Phospholipids are obtained from oilseed such as sunflower, rapeseed, and soy. The abundant availability of phospholipids and increasing demand in cosmetics, hair care, pharmaceutical, and nutraceutical industries will aid expansion of the market, finds Future Market Insights (FMI) in a new study. According to the report, the phospholipids market will reach US$ 2.85 Bn in 2021.

The multi-functional nature of phospholipids is expected to fuel demand in various end-use industries. Its emulsifying property is driving food and industrial application. Increasing consumption of bakery products like breads, pastries and cupcakes is will fuel the demand for phospholipids.

Rising concern towards healthy lifestyle and increasing demand of nutritious food and beverage will create growth opportunities. Phospholipid act as emulsifier in the production of processed meat such as salami, sausages and ready to eat meal.

The cosmetic and pharmaceutical manufacturers prefer soy phospholipid for its blending property. Nutraceutical segment is expected to showcase increasing application. According to FMI, over 40% of phospholipids sales will concentrate in this sector.

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Key Takeaways from Phospholipids Market Study

  • Phospholipids market will exhibit string growth at a CAGR of 7.4% between 2021 and 2031
  • Expansion of pharmaceutical and nutraceutical sectors will support growth in the U.S., enabling it to account for over 78% of North America market
  • The U.K. market will expand at a steady pace, registering a little above 4% y-o-y growth in 2021
  • Germany and France will emerge as lucrative markets for phospholipids in Europe
  • China will account for over half of phospholipids sold in East Asia, followed by Japan and South Korea

“Market players are expected to explore opportunities across diverse industries. Cosmetics industry, for instance, will emerge as a chief end user. The rising demand for ingredients derived from natural sources will fuel phospholipids applications within the sector,” said a lead analyst at FMI.

Application in Diverse Sectors will Drive Sales

Phospholipid is used as an essential ingredient in infant formula. It contains omega-3, omega-6 and fatty acid. It is getting increasingly popular as an ingredient in infant supplementary industry.

The demand of phospholipids is increasing due to its application in different sectors. It is often used as an ingredient in the production of hair conditioner, moisturizer, infant formula, and other products.  Phospholipid are widely used in pharmaceutical product such as in oral, dermal, and parenteral products.

Who is winning?

Some of the key players operating in the phospholipid market are VAV Life Science Pvt. Ltd., Avanti Polar Lipids Inc., ADM, Stern-Wywiol Gruppe, Wilmar International Ltd., Cargill Inc., Lasenor Emul SL, DuPont Inc., Bunge Ltd., SojaProtein a.d., Lipoid Gmbh, Sime Barby Unimills B.V, Kewpie Corporation, Lecico GmnH and many more. Key players are adopting strategies such as new product development, acquisition, and strategic collaborations to gain competitive edge.

  • For instance, in 2017 Merck made multinational distribution agreement with Avanti Polar Lipids. This agreement includes all worldwide geographies except US, where Avanti will reach consumers through its own channels.
  • In 2019, Avril has acquired a German company specialized in phospholipid and lecithins, Lecico to expand its product portfolio for nutrition and health business.
  • In 2017, VAV Life Science has inaugurated it manufacturing facility in Ratnagiri, Maharashtra. The facility is set up in India due to emerging application of phospholipids in pharmaceuticals, functional food, cosmetic and nutritional supplements.
  • In Jan 2021, Fonterra has launched milk phospholipid in US market. This product is launched with aim of expanding the product portfolio into mental wellness space.

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Get Valuable Insights into Phospholipid Market

Future Market Insights, in its new report, presents an unbiased analysis of the phospholipid market, covering historical demand data 2016-2020 and forecast figures for the period between 2021 and 2031. The study divulges compelling insights into the growth witnessed in the market. Based on the phospholipid Market based on product type, has been classified into phospholipid. The phospholipid is classified on the basis of application and function. Regionally, the phospholipid market covers North America, Latin America, Europe, East Asia, South Asia, Oceania and MEA.

About FMI

Future Market Insights (FMI) is a leading provider of market intelligence and consulting services, serving clients in over 150 countries. FMI is headquartered in Dubai, the global financial capital, and has delivery centers in the U.S. and India. FMI’s latest market research reports and industry analysis help businesses navigate challenges and make critical decisions with confidence and clarity amidst breakneck competition. Our customized and syndicated market research reports deliver actionable insights that drive sustainable growth. A team of expert-led analysts at FMI continuously tracks emerging trends and events in a broad range of industries to ensure that our clients prepare for the evolving needs of their consumers.