Global Food Grade Cellulose Market Overview
The Food Grade Cellulose Market Size was estimated at 2.49 (USD Billion) in 2022. The Food Grade Cellulose Industry is expected to grow from 2.61(USD Billion) in 2023 to 3.99 (USD Billion) by 2032. The Food Grade Cellulose Market CAGR (growth rate) is expected to be around 4.83% during the forecast period (2024 - 2032).
Key Food Grade Cellulose Market Trends Highlighted
The market for food-grade cellulose is predominantly driven by rising consumer demand for natural and plant-based ingredients. The growing awareness of health benefits and the increasing prevalence of chronic diseases have fueled the demand for food additives that promote gut health and overall well-being. Food-grade cellulose, derived from plant sources, offers functional properties such as thickening, gelling, and stabilizing, making it a versatile ingredient in various food applications.Opportunities for growth in the food-grade cellulose market lie in the expansion of the functional food industry, the development of innovative food formulations, and the increasing use of cellulose in plant-based meat alternatives. Furthermore, advancements in technology and research are opening up opportunities for the production of modified cellulose with enhanced functionalities, catering to the evolving needs of the food and beverage industry.Recent trends in the market include the growing adoption of clean-label and natural ingredients, the increasing demand for plant-based products, and the growing emphasis on sustainability. Food-grade cellulose aligns well with these trends, offering manufacturers a natural and functional ingredient that meets the evolving consumer preferences.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Food Grade Cellulose Market Drivers
Increasing Demand for Natural and Clean-Label Ingredients
Food grade cellulose is increasingly becoming the most desirable product in the market. Consumers both demand and have preferences for natural and clean-label ingredients and hence, food-grade cellulose is their ideal product. Cellulose is a plant-based, non-toxic, and biodegradable material that does not have any health implications for ingesting. Therefore, being non-toxic, cellulose is used as a thickening, stabilizing, and emulsifying agent. This is because the food grade cellulose does not have any flavor or taste, and it is made from renewable plant sources – tree bark.Additionally, the cellulose food grade type comes with specific labeling, which suggests ingredients without any preservatives or chemicals. This food grade cellulose constantly sells on a daily basis because it has become difficult to obtain; hence, those selling it do large volume sales.
Rising Popularity of Plant-Based Meat Alternatives
The Importance of Cellulose in the Plant-Based Meat Alternatives Market As the market for plant-based meat alternatives continues to grow, the importance of food grade cellulose as an ingredient will also increase. Cellulose is a structural material found in the cell walls of plants and is economically relevant as a fiber, as well as a number of other economically important uses. In plant-based meat alternatives, cellulose fibers are often used to help bind the ingredients together and provide a meat-like texture.Given the growing interest in plant-based meats and the increasing availability of these products, the demand for food grade cellulose will also rise.
Growing Demand for Functional Foods and Beverages
Functional foods and beverages are those that are able to provide some additional health benefits and not just basic nutrition. For such types of products, food grade cellulose can be used to enhance the functionality by either adding fiber to them, removing calories, or just by improving the consumption of certain elements. That is why it is possible to assume that with the increasing demand for functional foods and beverages, the demand for food grade cellulose will increase as well.
Food Grade Cellulose Market Segment Insights
Food Grade Cellulose Market Grade Insights
The Food Grade Cellulose market is segmented by Grade, which includes Microcrystalline Cellulose, Carboxymethyl Cellulose, Hydroxypropyl Cellulose, Hydroxypropyl Methylcellulose, and Ethyl Cellulose. Based on the Food Grade Cellulose Market share, Microcrystalline Cellulose accounted for the largest market share, as it is largely employed in the food and pharmaceutical industries. The market is witnessing growth driven by the rise in demand for food additives, the increasing consumption of processed food, and the positive outlook of FMCG sectors.Food Grade Cellulose is a white, odorless, and tasteless powder, majorly derived from wood pulp. It is widely used in bakery foods, dairy products, and meat products as a thickening agent and binder or stabilizer. Carboxymethyl Cellulose is another important grade that is used as a thickener, stabilizer, and emulsifier. Hydroxypropyl Methylcellulose, a water-soluble cellulose derivative, is employed in bakery, meat, and dairy products as a thickening agent, stabilizer, and film-forming agent. Likewise, Ethyl Cellulose, a water-insoluble cellulose derivative, is used as a coating and film-forming agent and binder in bakery, confectionery, meat, and dairy products.Microcrystalline Cellulose – MCC Grade – Microcrystalline Cellulose Application – Bakery, Dairy, and Meat Products Characteristics – Water-insoluble Major Application – Thickener, Stabilizer, and Binder Example – “Avicel PH-101” Food Grade Cellulose Market Outlook The market will continue to witness growth with rising awareness regarding health benefits of dietary fiber. Additionally, growth will be driven by the rising demand for processed food. The market is expected to attract new opportunities with the introduction of Clean Label Trends. The Pharmaceutical industry will provide new growth avenues. Overall, the demand for Food Grade Cellulose will increase significantly in the coming years.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Food Grade Cellulose Market Application Insights
The application segment of the industry is critical for understanding the prospects of the Food Grade Cellulose Market. Food Grade Cellulose is used in different industries: Food Additives, Pharmaceuticals, Cosmetics and Personal Care as well as Industrial. To join the former, thin white powders are applied to bakery foods, dairy products, and beverages to thicken, stabilize and gel. In the pharmaceutical industry, Food Grade Cellulose is used in tablets, capsules, and other oral solid dosage forms. Cosmetics and personal care goods, such as lotions, creams and shampoos, are made up of thickening, suspending and film-forming cellulose derivatives.Food Grade Cellulose is used in the industrial sector for manufacturing purposes. It is employed in oxide, textiles, papermaking and construction activities. These are the main applications of the Food Grade Cellulose Market in general. Each of the segments has equal contributions to the Food Grade Cellulose Market with different growth rates and market sizes. Understanding the levels of each segment and its effect on the overall market is crucial to having the right information to make decisions and leverage opportunities.
Food Grade Cellulose Market Viscosity Insights
The Food Grade Cellulose Market is segmented based on viscosity into Low, Medium, High, and Extra High. The Low viscosity segment is expected to account for the largest market share in 2023. The Medium viscosity segment is projected to grow at the highest CAGR during the forecast period. The High viscosity segment is expected to witness a steady growth rate over the forecast period. The Extra High viscosity segment is expected to account for a small market share in 2023. The Food Grade Cellulose Market revenue for the Low viscosity segment is projected to reach USD 1.23 billion by 2032, growing at a CAGR of 4.6%.The Medium viscosity segment is expected to reach USD 1.56 billion by 2032, growing at a CAGR of 5.2%. The High viscosity segment is projected to reach USD 0.83 billion by 2032, growing at a CAGR of 4.2%. The Extra High viscosity segment is expected to reach USD 0.37 billion by 2032, growing at a CAGR of 4.0%. The growth of the Food Grade Cellulose Market is attributed to increasing demand from the food and beverage industry. Food Grade Cellulose is used as a thickener, stabilizer, and emulsifier in various food products. The growing demand for natural and organic food products is also driving the growth of the market.
Food Grade Cellulose Market Purity Insights
Purity is a crucial segment in the Food Grade Cellulose Market, influencing the overall market growth and dynamics. The market is segmented into three main purity grades: '99%', '99.5%', and '99.9%'. '99%' purity grade holds a significant market share, accounting for approximately 45% of the Food Grade Cellulose Market revenue in 2023. Its widespread adoption is attributed to its cost-effectiveness and suitability for various applications in the food and beverage industry. '99.5%' purity grade follows closely, capturing around 30% of the market, owing to its higher purity level and applications in specialized food products and pharmaceuticals.The '99.9%' purity grade, although accounting for a smaller share of the market, is witnessing significant growth due to rising demand for ultra-pure cellulose in industries such as nutraceuticals and cosmetics. The growing emphasis on health and wellness is driving the demand for this high-purity grade. Overall, the purity segment offers diverse options to cater to specific industry requirements, impacting the Food Grade Cellulose Market segmentation and growth trajectory.
Food Grade Cellulose Market Regional Insights
The regional segmentation of the Food Grade Cellulose Market presents a diverse landscape with varying market dynamics and growth patterns. North America holds a significant market share due to the presence of established food and beverage industries and the increasing demand for natural and healthy food additives. Europe follows closely, driven by stringent food safety regulations and growing consumer awareness of clean-label products. The APAC region is projected to witness substantial growth over the forecast period, fueled by the expanding food industry and rising disposable incomes.South America and MEA are also expected to contribute to the overall market growth, albeit at a slower pace. Despite regional variations, the Food Grade Cellulose Market is poised for steady expansion, driven by increasing demand for natural and functional food ingredients.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Food Grade Cellulose Market Key Players And Competitive Insights
Leading players in the Food Grade Cellulose Market are heavily investing in research and development to innovate new and sustainable products. Players in the Food Grade Cellulose Market are increasingly focusing on expanding the global footprint of their offerings through development, acquisitions, and partnership. The Food Grade Cellulose Market is witnessing high growth driven by an increasing focus on natural and healthy foods and food ingredients. The food grade cellulose market competitive landscape is highly competitive during the next few years with new players vying to establish their offerings in the developed and developing markets.Archer Daniels Midland Company is dedicated to providing high-quality food ingredients to their customers across the globe. This company's product with aprons to the Food Grade Cellulose Market is called among many food-grade cellulose and microcrystalline cellulose, carboxymethyl cellulose, and hydroxypropyl methylcellulose. The Archer Daniels Midland Company is increasing its focus on research and development to innovate and develop newer and more effective food-grade cellulose products. FMC Corporation is another major Food Grade Cellulose Market player. FMC Corporation is the global leader in providing a vast range of food ingredients that also include food-grade cellulose. The Food Grade Cellulose Market offering of FMC Corporation includes microcrystalline cellulose, carboxymethyl cellulose, and hydroxypropyl methyl cellulose. This company also offers high-quality food ingredients to customers.
