US Gum Arabic Market - 2024-2031

US Gum Arabic Market - 2024-2031

US Gum Arabic Market reached US$ 95.61 million in 2023 and is expected to reach US$ 164.43 million by 2031, growing with a CAGR of 7.0% during the forecast period 2024-2031.

US Gum Arabic market is growing steadily due to its versatile applications in food, beverages, pharmaceuticals and cosmetics. Recognized as safe by the FDA, Gum Arabic serves as an emulsifier, stabilizer and thickener in products such as soft drinks, sugar-free confectioneries and dietary supplements. The market is supported by significant imports from African nations, notably Sudan and Chad, which dominate global supply. However, supply chain vulnerabilities and geopolitical tensions pose risks to this essential natural additive's steady availability.

In the context of health, Gum Arabic offers benefits such as aiding digestion and enhancing gut health, which are appealing in the functional food sector. Though US FDA does not classify Gum Arabic as dietary fiber for labeling, it is recognized for its potential health benefits globally. Similarly, Consumers are increasingly seeking clean-label products that align with health and environmental sustainability. Gum Arabic, derived from Acacia trees, meets these expectations as it is organic, non-GMO and naturally processed.

Dynamics

Increasing Demand for Clean-Label Products

The growing preference for clean-label, natural and minimally processed ingredients is significantly driving the demand for Gum Arabic in US market. As a natural, plant-based additive recognized for its safety and versatility, Gum Arabic aligns perfectly with consumer preferences for healthier and sustainable options. Clean-label products, characterized by fewer additives and natural ingredients, are perceived as better for health, attracting 83% of shoppers who are either familiar with or have heard of the concept.

Legislation is also fueling this trend by enforcing stricter requirements on food additives, prompting brands to reformulate classic products with cleaner ingredients. Consumer surveys indicate that 55% of shoppers advocate for more regulations in food and beverages to ensure product transparency, with the number rising to 72% among Gen Z consumers. This regulatory push, combined with consumer demand, drives the adoption of Gum Arabic as a clean-label solution across food and beverage formulations.

Growth in Organic and Natural Product Markets

US leads the global market for organic products, supported by health-conscious consumers and a variety of premium offerings. Despite its low forecasted growth rank globally, the large market size sustains steady demand. Organic products are expected to grow at a healthy CAGR from 2021 to 2026, bolstered by increasing awareness of health benefits and eco-friendly practices.

Gum Arabic's role in organic products further expands its appeal, as it is a natural ingredient that fits within organic-certified formulations. In the cosmetics sector, natural beauty brands leverage Gum Arabic as a thickener and stabilizer in lotions and creams, appealing to eco-conscious consumers. This strong demand across organic food, beverages and cosmetics underscores the continued adoption of Gum Arabic in meeting consumer preferences for sustainability and health-conscious living.

Supply Chain Disruptions and Land Acquisition Issues

US Gum Arabic market faces significant challenges due to its heavy reliance on imports from Africa. Sudan and Chad, accounting for over 80% of global supply, dominate the supply chain. Geopolitical instability, including conflicts in these regions, disrupts production and trade, leading to price volatility and supply shortages. The ongoing Russia-Ukraine conflict indirectly exacerbates these issues by straining global logistics networks. Delays in shipping and rising transportation costs further challenge consistent supply.

For US manufacturers, this dependency on African exports creates vulnerability, especially during times of political unrest or environmental crises affecting Acacia tree cultivation. To mitigate these risks, efforts are underway to diversify sourcing. However, replicating the specific conditions needed for high-quality Gum Arabic production remains a challenge. Furthermore, regulatory complexities surrounding import standards and certification add layers of difficulty, particularly for smaller businesses.

Segment Analysis

US Gum Arabic market is segmented based on grade, form, application, end-user and sales channel.

Rising Demand in Residential Consumers Due to Reduce Electricity Bills and Achieve Energy Independence

Food and beverages dominate the market, accounting for substantial consumption. Products such as carbonated drinks, confectioneries and low-fat snacks rely on Gum Arabic for its emulsifying and stabilizing properties. The pharmaceutical sector is the second-largest consumer, utilizing Gum Arabic as a binding and coating agent in tablets. Its hypoallergenic nature and GRAS status make it ideal for sensitive formulations.

