Agar Market Size, Share, Global Demand and Remarkable Growth Rate Till 2027

Agar Market

Agar is known as agar-agar and kanten,is the dried hydrophilic colloidal substance extracted from red seaweed of the Rhodophyceae class. It has been widely used from olden times in eastern countries and is considered to be discovered by Minoya Tarozaemon in 1658 in Japan. Agar-agar is extracted from various types of red seaweed species such as Gelidium, Gracilaria, Pterocladia, and Gelidiella and others from various parts of the world. These agar seaweeds are generally known as agarophytes and exhibit different properties based on their place of origin. Agar is formed from the mixture of strong polysaccharides such as agarose and molecules known as agaropectin. It has a huge complex chemical structure and repeating units of D-Galactose and 3-6, anhydro L-Galactose, along with sulfur esters, D-glucuronic acid, methoxyl group, and pyruvic acid. Japan is considered to be the largest producer and consumer of agar.

Companies covered:

Agarmex, New Zealand Manuka Group, Meron Group, Hispanagar S.A., Myeong Shin Agar, IndustriasRoko S.A., PTAgarindoBogatama, Marine Science Co. Ltd., Agar Corporation Ltd., MSC Co. Ltd., Oriented Resources Company.

COVID-19 Scenario Analysis: 
  • The COVID-19 pandemic has resulted in the loss of production of the agar market. The lockdown scenario caused due to the coronavirus has led to the shutdown of the manufacturing units and a shortage of manpower.
  • The restrictions on transportation and mobility have led to the shortage in supply of agar products to various other industries, thereby affecting the sales and revenue of the agar market.
  • The disruption of the global supply chain due to the ban on export and import has created a problem in the procurement of seaweeds from various countries which has further led to a shortage of raw material required for the production.

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Top Impacting Factors: Market Scenario Analysis, Trends, Drivers and Impact Analysis

Agar is extensively used in various sectors such as food & beverage, pharmaceutical, biotechnology, microbiology, dentistry, personal care products, and others. It is present in cell wall of seaweeds which are obtained from low depths in water sources and further processing is done to obtain the jelly-like substance. Initially, it was obtained by using boiling water and extraction process but as the technology has improved the agar is commercially produced on a large scale by using advanced equipment. The increase in requirement of agar-agar, extended industry vertical, health benefits of agar, investment in the harvesting of agar, improved quality of the end product, advancement in technology and equipment used, investment in R&D, increasing awareness about healthy ingredients and food products, increase in disease conditions, regulatory approval for use of agar as a food additive and surge in disposable income are the key drivers which lead the growth of global agar market. However, the availability of substitute gelling products, regulatory hurdles, increased competition, side effects of the product, traditional processing techniques, and limited seaweed species hinders the market growth.

The global agar market trends are as follows:

Growth of agar as a basic ingredient

Agar has extensive use in various products as a gelling agent, stabilizer, clarifying agent, laxative, thickener, and others. Agar-agar has been recognized as a food additive with European number E406 and has wide application. It is recognized as substance-free of calories, sugar, carbohydrates, fat and a high amount of fiber, therefore, it is used for manufacturing certain medicines and also for controlling conditions such as obesity, diabetes, constipation, and others. There is an increase in its usage in the food & beverage industries as a gelling agent in vegan products and substitute for gelatin. It is used as a thickening agent, emulsifier, and stabilizer in products such as gums, candies, marshmallows, caramels, yogurt, chocolate, ice-cream, mousses, custards, bakery fillings, jam, processed cheese, pudding, whipped fruit pulp, honey, butter, marmalades, meat & ham, canned food, condensed milk, tarts, clarification of beer, wine and juices, sugar icing and others.

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Agar has been used for a long time as a culture medium for growing micro-organisms and bacterial cultures, for carrying out various researches, development of several medications and as a therapeutic agent. Apart from it, agar is widely used for dental prosthetics, electrophoresis, chromatography, impression materials, plant biotechnology, commercial farming of insects such as crickets, various cosmetics products, air freshener gel, ink for 3D printers, horticulture and agriculture, and precision ceramic pieces. Industrially agar is produced as food-grade agar, bacteriological agar, green agar, and others in the form of strips, powder, and flakes. The key manufactures are inclined towards investment in R&D, sustainable development, and production of a high-quality end product to widen the use of agar.

Key Benefits of the Report:

  • This study presents the analytical depiction of the global agar industry along with the current trends and future estimations to determine the imminent investment pockets.
  • The report presents information related to key drivers, restraints, and opportunities along with a detailed analysis of the global agar market share.
  • The current market is quantitatively analyzed from 2020 to 2027 to highlight the global agar market growth scenario.
  • Porter’s five forces analysis illustrates the potency of buyers & suppliers in the market.
  • The report provides detailed global agar market analysis based on competitive intensity and how the competition will take shape in the coming years.

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