The global caffeine market was valued at US$ 14,879.9 million in 2019, according to Caffeine Market report, by Caffeine Source (Green Tea, Pekoe Tea, White Tea, Coffee, Guarana, and Others), by Nature (Organic and Inorganic), by Demographic (Below 18 Years, 18-34 Years, 35-50 Years, 50-64 Years, and Above 65 Years), by Application (Food, Beverage, Pharmaceuticals, Personal Care, and Others) and by Region (North America, Latin America, Asia Pacific, Europe, and Middle East, and Africa), published by Coherent Market Insights.
The global caffeine market is expected to surpass US$ 23,219.0 million by 2027, exhibiting a CAGR of 7.4% during the forecast period (2020-2027). Coffee is a major source of caffeine ingredient. Increasing consumption of coffee across the globe is expected to drive the market growth of caffeine over the forecast period. Busy lifestyle and increased working hours in most of the Asia Pacific countries, such as China and India, have led to higher consumption of coffee to reduce fatigue and drowsiness. Increasing coffee consumption in emerging markets such as South and East Asia is expected to drive the caffeine market. Moreover, due to rising demand for organic foods, key players in the market are launching new caffeinated products. For instance, in February 2020, GOJAI, a manufacturer of organic and natural caffeinated water, launched organic caffeinated sparkling water in the market. The new caffeinated water is made from clean and simple ingredients such as, real fruit oils and organic unroasted coffee beans in the market.
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Browse 50 market data tables* and 45 figures* on "Caffeine Market” - Global Forecast to 2027.
Key Trends and Analysis of the Caffeine Market:
- Among region, Europe caffeine market is expected to grow at a significant rate during the forecast period, owing to rising trends of energy drinks which are backed by new product launches by key players, which supports the growth of the caffeine market. For instance, in May 2020, Tenzing launched a plant-based energy drink, Tenzing Blackberry & Acai in the market. The new drink is produced from corn and anti-oxidizing berries to specifically increase stamina and aid sports recovery.
- Based on application, the beverage segment is expected to dominate the overall caffeine market. The reports by Coherent Market Insights’ suggests that, in 2020, the global consumption of tea was about 6.3 billion kilograms, this is estimated to reach to 7.4 billion kilograms by 2025.
- On the basis of caffeine source, Guarana is expected to grow at a considerable rate during the forecast period. As it contains highest concentrations of caffeine than in any plant. Guarana contains up to 3.6% to 5.8% caffeine by weight. it also enhances athletic performance, mental performance, energy, and also reduces obesity.
Key Takeaways of the Market:
- The Latin America caffeine market is expected to grow at a significant rate over the forecast period, owing to rising caffeine consumption. For instance, the reports by Coherent Market Insights suggests that, in 2016, the caffeine intake in Brazil accounted for 115.7 mg per person each day. Moreover, in 2016, Brazil showcased high caffeine intakes in adults 51–70 years of age (129.9 mg) and 31–50 years of age (125.2 mg).
- Food & beverage manufacturers are focusing on launching products using natural ingredients such as guarana, which is expected to drive the market growth of caffeine over forecast period.
- Synthetic caffeine is consumed more than the natural caffeine. The majority of soft drinks and energy drinks available in most hypermarkets and supermarkets contain synthetic caffeine. The increasing consumption of energy and sports drinks is another key factor contributing to the caffeine market growth. For instance, the Red Bull company suggested that, in 2020, 7.9 billion cans of Red Bull were sold worldwide.
- Major players operating in the global Caffeine Market include BASF SE, Spectrum Chemical Manufacturing Corp., Kudos Chemie Limited, AVT Natural Products, Tianjin Zhong’an, Pharmaceutical Company Ltd., Shandong Xinhua Pharma, Aarti Industries Limited, Bakul Group, Taj Pharmaceuticals Limited., and Jilin Shulan Synthetic Pharmaceutical Co. Ltd.
Global Caffeine Market - Impact of Coronavirus (Covid-19) Pandemic
- The demand for caffeine is expected to rise during the pandemic and post-pandemic conditions worldwide. Coronavirus (COVID-19) has majorly impacted the food & beverages industry and in turn has changed the dynamics of entire ecology including raw material suppliers of caffeine. Lockdown in various nations such as India, China, and Spain etc. and the cease in subsequent trade activities paralyzed the supply chain.