Glutamic Acid Market Report

Market Insights

The glutamic acid market was estimated at US$ 9.9 billion in 2021 and is expected to grow at a CAGR of 5% during 2022-2028 to reach US$ 13.3 billion by 2028.

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What is Glutamic Acid?

Glutamic acid, also known as L-glutamic acid, is an amino acid that is used in the food, pharmaceutical, and cosmetic industries. It is a non-essential amino acid, meaning that the body can produce it on its own, but it is also found in many foods such as meat, fish, eggs, and dairy products.

Market Drivers:

The global glutamic acid market is driven by its increasing use in the food industry as a flavor enhancer. Glutamic acid is the main component of monosodium glutamate (MSG), which is widely used in many processed foods, snacks, and condiments to enhance their flavor. The growing demand for processed foods, particularly in emerging economies, is driving the growth of the glutamic acid market.

In addition to its use in the food industry, glutamic acid is also used in the pharmaceutical industry as a component of certain drugs and supplements. It is also used in the cosmetic industry as a skin conditioning agent and as an ingredient in hair care products.

The glutamic acid market is expected to grow steadily in the coming years, driven by the increasing demand for processed foods and the growing awareness about the health benefits of amino acids. However, the market is also facing challenges such as strict regulations on the use of additives in food products and the negative perception of some consumers towards MSG and other food additives.

COVID-19 Impact:

The COVID-19 pandemic has had a mixed impact on the glutamic acid market. On one hand, the demand for processed foods and snacks, which are the main applications of glutamic acid as a flavor enhancer, has increased as consumers are spending more time at home and are looking for convenient food options. This has led to an increase in the demand for glutamic acid in the food industry.

However, the pandemic has also disrupted the global supply chain, leading to challenges in the production and transportation of glutamic acid. The lockdowns and restrictions on movement imposed by governments to control the spread of the virus have led to delays and disruptions in the production and shipment of glutamic acid.

Moreover, the pandemic has also resulted in a shift in consumer preferences towards healthier and more natural food options, which may negatively impact the demand for processed foods and snacks in the long run. This could have an indirect impact on the demand for glutamic acid as a flavor enhancer.

Overall, the impact of the COVID-19 pandemic on the glutamic acid market is mixed, with both positive and negative factors affecting the market. The market is expected to recover gradually as the global economy recovers from the pandemic and the demand for processed foods and snacks returns to pre-pandemic levels. However, the long-term impact of the pandemic on consumer preferences and the food industry remains to be seen.

Investment in the Glutamic Acid Market:

Investing in the glutamic acid market can provide opportunities for investors to gain exposure to the growth potential of the industry. Some examples of investments in the glutamic acid market are:

• Expansion: CJ Bio America, a subsidiary of South Korean conglomerate CJ CheilJedang, announced in 2020 that it will invest $51 million to expand its production capacity of amino acids, including glutamic acid, in its plant in Fort Dodge, Iowa.
• Product Development: Chinese biotech company Meihua Holdings Group Co., Ltd. is investing $400 million in a new production plant for amino acids, including glutamic acid, in Zhangjiagang, China. The plant will have an annual production capacity of 100,000 tons of amino acids.
• Expansion: Kyowa Hakko Bio Co., Ltd., a Japanese biotech company, is investing $50 million to expand its production capacity of amino acids, including glutamic acid, in its plant in Yamaguchi, Japan.
• Expansion: Fufeng Group Limited, a Chinese company that produces amino acids and other food additives, has announced plans to invest $90 million to expand its production capacity of amino acids, including glutamic acid, in its plant in Xinjiang, China.

