Modified Starch Market

SKU: DM2206 | Last Updated On: Aug 12 2022 | Available Formats

> Global Modified Starch Market Expected to reach a high CAGR of 3.2% By 2029: DataM Intelligence

Global Modified Starch Market is segmented By Type (Pregelatinized Starch, Oxidized Starch, Cationic Starch, Anionic Starch, Cross-Linked Starch, Thinned Starch, Acetylated Starch, Dextrin, Starch Ethers, Physically Modified Starch, Enzymatically Modified Starch, Others), By Source (Corn, Tapioca, Wheat, Potato, Cassava, Others), By Application (Thickening Agent, Stabilizer, Disintegrant, Binding Agent, Emulsifier, Others), By End-Use Industry (Food & Beverages, Pharmaceuticals, Cosmetics, Textile Industry, Animal Feed, Plastic Industry, Others), By Region (North America, Europe, South America, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2022-2029

 

Market Overview

The global "modified starch market" is estimated to reach a high CAGR 3.2% during the forecast period 2021-2028.

Starch is considered one of the most abundant organic compounds available in nature and is used extensively in a broad spectrum of applications ranging from food, pharmaceutical, personal care, and industrial. However, starch is structurally weak and is unsuitable or ineffective for use in most of these applications in its inherent forms, thus resulting in modification of its properties. Modified starches are carbohydrates that are derived from native starches through physical, chemical, or enzymatic modification processes.

Market Dynamics

Growth in the functional food sector: Supporting the market growth

The growth of the modified starch market is mainly attributable to the food and beverage industry. The rising demand for functional foods across the globe is the key factor for the growth of the modified starch market. Modified starches are considered a major functional ingredient in the preparation of functional food and beverages, fortified foods, and medical foods. The rising demand for functional foods such as yogurt, protein shakes, and fortified salads and the utilization of modified starches as fat replacers in these products is likely to provide growth. The global functional food market is estimated to witness a lucrative growth of over 8% to reach $480 billion by the end of 2024. An increase in obesity across the world will further drive the functional food market owing to the fat-replacing property, in turn driving the modified starch market. The U.S. adult obesity rate stands at 42.4 percent, an increase of 26% from 2008. Furthermore, modified starches are also used as excipients in several pharmaceutical formulations. The high stability and thickening properties of starch made it a key ingredient in cosmetics, textile, paper, and several other industrial applications. The growth of these industries is also supporting the demand for modified starches.

The effect of the clean label: Hindering the use of modified starch

The growing consumer demand for clean label products is limiting the growth of the modified starch market. The clean label evolved as a critical purchase factor for food and beverages across the globe. According to BENEO-Remy NV, a Belgium-based functional ingredients manufacturer, nearly 65% of American consumers are preferring food products derived from natural ingredients over their chemically modified counterparts. This is motivating the food manufacturers to reconsider and eliminate the utilization of modified starch in their food formulations. Furthermore, several modified starch manufacturers are focusing on the innovation of native functional starches that mimic the properties of modified starches. These starches enable food processors to gain clean label claims on their products.

  • In June 2019, Ingredion Incorporated expanded its NOVATION Lumina functional native starches portfolio with new clean label texturizers. Back in May 2016, the company launched NOVATION PRIMA 340 and 350, two new functional native starches with increased cold shelf-life stability that is suitable for use in frozen and instant foods
  • In July 2018, BENEO introduced Remypure S52, a new clean label rice starch with improved functional performance as modified starch, and upgraded it to Remypure S52 P, the first ever instant functional rice starch for clean label applications, in December 2020.

Covid-19 Impact Analysis

While the global trade came to halt during the lockdowns imposed to control the spread of novel coronavirus, the food industry has been impacted by severe freight challenges. Most of the food categories including modified starch witnessed a decline in sales volume due to lack of demand and supply chain disruptions. The sales declined in the food industry, particularly in food service and HoReCas. This weakened business in the global food industry imposed a negative impact on the modified starch market.

