Global Starch Market Overview, 2023-28

Starch is a carbohydrate that serves as a vital energy source for plants. It is primarily found in cereals (wheat, corn, rice), tubers (potatoes, cassava), and legumes. Starch molecules are composed of glucose units linked together in long chains, making it an excellent source of energy for both plants and humans. This simple yet remarkable compound has numerous applications in various industries. The global starch industry plays a pivotal role in various sectors, ranging from food and beverages to pharmaceuticals, textiles, and even biodegradable plastics. The global starch industry has been undergoing a transformation driven by environmental concerns and consumer demand for sustainable products. Innovations in starch extraction and processing have led to the development of more eco-friendly products. For example, modified starches are being used to replace synthetic thickeners and stabilizers in food and cosmetics, reducing the industry's reliance on petroleum-derived materials. The global starch industry is an integral part of modern life, touching virtually every aspect of our daily routines. Its versatility, from food production to pharmaceuticals and bio plastics, makes it a valuable resource that continues to evolve and adapt to changing demands. As sustainability becomes a top priority, the starch industry is poised to play an even more significant role in shaping a greener and more sustainable future. The global starch industry is not limited to a handful of dominant players; it is a diverse and decentralized sector with production occurring on nearly every continent. While traditional starch-producing regions like the United States, the European Union, and China remain key players, emerging markets are gaining prominence. Countries in Southeast Asia, such as Thailand and Indonesia, have become major starch exporters, driven by their abundant cassava crops. This geographical diversity in production helps stabilize the global starch supply chain and reduce vulnerability to climate-related disruptions. According to the research report, “Global Starch Market Overview, 2023-28” published by Bonafide Research, the market is anticipated to cross USD 65 Billion by 2028, increasing from USD 52.59 Billion in 2022. The market is expected to grow with 4.7% CAGR by 2023-28. The food and beverage industry is the largest consumer of starch worldwide. Starches are used as thickeners, stabilizers, and texturizers in a wide range of products, including soups, sauces, desserts, and bakery items. They are also a primary source of carbohydrates in the human diet, making starch crops like wheat, rice, and corn crucial for global food security. Beyond the food industry, starch has numerous industrial applications. One of the most significant uses is in the paper and textile industries, where starch is utilized for sizing and finishing processes. Additionally, starch is employed in the manufacturing of adhesives, detergents, and cosmetics. Its natural adhesive properties make it a valuable component in corrugated cardboard production and the creation of paper-based packaging materials. In pharmaceuticals, starch acts as a binder and disintegrate in tablet manufacturing. It is also a vital component in the production of controlled-release drug formulations. Furthermore, starch-based biodegradable materials are gaining popularity as a sustainable alternative to conventional plastics. Starch-based plastics, often blended with other biodegradable polymers, are used in various applications, from packaging to agricultural films. In recent years, there has been growing scrutiny of starch-based products in terms of health and labeling regulations. Consumers are increasingly conscious of the ingredients in their food and are seeking healthier options. This has led to a rise in demand for clean-label starches that do not contain additives or modifications. Additionally, regulatory bodies worldwide are focusing on labeling transparency and stricter standards for ingredient claims. The starch industry must respond to these concerns by developing starch products that align with health-conscious consumer preferences and regulatory requirements.

