Guarana is a dried paste that is extracted from crushed seeds of P. sorbilis or P. cupana. Guarana is widely used across various applications such as cosmetics, food & beverages, and pharmaceutical. Guarana provides various health benefits such as weight management, relieve chronic diarrhea & treat constipation, and is also beneficial in treating cancer.
The Global Guarana Market is projected to surpass US$ 8,485.6 million by the end of 2028, in terms of revenue, growing at CAGR of 7.1% during the forecast period (2021 to 2028).
Rapid urbanization and changing lifestyle of the consumers is fueling the market growth of the guarana. The urban population is highly health-conscious, which is a major factor drifting consumers' preference towards natural ingredient-based food and beverages. According to United Nation data, the proportion of the urban population will reach 66% of the world population by 2050. Thus, the rise in the urban population around the globe is augmenting market growth over the forecast period.
Growing flavored drink segment in the food &beverage market. Guarana market is experiencing tremendous growth on the account of increasing demand for various flavored drinks around the globe. Moreover, growing demand for guarana from the manufacturer of flavored drinks and fruit juice is augmenting the market growth. Furthermore, increasing demand for natural and herbal ingredient-based cosmetics products is again expected to foster the market growth of the guarana over the forecast period.
North America held dominant position in the Global Guarana Market in 2020, accounting for 31.9% share in terms of revenue, followed by Europe and Asia Pacific, respectively. As a result of Growing flavored drink segment in the food &beverage market around the globe.
Figure 1. Global Guarana Market, Revenue Share (%), By Region, 2020
The high cost of guarana is expected to restrict the demand for the product. This is because more than 95% of the global guarana volume is cultivated in Brazil, owing to which producers have full control over its prices. Thus high prices of guarana are one the major factor hinder market growth.
Side-effects associated with the consumption of the product is expected to inhibit the market growth. Irritation, stomach ache, insomnia, vomiting, and nausea are some of the side-effects associated with the consumption of the guarana
The growing use of the product as a caffeine alternative over coffee beans is expected to bring profitable market opportunities. Guarana contains natural caffeine content up to 6% and is four to six times more potent than coffee beans. Moreover, it also has superior anti-oxidant properties because of the presence of saponins, catechins, tannins, and theobromine. Thus, the growing use of the product as a caffeine alternative is projected to augment the market growth of the guarana.
Shifting consumer's preferences from carbonated and artificial drinks to natural energy drinks is expected to offer potential market opportunities in the near future. For instance, in Brazil, Organique offers Organique Energy Drink, which contains guarana as a natural ingredient and offers several benefits such as energy boost, brain stimulator and improves cardiovascular system functioning. Thus, the growing demand for natural energy drinks is projected to foster market growth.
Guarana Market Report Coverage
|Base Year:||2020||Market Size in 2020:||US$ 5,062.1 Mn|
|Historical Data for:||2017 to 2020||Forecast Period:||2021 to 2028|
|Forecast Period 2021 to 2028 CAGR:||7.1%||2028 Value Projection:||US$ 8,485.6 Mn|
Vitaspice Brasil Ltda, Prover Brasil for Export Ltda, Herboflora Produtos Naturais Ltda, Ambev, Duas Rodas Industrial Ltd, A R De Sousa Ribeiro & Cia Ltd, Natural Amazon Herbs Producao De Extratos Ltda, Iris Trade Inc., The Green Labs LLC, and Nutra Green Biotechnology Co., Ltd.
|Restraints & Challenges:||
Figure 2. Global Guarana Market – Opportunity Analysis
Figure 3. Global Guarana Market, Revenue Share (%), By Applications, in 2020
Key Takeaways of the Graph:
Global Guarana Market - Impact of Coronavirus (Covid-19) Pandemic
The ongoing COVID-19 pandemic has had a major impact on the food and beverage industry, as well as the expansion of the global guarana market. The market has been impacted by the unexpected closure of national and international borders, which has resulted in a loss of operational efficiencies and value chain disruptions. However, while the pandemic has had an influence on supply chain operations, it has also produced a demand for healthy living among consumers, resulting in a shift in consumer focus toward nutritional foods. The global Guarana Market is also being driven by a shift in consumer preferences toward vegan.
Major players operating in the global guarana market include, Vitaspice Brasil Ltda, Prover Brasil for Export Ltda, Herboflora Produtos Naturais Ltda, Ambev, Duas Rodas Industrial Ltd, A R De Sousa Ribeiro & Cia Ltd, Natural Amazon Herbs Producao De Extratos Ltda, Iris Trade Inc., The Green Labs LLC, and Nutra Green Biotechnology Co., Ltd.
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