by Fumaric acid is an organic acid that can be derived from plants. It is colorless crystal or white powder and has concentrated, acidic taste. Fumaric acid has wide applications in food & beverages, pharmaceuticals, chemicals and animal feed industries. It is primarily used as acidity regulator to control the pH balance and enhance flavors. It is also utilized as a internal and external anticaking agent in food products and as supplement for livestock feed. Some key applications of fumaric acid include bakery, dairy, confectionery, savoury foods, dietary supplements, animal feed pre-mixes, and medicinal tablets & capsules.
The global Fumaric Acid Market is estimated to be valued at US$ 321.01 Bn in 2023 and is expected to exhibit a CAGR of 32.% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
rowing demand from food industry is expected to drive the growth of Fumaric Acid market over the forecast period. Fumaric acid is majorly used as an acidulant and flavoring agent in bakery, confectionery and dairy products. Rising health consciousness among consumers is increasing the demand for processed and packaged foods which are less acidic, having controlled pH and improved sensory attributes. This is positively impacting the consumption of fumaric acid. In addition, industrial growth, expanding urbanization and changing dietary patterns are fueling the production volumes of packaged and convenience foods worldwide, thereby augmenting the market growth. However, availability of substitutes like citric, lactic, malic and tartaric acid and stringent regulations pertaining to Fumaric acid content in final products may hinder the market growth during the forecast period.
Segment Analysis
Fumaric acid can be segmented into food grade, technical grade, and reagent grade. The food grade segment dominates the fumaric acid market owing to its wide applications in food and beverage industry as an acidity regulator. It is majorly used in bakery, desserts, snacks, and beverages. The technical grade segment is expected to witness significant growth on account of increasing demand from paints, coatings, and unsaturated polyester resins industry.
PEST Analysis
Political: Any changes in regulations regarding the usage of chemicals in food industry can impact the fumaric acid market. Currently, there are no major political risks affecting the market.
Economic: The global economic growth is driving the food and beverage industry positively impacting the demand for fumaric acid. Rise in disposable incomes is augmenting consumer spending on packaged foods and beverages.
Social: Changing lifestyle and busy schedule of consumers are boosting demand for convenience and packaged foods where fumaric acid finds wide application. Rapid urbanization is also propelling the market.
Technological: Manufacturers are investing in R&D to develop newer food grade and technical grade variants of fumaric acid to expand their applications in industries.
Key Takeaways
The Global Fumaric Acid Market Growth is expected to witness high over the forecast period of 2024 to 2031.
Regional analysis: The Asia Pacific region holds the major share in the global fumaric acid market led by China. This can be attributed to presence of large food processing industry along with rapid urbanization driving the packaged foods demand. The region is expected to grow at a CAGR of over 34% during the forecast period.
Key players operating in the fumaric acid market are Nio Inc., Amara Raja Batteries Limited, Lithion Power Private Limited, Amplify Cleantech Solutions Private Limited, Gogoro Inc., Chargemygaadi, Esmito Solutions Pvt. Ltd., and Echargeup. Nio Inc. is a dominant player in the global market known for its technical grade fumaric acid.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
