Precision Fermentation Market Analysis

Global Precision Fermentation Market Overview

Precision Fermentation Market Size was valued at USD 2.9 Billion in 2023. The Precision Fermentation industry is projected to grow from USD 4.25 Billion in 2024 to USD 91.81 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 46.80% during the forecast period (2024 - 2032). Increasing demand for sustainable and efficient production of bio-based products and advancements in biotechnology and genetic engineering techniques are the key market drivers fueling the market growth.

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

Precision Fermentation Market Trends

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  Increasing demand for sustainable and efficient production is driving the market growth

  
  

Market CAGR for Precision Fermentation is being driven by escalating global demand for sustainable and efficient production methods. Traditional methods of manufacturing various products, such as food ingredients, pharmaceuticals, and other bio-based materials, often rely on resource-intensive processes with significant environmental impacts. Precision fermentation offers a transformative solution by leveraging microorganisms like yeast and bacteria to produce target compounds in a controlled and optimized environment.

Another key driver of the precision fermentation market is the continuous advancements in biotechnology and genetic engineering techniques. The field of biotechnology has witnessed remarkable progress in recent years, enabling scientists to manipulate the genetic makeup of microorganisms with unprecedented precision. Genetic engineering tools such as CRISPR-Cas9 have revolutionized the ability to edit and modify the DNA of microorganisms, allowing for the development of strains with enhanced fermentation capabilities.

Additionally, the growth of the precision fermentation market is the growing awareness and adoption of this technology across a range of industries. Initially embraced by the food and beverage industry for the production of alternative proteins and flavor compounds, precision fermentation is now gaining traction in pharmaceuticals, agriculture, and other sectors. The ability to tailor microorganisms for specific applications has opened up new possibilities for creating customized and high-value products.

According to a study published in the journal Nature Communications emphasizes the role of advanced genetic engineering techniques, such as CRISPR-Cas9, in enhancing the efficiency and specificity of precision fermentation processes. The World Economic Forum highlights the environmental benefits of precision fermentation, stating that it has the potential to reduce greenhouse gas emissions, land use, and water consumption compared to traditional agricultural and manufacturing methods. As a result, it is anticipated that throughout the projection period, demand for Precision Fermentation will increase due to the rising preference for Precision Fermentation. Thus, driving the Precision Fermentation market revenue.

Precision Fermentation Market Segment Insights

Precision Fermentation Ingredient Insights

The Precision Fermentation Market segmentation, based on Ingredient includes Whey & Casein Protein, Egg White, Collagen Protein, Heme Protein, Enzymes, and Others. The Whey & Casein Protein segment dominated the market, accounting for more than half of market revenue. This is linked to their extensive use in the sports nutrition and functional food industries.

Precision Fermentation Fermentation Type Insights

The Precision Fermentation Market segmentation, based on Fermentation Type includes Precision Fermentation, Biomass Fermentation, and Traditional Fermentation. The Precision Fermentation segment dominated the market, accounting for more than one-third of market revenue. This growth is linked precision and control it offers over the fermentation process, coupled with the ability to engineer microorganisms for specific outputs, making it more efficient and versatile compared to traditional and biomass fermentation methods.

Precision Fermentation Microbe Insights

The Precision Fermentation Market segmentation, based on microbes includes Yeast, Algae, Fungi, and Bacteria. The Yeast segment dominated the market, accounting for above one-third of market revenue. This growth is linked to its versatility in precision fermentation processes. It is widely used for the production of proteins, enzymes, and other valuable compounds.

Precision Fermentation Application Insights

The Precision Fermentation Market segmentation, based on Applications includes Meat & Seafood, Dairy Alternatives, Egg Alternatives, and Others. The Meat & Seafood segment dominated the market, accounting for the above quarter of market revenue.  This is ascribed to the health and environmental benefits associated with reducing meat consumption have led to the development and popularity of meat alternatives.

Figure 1: Precision Fermentation Market, by Application, 2022 & 2032 (USD Billion)

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

Precision Fermentation Regional Insights

By region, the study provides market insights into North America, Europe, Asia-Pacific, and Rest of the World. The North American Precision Fermentation market area will dominate this market. North America, particularly the United States, is a global hub for technological innovation and the development of cutting-edge solutions. The region has been at the forefront of adopting advanced technologies, including precision fermentation, across various industries.