The cosmetic industry increasingly incorporates Gum Arabic for its natural emulsifying capabilities, aligning with clean beauty trends. Growth in this segment is fueled by demand for plant-based and eco-friendly products. Geographically, the market is concentrated in states with high food and beverage manufacturing activities, such as California and Texas. Growing partnerships with African suppliers and advancements in domestic sourcing strategies are reshaping the regional landscape.

Competitive Landscape

The major US players in the market include American International Foods, Inc., ISC GUMS, Nexira Inc., Foodchem International Corporation, Farbest Brands, Batory Foods, MP Biomedicals, Alfa Chemistry and The Earth Pigments Company, LLC.

Sustainability Analysis

Sustainability is an integral aspect of US Gum Arabic market, with a significant focus on environmental, economic and social impacts. Gum Arabic production supports the ecological balance by combating desertification in the arid regions of Africa, where Acacia trees thrive. These trees not only improve soil quality but also sequester carbon, contributing to global reforestation efforts. For US companies, sourcing sustainably involves partnerships with African suppliers adhering to ethical harvesting practices.

Fairtrade initiatives ensure that local farmers receive equitable compensation, fostering economic stability in producing regions. By promoting ethical sourcing, US industry aligns with growing consumer demand for transparency and environmentally responsible products. On the environmental front, the adoption of Gum Arabic in food and beverage formulations helps reduce reliance on synthetic additives. Its natural origin also supports biodegradable and recyclable product development in the cosmetics and packaging sectors, lowering the environmental footprint.

Health-Conscious Trends in Consumer Behavior

Health-conscious consumer behavior in US is shaping the demand for natural and minimally processed products, directly influencing the market for ingredients like Gum Arabic. Modern consumers, especially Millennials and Gen Z, prioritize clean-label and sustainable products, driven by awareness of the health risks associated with artificial additives and processed foods. The trend extends beyond food and beverages into personal care, where natural ingredients are increasingly favored.

Furthermore, functional food and beverage sectors are leveraging Gum Arabic for its prebiotic properties, enhancing gut health and immunity—key concerns post-pandemic. This confluence of health-conscious choices and regulatory encouragement positions Gum Arabic as a vital component in meeting evolving consumer needs. Gum Arabic is widely adopted in natural cosmetics as a thickener and stabilizer, appealing to eco-conscious consumers.

By Grade
• Acacia Senegal
• Acacia Seyal

By Form
• Powder
• Liquid
• Others

By Application
• Thickener
• Gelling Agent
• Emulsifier
• Stabilizer
• Others

By End-User
• Food and Beverages
Beverages
Bakery
Confectionery
Dairy Products
Other
• Pharmaceuticals & Dietary Supplements
• Personal Care & Cosmetics
• Paints & Inks
• Others

By Sales Channel
• Hypermarket/Supermarket
• Specialty Stores
• Convenient Stores
• E-Commerce
• Others

Recent Development
• In August 2024, Ampak Co. Inc. partnered with Agrigum International, a UK-based producer of Gum Arabic, to enhance the ingredient's distribution in US market. This collaboration builds on the FDA's 2021 approval of Gum Arabic fiber and leverages Ampak's market expertise and distribution capabilities.
• In April 2024, Farbest Brands introduced Beyond Acacia, a groundbreaking advancement in gum acacia, developed using Alland & Robert's innovative technology to enhance functionality and sustainability. The product’s high-density granules allow for superior solubilization, hydration and dispersibility, even in cold manufacturing processes, reducing foam, dust and energy usage during production
• In December 2021, US FDA officially recognized acacia gum as a dietary fiber for nutrition labeling purposes, affirming its physiological benefits to human health. This decision, supported by extensive scientific research and clinical trials, enables acacia gum to be included as a dietary fiber on Nutrition and Supplement Facts labels.

Why Purchase the Report?
• To visualize US gum arabic market segmentation based on grade, form, application, end-user and sales channel.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points at the Gum Arabic market level for all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

US Gum Arabic market report would provide approximately 45 tables, 41 figures and 183 pages.

Target Audience 2024
• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies