Gum Arabic Market Trends

Global Gum Arabic Market Overview

Gum Arabic Market Size was valued at USD 985.36 Billion in 2023. The Gum Arabic industry is projected to grow USD 1.06202 Billion in 2024 to USD 1.9928 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 8.18% during the forecast period (2024 - 2032). The market of gum arabic is influenced by various factors, presenting both drivers and restraints, along with promising opportunities. The rising demand for natural ingredients, driven by the increasing consumer preference for healthier options, acts as a significant driver for the gum arabic industry. 

The market for Gum Arabic has experienced a remarkable upswing in recent years, primarily fuelled by the burgeoning demand for natural ingredients across diverse industries. Gum Arabic, derived from the exudates of Acacia senegal and Acacia seyal trees, has emerged as a versatile and sought-after natural additive with applications spanning the food and beverage industry, pharmaceuticals, cosmetics, and more. The burgeoning demand for natural, functional foods with added health benefits is a key driver behind the growth of Gum Arabic. Consumers, increasingly seeking alternatives to synthetic ingredients, are drawn to the natural functionality and potential health advantages offered by Gum Arabic.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Gum Arabic Market Trends

• Rising Demand for Natural Ingredients

The market for Gum Arabic has experienced a remarkable upswing in recent years, primarily fueled by the burgeoning demand for natural ingredients across diverse industries. Gum Arabic, derived from the exudates of Acacia senegal and Acacia seyal trees, has emerged as a versatile and sought-after natural additive with applications spanning the food and beverage industry, pharmaceuticals, cosmetics, and more. This surge in demand can be attributed to several interconnected factors, including shifting consumer preferences, the quest for clean-label products, the growing awareness of health and environmental concerns, and the unique functional properties of Gum Arabic. One of the driving forces behind the increasing demand for Gum Arabic is the changing landscape of consumer preferences. In an era where health-consciousness is on the rise, consumers are increasingly opting for products that align with their desire for clean, natural, and minimally processed ingredients. Gum Arabic, being a plant-based exudate, fits this criterion perfectly. Its natural origin resonates with consumers seeking transparency in the sourcing and composition of the products they consume. As a result, the food and beverage industry has witnessed a surge in the use of Gum Arabic as a natural alternative to synthetic additives and emulsifiers. Within the food and beverage sector, Gum Arabic plays a multifaceted role. 

One of its primary functions is as a stabilizer and emulsifier, contributing to the texture and shelf stability of various products. In beverages, it prevents the separation of ingredients and enhances the overall mouthfeel. The confectionery industry relies on Gum Arabic for its ability to control viscosity, texture, and gloss in candies and gum-based products. Additionally, it finds application in the bakery sector, where it acts as a binder, providing cohesiveness to the dough and preventing staling.

The environmental consciousness that permeates modern consumer culture is another significant factor driving the demand for Gum Arabic. As the adverse effects of synthetic additives and chemical ingredients become more widely known, consumers are actively seeking sustainable alternatives. The natural origin and biodegradability of Gum Arabic position it as a favorable choice for industries striving to meet these evolving consumer expectations. This aligns with the broader trend of incorporating eco-friendly practices throughout the supply chain, from sourcing raw materials to the end-of-life disposal of products.

Gum Arabic Nature Insights

The Gum Arabic Market segmentation, based on nature, includes organic and conventional. The conventional segment accounted for the largest market share of 79.14% in 2022 and is likely to register a CAGR of 8.02% during the projected period. This upward trajectory is primarily fueled by an upswing in demand across diverse industries. The consistent and sustained utilization of conventional Gum Arabic in sectors such as food and beverage, pharmaceuticals, and textiles continues to be a driving force behind the expansion of the market. Its status as a stable and traditional choice for numerous applications further reinforces its appeal to industries seeking reliability and established performance standards.

Figure 1: Gum Arabic Market, by Nature, 2022 & 2032 (USD Million)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Gum Arabic Functional Properties Insights

The Gum Arabic Market segmentation, based on functional properties, includes emulsifiers, stabilizers, and thickeners. The emulsifier segment accounted for the largest market share of 38.10% in 2022. The emulsifier segment stands as a dominating segment in the gum arabic industry, as an emulsifying agent, making it indispensable in the food and beverage industry. Its ability to stabilize emulsions enhances product quality and texture, driving an increased demand for Gum Arabic. Furthermore, the expanding food processing industry is anticipated to contribute significantly to the segment's growth, as the need for effective emulsifiers like Gum Arabic continues to rise in tandem with the industry's expansion.

