Allied Market Research

Xanthan Gum Market Expected to Reach $1,076 Million, Globally, by 2023


Report Code : A01944

quote The increase in demand for xanthan gum in food & beverages industry, change in consumer preference, increase in consumption of convenience food products, and rise in demand for gluten-free products drive the global xanthan gum market. quote

Eswara Prasad
Team Lead, Chemicals & Materials at AMR

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According to a new report published by Allied Market Research, titled, Xanthan Gum Market by Application and Function: Global Opportunity Analysis and Industry Forecast, 2017-2023, the xanthan gum market was valued at $722 million in 2016, and is estimated to reach $1,076 million by 2023, registering a CAGR of 5.9% from 2017 to 2023. In 2016, the food & beverages application segment accounted for more than two-thirds share of the total market.

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Xanthan gum is an epoxy polysaccharide, which belong to hydrocolloid family and is used as a valuable substance in food additive. It has the ability to absorb more water that its own weight and has the capability to form a gel. It is widely used as a stabilizing agent, thickening agent, fat replacer, suspending agent, and bodying agent in a wide variety of food and industrial applications. It is one of the most adaptable elastic thickener, which performs well even when used in small quantities. It owns several extraordinary and useful properties, such as change in viscosity at fluctuating temperatures, high viscosity at low concentrations, and excellent stability over a wide pH range.

The factors that drive the global market are multi-functionality of xanthan gum, which resulted in varied application of xanthan gum, such as food & beverages, oil & gas, personal care & cosmetics, pharmaceuticals, and others. In food & beverages, xanthan gum is used to add texture, unique appearance, flavour release, viscosity, and to enhance water-control properties. However, high cost of xanthan gum and availability of relatively cheap substitutes and anti-dumping policies on xanthan gum hamper the market growth.

Food & beverages is the leading application segment, where xanthan gum is used in wide range food products, such as sauces & dressings, meat & poultry products, bakery products, confectionery products, beverages, dairy products, others. It offers excellent water-binding stability, storage stability, and aesthetic appeal in food processing when used in small concentrations.

The thickening agent segment dominated the global market, with more than one-third of the total market share in 2016. It is widely used as a thickening agent in broad range of application, owing to its property of high viscosity at low concentration. The thickening of any liquid with xanthan gum is easily achieved by simply blending it into required liquid. The product thickened using xanthan gum maintains its shape at the resting state and blends properly when stirred briefly.

Key Findings of the Xanthan Gum Market:

  • In 2016, Asia-Pacific dominated the global market, with more than one-third share, in terms of both revenue and volume.
  • In 2016, China dominated the Asia-Pacific xanthan gum market, with around half of the share, in terms of both revenue and volume.
  • The food & beverages segment is estimated to register the highest growth rate, in terms of revenue, registering a CAGR of 6.2% from 2017 to 2023.
  • The thickening function segment is estimated to register a highest growth rate, in terms of revenue, registering a CAGR of 6.3% from 2017 to 2023.
  • In 2016, Cp Kelco, Cargill Inc., and Fufeng Group Company Ltd. are the leading players in global xanthan gum market.

In 2016, Asia-Pacific dominated the global market, owing to the increase in processed foods production and developments in oil & gas production in China and India. Furthermore, supporting government policies and foreign investments in oil & gas sector in the region are anticipated to boost the market for xanthan gum in the foreseeable future. North America is the second leading region, which is expected to register a CAGR of 5.8% in terms of revenue.

The key companies profiled in the report include Fufeng Group Company Ltd., Cp Kelco, Cargill, Inc., Solvay S.A., E. I. Du Pont De Nemours and Company, FMC BioPolymer, MeiHua Holdings Group Co., Ltd., Archer Daniels Midland Company, Ingredion Incorporated, and Zoranoc Oilfield Chemical.

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quote Xanthan Gum Market by Application (Food & Beverages, Medical, Personal Care & Cosmetics, Oil & Gas, and Others) and Function (Thickening Agent, Stabilizing Agent, Suspending Agent, Fat Replacer, and Others): Global Opportunity Analysis and Industry Forecast, 2017-2023 quote

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