INDUSTRIAL STARCHES MARKET ANALYSIS

Industrial Starches MarketSize and Trends

The global industrial starches market was valued at US$ 14.02 Bn in 2022, and is expected to exhibit a CAGR of 6.4%, in terms of revenue, over the forecast period (2023-2030) to reach US$ 22.99 Bn by 2030. Industrial Starches are the basic products from which plastic products are manufactured. The global expansion of the food processing sector is driving growth of the industrial starches market. Moreover, increasing demand for clean label food products is again driving growth of the market. For instance, in March 2020, Tate & Lyle expanded its line of Claria clean-label starches and launched Claria Everlast. The starch is designed to solve formulation challenges related to refrigerated and freeze-thaw stability in categories such as frozen meals, sauces, and yogurts. The ingredient is non-GMO and has a clean taste and neutral color.

Global Industrial Starches Market- Impact of Coronavirus (COVID-19) Pandemic

Due to the growing e-commerce industry, starch manufacturers in the market have seen huge demand from the paper and paperboard industries. This industry uses corrugated boards to package goods.

Global Industrial Starches Market: Growth Drivers

• Increasing investment by key players in starch production: Increasing investment by key players in starch production to meet the growing demand is driving growth of the industrial starches market. For instance, in April 2021, Cargill Inc., a global food corporation, announced its plans to expand its specialty tapioca starch offerings for the Asia Pacific region. Cargill partnered with Starpro, the food-grade tapioca starch producer in Thailand. With this, it plans to expand in the Asia Pacific region in order to support the product processing requirements of food manufacturers and the expectations of consumers.
• Growing demand from bio-plastic industry: Growing demand from the bio-plastic industry is again propelling growth of the market. Starch-based films, when used in conjunction with PLA films as an outer layer, are used in different food packaging applications. For instance, in 2022 Mars Incorporated replaces BOPP (biaxially oriented polypropylene) in its candy packaging by incorporating a new compound made of the starch derived from potato cutting waste.

Figure 1. Global Industrial Starches Market Value Share (%), By Type ,2023

Market Trends

• Rise in application of cold-water swelling starches in food industries: The growing trend of cold-water swelling starches in food industries is projected to boost the market growth. Cold-water swelling starches offer better viscosity in a short time, saving time and costs. This is beneficial for convenience food. Moreover, it also gives unique textures to end products such as sauces and dressings, snacks, bakery goods, and prepared dairy products.
• Reduction in the usage of plastic: There has been a big push observed in the market to reduce the use of plastic globally. Due to this, a large number of food manufacturers are looking for plastic-free packaging options. For instance, Nestlé Japan announced it will swap the plastic wrapping on its KitKat candy bars with paper in a bid to become one step closer to its commitment to 100% recyclable or reusable packaging by 2025.

Figure 2. Global Industrial Starches Market Value Share (%), By Region, 2023