Agar market

Agar Market, By Form (Strips, Powder), By Application (Bakery, Confectionery, Dairy, Canned Meat/ Poultry Products, Beverages, Sauces, Creams & Dressings, Dietic Products, and Others), Bacteriological (Culture Media, Microbiology), Technical Applications (Cosmetology, Medical Application), and others), and By Regions (North America, Latin America, Europe, Asia Pacific, Middle East & Africa (MEA))- Size, Share, Outlook, and Opportunity Analysis, 2022 - 2030

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Jan 2023
CMI2386
150 Pages
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Summary

Agar is a gelatin-like substance that is produced from the red-algae and is best known for the solidifying substrate of bacteriological culture media. It is also used for preserving meat and poultry products. Moreover, it also find its applications in cosmetics, medicine, and dentistry. Furthermore, they are also used as a clarifying agent in the production and brewing of wine and as a thickening agent in the production of pastries, ice-creams, salad dressings, and desserts.

Global agar market was valued at US$ 276.02 Mn in 2021 in terms of revenue, exhibiting a CAGR of 4.67 % during the forecast period (2022 to 2030).

Drivers

Surging Demand for Agar-Agar in Food & Beverages Industry

Rising awareness regarding the health benefits of agar as it has various minerals and vitamins such as contains iron, iodine, calcium, phosphorous, and others is expected to serve as a prime driver factor to the market growth. Moreover, growing demand from the food and beverage industry as a thickening and stabilizing agent in various food products is expected to propel the market growth of agar.

The market growth can also be attributed to the rising demand for meat and poultry products where it is used as a preservative. Moreover, rising usage of agar as a substitute for gelatin due to its excellent diffusion property and clarity and less adhesiveness is further expected to foster the market growth of agar.

Figure 1. Global Agar Market Value Share (%), By Region, 2021

Europe dominated the global agar market in 2021, accounting for 42.0% share in terms of revenue, followed by Asia Pacific and North America, respectively.

Market Restraints

Limited Supply of Raw Material

The limited source of agar, as agar is derived from seaweed which is limited is a major factor expected to hinder the market growth of agar. Moreover, production and supply of agar are also limited across certain region, which is also expected to curb the market growth of agar.

With the shortage of raw materials, various companies have stopped selling their agar products. For instance, in 2020, Thermo Fisher Scientific Inc. stopped selling bacteriological agar and technical agar until the next year till 2021, in order to maintain a supply of dehydrated culture media to customers. Therefore, this factor is also projected to hinder the market growth of agar.

Agar Market Report Coverage

Report Coverage	Details
Base Year:	2021	Market Size in 2021:	US$ 276.02 Mn
Historical Data for:	2017-2020	Estimated Year:	2022
Forecast Period 2022 to 2030 CAGR:	4.67 %	Forecast Period:	2022-2030
Geographies covered:	By Regions: North America, Latin America, Europe, Asia Pacific, Middle East & Africa
Segments covered:	By Form: Strips, Powder By Application: Food & Beverages (Bakery, Confectionery, Dairy, Canned Meat/ Poultry Products, Beverages, Sauces, Creams & Dressings, Dietic Products, and Others), Bacteriological (Culture Media, Microbiology), Technical Applications (Cosmetology, Medical Application), and others
Companies covered:	New Zealand Manuka Group, Hispanagar, Acroyali Holdings Qingdao Co., Ltd., Industrias Roko, S.A., Neogen, Merck Group, Agarindo Bogatama, Setexam, and Norevo GmbH.
Growth Drivers:	Adoption in various end-use sectors.
Restraints & Challenges:	Raw material are not easily available which seems less production.

Market Trends

Acquisitive Demand of Agar in Bakery and Confectionery Industry

In the baked goods industry, due to the ability of agar gels to withstand high temperatures, agar is gaining prominence as a stabilizer and thickener in pie fillings, icings, and meringues. Cakes, buns, others are often pre-packed in various kinds of modern wrapping materials and often stick to them, especially in hot weather by reducing the quantity of water and adding some agar, a more stable, smoother, non-stick icing is obtained. Some agars, especially those extracted from Gracilaria chilensis, are extensively used in confectionery with a very high sugar content, such as fruit candies. Because agar is tasteless, it does not interfere with the flavors of foodstuffs. This contrasts with some of its competitive gums that require the addition of calcium or potassium salts to form gels. Thus, it is highly preferred by the bakery and confectionery manufacturers in the food industry.

Figure 2. Global Agar Market value Share (%), By Application, 2021

Agar Market, Segment Analysis by application:

Based on application, the market is segmented into food & beverages, pharmaceuticals & nutraceuticals, and others. The food & beverages segment accounted for the largest market share in the agar-agar market in 2020; however, the pharmaceuticals & nutraceuticals segment is projected to grow at the fastest CAGR over the forecast period. Agar-agar acts as an appetite suppressant and is used in supplements that aid weight loss. It is also used in supplements that improve digestive health as it absorbs and throws toxins from the intestines and gastrointestinal tract. Furthermore, it is used in supplements that improve bone health. The rising applications of agar-agar in the pharmaceuticals & nutraceuticals industry are driving the market growth.

The key players operating in the agar-agar market include Agar Sari Jaya; Agar Swallow Indonesia; Gino Biotech; Hugestone Enterprise Co., Ltd.; Justchem International Limited; Meron; Pt. Agarindo Bogatama; Pt. Kappa Carrageenan Nusantara; Pt. Surya Indoalgas; and Roland Foods, LLC. These players are engaged in developing innovative products to meet the emerging consumer trends. Moreover, they focus on providing high-quality products to their consumers to retain their market share.

Recent Developments

In May 2020, Hispanagar introduces QSol, a highly soluble agar with low-temperature dissolution.
In August 2020, Agar Scientific acquired EM resin manufacturer London Resin Company Ltd. This acquisition will ensure the continued operation of the products.
August 2019: Agar Scientific, a leading international supplier of consumables, accessories and specialist equipment for all disciplines, including electron and light microscopy, acquired EM resin manufacturer London Resin Company Ltd. This acquisition will ensure the continued operation of products.

Competitive Section

Major players operating in the global agar market include New Zealand Manuka Group, Hispanagar, Acroyali Holdings Qingdao Co., Ltd., Industrias Roko, S.A., Neogen, Merck Group, Agarindo Bogatama, Setexam, and Norevo GmbH.

Table of Content

Table of Contents

Segmentation

Detailed Segmentation:

- Frequently Asked Questions -

What was the global agar market size in 2021?

Global agar market was valued at around US$ 276.02 Mn in 2021.

What are the major factors that are expected to drive growth of the market during the forecast period?

The market was valued at US$ 276.02 Mn in 2021 in terms of revenue, exhibiting a CAGR of 4.67 % during the forecast period (2022 to 2030).

What are the trends in the market?

Acquisitive demand of agar in bakery and confectionery industry are the trends in the market.

What are the key factors hampering growth of the market?

Surging demand for food and beverages industry is the key factor hampering growth of the market.

Which are the key players in the market?

Major players operating in the market include New Zealand Manuka Group, Hispanagar, Acroyali Holdings Qingdao Co., Ltd., Industrias Roko, S.A., Neogen, Merck Group, Agarindo Bogatama, Setexam, and Norevo GmbH.

What is the estimated CAGR for the market?

The market is estimated to grow at around 4.67 % CAGR in the forecast period (2022-2030).