Food and Beverage Industry is the Largest Consumer of Organic Acids
Citric acid is expected to grow rapidly in the food and beverage industry due to its multifunctional capabilities as an antioxidant, taste enhancer, and acidifying agent. Citric acid can operate as an antibacterial agent in jams, jellies, and sweets, which is projected to increase the usage of citric acid in these products. The rising use of lactic acid in confectionery to provide a mildly acidic flavour, improve quality, reduce stickiness, and extend the shelf life of confectionery and other food items is expected to boost lactic acid demand. The use of organic acids in the food and beverage industry is expected to develop rapidly in the coming years as the global food and beverage industry expands. For instance, citric acid is commonly used as an acidifying agent in carbonated beverages. The increasing use of lactic acid in the pharmaceutical industry is anticipated to boost demand for organic acids in the industry. Additionally, lactic acid and its salts function as an intermediate in the production of pharmaceuticals, in the balancing of preparations' pH levels, and in the treatment of warts.
Organic Acid Applications in the Poultry and Farming Sectors Will Remain High
In terms of end-use application, the poultry and farming segment is expected to account for 1/3 of the overall organic acid market share. Manufacturers are looking for suitable alternatives to antibiotics that have similar capacities as a result of the withdrawal of antibiotics from poultry suppliers and the adoption of antibiotic-free birds (ABF). Antibiotics have been demonstrated to enhance weight gain by lowering subclinical and clinical infections in the gastrointestinal system (GIT). They were also in responsible of minimising nutrient competition, immune stimulation, weakening the gut wall, and increasing nutrient digestibility. To promote poultry health, several antibiotic alternative products affect the condition of the GIT, such as adjusting the bacterial infection and pH of the GIT. By changing the pH in the GI tract, organic acids provide a viable alternative for lowering pathogenic bacteria and improving food digestion. Over the projection period, this is likely to enhance sales in this sector.
Recent Trends in Organic Acids Market Industry:
- Emphasis on producing organic acids through sustainable and eco-friendly processes.
- Demand for biodegradable and bio-based products is driving the growth of organic acids.
- Innovations in production technologies, the use of fermentation and enzymatic processes.
- Growing industrialization and urbanization in emerging economies are driving the demand for organic acids.
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Government Regulations Will Restrict Market Growth
Despite the fact that organic acids have enormous development potential, the market is hampered by rigorous laws imposed by Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH) and Environmental Protection Agency (EPA) and other regulating agencies to limit the use of synthetic organic acids. This is due to synthetic organic acids are manufactured from non-renewable resources and are a threat to the environment. If used in high concentrations, acetic acid may be a hazardous chemical. Higher concentrations of it in pesticides and animal feed can endanger plants, animals, and aquatic life. The international market for organic acids is expected to be hampered by costly initial investment and fluctuating raw material costs such as biomass, maize, corn, and others. For instance, Archer Daniels Midland established two joint venture weeks in August 2022 to extend the Illinois corn market and capitalise on the rising demand for bioplastics and other plant-based products.
New Product Launches in the Organic Acids Market are Significantly Driving Growth by Introducing Innovative Solutions
Healthy growth of the market and the increased demand of new products that are developed to meet the needs of the global population. Thus, the market is witnessing continuous efforts to create new organic acids with better performance characteristics, lower impurity levels, and lower impacts on the environment. Mineral salts are an essential product in Jungbunzlauer’s production line, hence the enthusiasm when they launched two new products, which are zinc gluconate, and monomagnesium citrate in June 2022. Zinc gluconate was synthesised by the reaction of pure zinc metal and gluconic acid. The term monomagnesium citrate is understood as the magnesium salt of citric acid to which an incomplete equivalent of alkali has been added. Each of them belongs to the Special Salts product line and is delivered through dealers and sales offices. Also, in response to this development, ADM and LG Chem signed in August 2022 a deal to produce lactic acid and polylactic acid from corn.
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North America is Seen as a Lucrative Market for Organic Acid Players
North America is anticipated to grow rapidly in the organic acid market. The easy availability of organic acid as a result of the existence of important firms such as Archer Daniels Midland Company, The Dow Chemical Company, and others in the region is likely to contribute to the region's anticipated market expansion. The firms are concentrating on product development and expansion. The Asia Pacific organic acid market is expected to grow as a result of increased regulations that aim to restrict the use of synthetic acids and promote natural and bio-based acids. Growing disposable income and health-conscious consumers are driving up demand for organic products in this region. Furthermore, the growing usage of organic acids in the pharmaceutical industry is likely to drive up demand for organic acids.
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The report provides a detailed overview of the organic acid market insights in regions including North America, Latin America, Europe, Asia-Pacific, Oceania, and the Middle East and Africa. The country-specific assessment for organic acid market has been offered for all regional market share, along with forecasts, market scope estimates, price point assessment, and impact analysis of prominent countries and regions. Throughout this market research report, Y-o-Y growth and CAGR estimates are also incorporated for every country and region, to provide a detailed view of the organic acid market. These Y-o-Y projections on regional and country-level markets brighten the political, economic and business environment outlook, which are anticipated to have a substantial impact on the growth of the organic acid market. Some key country and region included in the organic acid market report as follows:
| Regions | Countries |
|---|---|
| North America | United States, Canada |
| Latin America | Brazil, Mexico, Argentina, Colombia, Chile, Central America Countries, Caribbean Countries, Rest of Latin America |
| Europe | Germany, United Kingdom, France, Italy, Spain, Russia, Poland, Netherlands, Switzerland, Belgium, Sweden, Austria, Norway, Denmark, Czech Republic, Rest of Europe |
| Asia Pacific | China, India, Japan, South Korea, Australia & New Zealand, Indonesia, Singapore, Malaysia, Philippines, Vietnam, Thailand, Bangladesh, Rest of Asia Pacific |
| Middle East and Africa | GCC Countries, South Africa, Nigeria, Egypt, Turkey, Morocco, Ethiopia, Algeria, Israel, Iran, Iraq, Kenya, Rest of MEA |
Organic Acid Market Research Report Covers In-depth Analysis on:
- Organic acid market detailed segments and segment-wise market breakdown
- Organic acid market dynamics (Recent industry trends, drivers, restraints, growth potential, opportunities in organic acid industry)
- Current, historical and forthcoming 10 years market valuation in terms of organic acid market size (US$ Mn), volume (Tons), share (%), Y-o-Y growth rate, CAGR (%) analysis
- Organic acid market demand analysis
- Organic acid market pricing analysis over forecast period (by key segment and by region)
- Organic acid market regional insights with region-wise market breakdown
- Competitive analysis – key companies profiling including their market share, product offerings, and competitive strategies.
- Latest developments and innovations in organic acid market
- Regulatory landscape by key regions and key countries
- Supply chain and value chain analysis in organic acid market
- Organic acid market sales and distribution strategies
- A comprehensive overview of parent market
- A detailed viewpoint on organic acid market forecast by countries
- Mergers and acquisitions in organic acid market
- Essential information to enhance market position
- Robust research methodology
- Frequently Asked Questions -
What factors are driving the growth of the organic acid market?
The organic acid market is driven by rising demand in food preservation, increasing health awareness, and the growing trend of bio-based products, which provide sustainable alternatives to synthetic chemicals.
What is the expected market trend for organic acids in the next decade?
The organic acid market is anticipated to grow steadily over the next decade, driven by innovation in production methods, increasing consumer demand for natural ingredients and a shift toward sustainable practices.
What are some challenges facing the organic acid market?
Challenges include fluctuating raw material prices, stringent regulations on chemical usage and competition from synthetic alternatives, which can impact production costs and market dynamics.
