de-oiled lecithin market

Global De-oiled Lecithin Market Size (2024 to 2029)

The size of the global de-oiled lecithin market is expected to be worth USD 238 million in 2024 and grow at a CAGR of 7.90% from 2024 to 2029 to achieve USD 348.08 million by 2029.

De-oiled lecithin is a food additive with a neutral color, and it is mainly derived from sunflower or soyabean oil and egg. De-oiled lecithin is separated from the oil and comes in powdered or granular form. It is a natural emulsifier that helps in the blending of substances with oil and water bases. It is commonly used as a stabilizer or emulsifier in food and beverage, cosmetics, and medications. It can increase the overall quality of various food products, including chocolates, baked goods, dairy substitutes, and sauces, and also provides texture and prevents component separation. De-oiled lecithin is considered a safe and adaptable ingredient that helps to produce various foods, beverages, medications, etc.

Recent Developments in the De-oiled Lecithin Industry

• In June 2021, Bunge Limited and the IMCD Group BV signed a contract. The agreement permitted IMCD Group BV to distribute the whole BungeMaxx lecithin line in Austria, Belgium, Denmark, France, Germany, Ireland, Italy, The Netherlands, Norway, Sweden, Switzerland, and the United Kingdom. Additionally, this partnership satisfies the customer's preference for natural emulsifiers of the highest quality and enables continued expansion into important market segments in the European food industry.
• In March 2021, In North America, Lecico and Ciranda established a distribution partnership for lecithin and phospholipids. The partnership focuses on clean-label food trends and regional commercial and technical support.

REPORT COVERAGE

Drivers

The major driver of the market is the increasing awareness of health and well-being. There is an increased awareness of healthy life among consumers, and they don't want foods that are unhealthy. The de-oiled lecithin is with less fat as it is made by taking out the fat from lecithin, but it still works well when mixed in. Hence health conscious people are getting attracted to it and mainly prefer to consume it. Hence, de-oiled lecithin is a good option for health-conscious people who want to reduce fat but want their food with a good taste and texture. This is driving the market demand.

The increasing demand for natural and clean-label products among consumers is driving the de-oiled lecithin market demand. As people are becoming more health conscious, they are avoiding food with a mixture of artificial ingredients. De-oiled lecithin is produced from plants like soybeans or sunflowers. Hence it is purely natural. It does the same job as synthetic emulsifiers that helps the mixing of oil and water in the food, so instead of using synthetic emulsifiers, people prefer natural de-oiled lecithin. This attribute is significantly influencing the shares of the market.

The increased use of de-oiled lecithin in various industries for different purposes drives the expansion of the market size. It helps in enhancing the stability and texture of products like chocolates, baked goods, and sauces in the food and beverage industry. It can be used as an ingredient in pharmaceutical products or dietary supplements. It is used by the cosmetics industry to make creams and lotions smoother and simpler to apply to the skin. De-oiled lecithin can be added to animal feed to increase the feed's nutritional value and digestibility. De-oiled lecithin is therefore preferred by businesses in various industries as it is adaptable and enhances their products due to its various uses. This is majorly influencing the shares of the market.

Restraints

One of the major restraints of the market is the fluctuating prices of raw materials. The prices of the main ingredients, such as sunflower or soybean, that are used in the process of producing de-oiled lecithin directly affect the cost of de-oiled lecithin. It can be challenging for manufacturers to produce products using de-oiled lecithin when prices are unexpectedly fluctuating. It can also make it more difficult for them to sell the products for a consistent price. This attribute can slow down the growth of the market.

Another restraint to the market is the high production processing costs of de-oiled lecithin. To produce de-oiled lecithin, the oil must be removed from the lecithin, which requires specialized tools and technology. Compared to lecithin produced using normal methods, this extraction procedure can be more difficult and expensive. The use of advanced technologies to produce de-oiled lecithin can be costly and becomes less affordable for small businesses with limited resources, and this attribute is restraining the growth of the market.

Opportunities

The changing lifestyle of consumers is offering a growth opportunity for the market. As the lifestyle of people is changing, there is an increased demand for healthier and more functional food products as a result of growing health consciousness among consumers. De-oiled lecithin is with low-fat content and more nutritional values, which can be the best fit for these consumers' changing preferences towards healthy and natural food products. This presents a great opportunity for market growth.

The expansion of new markets is offering several growth opportunities for the de-oiled lecithin market growth. De-oiled lecithin producers can meet the demands of various regions by diversifying their markets by entering domestic as well as international markets. There is a wide application of de-oiled lecithin in various industries such as food & beverages, pharmaceuticals, cosmetics, etc. Companies may expand their consumer base and improve their market position by focusing on these new markets and leveraging export potential. This is a significant opportunity for the market size expansion.

De-oiled Lecithin Market Segmentation Analysis

By Source

• Soybean
• Sunflower
• Rapeseed & Canola
• Eggs

The soybean segment is anticipated to dominate the market share. De-oiled soybean lecithin is a commonly used product because soybeans are a widely grown, easily available, and useful crop. It has beneficial features and can be used in various fields, such as animal feed, pharmaceuticals, cosmetics, and food and beverage. It helps in preserving the flavors of food and is used as a lubricant and emulsifier in food products. All these attributes are influencing the demand for this segment. However, the sunflower segment is expected to grow at the fastest CAGR in the coming years. The de-oiled sunflower lecithin is a common substitute for the de-oiled soybean lecithin, especially in the regions where sunflower is dominantly grown. Also, it has emulsifying qualities and gives numerous product functionality. This is influencing the market demand for this segment.

By Form

• Powder
• Granules

The powder form is ruling the market with the largest market share. The powdered de-oiled lecithin is widely used in various dry recipes like baking mixes, protein powders, or dietary supplements as it has excellent solubility and is easy to handle in the food processes. At the same time, the granules form is expected to grow significantly during the forecast period. Because the granular form is more convenient for manufacturers during production processes due to the better ability to move. This is increasing the demand for this segment.

By Application

• Food & Beverages
• Feed
• Industrial and Healthcare Products

The food and beverages segment is leading the market share during the projected period. It is used as an emulsifier and stabilizer in food products, including beverages, chocolates, confectionery, baked goods, sauces, dressings, and dairy alternatives. In food and beverage compositions, de-oiled lecithin helps in texture improvement, enhances flavor, and extends shelf life. These attributes are contributing to a de-oiled lecithin market size expansion. However, the feed segment is expected to grow at a fast rate. As it helps in enhancing growth and digestibility and contributes to overall animal health. It is frequently used in the preparation of feed for animals, poultry, fish, and pets. This is boosting the market demand.

By Region Analysis

The Asia Pacific region is anticipated to dominate the market in the upcoming years. Owing to the large production of raw materials such as soybean and sunflower in the countries like India, China, etc. Also, with the region's growing food and beverage industry and increasing awareness of consumer health, Asia Pacific is leading the de-oiled lecithin market. However, the North American region is expected to grow at the fastest CAGR during the projected period. The presence of a significant customer base for the de-oiled lecithin market in this region is due to the region's developed food and beverage industry and increasing need for natural ingredients.

Key Players in the Market

Major Key Players in the Global De-oiled Lecithin Market are

• Lipoid GmbH
• DuPont de Nemours, Inc
• Wilmar International
• Cargill Inc.
• Archer Daniels Midland Company
• American Lecithin Company.
• Bunge
• Sonic Biotech
• Avril Group