Chitosan Market Size, Share & Trends Analysis Report By Grade (Industrial Grade, Food Grade, Pharmaceutical Grade), By Source (Squid, Crab, Krill, Shrimp), By Applications (Biomedical & pharmaceutical, Food & beverage, Cosmetics, Water treatment, Agrochemicals, Industrial, Others) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2025-2033

Chitosan Market Size

The global chitosan market size was valued at USD 18.61 Billion in 2024 and is projected to grow  USD 23.11 Billion in 2025 to reach an estimated value of USD 130.87 Billion by 2033, exhibiting a CAGR of 24.2% during the forecast period (2025-2033). 

It is derived mainly from crustacean shells—such as those of shrimp, crab, lobster, and crawfish—is produced through deacetylation of chitin using alkaline materials. This production process makes use of waste crustacean shells, giving an eco-friendly aspect that further enhances its market appeal.

Given its properties, It has become popular in dietary supplements to aid fat absorption reduction in the digestive tract and is widely used in healthcare applications, especially in wound dressings, due to its anticoagulant qualities.

Beyond healthcare, poly-D-glucosamine finds use in agriculture as a biopesticide, plant growth stimulant, and in water purification. Moreover, it serves as a food preservative, an ingredient in polyurethane paints and coatings, and is gaining traction in advanced applications like organ bioprinting.

The growth of the global market is largely driven by its diverse applications across key industries such as cosmetics, pharmaceuticals, and food & agriculture. Its unique chemical and biological properties—such as hypocholesterolemic effects, anti-inflammatory properties, non-toxicity, biocompatibility, and polycationicity—make it highly adaptable to different uses.

In particular, the biomedical and pharmaceutical sectors are prominent users of it, leveraging it for drug delivery systems, wound dressings, ophthalmology, nutraceuticals, tissue engineering, bio-imaging, and more.

For example, the European Federation of Pharmaceutical Industries and Associations (EFPIA) highlights the critical role of the research-based pharmaceutical industry in supporting economic recovery worldwide.

• In 2023, Europe invested approximately USD 55.62 billion (exchange rate as of September 24, 2024) in pharmaceutical R&D. Moreover, North America accounted for 67.1% of global new medicine sales in 2023.

This surge in pharmaceutical R&D in major economies is anticipated to further drive poly-D-glucosamine demand globally, particularly as it supports innovation in drug delivery and tissue engineering.

The below table shows the global pharmaceutical sales in 2023 (%)

Source: EFPIA

Chitosan Market Trends

Increasing popularity of the product in oral care products

The global market is witnessing a growing demand for its application in oral care products like toothpaste, mouthwash, and chewing gums. This demand is largely driven by chitosan's unique biochemical properties, contributing to breath freshening and helping prevent plaque formation and tooth decay.

Chitosan salts, in particular, are used to mask the unpleasant taste of ingredients like silicon oxide and to bind powders commonly found in standard toothpaste formulations, enhancing overall product appeal.

• For instance, Meron Biopolymers offers chitosan-based ingredients specifically tailored for oral care products, providing an eco-friendly and effective alternative to synthetic additives. Another example is Biosyn, which integrates poly-D-glucosamine into mouthwashes to utilize its natural antimicrobial effects, further supporting oral hygiene and reducing bacteria that cause gum issues.

Chitosan Market Growth Factors

Increasing demand for chitosan as a flocculant in the water treatment industry

A key driver of this (poly-D-glucosamine) market is its increasing use as an effective flocculant in the water treatment industry. It has unique properties as a biodegradable, non-toxic coagulant make it ideal for wastewater treatment, where it binds with and removes heavy metals and other pollutants. Its efficiency and environmental compatibility are particularly beneficial amid rising global water quality concerns.

• Notably, in February 2024, the Biden-Harris Administration committed $5.8 billion to enhance U.S. clean water infrastructure, underscoring government-backed demand for sustainable water treatment solutions. This funding surge is expected to boost poly-D-glucosamine demand in the U.S. and worldwide.

Increasing demand for the product in pharmaceutical & biomedical

It is increasingly utilized in the pharmaceutical and biomedical sectors, especially in drug delivery systems (DDS), wound healing, and tissue engineering. Its biocompatibility, bioadhesive properties, and enhanced absorption make it an ideal polymer-based carrier for drug delivery.

• Chitosan-based DDS, commonly developed as nanoparticles, hydrogels, and polymeric hydrogel membranes, improve drug stability and efficacy.