According to TFAH, obesity is one of the underlying health conditions associated with the most serious consequences of COVID infection. 78% of U.S. patients hospitalized with COVID-19 were overweight or had obesity. Functional foods are known to be fat replacers which will drive the market post the lockdowns. However, general consciousness in food selection, favoring plant-grown foods, among households is expected to hinder the growth post the pandemic

Market Segmentation

By modified starch type, Cross-linked starch is the most important modification from that used in the food industry. It involves the replacement of hydrogen bonds present between starch chains by stronger, permanent covalent bonds. Cross-linked starches offer acid, heat, and shear stability over the native starch. Food with this type of starch processing tends to have a longer shelf life. Oxidized starches are the best thickener for applications requiring gels of low rigidity while cationic starch is used in the paper industry.

Food and Beverages dominate in the end-user segment. Modified starches have higher shelf life compared with natural starch which results in extensive usage in bakery and confectionery foods, frozen foods, instant foods, snacks, etc., Corn dominates the market by raw material, owing to its extensive use as a staple food in many regions and the usage of modified starch as a thickening agent in liquid foods like soups, sauces, etc.,

Geographical Penetration

By geography, the global modified starch market is segmented into North America, South America, Europe, Asia Pacific, Middle East, and Africa. North America is the leading global modified starch market currently but the Asia Pacific is expected to grow at a rapid pace owing to the rise in the food industry in this region, especially targeted foods. development and increasing purchasing power and awareness along with the increasing food demand is the reason for expected rapid growth in this region.

The USA leads the production of corn, which is the dominant raw material for modified starch, with 360,252 tons in 2020 followed by China’s 260,670 tons. Along with the development and purchasing power, spending on Innovation and R&D keeps North America on top of the modified starch market. According to AAAS 2018 research, Integration of the Arabidopsis Flowering Locust gene in the genome-editing cassette allowed to accelerate flowering in the ex-situ breeding of GBSS- and PTST1-edited cassava for modified starch. Recent developments in Octenyl succinic anhydride modified starches are yielding a hydrocolloid with amphiphilic properties, finding application in the food industry mainly as an emulsifier, encapsulating agent, and fat replacer. However, consumer demand for clean label products will hinder the growth in this region

Competitive Landscape

The global modified starch market is fragmented with many local companies but the developed countries' markets are dominated by top international companies like Ingredion Incorporated, Cargill, Incorporated, Tate & Lyle PLC, Avebe U.A., BENEO-Remy NV, The Archer Daniels Midland Company, Roquette Frères. The market is highly competitive in terms of new product developments, acquisitions, and joint ventures.

Tate and Lyle PLC:

Tate & Lyle PLC is the British headquartered holding company for an international group of companies that produces and markets ingredients and solutions for the food, beverage, industrials, and agriculture industries around the world. It operates in 120 countries with 4218 employees and 18 application and technical service labs globally

Product Portfolio of Tate & Lyle PLC:

nutritive sweeteners

industrial starches

ethanol

acidulants

animal feed

  • Tate & Lyle, on 10 Feb 2021, announced that it had completed the acquisition of an 85% shareholding in Chaodee Modified Starch Co., Ltd., a well-established tapioca modified food starch manufacturer located in Thailand, expanding its manufacturing footprint in the higher growth the Asia Pacific region
  • After unveiling CLARIA Functional Clean-Label Starches in September 2014, Tate and Lyle further expanded its product line with the introduction of CLARIA Instant 340 and 360 in August 2017 to meet the growing demand for label-friendly ingredients in food processing. Now in march 2021, announced the introduction of CLARIA EVERLAST, the most recent addition to its line of CLARIA Clean Label Starches.

Other key players include Global Bio-chem Technology Group Company Limited, Angel Starch & Food Pvt Ltd, Emsland Group, The Agrana Group

Why Purchase the Report?

  • Visualize the composition of the global modified starch market across each indication, in terms of type, application, end-use industry, and source highlighting the key commercial assets and major players.
  • Understand the impact of clean label, organic, low-fat, and several other claims on the modified starch market
  • Identify the potential opportunities and growth segments for modified starch within and beyond the food and beverages industry
  • Gain market knowledge on product innovations and business expansion strategies of key market players

Trending Topics

Starch Blends Biodegradable Plastic Market

Starch Derivatives Market

Pea Starch Market

Did not find what you were looking for?Every 7 out of 10 customers request tailored reports. Get yours today!
We collate your requirements.
Our global research team is put into action.
We deliver, and make sure your endeavour is a success!

Buy This Report



Note*: For "Bundle/Bulk" Subscription of Reports,
please contact: [email protected]

Get your free sample proposal with a single click!

linkedinpinterest