The global phospholipids market size is pegged at US$ 3.8 billion in 2022. The same is projected to increase at a steady annual growth rate of 8.3 percent during the forecast period to reach US$ 7.8 billion by 2032. Their application in the mRNA vaccines and medication delivery systems will also continue fueling demand for phospholipids.
With the U.S. holding an absolute dollar opportunity of US$ 1.3 billion and a projected market size of US $2.8 billion by 2032, growing at a CAGR of 7.7%, it forms the hub of global demand. The outbreak of COVID-19 led the U.S. government to start aiding many phospholipid producers to increase lipid production in the country. The FDA issues a GRAS affirmation for lecithin. For instance, BARDA, along with other agencies, announced agreements with Croda International Plc and Evonik Industries for enhancing lipid synthesis for mRNA vaccines.
Key Findings of Phospholipids
The global phospholipids market is expected to grow significantly during the forecast period due to increasing demand from the food, cosmetic, and pharmaceutical industries. This would be mainly fueled by rising awareness about phospholipid-based products and an increase in the number of health-conscious consumers, ultimately leading to growing demand for dietary supplements. Key players in the polar lipids market include Avanti Polar Lipids, Lipoid GmbH, Kowa Company, Ltd., Lipoid LLC, and BASF SE. Each has modernized strategies that improve their presence in the market, such as launching new products, expansions, mergers and acquisitions, and collaborations.
One can expect Asia-Pacific to be the market where phospholipids will grow maximally, due to the increase in the pace of growth in regional food, pharmaceutical, and cosmetic industries. Another cause fueling growth in this region is enhanced customer awareness towards health enhancement products. The key players keep changing themselves with continuous change in the market scenario through such strategic initiatives that allow them to leverage on emerging opportunities. This would be important in sustaining a competitive advantage while attending to the different needs of various consumers spread across the globe, thereby assuring continuous market growth and innovation in the phospholipids sector.
List of Key Companies Profiled in The Report
Archer Daniels Midland Company
Croda International Plc.
Bunge Ltd.
Cargill, Inc.
Kewpie Corporation
Lasenor Emul SL
Lecico GmbH
Lipoid GmbH
Sime Darby Unimills B.V.
SojaProtein a.d.
Stern-Wywiol Gruppe
VAV Life Sciences Pvt. Ltd.
Wilmar International Ltd.
Others
Country-wise Insights
The phospholipids market is highly developed in the U.S. itself, with a CAGR of 5.5% and an absolute dollar opportunity of US$ 1.3 billion. Considering this, the market size is likely to grow to US$ 2.8 billion by the end of 2032 at a CAGR of 7.7%. This has been supported well by the fact that the FDA confirmed lecithin under its GRAS category. In June 2022, Croda International Plc signed an agreement with the US government in order to increase its manufacturing capacity for Lipid Systems used in Novel Drug Delivery. Under this collaboration, the US government will provide US$ 75 million of the investment and US$ 58 million by Croda for a new lipid facility. This is a joint award between BARDA, the US Department of Health and Human Services, and the US Department of Defense's Joint Program Executive Office for Chemical, Biological, Radiological, and Nuclear Defence.
Competitive Landscape
Phospholipid manufacturers are expanding capacities to cater to increasing demand in various applications. Some of the recent developments include strategic initiatives and product launches. In June 2022, LECICO GmbH of Germany developed LIPAMINE PC 30 P IP, a soy-based phospholipid for use in nutraceuticals and pharmaceuticals. In the same month, Evonik Industries agreed with the US government to reinforce the production of lipids for mRNA therapeutics, including COVID vaccines, and an investment of US$ 220 million. In November 2021, Bunge Loders Croklaan announced a new facility to be developed at the Port of Amsterdam, expected to be ready in 2024. Importantly, in April 2021, VAV Lifesciences entered into a supply agreement through its subsidiary, VAV Lipids, with a US-based CDMO for phospholipids used in mRNA-based COVID vaccines to companies such as Pfizer-BioNTech and Moderna. In March 2021, Lecico signed an exclusive North American distribution agreement with Ciranda. In January 2021, Fonterra Co-Operative Group Limited launched milk phospholipids extracted from non-GMO/rBST-free cows that are fed only with grass and target mental stress relief and nutraceuticals. These developments underscore the competitive landscape and continuous innovation in the phospholipids market.
