In January 2019, Avril Group acquired LECICO GmbH. The acquisition strategy enabled Avril Group to broaden its product range and consolidate the depth of its position in the lecithin business that is used in many sectors such as food, pharmaceuticals, and cosmetics. Avril Group aimed to expand its global competitive position by combining the experience and production capabilities of LECICO, particularly in the rapidly emerging lecithin industry. The acquisition was also part of Avril's overall goal to diversify its products and meet the growing demand for plant-based, natural chemicals. Praan Naturals launched their newest Organic Soy Lecithin Liquid and Powder in September 2019, which can be used in the personal care segment.
This new product launch was a big development of the company's portfolio to help it respond to increasing demand for natural and plant-derived ingredients in cosmetics and personal care products. Organic Soy Lecithin has skin conditioning, moisturizing, and emollient properties and can be used in a range of applications including skincare, lip care, hair care, nail care, and cosmetics. Praan Naturals utilized this widely applicable ingredient in producing high-end, eco-friendly alternatives that cater to the rising customer demand for organic and natural products. This new soy lecithin product further proves Praan Naturals' lead in the aggressive market so it can provide expansive ranges of personal care formulations as well as bolster its commitment towards innovation and eco compatibility within the industry. In February 2019, Lasenor Emul, S.L., a top emulsifier manufacturer, partnered with Simmons Grain Co., an Ohio organic soybean processor, to form LASENOR USA LLC.
The new company was formed to manufacture organic soy lecithin products for food and feed use. This alliance brought Lasenor's history of emulsifier production together with Simmons Grain's well-established organic soybean marketplace position, allowing LASENOR USA LLC to meet North America's increasing need for high-quality, sustainable lecithin. Together, the company sought to meet escalating customer demand for organic, non-GMO ingredients in the food and animal feed sectors. With the domestic manufacturing presence, LASENOR USA LLC increased its ability to offer cheap and efficient solutions to consumers all over the U.S., extending the expansion of the market for organic lecithin and the sustainability cause in the industry.
According to Coherent Market Insights, the soy lecithin industry is expected to grow to USD 1.5 billion in 2027 at a compound annual growth rate (CAGR) of 6.5% from 2020. The market is expanding significantly.
One of the major reasons behind this growth is the rising need for clean-label and plant-based ingredients in a number of industries such as food, pharmaceuticals, and cosmetics. As it can enhance texture and stability, soy lecithin is usually incorporated as an emulsifier in foods like margarine, chocolates, and baked foods. Furthermore, the use of soy lecithin in dietary supplements and nutraceuticals is being aided by increased knowledge of its health benefits, such as its cholesterol-lowering activity. In addition, the market for organic soy is being driven by the organic and non-GMO food trend. The demand for sustainable and eco-friendly products is increasing among consumers and is driving the market.
