Potato Starch Market Analysis

Global Potato Starch Market Overview

Potato Starch Market Size was valued at USD 4,297.32 million in 2021. The potato starch market industry is projected to grow USD 6980.94 million by 2030, exhibiting a compound annual growth rate (CAGR) of 5.65% during the forecast period (2022 - 2030).The growing paper industry coupled with the wide usage of potato starch in it is set to boost its market growth. Also, the booming food and beverage industry coupled with the wide usage of potato starch for various purposes is set to contribute to its market growth, however, the availability of a wide range of alternatives of potato starch such as cornstarch, tapioca starch, mochiko flour, wheat flour, coconut flour and many more may serve as a restraint for its market growth.

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

 Potato Starch Market Trends

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  THE BOOMING FOOD AND BEVERAGE INDUSTRY

  
  

The booming food and beverage industry coupled with the wide usage of potato starch for various purposes is set to contribute to its market growth. As a part of this, potato starch, a fine, flavorless powder with "excellent mouthfeel," has a higher viscosity than wheat and maize starches and produces tastier results. It serves as a binding factor in cake batter, dough, biscuits, ice cream, and sauces and stews.

In its "Make in India" initiative, the Indian government has given the food processing industry top priority and encourages investment there. To develop the food processing supply chain, the government has also developed 134 cold chain projects and 18 mega food parks. These initiatives will probably benefit businesses that process food. Additionally, the food processing sector is on a strong growth trajectory because of recent government measures, such as the USD 1.35 billion scheme announced by Mrs. Nirmala Sitharaman, the finance minister, to support this industry.

To increase the export potential of the regional agri-food sector and lower food waste, the Ministry of Food Processing Industries (MOFPI) approved 28 new local cold chain infrastructure projects in September 2020. These 28 initiatives are part of the Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) program, which receives funding from the federal government in the amount of USD 28 million. The advantages that will result from these cold chain projects will aid India in becoming self-sufficient, according to MOFPI. These integrated cold chain projects will be implemented across 11 states and will be managed by centrally or state-owned businesses, as well as other organizations with government clearance. Demand for nutritional snacks is driving the growth of the Potato Starch Market.

Potato Starch Market Segment Insights:

Potato Starch Product Type Insights

Based on product type, the Potato Starch Market has been segmented into native and modified. The native segment accounted for a market share of 34.5% in 2021 and is likely to register a CAGR of 5.08% during the projected period. Native potato starch is widely used as a thickening agent and stabilizer in a variety of food products, including soups, sauces, gravies, and bakery products. It provides excellent viscosity, transparency, and a smooth mouthfeel, making it a popular ingredient in many processed foods. One of the benefits of using native potato starch is its clean-label status

September 2022 Western Polymer, a privately-owned producer of organic and genetically engineered starch from potatoes for food and industrial purposes, had sold its business to Ingredion Inc. The transaction's financial details weren't made public. The Ingredion had increased its ability to produce potato starch, improved its processing capabilities, and expanded its greater-value specialty ingredients business and client base as a result of the purchase of Western Polymer.

Figure 1: Potato Starch Market, by Product Type, 2021 & 2030 (USD Million)

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

Potato Starch Category Insights

Based on category, the Potato Starch Market has been bifurcated into organic and regular. The organic segment accounted for a market share of 24.2% in 2021 and is likely to register a CAGR of 5.24% during the projected period. Regular potato growing of vegetables is opposite to organic growing, which means it is not free from synthetic chemicals such as pesticides, fertilizers, hormones, and antibiotics. Pesticide residue levels are lower in organically cultivated vegetables than in conventionally grown produce. The segment is accounted for the highest market share in the Potato Starch Market.

Figure 2: Potato Starch Market, by Category, 2021 & 2030 (USD Million)

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

Potato Starch End User Insights

Based on end-user, the Potato Starch Market has been bifurcated into residential and commercial. The residential segment accounted for a market share of 36.6% in 2021 and is likely to register a CAGR of 5.40% during the projected period. The residential end-user segment includes households and individual consumers who purchase potato starch for personal use. Residential end-users primarily use potato starch as a thickening agent in cooking and baking applications, such as gravies, sauces, and soups.

