China Starch and Starch Derivatives Market

China Starch and Starch Derivatives Market (2023 - 2028):

The China Starch and Starch Derivatives Market was at US$ xx million in 2022, and it is predicted that it will reach a valuation of US$ xx million by the end of 2028 with an annual expansion rate (CAGR) of xx% between 2023 and 2028.

Market Overview:

Starch and Starch Derivatives, also known as modified starch, are manufactured by enzymatic, physical or chemical treatment to alter the properties of natural starch. It is used by various companies for different functions. Starch derivatives are products that are obtained by processing starch. Starch in its original form has very limited applications. However, when starch is processed by chemical or hydrolytic processes, enzymatic treatment, the properties of the derived product are improved, and its range of application is expanded. Starch and Starch Derivatives can be of various types depending on the needs of industries such as textile fabrics, paper, food and beverages, adhesive production, biofuels, animal feed, fermentation, pharmaceutical and cosmetic industries. It is expected to drive the growth of the China Starch and Starch Derivatives market as it is easily integrated into a variety of foods and the growing demand for adhesives in the industrial sector. The increasing need for binders, stabilizers, emulsifiers and thickeners will drive the growth of the industry in the coming years.

Recent Developments:

In July 2019, Cargill invested $ 200 million in tis Krefeld. This step allows the company to respond to the changing market and the growing demand for industrial starch in the packaging industry.

Market Growth:

Increasing attendance and demand for beverages, population growth, and per capita income are some of the key factors driving the growth of the China Starch and Starch Derivatives market.

Drivers:

Advances in new technologies and innovative experiments in the food and beverage sector are increasing the integration of starch derivatives in various industries. The demand for natural and modified starches in food is increasing with increasing use in the frozen food subsector, which is expected to occupy a dominant share in food applications, and is experiencing significant growth due to further integration in a wide range of food products. It offers application and cost efficiency along with the improved characteristics it offers compared to native starch. The Asia Pacific sector, especially China will dominate the market due to the high production of processed foods. The abundant supply of raw materials, the integrated supply chain and the diversified use of starch throughout the end-user industry have been the main factors driving the country's market demand. Starch derivatives have improved functional properties suitable for a variety of food and non-food applications. Starch and Starch Derivatives provide essential texture for food ingredients due to their ability to absorb moisture and become bulky. This is a great alternative to fat. Starch is also one of the important factors that consumers accept in food, which is why its texture is used as a thickener or gelling agent in food. Advances in the technology in China Starch and Starch Derivatives business have resulted in a variety of ingredients that can be customized to solve most manufacturing problems. Market growth is increasing with the rising need for starch derivatives as emulsifiers, thickeners, binders, and stabilizers. They are increasingly used in the manufacturing, adhesives, paper and biofuel industries to contribute to market growth. Starch derivatives are also widely consumed in puddings, noodles, pie fillings, custards, salad dressings, pasta, sauces, soups, and juices. Food and beverages account for 54% of the market for starch derivatives, and starch derivatives form gelling agents, emulsifiers, thickeners and film-forming additives in the food industry. China population growth and rising levels of disposable income drive demand for food, and the use of starch derivatives to utilize starch derivatives in the food and beverage industry. Shifting consumer concerns about health, healthy appetite, and nutrition are likely to accelerate the China Starch and Starch Derivatives market growth. The increasing application of starch derivatives as a natural sweetener for soft drinks and non-carbonated energy drinks is supposed to accelerated the demand in the China Starch and Starch Derivatives business in the future. Increasing consumer concern for health and nutrition, along with changing preferences for a healthy appetite, will help expand the China Starch and Starch Derivatives market. An increase in demand for natural sweeteners in energy drinks and non-carbonated soft drinks will increase penetration during the forecast period. Increased use of ingredients in various fields, such as paper, biofuel manufacturing, and adhesives, can offset market penetration.

Restraints:

The implementation of biofuel policies and the increase in the prices of raw materials are some of the factors that hinder the growth of the China Starch and Starch Derivatives market. One of the key factors slowing the growth of the China Starch and Starch Derivatives market is the high R&D cost associated with the extraction and production of Starch and Starch Derivatives. The lack of adequate investment is hampering the growth of the China Starch and Starch Derivatives market.

China Starch and Starch Derivatives Market Segmentation Analysis:

In terms of raw materials, corn dominated the market for China Starch and Starch Derivatives. Corn is finding huge demand around the world due to its importance in the diets of several nations.

By type, glucose syrup dominated the market for China Starch and Starch Derivatives. Glucose syrup has become an integral part of various food and non-food applications. It is also used in the pharmaceutical industry.

By application, the China Starch and Starch Derivatives market is segmented into food and beverages, industry and feed. Food and beverages are classified into confectionery products, processed foods and beverages, and include snacks and soups. Starch derivatives have been developed over a considerable period of time and their application in the food and beverage industry is increasingly important. They are having usage in numerous food applications because of their functional characteristics.

Regional Analysis:

China is a major market for Starch and Starch Derivatives in Asia Pacific and is expected to achieve the highest growth rates in the near future. The demand for Starch and Starch Derivatives is growing in China, with the fastest growth rate in the world.

Key Players in the Market:

Key players operating in the China Starch and Starch Derivatives market include AGRANA Investment Corp, Cargill Incorporated, AVEBE and Archer Daniels Midland Company.