Alginate is a naturally occurring polysaccharide derived from brown algae. Sodium, calcium, and potassium alginate are commercially available in flagellated and granular forms and can entangle with water to produce a viscous gum. Textile, paper, and pulp handling are just a few of its many uses. Alginate is more biocompatible, cost-effective, and toxicity-free than other thickening agents. The global alginate market is expected to expand significantly due to rising demand for the product in producing food items such as ice cream, yogurt, and bakery goods.
Growing Alginate Penetration in Food Industry to Drive the Global Alginate Market
The expansion of the food and beverage sector in BRICS and the Middle East is expected to be a key driver of growth due to higher local consumption. In the coming years, rising consumer awareness of products with exotic and traditional flavors is expected to drive alginate market growth even further.
The demand for an emulsifying agent such as alginate, which is regarded safe for human consumption, is projected to increase as the proportion of bakeries in Europe increases due to changing consumer eating habits. As the number of product-specific bakeries grows, emulsifying enterprises are expected to produce substances that give the best results in the end product. Time constraints and rising consumer spending have also fueled demand for packaged foods, which is expected to continue throughout the forecast period.
Growing Demand in Pharmaceutical Sector to Create Lucrative Opportunities for the Global Alginate Market
Alginate is used as an emulsion stabilizer, thickening agent, suspending agent, and film-forming agent for tablets in the pharmaceutical industry. Over the projected period, rising demand for alginate in tablet coatings is expected to drive product demand. In compounded medications, sodium alginate is used as a capsule disintegrant and a stabilizing, suspending, emulsifying, gel-forming, and viscosity-increasing agent. The product is an FDA-approved natural polymer gaining popularity in the pharmaceutical industry due to its low or nonhazardous nature, bioactivity, and good biocompatibility.
Due to scientific and technological advances, pharmaceutical companies have been increasing in recent years. This trend is expected to continue, particularly in developing countries like China, India, and Brazil. In the global pharmaceutical market, these economies have enormous potential.
The global coronavirus (COVID-19) pandemic has had a negative impact on the production, manufacturing, and transportation of a variety of goods. The food, beverage, and pharmaceutical industries, on the other hand, are unaffected. Since January 2020, global demand for food, beverages, and medicines has increased, increasing total production.
North America and European countries have the largest markets for packaged foods, bakery items, processed foods, and frozen foods. Furthermore, these countries, including the United States, Italy, Spain, France, the United Kingdom, and others, have seen coronavirus outbreaks in their economies. As a result, food joints and restaurants will be limited in their operations, slowing the demand for alginates. Due to trade restrictions in international markets, logistic processes across significant geographies have been temporarily halted, causing the supply chain to be hampered.
The Asia-Pacific is the fastest regional segment, occupying over 30.1% of the revenue share in 2021. It is estimated to reach an expected value of USD 405 million by 2030 at a CAGR of 6.5%. Over the next decade, the market is expected to be driven by the growing application scope of alginate in various end-use industries and rapid industrialization in Asian countries such as China, India, and Thailand. Furthermore, due to the product's widespread use in paper sizing applications, the appearance of several paper producers in the region is likely to drive the market.
North America is estimated to reach an expected value of USD 275 million by 2030 at a CAGR of4.5%. Due to its widespread use in the pharmaceutical industry in Europe, rising R&D spending is expected to fuel demand for alginate over the forecast period. Over the forecast period, increasing consumer demand for food products such as chicken and meat nuggets, ice cream, and yogurt in the region is expected to boost alginate demand.