Xanthan Gum Market: Current Analysis and Forecast (2022-2028)

Xanthan Gum Market: Current Analysis and Forecast (2022-2028)

Xanthan gum is a chain of sugar blocks that is made by fermenting simple sugar with a specific kind of bacteria. The xanthan gum is swelled by the intestine which stimulates the intestine to push stool through. In recent times, xanthan gum has witnessed a significant demand across the world owing to its medicinal use to lower total cholesterol and blood sugar level. Also, xanthan gum is used as a saliva substitute for people with dry mouths and as a bulk-forming laxative for the treatment of constipation. Furthermore, the increasing demand for oil and technological advancement such as enhanced oil recovery is expected to increase the production of the oil and subsequently propel the demand for the xanthan gum used in the oilfield for mud treatment and well completion.

The Xanthan Gum Market is expected to grow at a steady rate of around 6% owing to the increasing utilization of xanthan gum as the stabilizing and thickening agent in toothpaste, food, and medicine coupled with its use as emulsion stabilizer & water-binder in lotion and cream. Major companies in the market are focusing to provide xanthan gum with technologically advanced features and focusing on investment along with collaboration, merger & acquisition. For instance, in September 2021, CP Kelco enlarged its distribution partnership with Azelis in Australia and New Zealand.

• Based on function, the market is segmented into stabilizing agents, thickening agents, fat replacers, suspending agents, and others. The stabilizing segment is expected to witness a significant CAGR during the forecast period owing to its stability at low pH and high temperature. Also, the growing demand for xanthan gum as the stabilizer in toothpaste, lotion, and shampoos owing to its high viscosity at a lower concentration which allows them to hold their shape is expected to propel the demand in the coming time.
• Based on form, the market is categorized into dry and liquid segments. The dry segment is expected to witness significant market growth during the forecast period due to its added advantages to using liquid. Dry xanthan is suitable as the thickening agent, suspending agent, and stabilizing agent owing to its properties to mix with liquid and gives the required viscosity. Also, dry xanthan is used in the form of powder for a variety of applications including medical, food, and other application.
• Based on application, the market is segmented into oil & gas, food & beverage, pharmaceutical & personal care, and others. The food & beverage segment is expected to witness significant growth during the forecast period due to their growing adoption in the food industry as an additive for frozen food and dairy product. Additionally, xanthan gum is used for textual resemblance to wheat and other food and contributes towards its adoption in gluten-free snacks. Furthermore, xanthan gum is also used in other food products including meat & poultry, sauces & dressing, bakery product, confectionery product, and others. As xanthan gum does not change the flavor and color of the food it is widely used as a thickening agent for food with a swallowing disorder.
• For a better understanding of the market adoption of the xanthan gum industry, the market is analyzed based on its worldwide presence in the countries such as North America (U.S., Canada, and the Rest of North America), Europe (Germany, U.K., France, Spain, Italy, Rest of Europe), Asia-Pacific (China, Japan, India, Rest of Asia-Pacific), Rest of World. Asia-Pacific is anticipated to grow at a substantial CAGR during the forecast period. This is mainly due to the increasing adoption in the food & beverage industries along with the expansion of the beauty & cosmetic industry, and oil & gas industry among others. Also, the expanding economies in the region with the growing purchasing power of the individual are expected to support the market growth. Additionally, the increasing demand for oil & gas and exploration activities in the countries such as China, Malaysia, and India are expected to propel the demand for xanthan gum in the region. Furthermore, the rising awareness of individuals toward the dermatological condition and increasing adoption in the medicinal industry contributes to the growth in the region.
• Some of the major players operating in the market include Cargill Inc., Archer Daniels Midland Company, Solvay, Cp Kelco, Fuerst Day Lawson, Ingredion Incorporated, Fufeng Group Company Ltd, FMC Biopolymer, DuPont Danisco, and Meihua Holding Group Co.