by The global Probiotic Ingredients Market is estimated to be valued at US$4.96 billion in 2021 and is projected to reach growing at a CAGR of 3.9% from 2022 to 2030. This market research report by Coherent Market Insights highlights the market overview and key trends in the industry.
Market Overview:
Probiotic ingredients are live bacteria and yeasts that offer health benefits when consumed in adequate amounts. These ingredients are commonly found in dairy products, dietary supplements, and functional foods. The market for probiotic ingredients is driven by the increasing consumer awareness regarding gut health and the benefits of probiotic consumption. Companies in the food and beverage industry are incorporating probiotic ingredients in their products to cater to the growing demand for natural and functional foods. Probiotic ingredients are known to improve digestion, boost the immune system, and promote overall well-being.
Market Key Trends:
One key trend in the probiotic ingredients market is the rising demand for plant-based probiotics. Consumers are increasingly opting for plant-based diets and are seeking probiotic products that align with their dietary preferences. Plant-based probiotic ingredients, derived from sources such as fruits, vegetables, and legumes, offer similar health benefits as traditional dairy-based probiotics. They are also suitable for individuals with lactose intolerance or vegan diets. The demand for plant-based probiotic ingredients is expected to continue growing as more consumers embrace plant-based lifestyles.
Porter’s Analysis
Threat of New Entrants:
The probiotic ingredients market is expected to witness a moderate threat of new entrants. While the market offers potential opportunities for new players due to the increasing demand for probiotic products, the presence of established key players and high entry barriers, such as stringent regulatory requirements and the need for extensive research and development, pose significant challenges for new entrants.
Bargaining Power of Buyers:
The bargaining power of buyers in the probiotic ingredients market is moderate. Buyers, including food and beverage manufacturers, dietary supplement producers, and pharmaceutical companies, have a certain level of power to negotiate prices and terms, especially when there are multiple suppliers available. However, the unique properties and benefits of probiotic ingredients give suppliers some advantage in terms of differentiation.
Bargaining Power of Suppliers:
Suppliers in the probiotic ingredients market have a moderate bargaining power. Key players in the market, such as Kerry Inc., Chr. Hansen Holding AS, and Koninklijke DSM NV, have established strong relationships with buyers and hold significant market shares, giving them leverage in pricing negotiations. However, the industry is highly regulated, requiring suppliers to adhere to strict quality standards, which limits the number of qualified suppliers, thereby increasing their bargaining power.
Threat of New Substitutes:
The threat of new substitutes in the probiotic ingredients market is low. Probiotic ingredients offer unique health benefits, including improved digestive health and immune system support, which cannot be easily replicated by other ingredients. This factor serves as a strong deterrent to the entry of substitutes.
Competitive Rivalry:
The competitive rivalry in the probiotic ingredients market is intense. The market is dominated by a few key players, including Kerry Inc., Chr. Hansen Holding AS, and Koninklijke DSM NV. These companies compete based on product quality, innovation, and brand reputation. The industry also witnesses significant mergers and acquisitions, further intensifying the competition.
Key Takeaways
The global Probiotic Ingredients Market Share is expected to witness high growth, exhibiting a CAGR of 3.9% over the forecast period from 2022 to 2030. The increasing awareness among consumers about the health benefits of probiotics and the rising demand for functional foods and dietary supplements are driving market growth.
In terms of regional analysis, North America is projected to be the fastest-growing and dominating region in the probiotic ingredients market. The rising prevalence of digestive disorders, coupled with the growing preference for natural and organic products, is fueling the market’s growth in this region.
Key players operating in the probiotic ingredients market include Kerry Inc., Chr. Hansen Holding AS, Koninklijke DSM NV, DuPont De Neumors, Inc., Lallemand Inc., Associated British Foods PLC, Nutris, Archer Daniels Midland Company, Advanced Enzyme Technologies, and Orffa. These companies are focusing on product innovation, strategic collaborations, and expansion to strengthen their market position and meet the growing demand for probiotic ingredients globally.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
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