These investments reflect the growing demand for glutamic acid and other amino acids in various industries, including the food, pharmaceutical, and cosmetic industries, and the need to increase production capacity to meet this demand. The investments also demonstrate the potential for growth in the glutamic acid market in the coming years

Key Players

Some of the key players in the glutamic acid market include:

• Ajinomoto Co., Inc
• AMINO GmbH
• BASF SE
• Cargill, Inc.
• Evonik Industries AG
• Fufeng Group Company Limited:
• Haihang Industry
• Hefei TNJ Chemical Industry Co., Ltd
• KYOWA HAKKO BIO CO.LTD
• Medinex
• Meihua Holdings Group Co., Ltd.
• Novus International, Inc.
• Sichuan Tongsheng Amino acid Co., Ltd
• Wuhan Amino Acid Bio-Chemical Co., Ltd

Segment Analysis

End Use Industry Type

The market is segmented into Pharmaceutical, Cosmetics and Personal Care, Food Industry, and others). The food industry is the largest end-use industry for glutamic acid. Glutamic acid is used as a flavor enhancer in many processed foods, snacks, and condiments.

The demand for glutamic acid in the food industry is driven by the increasing demand for processed foods and snacks, particularly in emerging economies. Glutamic acid is used as a component of certain drugs and supplements in the pharmaceutical industry. It is also used as a nutraceutical for its health benefits, such as improving cognitive function and reducing inflammation.

Glutamic acid is used as a skin conditioning agent and an ingredient in hair care products in the cosmetics and personal care industry. It is also used in anti-aging products for its ability to stimulate collagen production.

The food industry is the largest end-use industry for glutamic acid, accounting for a significant share of the global market. The demand for glutamic acid in the food industry is expected to grow steadily in the coming years, driven by the increasing demand for processed foods and snacks.

The pharmaceutical and cosmetics industries are also expected to drive the growth of the glutamic acid market, driven by the growing awareness about the health benefits of amino acids and the increasing demand for natural and organic ingredients in these industries.

Regional Analysis:

The global Glutamic Acid Market can be segmented by region into North America, Europe, Asia-Pacific, Middle East & Africa, and South America. The Asia-Pacific region is the largest and fastest-growing market for refractory materials, driven by the growth of the steel, cement, and glass industries in the region. However, other regions such as Europe and the Middle East & Africa also represent significant opportunities for growth in the market.

Research Methodology

This report offers high-quality insights and is the outcome of a detailed research methodology comprising extensive secondary research, rigorous primary interviews with industry stakeholders, and validation and triangulation with Stratview Research’s internal database and statistical tools.

More than 1,000 authenticated secondary sources, such as company annual reports, fact books, press releases, journals, investor presentations, white papers, patents, and articles, have been leveraged to gather the data.

We conducted more than 15 detailed primary interviews with the market players across the value chain in all four regions and industry experts to obtain both qualitative and quantitative insights.

Report Features

This report provides market intelligence in the most comprehensive way. The report structure has been kept such that it offers maximum business value. It provides critical insights into the market dynamics and will enable strategic decision making for the existing market players as well as those willing to enter the market. The following are the key features of the report:

• Market structure: Overview, industry life cycle analysis, supply chain analysis.
• Market Environment analysis: Growth drivers and constraints, Porter’s five forces analysis, SWOT analysis.
• Market trend and forecast analysis.
• Market segment trend and forecast.
• Competitive landscape and dynamics: Market share, Product Portfolio, New Product Launches, etc.
• Attractive market segments and associated growth opportunities.
• Emerging trends.
• Strategic growth opportunities for the existing and new players.
• Key success factors.

Customization Options

With this detailed report, Stratview Research offers one of the following free customization options to our respectable clients:

Company Profiling

• Detailed profiling of additional market players (up to three players)
• SWOT analysis of key players (up to three players)

Competitive Benchmarking

• Benchmarking of key players on the following parameters: product portfolio, geographical reach, regional presence, and strategic alliances

Custom Research: Stratview research offers custom research services across the sectors. In case of any custom research requirement related to market assessment, competitive benchmarking, sourcing and procurement, target screening, and others, please send your inquiry to sales@Stratviewresearch.com