure vegan and gluten-free products are expected to increase the need for Algae ingredients and fuel market growth. The increasing demand for seaweed with antioxidant properties from seaweed constituents and as anti-obesity, anti-cancer, and anti-diabetic agents will increase the demand for seaweed ingredients and is expected to drive market growth. The rising call for seaweed in the health industry, as seaweed helps fight cardiovascular disease, is expected to drive market growth. Increasing concerns about beauty and skincare and growing need for anti-aging, cosmetic, wellness, and health products are expected to drive market growth during the outlook period. The high cost of the algae extraction method increases the cost of production, slowing the growth of the market. The algae processing technology is energy-intensive and leads to higher production costs, slowing down market growth.

REPORT COVERAGE:

Algae Ingredients Market Segmentation:

The global Algae Ingredients market has been divided based on application, sources, and types.

According to the types of ingredients, the market is divided into

• dried seaweed

• omega 3 fatty acids

• PUFAs

• carrageenan

• alginate

• beta-carotene

The segment of omega 3 fatty acids and PUFA is expected to dominate the market in 2019. The increasing demand for omega 3 in the health sector, which can help fight depression, anxiety, improve brain health, reduce Se hopes that the symptoms of metabolic syndrome and the fight against cardiovascular diseases will stimulate the growth of the segment.

In terms of applications, the market is fragmented in the food industry, pharmaceutical, animal nutrition, cosmetics, nutraceuticals, paints and dyes, pollution control, etc. The food industry segment represents the largest market share. Seaweed is a good source of vitamins, minerals, antioxidants, and protein. People's changing preferences for healthy and nutritious foods and the growing demand for vegan and gluten-free products are driving the growth of this segment. According to the types of sources, the market is divided into green algae, red algae, blue-green algae, and brown algae. The blue-green segment dominated the global market. Blue algae are very rich in protein and vitamins. The increasing demand for blue-green algae, as they are the properties that help lower blood pressure and sugar level, is expected to stimulate the growth of the segment.

Impact of COVID-19 on Algae Ingredients Market:

The spread of COVID-19 has had a marginal impact on algae ingredients around the world. As the production was affected by the spread of COVID-19, it had an impact on the volume of ingredients manufactured. Makers in the business face challenges in the supply of raw materials, as well as labor shortages in their manufacturing plants.  Also, the retail sector has also been severely affected by this pandemic, which affected sales in the second quarter of 2020, and it is likely to see a recovery in 2021.

Algae Ingredients Market Regional Analysis:

• North America

• Latin America

• Europe

• Asia-Pacific

• Middle East and Africa.

The North American region is expected to be the main part due to high adoption from countries such as the US and Canada. The increase in cases such as cardiovascular disease and obesity in countries is mainly driving the growth of the global market for omega-3 ingredients from seaweed. The Asia-Pacific market is expected to experience significant growth due to growth in exports and domestic demand for plant-based ingredients. China is one of the largest producers of herbal ingredients in the region due to the easy availability of raw materials in the country. In addition, growth in the pharmaceutical, cosmetic, animal feed, and food and beverage industries is expected to drive demand for seaweed protein from developing economies such as South Korea, Malaysia, Indonesia, India, China, and over the next few years.

Algae Ingredients Market Key Players

1. FMC Corporation

2. ADM

3. Algae Tech

4. TerraVia

5. Algavia

6. Omega Protein

7. Fuji Chemicals

8. Roquette

9. Cyanotech

10. DuPont

11. Cargill

12. BASF

13. DSM