Key Companies in the Food Grade Cellulose Market Include
- Xcalibur International Corp.
- Shandong BoRui Chemical
- Lotte Chemical
- Ashland
- Nippon Paper Industries
- Mingtai Chemical
- Solvay
- Croda International
- Zhejiang Yatai Chemical Group
- Imerys
- Borregaard
- FMC
- FPC
Food Grade Cellulose Market Industry Developments
The Food Grade Cellulose market is projected to reach USD 3.99 billion by 2032, exhibiting a CAGR of 4.83% during the forecast period. Growing demand for plant-based food products, increasing health consciousness, and rising disposable income are key factors driving market growth. The market is also witnessing increased adoption in the food & beverage, pharmaceuticals, and cosmetics industries. Recent news developments include the launch of new products, such as microcrystalline cellulose and nanocellulose, which offer improved functionality and versatility. Additionally, strategic partnerships and acquisitions among key players are shaping the competitive landscape.
Food Grade Cellulose Market Segmentation Insights
-
Food Grade Cellulose Market Grade Outlook
- Microcrystalline Cellulose
- Carboxymethyl Cellulose
- Hydroxypropyl Cellulose
- Hydroxypropyl Methylcellulose
- Ethyl Cellulose
-
Food Grade Cellulose Market Application Outlook
- Food Additive
- Pharmaceuticals
- Cosmetics
- Personal Care
- Industrial
-
Food Grade Cellulose Market Viscosity Outlook
- Low
- Medium
- High
- Extra High
-
Food Grade Cellulose Market Purity Outlook
-
Food Grade Cellulose Market Regional Outlook
- North America
- Europe
- South America
- Asia Pacific
Middle East and Africa
Report Attribute/Metric |
Details |
Market Size 2022 |
2.49(USD Billion) |
Market Size 2023 |
2.61(USD Billion) |
Market Size 2032 |
3.99(USD Billion) |
Compound Annual Growth Rate (CAGR) |
4.83% (2024 - 2032) |
Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
Base Year |
2023 |
Market Forecast Period |
2024 - 2032 |
Historical Data |
2019 - 2023 |
Market Forecast Units |
USD Billion |
Key Companies Profiled |
Xcalibur International Corp., Shandong BoRui Chemical, Lotte Chemical, Ashland, Nippon Paper Industries, Mingtai Chemical, Solvay, Croda International, Zhejiang Yatai Chemical Group, Imerys, Borregaard, FMC, FPC |
Segments Covered |
Grade, Application, Viscosity, Purity, Regional |
Key Market Opportunities |
Functional food and beverage proliferation Rising awareness of health and wellness Growing demand for natural and clean-label ingredients Expanding applications in pharmaceuticals and cosmetics Technological advancements in food processing |
Key Market Dynamics |
Rising demand for clean-label products Growing popularity of plant-based foods Increasing awareness of health benefits Technological advancements in production Expanding applications in the food and beverage industry |
Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Food Grade Cellulose Market is expected to reach a valuation of 2.61 billion USD in 2023.
The Food Grade Cellulose Market is projected to grow at a CAGR of 4.83% from 2024 to 2032.
The Asia-Pacific region is expected to hold the largest share of the Food Grade Cellulose Market in 2023.
Food Grade Cellulose is primarily used as a thickening agent, stabilizer, and gelling agent in various food products such as bakery goods, dairy products, and meat products.
Some of the key competitors in the Food Grade Cellulose Market include FMC Corporation, Archer Daniels Midland Company, and Borregaard.
The Food Grade Cellulose Market is expected to reach a valuation of 3.99 billion USD by 2032.
The bakery and confectionery segment is expected to drive the growth of the Food Grade Cellulose Market due to the increasing demand for processed and convenience foods.
The Food Grade Cellulose Market faces challenges such as fluctuating raw material prices and intense competition from synthetic cellulose alternatives.
The Food Grade Cellulose Market presents opportunities for growth in emerging economies and the development of new applications in the food and beverage industry.
Key trends shaping the Food Grade Cellulose Market include the rising demand for clean-label and natural ingredients, the increasing adoption of plant-based foods, and the growing awareness of health and wellness.