Pectin Market Size, Share & Trends Analysis Report By Source (Citrus Fruits, Apple, Sugar Beet, Other Sources), By Applications (Beauty and Personal Care, Food and Beverage, Pharmaceuticals, Other Applications), By Function (Thickener, Stabilizer, Gelling Agent, Fat Replacer, Others), By Type (High Methoxyl Pectin, Low Methoxyl Pectin) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2022-2030

Market Overview

The global pectin market size was valued at USD 944.45 million in 2021. It is expected to reach USD 1.79 billion by 2030, growing at a CAGR of 7.37% during the forecast period (2022–2030).

Pectin is a soluble fiber compound derived from plants manufactured for use in food products as a white and light brown powder. It is a polysaccharide starch taken from the cell walls of various fruits and vegetables, including carrots, apples, sugar beets, apricots, and sugar cane. It is also added to fruit juices and milk-based beverages as a stabilizer and gelling agent to thicken the consistency of jams, marmalades, and jellies. It helps shorten cooking time, enhance texture and color, and lengthen product shelf life. Additionally, it is employed in producing pharmaceutical goods such as specialized medical adhesives and preparations for treating wounds. Pectin consumption regularly can help lower cholesterol, heartburn, diabetes, and gastroesophageal reflux disease (GERD).

Market Dynamics

Market Drivers

Rising Demand for Natural and Clean Label Ingredients

One of the most widely used food gums is pectin, the most versatile and label-friendly gum, typically made from apple and citrus peels. It is therefore preferred for use in many clean-label formulations, particularly in dairy substitute beverages, including the low-sugar and low-pH varieties. Jellies, jams, fruit syrups, yogurts, yogurt drinks, and yogurt substitutes are all suitable low-pH formulations. More decadent confectionery chews, gummies, and glazes are examples of other uses. Market leaders in citrus pectin production are focusing on backward integration to grow their businesses, increase their production capacity, and establish clean-label products and relevant certifications. Pectin's global growth potential is also being boosted by the push and regulations from various governments for the use of natural additives in food products. These factors have increased the demand for clean-labeled, natural food additives like pectin.

Extensive Application and Functionality

The use of pectin as a thickener or jellying agent in the creation of yogurt, jam, and jelly is one of the key factors driving the pectin market. Additionally, it is utilized in spreads, bakery goods, confectioneries, and low-fat dairy products. Globally, the application of pectin across the food industry is being driven by the development of effective and advanced technology, a rise in consumer awareness of functional foods, and a rise in consumer need for low-calorie and low-fat food products. Manufacturers have been encouraged to include functional and plant-based ingredients in the finished products to meet consumers' changing demands due to the increased focus and per capita expenditure on functional food products, primarily among Americans. Additionally, in the last few years, the pectin market has seen a significant increase in the adoption of newer applications and emerging economies like China, India, and others, further promoting the market's growth.

Market Restraints

Easy Access to Financially Reasonable Options

Alcohol precipitation is the most popular method for extracting pectin from citrus fruit peels. Citrus fruit production depends on pectin, so seasonal variations in raw material prices raise costs. Pectin costs more than its substitutes due to supply-and-demand imbalances, price volatility, and other factors. Due to the high cost of pectin, consumers and end-user industries are switching to hydrocolloids. Gelatine's easier availability, which has more nutritional benefits, is expected to slow market growth. Pectin substitutes with comparable or better nutritional factors at competitive prices create a financially viable option for end-user industries while limiting market growth.

Market Opportunities

Pectin Innovation for Acid-Free Milk Drinks

Consumers in Asia have been demanding higher quality and more fantastic novelty in their food and beverages as they have become more affluent and discerning, particularly in the popular category of acidified dairy drinks. Pectin is a common ingredient in acidified dairy drinks because it can be used as a stabilizer, thickener, and gelling agent in food applications. Better functioning pectins are essential ingredients that aid food producers in achieving sensory differentiation in their acidified dairy beverage products by combining the abilities of flavor expression, reviving mouthfeel, and protein stabilization. For Instance, Cargill has unveiled its new Unipectine AYD R series for acidified dairy drinks. It took a year to develop and is specifically designed to meet critical sensory purchase drivers without compromising product stabilization. The series is designed for use in acidified dairy drinks and is based on Cargill's worldwide expertise in pectin innovation.

