market for pea starch is estimated at USD 143 million in 2021; it is projected
to grow at a CAGR of 7.2% to reach USD 203 million by 2026, said
MarketsandMarkets in its latest report. Growth in the demand for pea starch in
the end-user application industries is driving the market growth of pea starch.
Further, increase in the demand for gluten-free products is also a major factor
resulting to the rise in the demand for pea starch.
COVID-19 Impact on the global pea starch Market
COVID-19 had a huge impact on the food supply chain in all regions, including North America, Europe, Asia-Pacific, South America, and the rest of the world. Due to the spread of COVID-19, there has been a growing number of death cases and long-term health impacts. This has resulted in the government imposing severe lockdown regulations, impacting all aspects of the economy. Governments around the world have developed policies for responding to the various impacts caused by COVID-19 for avoiding supply chain disruptions, higher raw material prices, and severe economic fallout for employees. Europe and Asia Pacific are some of the major regions that are significantly impacted by the COVID-19 scenario. This is because of the huge number of cases recorded in the regions, especially in the countries such as Spain, Italy, France, Germany in Europe and Japan, China, and South Korea in Asia Pacific. Companies in different countries are coming up with innovative technologies that are friendly to the environment and protect the pea starch end user products from any kind of contamination with germs.
Pea starch Market Dynamics
Pea starch is widely used in the textile industry for textile sizing and cotton yarns. Due to the easy de-sizing and various properties, starches from the adhesive component can be customized according to the requirement during the process of size mix. Furthermore, pea starches are cost-effective in comparison with other alternatives, such as corn, wheat, and potato starch, and also possess relatively similar chemical properties to cotton and rayon. The global textile industry has witnessed growth in recent years due to the abundant supply of raw materials such as wool, cotton, jute, and silk. Pea starch is widely used for finishing or sizing the cloth after it is woven, wrap sizing preparatory to weaving, and printing some types of fabrics. It is also used in higher quantities for laundering in both home and commercial institutions. Thus, the increase in the usage of pea starch in the textile industry is projected to drive the market growth.
Pea starch acts as a potential food ingredient with 30%–60% dry weight. Pea starches contain a higher percentage of amylose in comparison with other starches. It has numerous beneficial properties, such as high resistance to shear-thinning and high gelatinization temperature, high elasticity of gel, and fast retrogradation. Food products, such as gluten-free noodles sausages and meat products, need high elasticity of gel and fast retrogradation. Furthermore, for extruded snacks and canned foods, the resistance of starch pastes to shear thinning at high temperatures is important. Pea starch is an efficient raw material for improving the consistency and texture of food products.
Decrease in the production of dry pea
The major raw material for pea starch is dry peas. If the production experiences a decline in a curve, it can result in fluctuations in the price range of pea starch. With the fluctuations in the raw material, the manufacturers can switch to other substitutes of pea starch for the same functional benefits. Hence, the decrease in the production of pea starch is a major restraint to the pea starch market.
Rise in the demand from the pet food industry
The pet food market is driven by two primary trends globally. These trends are premiumization and humanization. There is a growing trend of pet humanization as a “family member” among owners. Due to this, there is a rise in demand for premium pet food with nutritional benefits, better digestibility, and improved ingredient quality for pets. Considering this changing human tendency, the major players, such as Ingredion (US), are including pea starch as an ingredient in their products. Pea starch is a source of carbohydrates in pet food. It contains thickening and gelling properties, which enhance the palatability and quality of the kibble. Pea starch offers lactose-free, gluten-free, and allergen-free solutions while also working as an effective binder in pet food products. With the increase in consumption of pet food products, the demand for pea starch as an important ingredient is projected to grow in the coming years.
Threat of substitute starches
Pea starch has numerous substitutes in the market, such as banana starch, cassava starch, and sweet potato starch. These starches also come under the category of resistant starch. They help in resisting the digestion in the gut. This results in numerous health benefits, such as improved absorption of nutrients, which acts as a prebiotic for supporting gut health. This helps in increasing metabolism with improving weight loss. Due to these numerous benefits, the pea starch market could face challenges in the coming years. Furthermore, cassava starch is witnessing high demand due to its easy availability and numerous applications in the food and non-food industries, such as adhesive, pharmaceutical, paper, and textile. The rise in demand for cassava starch can be a major challenge for the pea starch market.
Key Market Players
Key players providing pea starch industry include major players such as Yantai Shuangta Food Co., Ltd. (China), AGT Food and Ingredients (Canada), Emsland Group (Germany), Cosucra Groupe Warcoing SA (Belgium), Roquette Frères (France), Ingredion Incorporated (US), and Axiom Foods Inc. (US) among others
These major players in this market are focusing on increasing their presence through expansions & investments, mergers & acquisitions, partnerships, joint ventures, and agreements. These companies have a strong presence in North America, Asia Pacific and Europe. They also have manufacturing facilities along with strong distribution networks across these regions.