Beta Carotene Market Size, Share & Trends Analysis Report By Type (Water Soluble Beta-carotene, Oil Soluble Beta-carotene), By Raw Material (Carrots, Sweet Potato, Pumpkin, Spinach, Algae, Fungi, Palm Oil, Synthetic, Others), By Application (Food and Beverage Industry, Supplements, Cosmetics, Feed, Others) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2023-2031

Market Overview

The global beta carotene market size was valued at USD billion in 2022 and is projected to reach USD billion by 2031, registering a CAGR of 4.6% during the forecast period (2023-2031).

Beta carotene is a carotenoid pigment found in plants that is naturally occurring. It is a reddish-orange pigment in fruits, vegetables, and other plant-based meals. Because beta carotene is a provitamin, it can be transformed into active vitamin A in the body.

The increasing use of beta-carotene in the food and beverage, dietary supplements, personal care and cosmetics, and animal feed industries worldwide is credited to the growth of the beta-carotene market share. Beta carotene is widely used in personal care and cosmetics due to its antioxidant properties and ability to lend a yellow to orange tint to various personal care and cosmetic products. It is a highly efficient antioxidant that helps to protect the skin from free radical damage. Unstable molecules, known as free radicals, can cause premature aging and skin damage.

Highlights

• Water Soluble Beta-carotene holds the major share of the market.
• Carrots are the major raw material used in the market.
• Food and Beverages led the market based on the application.
• Europe dominates the global market.

Market Dynamics

Global beta carotene market drivers

Rising demand for natural colorant

Consumers increasingly seek natural and clean-label products, driving demand for natural colorants like beta carotene. Businesses seek better alternatives because synthetic food dyes have been linked to potential health risks. The rich orange-red beta-carotene hues make it an appealing natural alternative for improving the appearance of numerous foods and beverages. Many beverage businesses are integrating beta carotene into their drinks to replace synthetic colors. For example, some orange and orange-flavored drinks use beta-carotene to achieve their color without artificial coloring additives. Beta carotene is utilized as a natural colorant in items such as sports drinks, where a bright color is desired.

Furthermore, a study in the "Journal of Food Science and Technology" highlighted customers' desire for natural colorants, citing health worries about synthetic dyes as a primary motivator. This trend will increase beta-carotene demand in the food and beverage industry. The shift toward natural colorants in response to customer requests for healthier and more transparent products is a major driver of beta carotene market expansion.

Global beta carotene market restraints

Stringent regulatory requirements

To protect consumer safety, regulatory organizations worldwide enforce tight criteria and safety assessments for using colorants in food and beverages. Although beta carotene is a natural colorant, it is subject to regulatory scrutiny, particularly regarding authorized usage levels and allergenicity. The European Food Safety Authority (EFSA) establishes maximum limits for beta-carotene use as a food ingredient. These limitations are set to ensure that beta-carotene consumption remains within safe levels and does not endanger consumers' health. Similarly, in the United States, the Food and Drug Administration (FDA) has particular laws surrounding the use of beta-carotene in food items. These regulatory constraints may limit food and beverage makers' ability to use beta-carotene as a colorant.

Global beta carotene market opportunities

Rise in demand for nutraceuticals and dietary supplements

The growing global interest in health and well-being has increased the demand for nutraceuticals and dietary supplements, pushing the market for beta-carotene as an essential element. Nutraceuticals give health advantages in addition to basic nutrition, such as dietary supplements, functional foods, and beverages fortified with bioactive substances such as beta-carotene. Because of its ability to deliver critical nutrients, particularly vitamin A, which promotes numerous aspects of health, beta-carotene is in high demand in this market. Consumers increasingly seek natural and plant-based nutrient sources; beta-carotene matches this profile nicely.

In addition, beta-carotene is appreciated for its antioxidant effects and ability to correct dietary shortages. Antioxidants aid in the neutralization of potentially harmful free radicals in the body, which can lead to chronic diseases and aging. Demand for beta-carotene-rich supplements is expected to rise as people become more aware of the benefits of antioxidants.

Regional Analysis

The global beta carotene market analysis is done across North America, Europe, Asia-Pacific, the Middle East and Africa, and Latin America.

Europe dominates the global market

Europe holds a sizeable global market share and is expected to boost at a CAGR of 6.6% during the forecast period. The increased demand for natural ingredients and colorants in food and beverage products, such as energy drinks, confectionery items, carbonated beverages, juices, and baked goods, and customer interest in health and wellness, is ascribed to this growth. According to Germany Trade and Invest, Germany's food and beverage business will increase 8.2% to USD 243.7 billion by 2020. Furthermore, Germany is Europe's largest beverage market, with per capita soft drink consumption reaching 114.4 liters annually.

Additionally, the significantly increased demand for natural-source carotene products will likely help the European beta-carotene sector grow. The rising aging of the population and the advent of chronic diseases are driving up demand for beta-carotene-containing foods and supplements, fueling growth in the Europe beta-carotene market. Personal and cosmetic care is a potentially profitable beta-carotene sector in Europe. Customers from all around Europe purchase anti-aging pills and cosmetics. Because of its high antioxidant content, beta-carotene is gaining popularity in the European market. It protects the human body from oxidative stress induced by metabolism and aging.

