Cellulase Market

Cellulase Market Size and Forecast (2023-2028):

The Global Cellulase Market Share Value is expected to grow at a CAGR of 6.8% during the forecast period 2023–2028 to reach USD 3208.9 million by 2028 from USD 2162.4 million.

Market Overview:

Cellulase is a group of enzymes that plays a pivotal role in breaking down cellulose, which is a complex polysaccharide found in the cell walls of plants and certain organisms. These enzymes break down the polysaccharide into simpler sugars, such as glucose, which is then later utilized as an energy source by various microorganisms, including bacteria and fungi. Overall, there are three main types of cellulases: endo-cellulases, exo-cellulases, and beta-glucosidases, and are classified based on their action. Cellulases are found naturally and are also produced synthetically. The naturally occurring cellulases are derived from various microorganisms, including bacteria (like cellulolytic bacteria and actinomycetes), fungi (such as Trichoderma and Aspergillus species), and some insects (like termites). These organisms use cellulases to digest cellulose-containing materials in their environments.

Recent Developments in Cellulase Industry:

• In June 2023, Birla Cellulose and Usha Yarn Ltd. partnered and collaborated to produce recycled yarn from pre- and post-consumer textile waste. The yarn will be a blend of chemically and mechanically recycled textile waste, and it will have more than 50% textile waste content. This makes it a more sustainable option than traditional yarn, which is typically made from virgin materials.
• In October 2022, Croda and Anomera launched two new spheroidal cellulose powders, ChromaPur CV2 and ChromaPur CV7, which are sustainable replacements for plastic microbeads in skincare and color cosmetics. The powders are made from upcycled black spruce pulp and are 100% natural, readily biodegradable, vegan, and COSMOS-approved. They offer sensory and optical benefits, including a soft-focus effect in skin care, better coverage, and color intensity in color cosmetics.

REPORT COVERAGE:

Drivers:

The increasing demand for biofuels has led to a rise in the market share of cellulase, as cellulase can degrade polysaccharides into sugars. It converts the biomass into fermentable sugars, which are then later used for the production of biofuels such as ethanol and biogas. Biofuels are renewable fuels that are made from agricultural waste, wood, and food crops. They are used to replace fossil fuels in transportation, electricity generation, and heating. When these cellulases are added to biomass, they break down the cellulose into fermentable sugars, such as glucose. These sugars can then be fermented to produce biofuels such as ethanol and biogas. Moreover, the increasing cost of fossil fuels and the need to reduce greenhouse gas emissions contributed to the cellulase market size. The rules and regulations by the government further caused the demand for cellulases.

Along with this, the growing demand for the textile industry has also caused cellulases market expansion; cellulases are used in the textile industry to soften and de-size the textile to make them easier to dye and finish. The textile sector is a major consumer of cellulases since it is used in softening, where the enzymes soften the textiles by breaking down the cellulose fibers. It also desizes the textile, where the enzyme makes the textiles stiff and wrinkle-resistant. Another process includes biopolishing, where the enzymes remove small imperfections from the surface, making it look smoother and shiny. Along with this, it includes scouring, which removes dirt, oil, and other contaminants from textiles. Hence, the growing demand for textiles has fuelled the cellulase market size.

In addition, there is an increasing growth in the papermaking industry, where cellulases are used to improve the strength and brightness of paper by breaking down the amorphous regions of cellulose fibers and making them stronger and resistant to tearing. It also improves the brightness of the paper by removing the lignin from the cellulose fibers. Cellulases sometimes are also used to remove ink from recycled paper, making it suitable for reuse. Thus, the increasing usage of cellulase in the paper and pulp industry propelled the cellulase market share.

Moreover, the increasing awareness for environmental cleanliness has caused a surge in demand for cellulase, as cellulases are used to break down cellulose in wastewater, which reduces pollution and makes the water bodies clean. It also plays a major role in wastewater treatment, where it breaks down the organic matter in the wastewater and increases the efficiency of the wastewater treatment plant, hence reducing the pollution released into the environment. Hence, the growing demand for wastewater treatment led to a rise in the cellulase market size.