Further, the major countries studied in the market report are The US, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: PRECISION FERMENTATION MARKET SHARE BY REGION 2022 (USD Billion)

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

Europe Precision Fermentation market accounts for the second-largest market share. Europe has stringent environmental regulations and a strong commitment to sustainability. Precision fermentation, with its potential to reduce the environmental impact of various industries, resonates well with the regulatory environment in Europe. Companies in the region are inclined to adopt technologies that align with these regulations, contributing to the dominance of precision fermentation. Further, the German Precision Fermentation market held the largest market share, and the UK Precision Fermentation market was the fastest-growing market in the European region

The Asia-Pacific Precision Fermentation Market is expected to grow at the fastest CAGR from 2023 to 2032. The Asia-Pacific region, with its large and growing population, presents a substantial market for various industries. The rising middle class in countries like China and India is driving increased demand for high-quality and sustainable products. Moreover, China’s Precision Fermentation market held the largest market share, and the Indian Precision Fermentation market was the fastest-growing market in the Asia-Pacific region.

Precision Fermentation Key Market Players & Competitive Insights

Leading market players allocate significant resources to research and development to enhance their product offerings, optimize fermentation processes, and explore new applications across industries. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, Strategic Partnerships and Collaborations, contractual agreements, mergers and acquisitions, Cost Optimization, and investments. To expand and thrive in a more competitive and rising market climate, Precision Fermentation industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Precision Fermentation industry to benefit clients and increase the market sector. In recent years, the Precision Fermentation industry has offered some of the most significant advantages to Consumers. Major players in the Precision Fermentation market, including Change Foods, Geltor, Helania Inc, Formo, FUMI Ingredients, Fybraworks Foods, Imagindairy Ltd, Eden Brew, New Culture, Nourish Ingredients, Perfect Day Inc, and others, are attempting to increase market demand by investing in product development to increase their product line and cater to diverse consumer needs.

Geltor, a pioneering biodesign company, is dedicated to unlocking the full potential of the tree of life. Focused on customer benefits, Geltor has developed an extensive range of designer proteins distinguished by unrivaled biocompatibility and functionality. These proteins, entirely free from animal derivatives and genetically modified organisms (GMOs), are globally scalable and sustainably cultivated. Geltor's commitment to endless curiosity and relentless optimization is evident in their clinically demonstrated products, ensuring high performance. With a strategic emphasis on innovation and sustainability, Geltor stands as a leader in the biodesign industry, providing cutting-edge solutions that align with evolving market demands. In February 2022, Geltor has successfully completed a large-scale manufacturing run of PrimaColl, a bioactive collagen for the food and beverage industry, with zero animal inputs. The 5-month manufacturing process, conducted in partnership with Arxada, concluded in Fall 2021. This achievement highlights Geltor's rapid and effective transition from concept to full-scale production.

Eden Brew redefines milk production, responding to the rising global protein demand by introducing a sustainable approach. Leveraging a natural fermentation process with microorganisms, the company innovatively creates milk, notably cow's milk, while ethically separating the animal from the final product. This groundbreaking method ensures a sustainable future for dairy consumption, addressing the needs of an expanding middle class worldwide. Eden Brew envisions securing a lasting place for dairy on every kitchen table, in cafes, and in every delightful scoop of ice cream. In October 2023, Eden Brew, successfully concluded a Series A funding round, raising $24.4 million. The company's groundbreaking achievement lies in the creation of an "animal-free" casein micelle, a world-first innovation.

Key Companies in the Precision Fermentation market include

• Change Foods


• Geltor


• Helania Inc


• Formo


• FUMI Ingredients


• Fybraworks Foods


• Imagindairy Ltd


• Eden Brew


• New Culture


• Nourish Ingredients


• Perfect Day Inc


• Remilk Ltd


• Shiru Inc


• The Every Co.


• Triton Algae Innovations


• Impossible Foods Inc


• Melt & Marble


• Motif Foodworks, Inc


• Mycorena


• Myco Technology

Precision Fermentation Industry Developments

February 2021: Geltor, a biotech company headquartered in the United States, has unveiled a collaboration with the Japanese beauty company Shiseido. This partnership aims to pioneer the development and commercialization of an array of sustainable, high-performance beauty products utilizing precision fermentation technology.

March 2021: DSM, a Dutch biotech firm, has acquired Biomeva, a precision fermentation company specializing in the production of microbial-based ingredients for the food and beverage industry.

Precision Fermentation Market Segmentation

Precision Fermentation Ingredient Outlook

• Whey & Casein Protein


• Egg White


• Collagen Protein


• Heme Protein


• Enzymes


• Others

Precision Fermentation Fermentation Type Outlook

• Precision Fermentation


• Biomass Fermentation


• Traditional Fermentation

Precision Fermentation Microbe Outlook

• Yeast


• Algae


• Fungi


• Bacteria

Precision Fermentation Application Outlook

• Meat & Seafood


• Dairy Alternatives


• Egg Alternatives


• Others

Precision Fermentation Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


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


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


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