North America is predicted to rise at a substantial CAGR of 7.1% throughout the forecast period. Among all carotenoids, beta carotene is the easiest to convert into retinol (precursor vitamin A), a common element in nutritional supplements. Beta carotene (95% pure) is legal in the United States as a colorant under 21 CFR 73.95 and 166.110 and as a provitamin A dietary supplement under 21 CFR 182.5245 and 184.1245. Because of greater product penetration, customers are more likely to spend money on dietary supplements, vitamins, and regular food supplies. Individual lifestyles and eating habits have changed, resulting in diseases such as cardiovascular disease, diabetes, and others; as a result, customers are selecting healthier choices. Beta carotene is important for immune system function because it possesses antioxidant properties that help cells fight infection. Geographic market demand limits these features.

Furthermore, more than 60% of the American population prefers to consume beta-carotene and other carotenoid vitamins daily. Various RTDs containing beta carotene have been introduced by beverage producers, with nature-identical being the most popular. For example, Vitatine, an antibiotic subsidiary, signed an exclusive arrangement with B and D Nutritional Ingredient to bring its natural beta-carotene to the United States for use in the food and beverage and dietary supplement industries. In addition, beverage company GacLife has introduced the world's first range of gac-based wellness products with skin and vision care features. Gac is a Southeast Asian fruit with a high concentration of carotenoids, antioxidants, and other minerals. As a result, the category may experience market expansion throughout the projection period.

The Asia Pacific region is expected to develop owing to rising demand for beta-carotene from the expanding food and beverage industries of populous Asian economies such as India and China. The product's low cost is expected to drive up demand in the manufacturing of personal care, cosmetics, and animal feed in Asia Pacific. Bio-Gen Extracts Private Limited was founded as a Private Company on July 11, 2000. Its headquarters are in Bangalore Rural, Karnataka. Purified beta-carotene crystals that are uniformly disseminated in a matrix of a suitable natural carrier to generate red to reddish-brown free-flowing particles that are cold water dispersible in Beta Caro-genTM powder or beadle form were recently announced. The region's growth will be fueled by key industry participants sourcing beta-carotene raw materials or ingredients from this region.

Segmental Analysis

The global beta carotene market is segmented based on type, raw materials, applications, and region.

For better understanding type is further segmented into Water Soluble Beta-carotene Oil Soluble Beta-carotene.

Water soluble beta-carotene holds the major share of the market

Water-soluble beta carotene

Water-soluble beta carotene is a kind of beta carotene that dissolves readily in water. This type of beta carotene is especially beneficial for applications that require water-based formulations, such as beverages, juices, and liquid supplements. Water-soluble beta carotene is also appropriate for applications requiring uniform distribution and coloration in aqueous mediums.

Oil-soluble beta carotene

Oil-soluble beta carotene, on the other hand, prefers fats and oils. It is especially suitable for products containing fats or oils, such as cooking oils, margarine, and dairy products. This beta-carotene is more stable in oil-based environments and can sustain greater processing temperatures, making it perfect for cooking and baking applications.

Based on raw materials, the market is sub-segmented into Carrots, Sweet Potato, Pumpkin, Spinach, Algae, Fungi, Palm Oil, Synthetic, and Others.

Carrots are the major raw materials used in the market

Carrots

Carrots are root vegetable that is high in beta-carotene. Each carrot has about 10 milligrams of beta-carotene. Carrots also include important minerals, including vitamin K and potassium.

Palm oil

Palm oil is a type of vegetable oil derived from the fruit of the palm tree. It contains beta-carotene. However, it is not as common as other raw materials. This is because palm oil is a vegetable oil that is mostly utilized in cooking and food processing.

The segment can be bifurcated by application into Food and Beverages, supplements, cosmetics, feed, and others.

Food and beverages led the market

Food and beverages

Beta carotene is commonly employed in the food and beverage industries to improve many goods' color, nutritional content, and general attractiveness. It's often used in beverages, snacks, baked goods, dairy products, etc. It can, for example, be used to give fruit juices a brilliant orange hue or to increase the nutritional value of cereals.

Supplements

Due to its possible health benefits, beta-carotene is a common element in dietary supplements. It is a precursor to vitamin A, which is required for proper vision, immune system function, and overall health. Beta carotene pills are frequently marketed as antioxidants that promote skin health and may lower the risk of certain chronic diseases.

Recent Developments

• January 2023- Cloudfarms and JBS Live Pork will collaborate to improve production data management at U.S. sow operations.
• July 2023- DDW switched to Givaudan Sense Color. This modification is part of our ongoing integration with Givaudan.
• August 2023- Otsuka Pharmaceutical Co., Ltd. (Otsuka) announced that MSD (Merck and Co., Inc., Rahway, N.J., USA) had signed an exclusive worldwide research partnership and license agreement with Astex Pharmaceuticals (U.K.) ("Astex"). The collaboration aims to find small chemical candidates with efficacy against a tumor suppressor protein for cancer treatment.