Figure 1: Gum Arabic Market, by Functional Properties, 2022 & 2032 (USD Million)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Segment Insights

Gum Arabic Grade Insights

The Gum Arabic Market segmentation, based on grade, includes acacia senegal and acacia seyal. The acacia Senegal segment held the majority share in 2022 concerning the gum arabic industry revenue. This growth is attributed to the increased utilization of Acacia senegal in diverse industries such as food and beverage, pharmaceuticals, and cosmetics, driven by its unique properties that cater to the rising demand for natural and versatile ingredients. Acacia Senegal gum, also known as gum hashab, is valued for its excellent emulsifying properties, higher purity, and lower viscosity compared to its counterpart, Acacia Seyal (tall gum). These properties make it more desirable in critical industries such as food and beverage, pharmaceuticals, and cosmetics, where the quality of gum Arabic directly affects the final product and its stability and structure. For example, in the food industry, the gum of Acacia Senegal’s is preferred for its ability to stabilize non-alcoholic emulsions, encapsulate aromas, and extend the shelf life of various products. In addition, Senegalese acacia trees are found primarily in the Sahel region of Africa, where efforts to sustainably harvest gum Arabic have resulted in more reliable and consistent production results. This sustainable harvest, combined with initiatives to improve the living standards of gum collectors, has contributed to a more stable supply chain and further strengthened the dominance of Acacia Senegal’s in the world market. Its adaptability to semi-arid conditions and well-established trade networks in countries such as Sudan, Chad, and Nigeria allow a constant flow of high-quality gum Arabic to meet global demands, making Acacia the leader in the Senegalese gum Arabic segment.

Figure 1: Gum Arabic Market, by Grade, 2022 & 2032 (USD Million)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Gum Arabic Form Insights

The Gum Arabic Market segmentation, based on form, includes kibbled acacia gum, powdered acacia gum, raw gum Arabic, and spray-dried acacia gum. The kibbled acacia gum segment accounted for a higher market share in 2022 and is expected to witness the highest CAGR. The gum Arabic from acacia powder segment dominates the market of gum arabic for several reasons, which depend on its versatile availability, ease of use, and specific requirements of the food and beverage, pharmaceutical, and cosmetic industries, which are the major consumers of gum Arabic. Ground gum Arabic, mainly gum Arabic in raw, refined, and rough forms, offers a balance between minimal usage and convenience that makes it highly desirable. This form of gum Arabic retains most of its natural properties, including good solubility and low viscosity, which are important for its use as a stabilizer, emulsifier, and thickener in many products. The minimal processing involved in making raw chewing gum, compared to, for example, spray-dried gum, means that it often retains a higher quality of natural gum, but with less change in its original molecular structure. This is particularly important in applications where the purity and natural composition of ingredients are valued, such as organic and natural foods, advanced cosmetics, and pharmaceuticals, where the minimization of additives or processing is critical.

Figure 2: Gum Arabic Market, by Form, 2022 & 2032 (USD Million)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Gum Arabic Application Insights

The Gum Arabic Market segmentation, based on category, includes food and beverages, pharmaceuticals, nutraceuticals, cosmetics and personal care, paints and coating, and other applications. The food and beverages segment accounted for a higher market share in 2022 and is expected to witness the highest CAGR. The food and beverage segment dominates the market due to the versatile and central role of gum Arabic in this sector. Gum Arabic, also known as gum Arabic, is a natural gum from the acacia tree that is prized for its unique properties, including as a stabilizer, emulsifier, and thickener. These properties make it indispensable in many foods and beverages, from soft drinks, where it stabilizes the essential oils in citrus-flavored drinks and prevents their separation, to confectionery, where it gives the perfect texture and composition to sweets and chocolates. It is also used in bakery products to improve shelf life and as a stabilizer in dairy products. Demand for natural and clean-label ingredients is increasing, strengthening Gum Arabic's position in the food industry as consumers increasingly prefer foods with natural additives over synthetic alternatives.

Gum Arabic Regional Insights

By Region, the study segments the market into North America, Europe, Asia Pacific, and the Rest of the World. The Asia Pacific Gum Arabic market accounts for the largest market share 31.90% in 2022 and is expected to exhibit an 8.80% CAGR due to its vast agricultural base and the significant presence of Acacia trees, especially in countries like India and China. The region's growing food and beverage industry, along with increasing demand for natural and clean-label ingredients, further fuels the demand for gum Arabic. Moreover, the expanding pharmaceutical and cosmetics sectors in Asia-Pacific leverage gum Arabic's properties, driving its market growth. Further, the China Gum Arabic industry held the largest market share, and the India market for gum arabic was the fastest-growing market in the region.

Further, the major countries studied are: The U.S, Canada, Mexico, Germany, UK, Italy, Spain, France China, Japan, India, Australia & New Zealand, and the Rest of the World

Figure 3: GUM ARABIC MARKET SHARE BY REGION 2022 (%)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

The Asia-Pacific Gum Arabic market stands as a dynamic and evolving sector, poised for continued growth and innovation. As of the latest assessments, the market has exhibited resilience and adaptability, navigating through various economic fluctuations and challenges. Asia Pacific dominates the gum arabic industrydue to a combination of economic, agricultural, and demographic factors. Mainly behind the region's dominance is its extensive food and beverage industry, which makes extensive use of gum Arabic as a stabilizer, emulsifier, and thickener. Countries with large populations such as China and India have seen increased demand for processed foods and beverages, pharmaceuticals, and cosmetics, all of which are important uses for gum Arabic. The region and economic growth have led to increased purchasing power and a growing middle class, further increasing the demand for premium consumer goods containing gum Arabic. The Asia-Pacific market for gum arabic comprised of China, Japan, India, Australia & New Zealand, among which China emerged as the frontrunner with a market share of 44.88% in 2022.