Restraints:

One of the major restraining factors is the cost of cellulases due to the complex and expensive process of producing them. Cellulases are produced by microorganisms, such as fungi and bacteria. The production process involves growing the microorganisms, extracting the cellulases from the microorganisms, and purifying the cellulases. This process is complex and expensive, which fuels up the cost of cellulases. Thus, the high cost of cellulases could limit their adoption in some applications. Also, the low availability of raw materials for cellulase production further restrained cellulase market growth. Agricultural waste is a major source of raw materials for cellulase production. However, the availability of agricultural waste can vary depending on the region. In some regions, agricultural waste available to support the production of cellulases is low, which can hamper the cellulase market growth and expansion.

Opportunities:

The Cellulase market has wide opportunities in the animal feed industry; as there is increasing demand for animal feed, it has caused a huge demand for cellulase, and this has created an opportunity for cellulase manufacturers to expand the market in the animal husbandry sector as animal feed industry is a major consumer of cellulases. Cellulases are added to animal feed to improve the digestibility of fiber. Fibre is an important component of animal feed, but it is not easily digested by animals. Cellulases can help to break down fiber, making it more digestible and providing animals with more nutrients. Hence, the increasing demand for cellulase in the animal feed industry caused the cellulase market growth.

COVID-19 Impact on Cellulase Market:

The COVID-19 pandemic had a significant impact on the cellulase market. The implementation of lockdown and travel restrictions led to disruptions in the supply chain and demand, which caused price volatility and uncertainty in the market because of the shutting down of the factory and delays in the transportation of raw materials. The pandemic also led to reduced demand for cellulases in some industries. Such as, the demand for cellulases in the textile industry has declined due to the closure of factories and the reduction in clothing production. Moreover, the disruptions to supply chains and reduced demand also caused increases in the prices for cellulases and created uncertainty in the cellulase market.

Cellulase Market Segmentation Analysis:

By Source:

• Fungi
• Bacteria
• Actinomycetes
• Plants
• Animals

Based on the source, the cellulase market is divided into fungi, bacteria, actinomycetes, plants, and animals. The fungi segment dominated the market shares as fungi are naturally able to produce cellulase enzymes, and they can be easily grown and cultured in large quantities. Fungi are also able to produce a wide range of cellulase enzymes, which makes them versatile for a variety of applications. Bacteria segment is in second position in leading the dominant shares of the market since it’s easy to cultivate and has a high multiplication rate, which therefore produces large quantities of cellulase enzyme. At the same time, the other segments, actinomycetes, plants, and animals, have a low market share compared to other segments.

By Application:

• Paper and Pulp
• Textile
• Food & Beverages
• Animal Feed

Based on the application, the cellulase market is classified into paper and pulp, textiles, food and beverages, and animal feed. The paper and pulp segment accounted for the highest market share; this is because cellulase plays an imperative role in increasing the brightness and shiny appearance of the paper; it also removes impurities and dirt, which therefore improves the quality of the paper. The textile industry is likely to have the dominant shares of the market in coming years with the growing number of textile industries across the globe, and this has led to the increased usage of cellulase to soften the textile and designing it. The food and beverage industry has significant market growth in the forecasted period.

Geographical Segmentation Analysis:

• North America - the United States and Canada
• Europe - United Kingdom, Spain, Germany, Italy, and France
• The Asia Pacific - India, Japan, China, Australia, Singapore, Malaysia, South Korea, New Zealand, and Southeast Asia
• Latin America  - Brazil, Argentina, Mexico, and Rest of LATAM
• The Middle East and Africa - Africa and Middle East (Saudi Arabia, UAE, Lebanon, Jordan, Cyprus)

By Region Analysis:

Asia Pacific dominated the market share since the Asia Pacific region has a large number and a growing textile industry, which is a major consumer of cellulases. A country like India has a large and growing biofuel industry, and because of increasing agricultural waste. North America has the largest market share next to Asia Pacific as cellulase has been used in the treatment of wastewater because of an increasing number of industries and factories. Europe has significant market growth because of large-scale use in the food and beverage industry. Latin America has steady market growth, whereas the Middle East and Africa have low market share compared to other regions.

Key Players in the Market:

Major Key Players in the Global Cellulase Market are

• MP Biomedicals LLC
• Sigma-Aldrich Co. LLC
• Worthington Biochemical Corporation
• Amano enzyme U.S.A.
• Prozmix LLC
• Creative Enzymes
• bioWORLD
• Amano Enzyme Inc.
• Zhongbei Bio-Chem Industry Co., Ltd.
• Hunan Hong Ying Biotech Co., Ltd.