Starch-based alternatives to conventional ingredients are becoming more prevalent. For instance, potato-based starch is being used as a substitute for synthetic fat replacers in various food products, catering to consumers looking for healthier alternatives. The clean and neutral flavor profile of starch makes it a suitable replacement in many applications and this trend is expected to grow as health-conscious consumers seek out more natural and plant-based options. Advancements in biotechnology are playing a significant role in the evolution of the starch industry. Genetic modification techniques are being employed to enhance the yield, quality, and resilience of starch crops. These efforts aim to address challenges related to climate change, pests, and diseases. Additionally, research in the field of biotechnology is exploring the development of specialty starches with unique properties for specific industrial applications, further expanding the industry's potential. The COVID-19 pandemic highlighted the importance of supply chain resilience in the starch industry. Disruptions in transportation, labor shortages, and logistical challenges affected the availability and distribution of starch-based products. To address these vulnerabilities, stakeholders in the industry are investing in digitalization, predictive analytics, and supply chain optimization to enhance flexibility and minimize the impact of future disruptions. Sustainability is a central focus for the starch industry as it strives to reduce its environmental footprint. Efforts to promote sustainability include optimizing crop yields to minimize land use, adopting eco-friendly processing techniques, and reducing water consumption in starch production. Moreover, many starch manufacturers are exploring the concept of a circular economy. By developing closed-loop systems that recycle and repurpose waste products, the industry aims to minimize waste and reduce its impact on the environment. This approach aligns with broader global sustainability goals and can significantly enhance the industry's long-term viability. Research and development efforts in the starch industry continue to expand, leading to the creation of specialty starches with unique properties. These specialty starches are engineered to meet specific requirements in various sectors. For example, resistant starches that resist digestion in the small intestine have gained attention for their potential health benefits, including improved gut health and better blood sugar control. In the food industry, specialty starches can enhance the texture and stability of gluten-free products, addressing the needs of consumers with dietary restrictions. Consumer preferences and dietary trends are influencing the starch industry. As more people adopt plant-based and gluten-free diets, the demand for starch-based alternatives in various food products is rising. Starch-based ingredients are being used to replace animal-derived ingredients in vegan and vegetarian products, contributing to the growth of plant-based alternatives in the market. Collaboration within the starch industry and across supply chains is becoming increasingly important for achieving sustainability goals. Partnerships between starch producers, food manufacturers, and retailers are critical to developing and promoting sustainable sourcing and production practices. Sustainability certifications, such as Fair Trade and Organic, are gaining prominence, providing consumers with assurance that their starch-based products are produced with social and environmental responsibility in mind. Global food security and nutrition remain paramount concerns, and the starch industry plays a crucial role in addressing these challenges. As the world population continues to grow, the industry must find ways to increase starch production sustainably and ensure that starch-based products are accessible and affordable to all. This includes efforts to improve crop yields, reduce post-harvest losses, and promote equitable distribution of starch-based foods. Based on the regions, Europe is considered to be the second-largest market in global starch market. Europe benefits from a diverse range of starch sources, including wheat, maize (corn), potato, and tapioca. This diversity allows for the production of various types of starch with different properties, catering to a wide array of industries. Europe boasts advanced agricultural practices and technologies, ensuring high-quality starch crops. Sustainable farming practices, precision agriculture, and the use of modern machinery contribute to increased yields and starch production efficiency. European starch producers have made significant strides in adopting sustainable and environmentally responsible practices. These initiatives include reducing water usage, optimizing energy consumption, and minimizing waste during starch extraction and processing. Many companies have also invested in renewable energy sources to power their facilities, reducing their carbon footprint. Europe is a hub for research and innovation in the starch industry. Ongoing research and development efforts have led to the creation of specialty starches with unique functionalities and applications. These innovations have helped European starch producers remain competitive in the global market. Europe has been at the forefront of the bioplastics industry, with starch-based bioplastics gaining popularity as an eco-friendly alternative to conventional plastics. These bioplastics, often used in packaging materials, align with Europe's focus on reducing plastic waste and promoting a circular economy. Starch also finds application in the pharmaceutical and industrial sectors within Europe. It is used as a binder, disintegrant, and excipient in pharmaceutical formulations. Moreover, in the industrial sector, starch serves as a key ingredient in the production of adhesives, detergents, and