Food Grade Cellulose Market

Global Market Study on Food Grade Cellulose: Growth Witnessed Attributable to Rising Preference for High Fiber Food

Food Grade Cellulose Market: About the Report

With consumers across the world look for healthier and natural products, demand for natural food grade cellulose is rising steadily across regions. This ingredient is used the most in bakery and confectionary products, a sector that is surging across the world. As such, growth is being transferred to the global food grade cellulose market too. PMR’s report explains in detail why North America and Europe lead this space, and how South Asia and East Asia will offer the most lucrative opportunities to players in the landscape over the coming years.

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Companies

Company Profile

  • Cellulose Solutions Private Limited. 
  • JELU-WERK J. Ehrler GmbH & Co. KG 
  • Fooding Group Limited
  • DowDupont
  • IDLEY CHEMICAL CO.,LTD.
  • Mare SpA
  • Lamberti S.p.A
  • NINGBO CMC HANDELS GMBH
  • Nouryon
  • Ashland
  • CPKelco
  • Asian Cellulose Private Limited

 

Food Grade Cellulose Market Trends

Growing Adoption of Food Grade Cellulose in Bakery & Confectionary Products: Bakery and confectionary products are among the most consumed products all over the world. These products require emulsification during their production, for which, food grade cellulose is a vital ingredient. Carboxy methyl cellulose, a type of food grade cellulose, is used in bakery products to trap air bubbles, and manage the retained air for volume purposes. Furthermore, carboxy methyl cellulose is highly effective for confectionary products such as ice creams, sweets, and others. Food grade cellulose is utilized to provide better stability, increase cake volume, and texture, along with extending the shelf-life of confectionary products. All these factors bode well for the expansion of the global food grade cellulose market size over the coming years.

Rising Trend of Natural Ingredients Favoring Demand for Natural Food Grade Cellulose: The food & beverage industry is moving toward utilizing natural ingredients in food products. Major food manufacturers are using natural ingredients, as consumers are demanding a natural touch in food products. Consumers are seeking health benefits in food products, and are looking for healthy ingredients. Food grade cellulose is a plant fiber and the most abundant organic substance in the world, which is found in the walls of various plants and vegetables. Natural food grade cellulose is mainly sourced from wood pulp. The FDA has also confirmed the safety and suitability of cellulose in food products. Cellulose from natural sources contains high amount of fiber, which is health beneficial. This is another factor surging the growth of the food grade cellulose market across the world.

Lower Cost with Efficient Functionality Providing Better Opportunities: Food grade cellulose is low in cost and also offers efficient functions when used during food processing. It is used as a thickener, stabilizer, emulsifier, and suspending agent in different food products. The broad functionality of food grade cellulose is influencing manufacturers to utilize it in variety of foods. Food grade cellulose is the most abundantly found organic substance in the world. Millions of tons of cellulose is produced every year. This is a major reason for its low cost. Low cost with extensive functionality will offer better opportunities for players in the food grade cellulose market in the future.

Increased Preference for Multi-functional Ingredients among Manufacturers of Food & Beverages: As consumer behavior patterns are changing in the food & beverages industry, manufacturers are including multi-functional ingredients in their food products. Food products, including meat, dairy, bakery, and others, are widely consumed all over the world. Food grade cellulose acts as a thickener, stabilizer, emulsifier, gelling agent, and others. Additional functions provided by food grade cellulose are beneficial to manufacturers, who are majorly involved in producing consumer products. Bakery and confectionary products especially require various ingredients to enhance shelf life and taste. Furthermore, the millennial population is more involved in the consumption of food products that have a longer shelf life. Different manufacturers are specially targeting this group, and utilizing multi-functional ingredients such as food grade cellulose.

Gluten-Free Movement Backing Use of Food Grade Cellulose: Gluten-free diets have become a trend in the food & beverage industry. Large number of consumers has gluten sensitivity and try to avoid gluten products. Gluten is a type of protein that is found mostly in wheat, and some consumers show intolerance toward it. Food grade cellulose is used to manufacture gluten-free bread. Carboxy methyl cellulose is mainly used to produce gluten-free bread, and is capable of improving the elasticity, volume, stability, and moisture retention of gluten-free bread. Since gluten-free is increasingly gaining popularity across the world, the trend will positively impact demand in the food grade cellulose market landscape.

Food Grade Cellulose Market

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Regional Outlook of Food Grade Cellulose Market       

North America and Europe hold prominent food grade cellulose market value shares, attributable to high number of end users of food grade cellulose in these two regions. In Europe, consumption of high fiber foods is experiencing high growth from the past few years, which has led the increase in the use of functional ingredients, including food grade cellulose. Moreover, bakery and confectionery manufacturers from North America are also progressively utilizing food grade cellulose in baked goods, which is further formulating a better market opportunity for the food grade cellulose market in the region.

The food grade cellulose market in South Asia and East Asia is expected to witness high growth during the forecast period of 2020-2030. Asia Pacific is one of the fastest-growing regions in the world, based on both, population and economy. Growth of the food & beverage industry is fueling demand for multi-functional food ingredients in this region. Also, growing economies and rising spending power of consumers on food & beverage products are anticipated to fuel the growth of the global food grade cellulose market over the years to come.

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COVID-19 Impact on Food Grade Cellulose Market

As the global economy is facing a drastic and deleterious change due to the COVID-19 disease outbreak, the food & beverage industry is also witnessing unwanted consequences. Food ingredients business is a major part of the food & beverage industry, which has also witnessed a slowdown in product sales. Food grade cellulose is sourced from various sources, which requires daily manufacturing activities. Since the slowdown of industrial work across the world due to COVID-19, production of food grade cellulose has been affected.

Additionally, sourcing raw materials for production is also becoming difficult, as the pandemic has caused major supply chain disruptions in the food & beverage industry. Major end users of food grade cellulose are beverage manufacturers, who are also facing challenges due to the pandemic. Nevertheless, the global pandemic of COVID-19 is projected to impact the food grade cellulose market for a certain time, as economic activities have been restored across the world. Moreover, lockdown restrictions are being eased, sales of food & beverage products are increasing, which is positively impacting the growth of the food grade cellulose market. Thus, the COVID-19 pandemic is expected to have the low to moderate impact on the food grade cellulose market.

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Analysts’ Viewpoint             

The global food grade cellulose market is anticipated to witness substantial growth over the coming years, with South and East Asia projected to offer potential growth opportunities. Food manufacturers are preferring food grade cellulose due to its multifunctional and health beneficial properties, which is supporting market growth.

Leading market players such as DuPont, Ashland, CP Kelco, and others are focusing on product innovation and targeting the customer satisfaction approach to strengthen their positions in the global food grade cellulose market. Business expansion and improvement of quality are other strategies being adopted by key players to gain a competitive edge in the global food grade cellulose market space.

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