Areca Nut Market: Market Outlook
Areca Nut, which is also called betel nut, is the seed derived from areca palm. Areca nut is a significant commercial nut in Southeast Asia. Areca nut can be found in two types. These comprise of white areca nut and red areca nut. The green areca nut is boiled and the husk is removed to obtain red areca nut while white areca nut is produced from full ripe nuts. Areca nut comprises of protein, fiber, polyphenols, and fat polysaccharides. It is one of the essential ingredients used to make pan masala. In addition to these tannins which are used in dyeing as a food color, clothes and leather are obtained from the processing of unripe areca nuts. The largest producer of areca nuts is India with other countries like Indonesia, Bangladesh, China, Thailand, and Malaysia and part of Africa.
The extract of the betel nut has properties of strengthening the muscle thus can be used for stroke recovery. The water extract of the areca nuts consists of anti-microbial activity and works towards some strains of oral bacteria. Chewing of areca nut can safeguard teeth from the cavity and prevent dental plague. The production of areca nut is weather dependent and hence the price keeps on fluctuating. Diseases like throat and mouth cancer are prevalent with regular consumption of areca nut thus government has imposed various regulations for the distribution of areca nut thus proving as restrain for the areca nut market.
Areca Nut Market: Market Dynamics
Areca nut is bitter, sweet, pungent, bitter, salty and astringent with properties of expelling wind, subduing bad odor, removing phlegm, inducing purification and beautifying the mouth. Owing to its CNS stimulating effect, areca nut can be used as an alternative to tobacco or caffeine. Consumption of areca nut shows improved symptoms for schizophrenia patients. Areca nut is used in medication to deal with anemia. Expending areca nuts aid treatment of stomach worms like the tapeworms and the roundworms. It helps in the issues related with to stomach worms thus making areca nut the best vermifuge that can help oust the stomach worms. Along with this areca nut is an essential ingredient during many rituals in India, thus driving the market for areca nut.
Areca Nut Market Segmentation
Based on nut processing, the global areca nut has been segmented as
Based on different regional variety, the global areca market has been segmented as
Based on the region, the global areca nut market has been segmented as
Global Areca Nut Market: Key Players
Some of the key players operating in the areca nut market are GM group, Surya Exim, R.K. TRADING, Biotan Pharma, Shri Ganesh Prasad Traders, Marlene Traders Co., Ltd., Viet D.E.L.T.A Industrial Co., Ltd, and others.
Global Areca Nut Market: Opportunities
Areca nut has health benefits but it comes with side effects if consumed regularly thus the government has enforced various stringent regulations for this market. Opportunity for the market players engaged in processing of areca nut lies in better extraction of tannin which is made from immature areca nut. Tannin has great demand in the cosmetics and wine industry thus market players can explore these segments with the help of areca nut.
Areca Nut Market Regional Outlook
The Asia Pacific is the biggest market of areca nuts globally, with over 90% of the worldwide share. India is the biggest producer along with being the biggest consumer as well. India is liable for more than half of the worldwide production of areca nut with importing different varieties from different nations in huge volume. India exports the areca nut to a few Asia Pacific nations, alongside a little portion of the U.A.E., the U.S. and the U.K. With the government offering some relaxation on the import duties, India increased its imports from Bangladesh to around three times. The complete demand of areca nut is been served altogether by India, Bangladesh, Indonesia, Thailand, Sri Lanka, and Myanmar. The factors above demonstrate that concentrated market for areca nut is in Southeast Asia with a weak market in the remaining world.
COVID-19 Impact on Areca Nut
The spread of COVID-19 has brought turbulence in the global economy creating disruptions in trade flows, demand, and supply for food and beverages around the globe. India is the largest producer and consumer of areca nut the focus of the government here is securing the population from the health hazard thus the country has been brought to a lockdown. The government is paying attention to the supply and production of necessity items. The production of non-essential items has been stopped. With low consumption, government restrictions, on-halt production the areca nut market may witness moderate impact from the spread Of COVID-19.