paper products. Europe maintains stringent regulatory standards for food and industrial products. Compliance with these standards ensures the production of high-quality and safe starch-based products, enhancing the reputation and competitiveness of European starch manufacturers. The global starch market is dynamic and diverse, comprising both traditional native starches and an increasing range of starch alternatives. These starch alternatives are gaining traction in various industries due to changing consumer preferences, dietary restrictions, and sustainability concerns. Native starches are starches extracted from their natural sources, such as corn, wheat, rice, and potatoes. They have been widely used for decades in various applications, including food, paper, textiles, and industrial processes. However, starch alternatives are gaining prominence due to changing consumer preferences, dietary restrictions (e.g., gluten-free and vegan diets), and environmental concerns. These alternatives offer unique properties and cater to specific needs in various industries. Modified starches are starch derivatives that have undergone physical, chemical, or enzymatic modifications to enhance their functional properties. They are used as thickening agents, stabilizers, and texture modifiers in various food and non-food applications. Modified starches often offer improved stability and performance compared to native starches. Resistant starches are starches that resist digestion in the small intestine, acting as dietary fiber. They have gained attention for their potential health benefits, including improved gut health, better blood sugar control, and increased satiety. Resistant starches are used in various food products, especially those targeting health-conscious consumers. They have applications in packaging materials, agricultural films, and other plastic products. Beyond traditional starches, various alternatives like arrowroot starch, tapioca starch, and cassava flour are used in gluten-free and vegan food products, catering to consumers with specific dietary preferences and restrictions. Native starches continue to play a significant role in various industries, while starch alternatives are on the rise due to their unique properties and their ability to meet changing consumer and sustainability demands. The starch market's future growth will likely be shaped by ongoing innovation in starch alternatives and their applications across multiple sectors. Starch is widely known for its ability to thicken and form gels when mixed with water or other liquids. This property is crucial in various culinary and industrial applications. Starch-based thickeners are commonly used in gravies, sauces, and soups to achieve the desired consistency. Starch gels are essential in the production of fruit fillings for pastries and pie fillings. Cornstarch is a popular choice for thickening sauces, while potato starch is preferred for clear, non-cloudy applications. Starch acts as a stabilizer and texture modifier in many food and non-food products. It helps maintain product quality and texture over time. Starch stabilizers are often used in ice cream to prevent the formation of ice crystals, resulting in smoother texture. In the cosmetics industry, starch is used to improve the texture of creams, lotions, and powders, providing a pleasant feel on the skin. Starch is an effective binder and adhesive in various applications, including food production, paper manufacturing, and pharmaceuticals. In the food industry, starch is used as a binder in meat products like sausages and meatballs, helping ingredients adhere together. Starch adhesives are commonly used in the production of corrugated cardboard boxes, making them a sustainable and recyclable choice. Starch is used as a key component in the production of biodegradable plastics, addressing environmental concerns related to traditional plastics. Starch-based bioplastics are compostable and offer a more sustainable alternative to petroleum-based plastics. These bioplastics are utilized in a range of applications, including packaging materials, disposable cutlery, and agricultural films, reducing plastic waste and environmental impact. Sustainability is a dominant trend in the starch industry. Consumers are increasingly conscious of the environmental impact of their choices, leading to a growing demand for sustainable starch products. Starch producers are implementing eco-friendly practices such as reducing water usage, optimizing energy consumption, and minimizing waste during production. Consumer preferences are shifting toward clean-label products with fewer additives and natural ingredients. Native starches and modified starches derived from natural sources are in demand as clean-label thickeners, stabilizers, and texturizers in the food industry. Starch-based ingredients are crucial in the development of plant-based and vegan products, including meat alternatives, dairy alternatives, and egg replacers. These products cater to consumers looking for sustainable and cruelty-free dietary options. The starch industry is focusing on developing specialty starches with unique functional properties to meet specific industry requirements. Resistant starches, waxy starches, and pre-gelatinized starches are examples of specialty starches that offer distinct characteristics for various applications. Resistant starches, which resist digestion in the small intestine, have gained attention for their potential health benefits, including improved gut health and better blood sugar control. Starch-based dietary fiber is used to enhance the nutritional profile of various food products. The industry is adopting digital technologies and data analytics to optimize supply chains, reduce production costs, and enhance efficiency. Predictive analytics and real-time monitoring are helping stakeholders make informed decisions and ensure supply chain resilience.