Additionally, the role of material in bio-derived personal care products has created demand in the cosmetics sector. Chitosan’s antibacterial and antifungal properties are well-suited for skin and hair care products, where it serves as a hydrating agent and protective ingredient, further driving market growth.

Market Restraining Factor

High production cost

A key challenge to market growth is the cost-intensive nature of poly-D-glucosamine production. The process requires advanced technical support to extract chitosan from chitin, which is found in crustacean shells. This intricate extraction process drives up costs, with the average price of standard-grade chitosan ranging between USD 8 to USD 12 per kilogram as of 2023.

Moreover, production is time-consuming, requiring several stages of deacetylation and purification, which adds further cost and complexity. This makes it challenging for poly-D-glucosamine to compete with synthetic alternatives, which are often cheaper and more readily available.

Market Opportunity

Rise in application of chitosan in agricultural industry

The rising application of poly-D-glucosamine in the agricultural industry is creating significant growth opportunities within the market. Known for its antifungal and antibacterial properties, poly-D-glucosamine is increasingly used in fertilizers and controlled-release agrochemical formulations, which help protect crops while promoting sustainable farming practices.

This trend is further accelerated by ongoing research into chitosan nanoparticles, aimed at expanding its applications in areas like seed coatings, biopesticides, and plant growth promoters, thus enhancing crop resilience and yield.

Additionally, the surge in aquaculture production, particularly in the Asia-Pacific region, is poised to drive further demand for poly-D-glucosamine.

• India, for instance, is the third-largest fish producer globally, accounting for 8% of the world’s fish output and contributing 1.09% to its Gross Value Added (GVA) and over 6.7% to the agricultural GVA, according to the Ministry of Fisheries, Animal Husbandry & Dairying.

As aquaculture expands, the use of chitosan in fish feed additives and water purification systems provides an environmentally friendly solution, creating promising growth prospects for the chitosan (poly-D-glucosamine) market.

Regional Insights

Asia pacific: dominant region with 46.79% market share

The Asia-Pacific region dominated the chitosan (poly-D-glucosamine) market in 2023, supported by strong growth in end-use industries across Japan, China, India, and South Korea. The region is also expected to witness the fastest growth, fueled by rising demand for bio-based products and favorable government policies.

Regulatory bodies like the Korea Food & Drug Administration endorse chitosan-based compounds such as glucosamine and chitooligosaccharides in dietary supplements. At the same time, Japan’s Food Chemical Research Foundation has approved poly-D-glucosamine as a food additive.

Japan, in particular, is a major manufacturer and consumer, with over 60% of its market revenue derived from water treatment applications. This is due to both the abundance of raw materials and Japan’s early recognition of poly-D-glucosamine’s benefits, which has solidified its market position in the region.

North america: rapid growth in u.s. & canada

In North America, the chitosan (poly-D-glucosamine) market is projected to grow at the highest CAGR, driven by increasing environmental initiatives focused on wastewater cleanup. The U.S. and Canada are actively exploring poly-D-glucosamine as an eco-friendly solution for water treatment, a trend supported by government regulations aimed at reducing industrial pollutants.

North America is seeing rising interest in chitosan’s biomedical applications, with U.S. market participants leveraging its properties for drug delivery, wound care, and tissue engineering. These applications align with the region’s emphasis on innovative healthcare solutions, positioning North America as a high-growth region in the market.

Countries insights

• U.S.: The U.S. commands a substantial share of the global market due to its strong base of established manufacturers and significant R&D investments, particularly in pharmaceutical and biomedical applications. The country’s advanced research infrastructure has facilitated the development of poly-D-glucosamine for drug delivery, wound healing, and other biotechnological applications, reinforcing its leadership in the bio-based materials sector.
• Germany:Germany’s food and beverage industry, one of the country’s largest industrial sectors, is a major contributor to poly-D-glucosamine demand. Ranking as the fourth-largest industrial sector in 2023, the industry has seen a notable shift toward packaged foods, which has increased the need for bio-based ingredients.Poly-D-glucosamine aligns with Germany’s commitment to eco-friendly food processing solutions and is valued for food preservation and sustainable packaging. 
• UK:The UK’s food and drink industry, the largest manufacturing sector by turnover, was valued at USD 116.28 billion in 2024, outpacing the automotive and aerospace sectors combined. The increased demand for bio-derived additives in food processing supports significant growth potential for chitosan applications in the UK, reinforcing its importance as a thriving market for sustainable, bio-based ingredients. 
• Italy:Italy’s pharmaceutical industry, consisting of approximately 200 companies, represents nearly 95% of the sector’s turnover, with a manufacturing value of USD 54.57 billion. This sector’s performance has boosted poly-D-glucosamine demand, particularly in drug delivery and biomedical applications.The Italian industry’s shift toward bio-based materials to meet stringent quality standards for production and export is also contributing to its market expansion and Italy’s economic growth.
• China:China’s cosmetics industry is on a strong growth trajectory, projected to reach USD 78 billion by 2025. Chitosan, valued for its antifungal and hydrating properties, is ideal for applications in skincare and personal care products, aligning with the rising consumer demand for bio-based cosmetics in China. This increasing demand solidifies China’s role as a significant consumer of poly-D-glucosamine, especially within the Asia-Pacific market.

