Algae Products Market Report: What’s in store?
What are Algae Products?
Algae Products are plants that can range from microscopic to giant kelp which are more than a hundred feet in length. These plants can grow on seawater, brackish water and wastewater which are not suitable for growing agricultural plants, thus helping in recycling wastewater. The algae products can be classified into laminaria japonica, eucheuma, laminaria japonica, porphyria, undaria pinnatifida, chlorella, and others. This product mainly finds application in the aquaculture an animal feed, bioenergy industry, chemical industry, and others. The food industry is the largest consumer of algae products.
Different Type, Applications and source
The algae products market by type has been segmented into lipids, carrageenan, alginate, carotenoids, and algal protein. The lipids segment in the algae products segmented by type held the largest share in 2018. Lipids algae could be further segmented into omega 3, omega 6 and omega 9. The significant revenue share held by the lipids segment in the algae products market segmented by type could be attributed to a wide range of health benefits which can be derived from a unique form of dietary fats. Further, the lipids algae offer the same benefits as fish oil with better tests and order. The algae products market segment by the application has been segmented into food & beverage (e.g., algae eater, brown algae), dietary supplements, feed, personal care (e.g., algae scrubber) and pharmaceuticals. The food & beverage segment in the algae products market segmented by application held the largest share in 2018. Growth in the consumption of seaweeds in the recent past has attributed to the largest revenue share in the market. Further, there is a growing trend of adding algae to conventional food items like cakes, soups, bread, pastries, snacks, and a wide range of gravy. This provides better test, texture, quality of the food, and enhancing the nutritional value of the food.
North America is the largest market for Algae Products.
North America led the algae products industry in terms of revenue in 2018. This high revenue share in the region can be attributed to growing nutraceutical (nutraceutical is a fortified food product that supplements the diet and also assists in preventing or treating diseases) market in the region. Growing preference of consumers towards health and wellness and growing preference towards the organic and clean label in food is driving the market in the region. Further, rising in several allergies has led to the growth of the algae products market in terms of revenue in the region.
Some of the key factors driving the algae product market size involve growing demand for pharmaceutical and nutraceuticals. There is a wide range of pharmaceutical and nutraceuticals product that is marketed, some of them may include carotenoids, phycobilins, vitamins, and fatty acids, biologically active molecules that have health benefits for both humans and animals. Further, there is a rise in the application of algae for making antibiotics. Moreover, algae products are emerging as a key source for sustainable crops as it provides health benefits, including Omega 3, protein, and antioxidants. The application of algae products as food ingredients and alternative food sources is expected to drive the market further over the next few years.
Key Companies Outlook
The manufacturers of Algae Products to address the increasing competition in the market are adopting various strategies. Product innovation, joint venture, and partnership are some of the key strategies used by the players in the Algae Products market to gain a competitive advantage over its competitors. In February 2017, Living Ink Technologies announced that the company has entered into a joint venture with Cellana, Inc. to jointly develop and commercialize inks which will have Cellana’s renewable algae biomass.
Algae Products top 10 companies include Aurora Algae, Algaetech International Sdn Bhd, Cellana, Inc., Cyanotech Corporation, DIC Corporation, Taau Australia Pty Ltd., Alltech Algae, Fuqing King Dnarmsa Spirulina Co. Ltd. BlueBio Tech International and Parry Nutraceuticals.