Regional Analysis

By Region, the global pectin market is segmented into North America, Europe, Asia-Pacific, South America, and the Middle East and Africa.

Europe Dominates the Global Market

Europe is the most significant shareholder in the global pectin market and is expected to grow at a CAGR of 6.30% during the forecast period. Germany's food industry is vibrant, self-confident, and balanced. It creates new goods and ingredients for domestic and international markets. CP Kelco in Großenbrode and Cargill in Malchin have some of the world's most advanced pectin production facilities. Complex manufacturing procedures help the pectin market respond quickly and flexibly to customer needs. Germany's food processing industry uses high-value, highly processed ingredients and low-value, minimally processed ingredients. The German pharmaceutical market is growing along with rising pectin innovations like MCP (Modified Citrus Pectin). Pectin and pharmaceutical innovation are anticipated to help the German market grow during the forecast period.

North America is expected to grow at a CAGR of 7.12%, generating USD 493.52 million during the forecast period. Pectin is used in jams, jellies, marshmallows, and marmalades, and the country's citrus fruit production makes it a pectin hub. Along with international fruit spread players, the country has many private-label brands regaining ground and supporting clean-label trends. Due to expanding usage and application fields, players are creating better pectin versions. Physically and chemically altering pectin structure improves stability and gelling. Pectin is in fermented drinks, milk-juice mixtures, drinkable yogurts, and low-pH dairy drinks. As demand for sugar-free or reduced-sugar products rises, companies are creating low methoxyl pectin.

In Asia-Pacific, rapid urbanization, rising disposable income, and social media influence have all contributed to an increase in the demand for beauty products. Thus, pectin demand is anticipated to expand due to pectin's use as a natural texturizer in creams, oils, and ointments. Due to the stimulation of high-class living and fashion consciousness in China's first and second-tier cities, female consumers have become more concerned with the efficacy of skin care products. This has fueled the demand for pectin, which can be used as a thickener and stabilizer in skin care because it is skin-friendly and aids in stabilizing suspensions, emulsions, and foams. Pectin use in China is governed by Regulation GB2760-2014, which specifies that there are no maximum usage levels for pectin and that it may be used without restriction in foods, according to the Chemical Inspection and Regulation Services (CIRS). As a result, it allows producers to produce pectin to grow their customer base and acquire a competitive advantage.

South America has a growing population, more people with disposable income, and consumer preferences affect the demand for soft drinks. Soft drinks are innovated in terms of flavor, appearance, texture, and ingredients depending on the target audience. These aspects may lead to a rise in demand for pectin due to its function in producing consumer-friendly, low-sugar beverages and its capacity to provide a more pleasurable mouthfeel. Consumer demand for high-quality pectin, rising usage in candy fillings and sweets, and the growing use of pectin in fruit juices and milk drinks as a stabilizer, would all contribute to pectin's expansion.

In the Middle East and Africa, the development of the thickeners section for pectins has a significant impact on the expanding food industry as well as the overall food retail market. Another important factor fueling the overall growth of the pectin market is the shifting consumer preference toward dense ready-to-eat foods. Due to the nation's rising per capita consumption, pectin product innovation is primarily targeted at the bakery and confectionery industry. Even though gelatin is frequently used, consumers have been demanding vegan and kosher labels, which give businesses the freedom to innovate with naturally derived raw materials to satisfy consumer demands. Therefore, the opportunities for manufacturers to produce pectin-based food products may increase due to pectin's flexible regulation.

Segmental Analysis

The global pectin market is segmented by source, application, and type.

Based on The Source, the global market is bifurcated into citrus fruits, apples, and sugar beet.

The citrus fruits segment is the highest contributor to the market and is expected to grow at a CAGR of 7.11% during the forecast period. Natural pectin is primarily obtained from citrus fruits, particularly lemons, oranges, and grapefruits. Citrus pectin products are used in seasonings, sauces, and marinades to develop novel and varied flavor profiles. Nutraceuticals, dietary supplements, pharmaceuticals, cosmetics, personal care items, room deodorizers, and cleaning supplies are some additional applications. The global pectin market is seeing a rise in popularity for citrus pectin as an effective supplement. For those looking to supplement their citrus intake as a preventive health measure, modified citrus pectin (MCP) may be the best option.

