Gellan Gum Market – Latest Scenario On Innovation, Revolutionary Opportunities & Top Consumers 2026

 Considering the growing demand for natural & organic gelling ingredients for production of food and beverages, global consumption of gellan gum should continue to increase at a greater pace. However, Future Market Insights projects that over a ten-year forecast period, global consumption will exhibit a moderate CAGR of 3.7%. Global gellan gum sales will incur a sluggish increment till the end of 2026, adding just over 500 MT to the current ballpark figures on global gellan gum consumption. Regardless of substituting agar as thickener for food & beverages and incurring higher use in production of pharmaceutical fluids, global sales of gellan gum will continue to rake in meagre revenues over the forecast period.

Sales of gellan gum is projected to cross US$ 60 Mn by 2026. Sales revenue is likely to record a CAGR of 4.3% over the forecast period. Among the various applications, the food segment dominated the global gellan gum market with more than 50% market share in 2016. Owing to increasing use of gellan gum in food and beverages products globally, the market for food and beverages products is witnessing significant growth.

Presently, gellan gum is widely used as an alternative for various hydrocolloids such as carrageenan gum in various dairy products, protein enriched drinks and other beverages. Gellan gum enables uniform dispersion and suspension of insoluble particulates in protein-fortified beverages and nut milks.

Manufacturers of gellan gum are expanding their production capacity to meet the increasing market demand. Various international events are organised to promote the usage of gellan gum and to increase its customer base around the globe.

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Key Deterrents for Growth in Global Gellan Gum Consumption

• Procuring raw materials required for production of gellan gum remains to be a major challenge for manufacturers. Complex techniques used for formulating gellan gum from lactose or glucose inhibits their production among local players that have a modest manufacturing infrastructure.
• Gellan gum is now being actively substituted by alternative hydrocolloids such as xanthan, pectin and gelatine, which are cheaper to produce and easier to harvest from raw materials. The consumption of carrangeenan, among such hydrocolloids, is projected to gain traction as opposed to gellan gum.

Nevertheless, several companies in the global food & beverage industry will continue to prefer gellan gum as organic thickeners for products such as jellies, soups and packaged yogurts. Leading gellan gum manufacturers in the world are expanding their production capacity, primarily focusing on delivering gellan gum products for food & beverage applications. Royal DSM, a prominent manufacturer of gellan gum, recently acquired manufacturing plants in China, while CP Kelco made headlines for expanding the production capacity of its San Diego plant.

In the report, titled “Gellan Gum Market: Global Industry Analysis & Opportunity Assessment, 2016-2026,” Future Market Insights mentions that a majority of gellan gum manufacturers in the global market are based in China, and are incidentally factoring a rampant growth of gellan gum market in the Asia Pacific excluding Japan (APEJ) region. Dancheng Caixin Sugar Industry Co. Ltd., Zhejiang Tech-Way Biochemicals Co. Ltd., Hangzhou Gellan Solutions Biotec Co. Ltd., Zhejiang DSM Zhongken Biotechnology Co. Ltd., Meron Group, Hebei Xinhe Biochemical Co. Ltd., Fufeng Group, and Inner Mongolia Rainbow Biotech Co. Ltd., are gellan gum manufacturers based in APEJ countries such as China and India. In terms of global market value, APEJ gellan gum market will account for over one-third share throughout the forecast period. US-based CP Kelco will continue to account for over 70% of global gellan gum revenues, making North America a dominant region in the global gellan gum market through 2026.

According to Future Market Insights, the global market for gellan gum raked in an estimated revenues worth US$ 46.1 million in 2016, which are likely to increase at 4.3% CAGR to reach US$ 70.2 million by the end of 2026. Demand for gellan gum products will high acyl content will remain lower compared to low-acyl gellan gum products, with global sales of the latter are expected to amount nearly US$ 50 million revenues by the end of 2026. The report also projects that application of gellan gum in global food industry will procure revenues worth over US$ 40 million by the end of forecast period, rendering it the largest application segment in the global gellan gum market.

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Key Questions Answered by the Report

• What is the estimated size of the gellan gum market?

The gellan gum market size is projected to surpass a valuation of US$ 60 million by 2026. The estimated growth rate for gellan gum market will be 4.3% CAGR between 2016 and 2026.

• Which is the largest market for gellan gum?

North America is the dominant market for gellan gum globally. Extensive applications in the food and beverage sector, particularly dairy makes the region a profitable market for gellan gum.

• Which are the top companies in gellan gum market?

Zhejiang Zhongken Biotech Co. Ltd., Biopolymer International, DanchengCaixin sugar industry Co. Ltd., DSM, IHC Chempharm, CP Kelco, Nanjing Joyfulchem Co., Ltd., Xinjiang Fufeng Biotechnologies Co. Ltd., and H and A Canada are among the leading market players.

• What are the uses of gellan gum?

Gellan gum largely finds use in the food and beverage sector to improve suspensions and dispersions for insoluble particulates, especially in functional foods and beverages. The ingredient also finds limited use in pharmaceuticals, personal care, cleaners, and other sectors.

• In which forms are gellan gum available?

Manufacturers produce gellan gums in two types – high acyl content and low acyl content. The production and demand for high acyl gellan gums is higher, with food and pharma applications.

• What is the outlook on Asia Pacific Excluding Japan gellan gum market?

APEJ is a fast-growing market. The region is propelled by China in terms of production and application in beverage segment for protein-fortified products such as nut milk.

• How is the competition structured and evolved in recent years?

The gellan gum market is largely fragmented in structure. Manufacturers are increasingly focused on expansion of production capacities to meet the needs of the varying end use applications.