Protein Hydrolysate Ingredients Market is Estimated to Witness High Growth Owing to Rising Health Awareness and Increasing Nutraceutical Applications
Protein hydrolysate ingredients market is estimated to be valued at USD 3.54 Billion in 2024, exhibiting a CAGR of 5.3% over the forecast period (2024-2031). Various forms of hydrolyzed proteins are increasingly being incorporated into nutritional and clinical dietary management. High consumer demand for dietary supplements, sports nutrition, and medical nutrition is further propelling the protein hydrolysate ingredients market growth.
Market Dynamics:
The growth of the protein hydrolysate ingredients market is attributed to increasing health awareness among consumers and rising nutraceutical applications of hydrolyzed proteins. Growing preference for protein-enriched snacks and beverages incorporated with hydrolyzed protein ingredients is a major driver contributing to the market growth. Additionally, hydrolyzed protein ingredients offer several benefits such as easy digestion, high protein purity, and hypoallergenic properties, which is also boosting their demand from pharmaceutical and nutrition industries. The ability of protein hydrolysates to enhance muscle gain when taken with strength training exercises has increased its application in sports nutrition products as well.
Increasing Demand from Infant Formula Industry is Driving Growth in Protein Hydrolysate Ingredients Market
One of the major drivers for the protein hydrolysate ingredients market is the increasing demand from the infant formula industry. Protein hydrolysate ingredients are widely used in infant formulas as they are easily digestible and deemed safe for infants with sensitive stomachs and allergies. The global infant formula market has been witnessing solid growth over the past few years due to rising birth rates, growing number of working women and increasing disposable incomes in developing nations. This increase in infant formula consumption directly translates to higher demand for protein hydrolysate ingredients which are the key ingredients used in manufacturing infant formula products. Leading players in the protein hydrolysate ingredients market are focusing on developing tailor-made protein hydrolysate ingredients to meet the needs of infant formula manufacturers, thus fuelling the market growth.
Growing Health-Conscious Population is Increasing Consumption of Sports Nutrition and Medical Nutrition Products
Another major driver for the protein hydrolysate ingredients market is the growing health-conscious population and the increasing consumption of sports nutrition and medical nutrition products. Protein hydrolysates are widely utilized in sports drinks, protein bars, and weight management products owing to their easily digestible nature and high nutritional value. The global sports nutrition market has witnessed significant growth over the past few years due to rising participation in recreational and professional sports. Furthermore, growing prevalence of lifestyle diseases like diabetes and obesity has also boosted the demand for medically tailored nutrition products where protein hydrolysates play an important role. The increasing focus on fitness and wellness among consumers is expected to further propel the consumption of sports nutrition and medical food products driving the demand for protein hydrolysate ingredients.
Stringent Regulations Related to Use of Allergens Pose a Challenge
One of the major restraints for the protein hydrolysate ingredients market is the stringent regulations related to the use of allergens in food products. Soy and milk are among the top allergens and their residue in protein hydrolysates may cause allergic reactions in sensitive individuals. The European food safety authority (EFSA), U.S. food and drug administration (FDA), and several other global regulatory bodies have defined strict labelling regulations and restrictions on maximum residue limits (MRLs) of soy and milk allergens in hydrolysed protein ingredients as well as finished food products. Compliance with these stringent regulations requires sophisticated testing techniques and quality control methods during the manufacturing of protein hydrolysates. The testing costs involved in ensuring compliance pose an economic challenge, especially for small players in the market. These stringent regulatory aspects associated with allergens somewhat hamper the overall protein hydrolysate ingredients market growth.
High Cost of Production is a Key Restraint
The high production costs involved in the manufacturing of protein hydrolysates also restrain the market to a certain extent. The hydrolysis process used for producing protein hydrolysates like enzymatic hydrolysis is a multi-stage process requiring substantial capital expenditure and operating costs. The raw materials used like milk, soy or egg proteins are also expensive commodities. Furthermore, meeting stringent regulatory compliance related to testing and certification across nations increases the operating costs significantly. The high production costs typically get transferred to the consumer in the form of high product prices. This economically restraints the protein hydrolysate ingredients market penetration, especially in price-sensitive developing countries.
Growing Focus on Clinical Nutrition Products Presents Lucrative Opportunities
The growing prevalence of chronic diseases worldwide is fuelling lucrative opportunities for clinical nutrition products where protein hydrolysates play a vital role. Protein hydrolysates are commonly used in supplement drinks, tube feeding formulas and several other nutritional products for patients suffering from diabetes, cancers, renal failures and digestive disorders. The clinical nutrition market is expected to post strong growth in the coming years driven by rapidly aging global population, increased healthcare spending and rising consumer awareness. Leading players in the protein hydrolysate ingredients market are investing in R&D to develop innovative hydrolyzed proteins tailored for specific clinical indications and disorders. This growing clinical nutrition segment presents immense opportunities for the overall protein hydrolysate ingredients market players.
Infant Milk Formula Substitute from Plant Proteins Opens New Avenues
With growing consumer preference for sustainability and plant-based products, infant milk formula manufacturers are exploring protein substitutes from plant sources like pea, rice, or potato protein to replace milk protein hydrolysates. This shift opens up new product development avenues for protein hydrolysate ingredients manufacturers. Companies are investing in hydrolysing plant proteins and developing applications for pediatric or toddler nutrition.
Key Developments:
- In February 2022, Kerry Group Plc, a global leader in taste and nutrition innovation, revealed plans to acquire a significant share in c-LEcta GmbH, a German biotechnology company. c-LEcta specializes in precision fermentation, optimized bio-processing, and bio-transformation to create high-value enzymes and ingredients. Kerry Group has agreed to buy about 92% of c-LEcta's shares for approximately $144 million.
- In January 2021, Aker BioMarine, a Norwegian fishing and biotech company launched Invi, a hydrolyzed protein isolate with a complete amino acid profile that is also rich in minerals, including calcium and magnesium.
- In November 2021, Novozymes, a global biotechnology company headquartered in Denmark and Novo Nordisk Pharmatech, a global and leading manufacturer of pharmaceutical ingredients for the pharmaceutical and biopharmaceutical industries announced a strategic collaboration that brings together the companies’ joint competencies and interests in developing specialty enzymes for use in biopharma processing and regenerative medicines. This partnership will allow Novozymes to better serve its customers.
Link: https://www.coherentmarketinsights.com/market-insight/protein-hydrolysate-ingredients-market-4775
Key Player:
Abbott Laboratories, Danone S.A., Arla Foods Ingredients Group P/S, Kerry Group plc, Davisco Foods International, Inc., Carbery Group, Hilmar Ingredients, Armor Proteins, Glanbia Ingredients, and PGP International