Apple holds a sizable market share as a source of pectin. Apples are used in various products, including food, drinks, cosmetics, personal care, and medications, fostering market expansion. Apple pectin used in end-user industries is being expanded by several product innovations using these natural, plant-based, and clean-label goods. However, apple pectin has undesirable side effects, such as gas, diarrhea, and stomach pain, limiting market expansion.

Based on Application, the global market is bifurcated into beauty and personal care, food and beverage, and pharmaceuticals.

The food and beverage segment own the highest market share and is expected to grow at a CAGR of 7.03% during the forecast period. The food and beverage are subdivided into jam, jelly, preserve, baked goods, and dairy products. Pectin thickens and gels jams, jellies, and preserves. High and low methoxyl pectin is used in jam, jelly, and preserves. Regular jams contain sugar, which improves taste, mouthfeel, and shelf life. Less-sweetened and sugar-free jams and preserves are replacing sugar due to health concerns. Due to low-carb and low-fat diets, consumers choose nutritious and delicious convenient foods with lower sugar and fat content, such as jams, jellies, marmalades, and preserves. Low methoxyl pectin has become more prevalent in jam, jelly, and preserves. The trend became more pronounced toward the end of the forecast period and is expected to continue.

Pectin serves as a gelling agent in the pharmaceutical industry, where it has a wide range of uses. Its versatility in this industry makes it a beneficial ingredient and film-forming agent. Pectin also provides strong water-binding abilities and has superior acid resistance. Pectin is a valuable ingredient for various pharmaceuticals and medical nutrition products due to all these properties. Pectin can be used in formulations and items for internal consumption and external applications, such as kaolin-containing mixtures, remedies for diarrhea, and syrups meant to keep their viscosity. In order to ensure the controlled delivery of treatment, pectin is frequently used in sustained-release capsules to promote the sustained release of active ingredients and medication. Pectin demand in the pharmaceutical industry increased due to the sharp rise in consumers with gastrointestinal health issues, such as gastroesophageal reflux disease.

Based on Type, the global market is bifurcated into high methoxyl pectin and low methoxyl pectin.

The high methoxyl pectin segment is the highest contributor to the market and is expected to grow at a CAGR of 7.12% during the forecast period. High methoxyl (HM) pectin dominates the global market for jams, jellies, and fruit preserves. These factors boosted market demand for high methoxyl pectin. Different sources of pectin have varying levels of esterification, and high methoxyl pectin has over 50 DE. They are either "rapid-set" or "slow-set," depending on how long it takes to settle and the temperature. The esterification degree suggests the rate of gel setting and gel texture. High DE pectin jellifies faster and forms more elastic and brittle gels than less esterified pectin. This increases its marketability as a thickening agent in various applications.

Low methoxyl (LM) pectin is growing the fastest. This product is used in reduced/low sugar jams and jellies, heat reversible jams, fillings, baking stable fruit preparations, cold-setting milk jellies, and yogurt fruit preparations. LM pectin is defined as having a DE value of less than 50. Research and development, as well as product innovation, are fueling market segment growth. Low pH cross-links calcium cations with LM pectin, causing it to gel. Its stable structure protects the product from moisture, oxidation, UV light, and solute movement. Innovation and development may boost future LM pectin demand.

Impact of covid-19

People's lives and companies were affected by the COVID-19 outbreak worldwide. During the COVID-19 outbreak, delivery service companies confront several obstacles. Due to the tight restrictions, more people are purchasing online. In response, e-commerce and online retail & grocery enterprises faced a big issue in delivering groceries on time. By assigning delivery executives optimal routes, route optimization software helped to reduce vehicle idling time and enhance delivery executive productivity, therefore promoting the route optimization software business during the pandemic crisis.

Recent Developments

• September 2022- Cargill and Yayasan Salam Malaysia (YSM) collaborated on the "Back to School" program for primary school students from B40 families to assist underprivileged children in receiving the necessary school supplies. This program aims to support more than 3,000 students from Malaysia's rural and urban areas over the course of two years by assisting more than 60 schools.
• September 2022- ExoPolymer, Inc., a biotechnology startup company focused on creating novel, polysaccharide-based biopolymers, and CP Kelco, a global leader in nature-based ingredient solutions owned by J.M. Huber Corporation, announced a partnership to create and market a portfolio of new functional ingredients for the personal care sector and other markets.