Anhydrous Caffeine Market to Expand 1.6X by 2030; Reduced Demand from F&B Industry Due to COVID-19 Pandemic Affecting Market Growth

Published On : Jan 09, 2021

Anhydrous caffeine is used in various sports drink to enhance the performance of athletes. Athleticism comprises strength, speed, agility, power, aerobic capacity, mental resilience, and other key performance areas. Anhydrous caffeine improves the performance and focus of athletes. As the health & fitness trend and fierce competition is changing in different sports, the demand for caffeine-infused sports beverages is surging, and subsequently, increasing the use of anhydrous caffeine.

  • For instance, in April 2019, Indian sports drink company Aeronutrix Sports Products Private Limited launched the first caffeine sports drink under its Fast & Up brand. The drink is capable of providing effective hydration to ace performance.

The global anhydrous caffeine market has witnessed substantial growth over the past few years, and this trend is expected to continue through the course of the forecast period (2020 to 2030), at a steady CAGR of 5% over the next ten years.

Key Takeaways from Global Anhydrous Caffeine Market Study

  • Majority of demand for anhydrous caffeine is from the food and beverage segment, followed by the pharmaceutical segment. The food & beverage segment accounts for 55% share in the global anhydrous caffeine market
  • Demand for anhydrous caffeine from beverage manufacturers is expected to rise, owing to increasing consumption of energy drinks as well as functional beverages. In the U.S., 80% adults consume caffeinated energy drinks every day, and the average adult has a daily intake of 200 mg of caffeine.
  • By source, coffee beans is dominating the global anhydrous caffeine market. The major contributing factor is the availability of higher amount of caffeine along with traditional use of coffee beans.
  • Consumers prefer caffeine due to its enhancing performance capabilities. Usage of caffeine as a supplement is also gaining popularity, due to its perceived property of boosting energy during exercise. Anhydrous caffeine pills and gum are consumed by adults and the working demographic to boost energy and develop enhanced concentration levels.
  • Manufacturing and supply chain disruptions in end-use industries due to the COVID-19 pandemic will stunt market growth in the near term.

“Increasing demand for anhydrous caffeine from the manufacturers of dietary supplements, functional food, and pharmaceuticals is anticipated to boost global demand for anhydrous caffeine. Manufacturers in the anhydrous caffeine market space can gain significant profits by leveraging the increasing demand from these end users to offer specific caffeine products,” says a PMR analyst.

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Anhydrous Caffeine Market: Competitive Landscape

Global leaders in the anhydrous caffeine market have adopted efficient strategies to increase their presence and market share in this space. Key players are investing in the strategic expansion of their manufacturing facilities.

  • Aarti Industries, a leading caffeine manufacturer from India, expanded its production capacity and almost doubled its production of caffeine.

Manufacturers in the food & beverage industry are also introducing innovative caffeine-infused products to cater to rising consumer demand. Such new product launches are helping manufacturers increase their market share in the global anhydrous caffeine market.

  •  Limitless, a U.S.-based beverage company, developed a new product line of sparkling water with the addition of caffeine. These products are available in six flavors, and each contain 35 milligrams of caffeine.

Explore More Valuable Insights on Global Anhydrous Caffeine Market

Persistence Market Research, in its upcoming study, offers an impartial analysis of the global anhydrous caffeine market, presenting historical data (2015-2019) and estimation statistics for 2020-2030. The study offers compelling insights on the anhydrous caffeine market based on type (natural and synthetic), form (powder and granular), source (coffee beans, tea leaves, cocoa beans, guarana, and synthetic sources), and end use (food & beverages, pharmaceuticals, cosmetics & personal care products, and dietary supplements & functional food), across seven regions.

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