Figure 3: Potato Starch Market, by End User, 2021 & 2030 (USD Million)

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

Potato Starch Application Insights

Based on end-user, the Potato Starch Market has been bifurcated into residential and commercial. The residential segment accounted for a market share of 36.6% in 2021 and is likely to register a CAGR of 5.40% during the projected period. The residential end-user segment includes households and individual consumers who purchase potato starch for personal use. Residential end-users primarily use potato starch as a thickening agent in cooking and baking applications, such as gravies, sauces, and soups.

Figure 3: Potato Starch Market, by Application, 2021 & 2030 (USD Million)

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

Potato Starch Regional Insights

The Potato Starch Market has been split into, Europe, Asia-Pacific, North America, , and the Rest of the World. The North American region accounted for the market share of 18.8% in 2021 and is likely to register a CAGR of 4.96% during the projected period. Europe accounted for a market share of 44.6% in 2021 and is likely to register a CAGR of 6.20% during the projected period.

The growth of the potato Starch market in Asia-Pacific can be attributed to rapid urbanization and the growing middle-income population driving the demand for healthy food & beverages. Moreover, the increasing per capita disposable income has led to the rising sales of potato Starch. Consumers are ready to pay a premium for functional food & beverages that incorporate potato Starch. The rising health awareness in the region is also driving market growth with key processors of potato Starch targeting the region to enhance sales volumes. Moreover, the China Potato Starch market held the largest market share, and the India Potato Starch market was the fastest-growing market in the Asia-Pacific region

Figure 4: POTATO STARCH MARKET SHARE BY REGION 2021 & 2030 (USD Million)

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

Europe's Potato Starch Market is a major producer and consumer of potato starch in the world. The European potato starch market is driven by various factors such as growing demand from the food and beverage industry, increasing popularity of convenience foods, and rising health awareness among consumers. The major potato starch-producing countries in Europe are Germany, the Netherlands, Denmark, Poland, and France. These countries have a long tradition of potato cultivation and processing, and they have developed advanced technologies and efficient production processes for potato starch. The European potato starch market is segmented by application into food and beverage, industry, and others. The food and beverage segment are the largest application segment, accounting for the majority of the market share.

North America is a significant region for the potato starch market, with the United States and Canada being the major contributors to the market growth. The increasing demand for convenience food products and the growing trend of clean-label ingredients are the primary factors driving the growth of the potato starch market in North America. The United States is the largest market for potato starch in North America due to the presence of major potato starch manufacturers and the high demand for processed food products. The country is also witnessing a rise in demand for gluten-free products, which is further driving the growth of the potato starch market. Canada is also a significant market for potato starch, driven by the increasing demand for natural and organic food products.

Potato Starch Key Market Players & Competitive Insights

The key players operating in the potato starch market include Cargill Incorporated (US), Ingredion Incorporated (US), AGRANA Beteiligungs-AG (Austria), Tereos (France), Tate & Lyle (UK), Roquette Frères (France), Südstärke GmbH (Germany), Emsland Group (Germany), Royal Ingredients Group (Netherland), and Finnamyl (Finland) dominates the market due to brand reputation, product differentiation, financial stability, and strong distribution network. The key companies operating in the market are further focusing on the individual efforts of the joint vetures and collaborations.

Key Companies in the Potato Starch market includes

• include Cargill Incorporated (US),


• Ingredion Incorporated (US),


• AGRANA Beteiligungs-AG (Austria),


• Tereos (France), Tate & Lyle (UK),


• Roquette Frères (France), Südstärke GmbH (Germany),


• Emsland Group (Germany),


• Royal Ingredients Group (Netherlands),


• Finnamyl (Finland)

Potato Starch Industry Developments

September April 2021 Approach Development Investment  Agrana has made an investment worth 25 million Euros in three of its production sites dedicated to starch manufacturing. The investment of Euro 12 million in Gmund potato starch production capacity is aimed at building the capacity required for the manufacturing of dried glucose syrup, infant formula, dehydrated potato-based products, and maltodextrin.

Potato Starch Market Segmentation

Potato Starch Product Type Outlook

• Native


• Modified

Potato Starch Category Outlook

• Organic


• Regular

Potato Starch End User Outlook

• Residential


• Commercial

Potato Starch Application Outlook

• Food & Beverages


• Paper Industry


• Others

Potato Starch Distribution Channel Outlook

• B2B


• B2C

Potato Starch Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


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


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


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