The algae extracts market size is anticipated to be worth over USD 8 billion by 2030, as per a new research report by Global Market Insights, Inc.
The study identifies the growing demand for personal care products and cosmetics across the globe to be a key factor driving the use of algae extracts. There is a high demand for these compounds across regions such as Europe, which is one of the largest cosmetics markets in the world. In 2021, Europe generated more than USD 80 billion from retail sales of cosmetic products.
Estimates suggest that the cosmetics and personal care sector offers a boost to the European economy by nearly USD 29.24 billion each year. The region also performs well in terms of exports and has more than 4,000 manufacturers of personal care products, suggesting a high potential for the use of ingredients such as algae extracts.
Emerging demand for green algae extracts as a source of vitamin C
With respect to source, the algae extracts market share is segmented into red algae, green algae, brown algae, and others. The industry share from green algae segment was estimated at 275 kilo tons in 2021 and is projected to exhibit more than 5% CAGR in terms of volume between 2022-2028, cites the report. This growth can be attributed to the compound’s high nutritional profile comprising of protein, iron, vitamin C, and vitamin B12. The emergence of the COVID-19 pandemic propelled the consumption of vitamin C to boost immunity and prevent the contraction of the infection. Numerous health benefits of Monostroma nitidium, a single-layered green alga, have led to its use in soaps and salad ingredients.
Consumer preference for immunity-boosting products to fuel algae extracts demand
Based on form, the algae extracts market share from the liquid for segment is estimated to be worth over USD 3 billion by 2030. The consumption will be driven by a surging demand for immunity-boosting products. Algae extract liquids have gained considerable traction owing to their use in products that help boost immunity, and cellular & brain health. The rising prevalence of diseases along with life-threatening pandemics will positively influence the demand for these compounds.
Browse key industry insights spread across 200 pages with 223 market data tables & 18 figures & charts from the report, “Algae Extracts Market statistics By Source (Red Algae, Green Algae, Brown Algae, Others), By Form (Powder, Liquid), By Application (Food and Beverages, Personal Care, Pharmaceuticals & Nutraceuticals, Animal Feed [Aquaculture, Poultry, Swine, Cattle, Pet Food]), Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2022 – 2030” in detail along with the table of contents:
Trend of natural cosmetics to boost personal care applications
As per the report, the algae extracts market is expected to witness substantial demand from the personal care application, with an estimated segment CAGR of more than 6% through 2030. Skincare and personal care products such as sunscreens and moisturizers use these compounds as thickening agents and skin sensitizers. They can also be used as a source of antioxidants to protect skin against tanning, and abrasions. Natural & vegan cosmetics are trending in the personal care space as they prevent the risks associated with synthetic chemicals like ethylparaben, lauryl sulfate, and PVP.
Presence of leading aquafeed manufacturers across Europe
Europe algae extracts market size is anticipated to worth over USD 2 billion by 2030, says the report. The growth will be supported by the presence of key industry players and product development initiatives. Europe comprises of some of the leading aquafeed manufacturers that are involved in the production of fish oil, fish meal, and plant-based protein. These companies are constantly making new technological innovations in product development in compliance with regulatory norms.
Strategic collaborations to consolidate industry growth
The competitive landscape of the global algae extracts market has witnessed the adoption of innovative strategies and collaborations to drive product development, technology integration, and business expansion. For instance, in November 2019, Corbion signed a joint development agreement with Nestle in order to create a next-generation platform of algae-based ingredients that are rich in high protein content and micronutrients to provide, sustainable, nutritious, and better-tasting products. The collaboration will leverage Nestle’s industry expertise and the microalgae and fermentation capabilities of Corbion to develop plant-based products.
Some of the leading algae extracts companies discussed in the report include Olmix Group, Corbion NV, Kelp, Allmicroalgae, Earthrise Nutritionals LLC. (DIC Corporation), Goerlich Pharma GmbH, Cyanotech Corporation, Phycom Microalgae, Tagrow Co., Ltd, Arizona Algae Products, LLC.