Segmentation Analysis

By grade

In 2023, industrial-grade led the market due to its versatility across various industrial applications. Industrial-grade poly-D-glucosamine is typically derived from shrimp and crab shells, where its insolubility in water and solubility in dilute acids make it suitable for complex processes.

This segment includes high-quality and general industrial-grade chitosan (poly-D-glucosamine), each differing in quality and price, which allows for tailored use in sectors such as sewage treatment, petroleum auxiliaries, paper manufacturing, and agriculture. Its applications in water treatment and paper industries are significant, where it aids in coagulation and flocculation, promoting eco-friendly waste management. 

By source

The Shrimp segment dominated the global market in 2023, driven by its availability through commercial shrimp farming, particularly in India, a major shrimp producer and exporter. According to India’s Ministry of Commerce, seafood exports reached a record high in FY 2022-23, rising by 26.73% in volume. Frozen shrimp led the export category, with the U.S. being the largest importer, followed by China, the EU, and Japan.

Moreover, India exported over 711,099 metric tons of frozen shrimp in 2022-23, with high export volumes creating a reliable, abundant raw material base for production, especially for industrial and medical-grade uses. 

By application

In 2023, Biomedical and Pharmaceutical Applications held the largest market share due to the extensive use of poly-D-glucosamine in drug delivery systems, wound healing, and tissue engineering. Chitosan’s biocompatibility and bioadhesive properties make it ideal for drug delivery, where it encapsulates drugs such as doxorubicin to reduce side effects like cardiotoxicity, especially in cancer treatments.

Additionally, chitosan (poly-D-glucosamine) nanoparticles protect protein-based drugs from gastrointestinal enzymes, enhancing drug stability and controlled release. This segment’s dominance is further driven by the use of chitosan in biosensor development, bone regeneration, and other therapeutic applications, highlighting its versatility and critical role in modern biomedical advancements.

Company Market Share

Key market players are investing in research and development and pursuing strategies such as mergers, expansion, capacity expansion collaborations, acquisitions, and partnerships to enhance their products and expand their market presence.

Axio Biosolutions: An Emerging Player in the Chitosan Market

Axio Biosolution is involved in global wound care and surgical care products manufacturing. The company develops and designs novel solutions for wound treatment, from hassle-free wound dressing to advanced bleeding control kits. Moreover, the company has developed a wide range of wound care products that save precious lives and prioritize patient comfort, including chitosan.

Recent Developments:

• In July 2023, The US Food and Drug Administration (FDA) granted Axiostat Gauze, a line of advanced hemostatic gauze that stops severe traumatic bleeding, 510(k) clearance, according to Bengaluru-based medical device company Axio Biosolutions, a pioneer in cutting-edge advanced wound care products. Axiostat gauze is a rapidly acting hemostat made entirely of chitosan.

Recent Developments

• May 2024 - CuanTec began Chitosan production in Scotland after 7 years of scientific development. CuanTec, the Scotland-based bio-science company, announces the start of production of high-quality at its manufacturing facility in Glenrothes, Scotland. The company's customers will benefit from high-quality products made from sustainable raw materials.

Analyst Opinion

As per our analysts, the global chitosan (poly-D-glucosamine) market is witnessing rapid growth driven by its expanding applications across key industries, particularly biomedical and pharmaceuticals. The rise in international and domestic chitosan production is leading the market toward a more fragmented structure, with increased competition among diverse players.

Chitosan's unique qualities—nontoxicity, biodegradability, bioactivity, and biocompatibility—make it invaluable for applications in water treatment, cosmetics, pharmaceuticals, food and beverages, and agrochemicals. Its bioactive properties, including antibacterial and antioxidant activities, enhance its utility in various medical and pharmaceutical applications, supporting innovations in wound care, drug delivery, and more.This broad applicability and versatility position as a significant bio-based material with promising future growth across global markets.