The Global Lactic Acid Market was valued at USD 3.10 Bn in 2020 and is expected to reach USD 6.40 Bn by 2027, with a growing CAGR of 10.9% during the forecast period.
Lactic acid is a colorless, water-soluble, naturally occurring organic acid which has a wide range of applications such as food & beverages, personal care products, biodegradable polymers, chemical, pharmaceutical products, and textile among others. It can be obtained naturally in microorganisms, plants, and animals or can be produced by chemical synthesis or fermentation from petroleum products, coal, and natural gas.
The lactic acid market is majorly experiencing traction owing to the growing product application in several end-use industries. For instance, the pharmaceuticals industry utilizes lactic acid for several applications such as implants, dialysis, pills, controlled drug release systems, and surgical sutures. The cosmetic industry uses lactic acid to manufacture several aesthetic and hygiene products due to its antimicrobial, rejuvenating, and moisturizing effects on the skin. Moreover, the development of new product applications such as the production of biocompatible and biodegradable PLA polymers, oxygenated chemicals, and solvents are also contributing to driving the lactic acid industry demand.
Furthermore, rising investment for expansion of the production capacity by key market players is also offering growth opportunities in the lactic acid market. For instance, in March 2021, Corbion, a Dutch food, and biochemicals company announced a multi-faceted initiative to improve its capacity to produce lactic acid & lactic-acid derivatives through concurrent expansion projects. This expansion is supposed to happen in its four production sites including Rayong (Thailand), Gorinchem (Netherlands), Montmeló (Spain), and Campos (Brazil) having combined production output equivalent to a new production site. Such investments are expected to be instrumental in driving the lactic acid industry growth.
The unique insights provided by this report also include the following:
Based on source, natural source held a major share in the lactic acid market in terms of the global revenue owing to the advantages offered by obtaining lactic acid through natural method over synthetic method
Based on the source, the lactic acid market is fragmented as synthetic and natural. Among these, the natural source segment held a major share in the lactic acid market in terms of global revenue. This high share is mainly attributed to the advantages offered by obtaining lactic acid through natural methods over synthetic methods such as the production of pure isomers, low energy consumption, use of low cost and renewable raw materials, and mild conditions needed for operation. Another major factor driving the demand for this segment is rising incidences of health disorders that have resulted in the growing inclination of consumers towards organic and natural products.
Based on application, the food & beverage industry accounted for the largest share in the lactic acid market owing to the broad spectrum of product applicability in the food industry
Based on application, the lactic acid market is fragmented into food & beverages, biodegradable polymers, personal care products, chemical, textile, pharmaceutical products, and other lactic acid applications. Among these segments, the food & beverages industry accounted for the largest share in the lactic acid market across the globe. This high share is owing to the broad spectrum of product applicability in the food industry. Lactic acid is used as a preservative in pickled vegetables & olive, and as an acidulant in beverages, fruit wine, meat, sourdough, dressings, confectionery, and salads due to its mild acidic taste in comparison to other acids used in food. It is also used as an inhibitor, and flavoring agent, pH regulator in food processing, such as bread, sweets, beer, soft drinks, and other products. Owing to such wide application in the food & beverage industry, the lactic acid market is pegged to garner significant demand in the lactic acid industry over the forecast period.
Based on region, the North America region led the lactic acid industry across the globe due to growing product demand from food and non-food applications
Based on region, the lactic acid industry is divided into Asia-Pacific, North America, Latin America, Middle East and Africa, and Europe. Among these, the North American region led the lactic acid industry across the globe and is anticipated to show a significant growth trend during the forecast period. This share is majorly attributed to the rapidly growing product demand from food and non-food applications including the cosmetic industry, and textile industry among others along with increasing demand for functional & processed food in the region. Moreover, the growing popularity of bio-based beauty products in the region is also increasing the need for lactic acid due to the antimicrobial properties offered by the product. Further, the US has the largest lactic acid plant across the globe named “NatureWorks” which is jointly owned by Cargill and PTT Public Company. All these factors collectively are contributing in driving the lactic acid industry in the region.
The report also provides an in-depth analysis of the market dynamics such as drivers, restraints opportunities, and challenges
Note: Challenges along with in-depth Lactic Acid market dynamics analysis is mentioned in the report.
The coronavirus pandemic has impacted economies and industries around the world and in particular the food & beverage industry. The pandemic has made consumers more concerned regarding maintaining their immunity, contactless activities, and social distancing for protecting themselves from getting exposed to the current pandemic. This has highly influenced and shifted consumers’ choice on several packaged and functional food products that are seeking to offer protective benefits. Additionally, due to the restrictions imposed on public movement by several economies, the bulk purchase stockpiling of food products has become a common phenomenon. Owing to the advantages offered by lactic acid in packaging applications, the growing demand for packaged and functional food is expected to garner significant growth in the coming years.
The report also provides an in-depth analysis of key trends in the Lactic Acid market
The report also provides an in-depth analysis of recent news developments and investments in the Lactic Acid market
The key players operating in the lactic acid industry are:
Priyanka has been writing chemicals & material market research reports for the last 12 years. A post-graduate, her specialization is in the chemicals sector. Preparing end-to-end reports covering minute details for market insights, competitive intelligence and trend analysis in the CMFE sector.
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