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Organic Dispersion To Drive The Phycocyanin Market

Phycocyanin is widely used in innovative food products with probable health benefits, and has demonstrated potential to meet increasing consumer demand for sustainable food supply, especially in terms of protein demand. Phycocyanin is considered as a promising protein source that offers several advantages over other raw materials from an environmental point of view. It is majorly used to produce various natural colors, and is used in a broad range of food & beverage applications, including dairy products, confectionery, drinks, and others.

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The effectiveness of phycocyanin for different health-related issues has been proven in a number of clinical and research related studies. This remarkable effectiveness is associated with the very complete nutritional profile offered by phycocyanin, as it contains a majority of essential amino acids with better digestibility. These factors are expected to boost sales in the global phycocyanin market, at an expected volume CAGR of approximately 7% through 2030.

Key Takeaways from Phycocyanin Market Study

The food & beverage industry is expected to hold a volume share of approximately 70% in the phycocyanin market, owing to its increased use as a coloring agent in different food applications.
In terms of volume, the conventional segment is anticipated to dominate the global phycocyanin market with a market share of more than 90% throughout the forecast period. However, the organic segment is expected to witness a comparatively higher growth rate of more than 7%, attributed to increasing demand for organic products.

Based on regional analysis, the regions of South Asia and East Asia are expected to observe the highest growth rates, attributed to the presence of a large number of key players in countries such as India, China, Japan, and others. However, in terms of volume, the regions of North America and Europe are dominant in the global phycocyanin market, holding more than 60% of the global volume share in the year 2020.

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Global Phycocyanin Market: Competitive Landscape

Key players functioning in the global phycocyanin market are focused on engaging in different promotional strategies to generate higher business revenue, build profitable relationships with new customers, and gain increased penetration in different markets.

In 2019, Far East Bio-Tec Co., Ltd. participated in Vitafoods, Europe, a global nutraceutical event. Participation in this event proved to be the perfect platform for generating new business and build profitable relationships. It also helped the company promote its products to gain benefit from the growing global nutraceutical market.

In 2019, Tianjin Norland Biotech Co., Ltd. participated in Vitafoods, Europe. Participation in this event helped the company explore market trends and promote its products on a global level. It also helped the company expand its global presence and customer base.

In October 2019, Bluetec Naturals Co., Ltd. exhibited at Supplyside West in Las Vegas, U.S. It is one of the largest gatherings of health & nutrition professionals, bringing together more than 18,500 ingredient buyers and suppliers from throughout the industry. This helped the company promote its products on a global level and expand its customer base.

Apart from this, manufacturers operating in the phycocyanin market are also focusing on the expansion of their businesses through strategic alliances/partnerships, mergers, acquisitions, and expansions, to increase their market presence and product offerings.

In April 2019, Chr. Hansen Holding A/S announced a joint venture with Bacthera AG with an investment of US$ 90 Mn, for pioneering development in the market of biotherapeutic products. Bacthera AG is a leading company in the pharmaceutical industry, and this partnership would enable Chr. Hansen Holding A/S to enhance its portfolio of products in the emerging market of biotherapeutic products.

In 2019, DIC Corporation completed the acquisition of BASF's global pigment business. This acquisition was done with an aim to broaden its reach into functional pigments and cosmetics. The acquisition was part of a wider growth plan that involved creating new business pillars.

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