The North America Gum Arabic market is expected to grow at a CAGR of 7.87% from 2022 to 2032. North America, especially the United States, holds the highest position in the North America market of gum arabic due to its strong food and beverage industry, developed pharmaceutical sector, and high demand for natural and organic products. The North America region and the emphasis on cleanly produced ingredients, as well as the transition to a healthier and more natural additive, have greatly increased the demand for gum Arabic, known for its versatility and natural origin. North America is home to some of the world's largest food and beverage manufacturers, who are constantly innovating and expanding their gum Arabic product lines to improve the quality and stability of their offerings.  Moreover, the US gum arabic industry held the largest market share, and the Canada gum arabic industry was the fastest-growing market in the region.

The Europe Gum Arabic market is a dynamic and growing sector, that will benefit from strict regional and food additive regulations, which will drive demand for natural and organic ingredients. The European Union and its emphasis on food safety and sustainable supply practices are well suited to the characteristics of gum Arabic, making it a preferred choice for food manufacturers. Europe's advanced pharmaceutical and cosmetic industries are also driving demand for the region and the use of gum Arabic and its natural emulsifying and film-forming properties. Additionally, growing consumer preference for clean labels and herbal products will strengthen the Arab market in Europe. However, Europe is highly dependent on imports due to the lack of local production, which sometimes causes supply chain problems.

In the Rest of the World, including regions such as Africa, the Middle East, and South America, the Arab market is growing, albeit more slowly than in Asia Pacific and North America. These areas affect both the supply and demand side of the market. Africa, especially the Sahel region, is the main producer of gum Arabic, providing a significant part of demand. However, issues such as political instability, inadequate infrastructure, and limited technical progress in production and processing methods may hinder the growth of the market. The Middle East and Latin America have the potential for market expansion, led by gum Arabic-using industries. However, economic volatility, regulatory environment, and awareness and acceptance of gum Arabic and its applications will affect the growth rate of these regions.

Gum Arabic Key Market Players & Competitive Insights

The Gum Arabic market demonstrates a moderate level of concentration, characterized by the collective market share of the top 10 companies, which accounts for approximately 58.2% of the overall market. At the forefront of this competitive landscape is Nexira, holding a substantial 14.3% market share, reaffirming its position as the clear leader in the industry. Following closely is Gum Arabic Company (GAC) with an 11.2% market share, solidifying its presence as a significant player.

Despite the dominance of these key players, the remaining 40.8% of the market is dispersed among numerous smaller companies, emphasizing a diverse and competitive landscape. This distribution suggests opportunities for new entrants and smaller players to enter the market and carve out their niche. The existence of various players in this segment highlights the dynamic nature of the Gum Arabic market, where innovation, product differentiation, and strategic market positioning play crucial roles in gaining a foothold. As such, the industry presents potential avenues for growth and competition, creating an environment conducive to the emergence of new players aiming to capture a share of the market.

Key Companies in the Gum Arabic market include.

• Nexira (Switzerland)


• Gum Arabic Company (Nigeria)


• Kerry Group (Ireland)


• TIC Gums (United States)


• Agrigum International Limited (England)


• Farbest Brands (United States)


• Hawkins Watts Limited (New Zealand)


• Alland & Robert SE (Germany)


• Archer-Daniels-Midland Company (ADM) (Germany)

Gum Arabic Industry Developments

May 2022: Kerry opened the largest and most advanced spice production factory on the African continent. The new R650m (€38m) facility is in KwaZulu-Natal, South Africa, and produces sustainable nutritional solutions that are consumed across the African continent.

March 2020: Farbest Brands has collaborated with CARAGUM International, a company specializing in the development and production of stabilization systems for the food industry. CARAGUM International focuses mainly on the development of stabilizers for liquid products such as beverages, flavor emulsions, and sauces.

Gum Arabic Market Segmentation

Gum Arabic Nature Outlook

• Organic


• Conventional

Gum Arabic Functional Properties Outlook

• Emulsifier


• Stabilizer


• Thickener

Gum Arabic Grade Outlook

• Acacia Senegal


• Acacia Seyal

Gum Arabic Form Outlook

• Kibbled Acacia Gum


• Powdered Acacia Gum


• Raw Gum Arabi


• Spray-Dried Acacia Gum

Gum Arabic Application Outlook

• Food And Beverages


• Pharmaceuticals


• Nutraceuticals


• Cosmetics And Personal Care


• Paints And Coating


• Other Applications

Gum Arabic Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  • Mexico
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • Italy
  
  
  • Spain
  
  
  • UK
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia & New Zealand
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • South America
  
  
  • Middle East
  
  
  • Africa