Market Drivers • Increased Demand for Plant-Based and Clean Label Products: Consumers are increasingly seeking alternatives to traditional ingredients like modified starches and are looking for starches derived from natural sources. This trend is driven by health consciousness, dietary preferences (e.g., vegetarian and vegan diets), and a desire for products with simple and recognizable ingredient lists. As a result, the starch industry is experiencing a surge in demand for plant-based starches such as tapioca, potato, and corn starch, as well as clean label starches that do not contain additives or artificial ingredients. • Expansion of the Textile Industry: Starch is used in textile finishing processes to improve the texture, appearance, and durability of fabrics. As the global textile industry continues to grow, particularly in emerging markets, the demand for textile-grade starches is on the rise. This represents a unique opportunity for the starch industry to diversify its customer base and explore new applications beyond traditional food and industrial uses. Market Challenges • Sustainability and environmental concerns: As consumers and regulatory bodies become more conscious of the environmental impact of various industries, including agriculture and food processing, the starch industry faces the challenge of reducing its carbon footprint, water usage, and overall environmental impact. This requires adopting more sustainable farming practices, improving water efficiency in starch production, and finding innovative ways to reduce waste and energy consumption. • Climate Change and Crop Vulnerability: Shifts in temperature, precipitation patterns, and the increased frequency of extreme weather events can affect the growth and yield of starch-producing crops like potatoes, corn, and cassava. This vulnerability to climate change can lead to production fluctuations, reduced crop yields, and increased production costs. Starch industry stakeholders must adapt to these changing conditions through crop breeding, sustainable farming practices, and risk management strategies to ensure a stable supply of raw materials. Market Trends • Innovation in Biodegradable Plastics: Starch-based bioplastics have gained traction as an environmentally friendly alternative to traditional plastics made from fossil fuels. These bioplastics are derived from renewable starch sources and have the potential to reduce plastic pollution and the reliance on non-renewable resources. The starch industry is witnessing increased investment and research in the development of biodegradable plastics, which could have a significant impact on the packaging and plastics industries in the coming years. This trend aligns with the global shift toward more sustainable and eco-friendly packaging solutions. • Starch-Based Batteries: Researchers are investigating the use of starch as a sustainable and biodegradable component in batteries, particularly in the development of biodegradable energy storage devices. Starch-based batteries have the potential to reduce the environmental impact of battery production and disposal while offering biodegradability and renewable sourcing. This trend aligns with the broader push for eco-friendly and sustainable energy storage solutions. Competitive Landscape Major companies mentioned in the report include The Archer-Daniels-Midland Company, Tate & Lyle PLC, Cargill, Incorporated, Ingredion Incorporated, Associated British Foods plc, The Agrana Group, Croda International plc, Roquette, Südzucker AG, Tereos S.A., Anora Group Plc, Batory Foods, Inc., Spac Starch Products (India) Limited, The Scoular Company, Bob's Red Mil, Royal Avebe U.A., Royal Ingredients Group B.V., The Emsland Group, Manildra Group, Gujarat Ambuja Exports Limited. Considered in this report: • Geography: Global • Historic year: 2017 • Base year: 2022 • Estimated year: 2023 • Forecast year: 2028 Aspects covered in this report: • Global Starch with its value and forecast along with its segments • Regional-wise Starch market analysis • Various drivers and challenges • On-going trends and developments • Top profiled companies • Strategic recommendation Regions covered in the report • North America • Europe • Asia-Pacific • South America • Middle-East & Africa By Type • Starch Derivatives • Native By Source • Corn • Cassava/Tapioca • Wheat • Potatoes • Waxy Maize • Others (Waxy Maize, Pre-gelatinized Starch, Rice Bran, Sweet potato, Pea etc) By Application • Food and Beverage • Industrial • Weaving & textile • Animal Feed • Paper Industry • Pharmaceuticals & cosmetics • Others (adhesives, foundry) By Function • Thickening Agent • Stabilizing Agent • Binding Agent • Gelling Agent • Film-Forming Agent • Emulsifying Agent The approach of the report: This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources. Intended audience: This report can be useful to industry consultants, manufacturers, suppliers, associations and organizations related to the Starch industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.