FUMARIC ACID MARKET ANALYSIS

Market Challenges And Opportunities

Fumaric Acid Market: Drivers

• Growing demand from the food & beverage industry: Growing applications in food and beverage industry are driving the growth of the fumaric acid market. Fumaric acid is used as a food additive in the food & beverage industry. It is used as an essential ingredient in the production of candy to add sourness. For instance, in the recent past, fumaric acid was significantly used as a substitute for other food additives, like tartaric acid and citric acid, as a lesser quantity of fumaric acid can be used to achieve the same results. For example, 1 gram of fumaric acid can add the same amount of sourness as 1.5 gram of citric acid.

• Increasing use in the pharmaceutical industry as an optical bleaching agent: Increasing demand of Fumaric Acid in the pharmaceutical industry, where it is used to produce alexipharmic sodium dimercaptosuccinate and ferrous fumarate, as an optical bleaching agent, in formulations for alternative medicine, or as fumaric acid esters monoethyl fumarate and dimethyl fumarate to treat psoriasis.

Fumaric Acid Market: Restraints

Associated health hazards

• Health hazards associated with fumaric acid are expected to limit the Market growth. Fumaric acid can be hazardous to human health, and it is certified as a hazardous material by the Department of Transportation (USA) and the Environmental Protection Agency. However, the industry can deal this limitation by implementing proper handling and safety measures to minimize the health hazards posed by fumaric acid.
• Counterbalance: The health hazards caused by fumaric acid can be minimized by proper implementation of safety measures to handle the hazardous acid. Low concentration of the acid should be used in food so that it does not affect the digestive system and cause harm.
• For Instance, in April 2023, Shionogi & Co., Ltd. (Head Office: Osaka, Japan; Chief Executive Officer: Isao Teshirogi, Ph.D.; hereafter "Shionogi") announced that the U.S. Food and Drug Administration (FDA) has granted Fast Track designation for their Investigational COVID-19 oral antiviral ensitrelvir (Generic name: ensitrelvir fumaric acid, Code No.: S-217622, hereafter “ensitrelvir”).

Strict environmental regulations

• Strict government regulations, due to growing environmental concern, in order to reduce carbon footprints are again anticipated to hinder the market growth. Regulations, owing to environmental concerns in developed countries from North America and European Union, are anticipated to impact the demand for fumaric acids in the paint industry. However, manufacturers in the industry are likely to handle these regulations by adopting sustainable practices and developing eco-friendly alternatives.
• Counterbalance: If the carbon footprints of the fumaric acid can be controlled, then the regulations laid down by the governments on the fumaric acid, regarding environmental concerns, could also be relaxed to some extent. Fumaric acid is used in foods as a flavor enhancer. Food is a major contributor to carbon footprints, and meat, which is particularly, is an issue. The cause of carbon footprint needs to be reduced for the good of our own health and environment.

Fumaric Acid Market - Impact of Coronavirus (COVID-19) Pandemic

The COVID-19 pandemic had a significant impact on the Fumaric acid market in 2020, with nationwide lockdowns across the world, led to manufacturing and supply chain disruptions, and halts in production. However, the market started to recover in 2021 and is expected to grow at a promising rate over the forecast period. The growing use of fumaric acid in the food and beverages industry is one of the main drivers of the market. One of the main constraints for the market is the health hazards associated with fumaric acid. However, new potential application areas are likely to open up new opportunities for the market in the near future. The Asia Pacific region dominated the market in 2020 and is expected to remain dominant over the next few years due to its growing demand for Fumaric Acid.