What are the key driving factors and challenges in the global Oleoresin industry?

The global oleoresin market is expected to reach USD 2.60 Billion by 2030, as per the new report by Grand View Research, Inc. The growth is majorly driven by increased demand from the pharmaceutical, healthcare, and food and beverage industries. Therapeutic properties and multiple health benefits of oleoresins are considered to be major driving forces for the oleoresin market.

Oleoresins are usually found in semi-solid states. They are derived from a variety of spices such as turmeric, garlic, paprika, and others. Oleoresins is a developed comprehensive market with the most important applications in the food & beverage and pharmaceutical sectors. Oleoresins are driven by cumulative demand for flavors, fragrances, and rising utilization in the pharmaceutical sector.

Oleoresin Market Segmentation

Grand View Research has segmented the global oleoresin market report based on the product, application and region

Based on the Product Insights, the market is segmented into Paprika, Black Pepper, Capsicum, Turmeric, Ginger, Garlic, Onion, Seed Spice and HerbsOthers.

• Black pepper products dominated the global oleoresin market with more than 23% revenue share. The growth of the segment is attributable to the extensive use of black pepper in the food and beverage industry.
• Turmeric is the fastest growing product segment exhibiting proliferate growth in terms of revenue during the forecast period. This growth rate is attributed to high demand from the food, beverage, cosmetic, pharmaceutical, and healthcare industries.
• Paprika and garlic are utilized extensively in the food industry as an additive.  Paprika is used as a coloring agent as well as for its distinctive taste. It is also consumed in sweets, emulsified processed meats, spice mixtures, sauces, orange juice, and cheese.
• End users in the pharmaceutical and food & beverage industries have entered into long-term supply agreements with capsicum oleoresin processors located across Spain and India in order to ensure a constant supply.

Based on the Application Insights, the market is segmented into Food, Beverages, Fragrances, Pharmaceutical, Nutraceutical and Others.

• Food application dominated the market with a revenue share of over 27% in 2021. Its high share is majorly attributable to the extensive use of a variety of oleoresins in food as additives, flavoring agents, coloring agents, antioxidants, and others.
• The pharmaceuticals application segment is expected to exhibit a CAGR of 7.2% in terms of revenue during the forecast period. This is attributable to multiple health benefits of oleoresins and growing investment in pharmaceutical research and development.
• Rising consumer awareness regarding the health benefits associated with oleoresins has prompted pharmaceutical drug manufacturers to focus on the utilization of oleoresin extracts for drug formulations.

Oleoresin Regional Outlook

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa (MEA)

Key Companies Profile & Market Share Insights

The global market is highly competitive and has numerous players across the globe. The market is majorly driven by demand from the food, beverage, and pharmaceuticals industry. It is heavily affected by fluctuations and volatility in the raw material market.  For ensuring the constant supply of raw materials, the players have long-term contracts with the raw material producers. Companies are also focusing on increasing their production capacities by expanding their operations to different regions around the globe. For example, in November 2019, Givaudan expanded its Nantong manufacturing facility in China and doubled its flavor production capacity. 

Some prominent players in the Global Oleoresin market include:

• Chenguang Biotech Group Co. Ltd.
• Kancor Ingredients Ltd.
• Kalsec Inc.
• Universal Oleoresins
• Givaudan
• Akay Group Ltd.
• Synthite Industries Ltd.
• AVT
• Indo-World
• Paprika Oleo's India Limited
• Paras Perfumers
• Manohar Botanical Extracts Pvt. Ltd.
• Naturite Agro Products Ltd
• MRT GREEN PRODUCTS
• All-Season Herbs
• TMV Aroma
• Plant Lipids
• Ozone Naturals

Order a free sample PDF of the in Oleoresin Market Intelligence Study, published by Grand View Research.