Microalgae Market

Global Microalgae Market Size

The global microalgae market size was valued at USD 9.44 billion in 2024, and the global market size is expected to reach USD 17.75 billion by 2033 from USD 10.13 billion in 2025. The market is growing at a CAGR of 7.26% during the forecast period.

Microalgae tend to grow in aquatic culture, which uses light and carbon dioxide to produce biomass. Microalgae was used in nutraceuticals and as a component in personal & haircare products. It can be used as biofuel and biofertilizer. Microalgae can be grown in both fresh water and marine water. It was rich in lipids, fatty acids, metabolites, and energy sources. The protein content and non-toxic components found in microalgae were used as recombinant proteins in the vaccine preparations, such as swine fever virus and oral vaccines. Microalgae are highly valuable due to their ability to produce bioactive compounds, which can be used to produce antibiotics, monoclonal antibodies, subunit vaccines, hormones, and other products. Due to microalgae's lipid and protein content, it was widely used in Food products such as dairy, cereal-based, and meat-based products.

MARKET DRIVERS

People are becoming more conscious about health and choosing products with health benefits. Microalgae was rich in nutritional value and beneficial in developing the human immune system, which was driving the microalgae market growth. People prioritizing nutrition, the demand for algae-based food products was increasing. Spirulina was known as an immunity booster and anti-viral properties product. According to various research, spirulina could inhibit influenza virus replication. The research and development sector is highly working to introduce new strains in algae-based products in various fields with human benefits, boosting the microalgae market size. Microalgae, rich in lipids and fatty acids with essential metabolites, are used as natural coloring agents in the Food Industry, and an increase in vegetarianism was driving the microalgae market value in the Food industry. Microalgal extracts such as Dunaliella and Chlorella repair skin aging and prevent wrinkle formation. Microalgae in the preparation of vaccines, such as D2-CTB fusion protein used in oral vaccines, was also driving the microalgae market demand in the Pharmaceutical Industry.

The greater significance of microalgae was its ability to produce bioactive compounds. Microalgae are used in biomass production, and it has photosynthetic efficiency, which helps produce biofuels such as bioethanol, biodiesel, crude oil, and bio jet fuel. Microalgae can be used as biofertilizers, which induces the production of plant growth hormones, polysaccharides, and antibacterial chemicals. It enriches the soil fertility and quality and develops resistance towards biotic and abiotic stress on plants. These factors are driving the microalgae market.

MARKET RESTRAINTS

The main restraining factor for the microalgae market was low awareness regarding the benefits of microalgae. Many people need to gain more knowledge of the health benefits of microalgae. The manufacturers are trying to educate the people regarding the benefits of microalgae to increase their market sales. The high cost of extracting essential components from microalgae biomass impacted the market growth. The fluctuations in climatic conditions influence microalgae cultivation, restraining the market growth. The complexities that occur during the production of algae-based products were constraining the market demand.

SEGMENTAL ANALYSIS

By Type Insights

The Spirulina segment had the dominant share in the microalgae market in 2023. The increasing demand for natural food colors and rising trends in the health and wellness and nutraceuticals industry drove the market in this segment. Spirulina was effective against the influenza virus, which increased the demand—an increasing number of algal products having spirulina as the main component due to its vast benefits. The Haematococcus segment was expected to have a high CAGR during the forecast period of 2023 to 2028. The increasing demand for natural astaxanthin for nutraceuticals and the rising use of natural astaxanthin in poultry and aquaculture was expected to boost the market demand. Chlorella and Dunaliella are used in the cosmetic industry for repairing skin aging and wrinkles.

By Distribution Channel Insights

The business-to-business segment was holding the dominant share in the market value in 2023 due to direct bulk purchases by manufacturers of various fields such as the cosmetic industry, Food industry, Animal feed, Nutraceuticals, and Pharmaceuticals. 

The business-to-consumer segment was also gaining traction due to the online retailing. People can select suitable microalgae products and purchase them through e-commerce, prompting market demand.

By Application Insights

The Nutraceuticals segment held the most significant market value in microalgae in 2023. People being aware of the health wellness and malnutrition conditions in many people due to busy lifestyles drove the market in this segment. People are taking dietary supplements essential for health as microalgae is rich in lipids, and omega-3 fatty acids work as health essentials. Increasing demand for natural alternatives to pharmaceuticals was boosting the market demand.

REGIONAL ANALYSIS

In 2023, the North American region held the immense market demand in the global microalgae market. High demand in consumption of health supplements, strict regulations towards synthetic colors, an increase in cosmetic industries, and biofertilizers were boosting the microalgae market demand in this region. The presence of many biomass production key players, especially in the U.S, was driving the market growth.

Asia-Pacific region was placed in second position in the market demand for microalgae. China was the most prominent global microalgae producer, and consumption of microalgae-based products was high, making this region dominate the market. Japan was a massive producer of Euglena microalgae species, influencing the market. Increasing preference for natural protein sources was fueling the market demand.

Europe region was expected to dominate the market in the forecast period due to increased usage of microalgae products. Spirulina and Chlorella were widely used to manufacture nutritional and pharmaceutical products.

KEY MARKET PLAYERS

Algatec, Bioprocess Algae LLC, Algatechnologies Ltd, Parry Nutraceuticals, Sun Chlorella, INNOBIO Corporation Limited, Fuji Chemical Industries Co., Yunnan Green-A-Bio-engineering Co Ltd, Algaecytes, and Cellana LLC are playing dominating role in the global microalgae market.

RECENT HAPPENINGS IN THE MARKET

• In November 2023, Euglena Co. Ltd announced consistent consumption of Euglena could eliminate the severity of various symptoms and prevent the onset of cold-like symptoms.

• In January 2023, Bharathidasan University in Tamil Nadu signed with ZIGMA Global Environ Solutions to initiate a project called "microalgae-based bioremediation of municipal solid waste leachate," which includes the usage of microalgae to recover municipal solid waste leachate to prevent spoilage of groundwater and soil.

• In January 2023, Yemoja Ltd, a startup company, developed advanced microalgae ingredients and announced its plan to create red microalgae for plant-based steaks and burgers.

MARKET SEGMENTATION

This research report on the global microalgae market has been segmented and sub-segmented based on type, production technique, distribution channel, application, and region.

By Type

• Spirulina

• Chlorella

• Dunaliella

• Euglena

• Haematococcus 

• Schizochytrium

• Nannochloropsis

• Crypthecodinium

By Production Technique

• Ponds

• Fermenters

• Photobioreactors

By Distribution Channel

• Business to Business

• Business to Consumer

• Supermarkets/Hypermarkets

• Specialty stores

• Online retail

By Application

• Nutraceuticals

• Food & Beverages Industry

• Cosmetic & Personal Care

• Animal Feed sector

By Region

• North America

• Europe

• Asia-Pacific

• Latin America

• Middle East and Africa