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Pea Starch Market is estimated to showcase about 20% CAGR between 2023 and 2032, attributed to the rising demand for plant-based and gluten-free products. As consumers become more health-conscious and seek substitutes to traditional starches, pea starch emerges as a natural and organic option derived from peas, which is rich in essential nutrients. Peas also have low ecological footprint compared to some other crops, making the product an ideal choice amidst the rising awareness of the environmental impact of food choices among consumers.
According to the figures listed on Consumer Ecology website, peas have a 30.3 times lower environmental impact than beef burgers, with 48.7 times less GHG emissions, requiring 35.7 times less land, and utilizing 6.6 times less water. Governments and organizations are promoting the cultivation of pulses such as peas due to their positive impact on soil health and low carbon footprint. Supportive initiatives and investments in sustainable agriculture drives the market growth.
Report Attribute | Details |
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Base Year: | 2022 |
Forecast Period: | 2023 to 2032 |
Forecast Period 2023 to 2032 CAGR: | 20% |
Historical Data for: | 2016 to 2022 |
No. of Pages: | 170 |
Tables, Charts & Figures: | 234 |
Segments covered: | Product, End-user and Region |
Growth Drivers: |
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Pitfalls & Challenges: |
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Further, the food & beverage industry's inclination towards clean-label ingredients has propelled the adoption of pea starch as a preferred choice. As consumers analyze product labels for natural and recognizable ingredients, this product is free from allergens and additives. Its adaptability in various applications, such as bakery, confectionery, and meat products, further expands its usage, meeting the needs of manufacturers focusing to formulate healthier and more transparent food items.
The challenge of scalability in pea cultivation and processing hinders the industry expansion. Meeting the rising demand for the product on a large scale needs significant agricultural investment, effective supply chain management, and processing capabilities. Limited accessibility of arable land suitable for the cultivation and the necessity for advanced technologies in extraction and refinement processes pose obstacles to achieving economies of scale. Furthermore, fluctuating climatic conditions and crop yield variations can impact the consistent and reliable supply of peas, creating uncertainties for pea starch market players.
The COVID-19 pandemic has exerted interim disruptions and continuing transformations on the industry. In the immediate aftermath of the global health crisis, logistical challenges, supply chain disruptions, and lack of workforce impacted the production and supply of pea starch. The closure of restaurants, lowered consumer spending, and altered food consumption patterns further affected the demand. However, the pandemic has also accelerated certain trends favoring the industry outlook, such as the rising demand for plant-based and clean-label products, as consumers continuously prioritize health and sustainability. The emphasis on robust and diversified supply chains has prompted market players to reassess and reinforce their production and sourcing strategies.
Pea starch, being a plant-based ingredient, is finding progressive usage in a variety of food products as a gluten-free alternative. As consumers become more conscious of their dietary habits, there is a surge in demand, notably in segments such as snacks, bakery, and dairy alternatives. The global push toward sustainable and eco- friendly practices is influencing the industry growth as well. Governments, organizations, and consumers are continually realizing the importance of sustainable agriculture, and the product is gaining favor for its ability to enrich soil health. Pea starch is being recognized as a sustainable ingredient, aligning with the broader trend of environmentally conscious choices in the food and manufacturing sectors.
There is an emphasis on technological developments in extraction and processing methods. Manufacturers are investing in R&D to enhance the functionality, texture, and stability of the product, expanding its applications in various food and non-food industries. This leads to product innovations that cater to the necessities of different sectors, such as the pharmaceutical and textile industries, where pea starch is gaining recognition for its unique properties.
The food grade pea starch segment will witness 24% growth rate from 2023 to 2032, as it is suitable for human consumption.
Food & beverage end-user segment will attain around 24% growth rate from 2023 to 2032, owing to the binding and thickening properties of pea starch in bakery products, soups, poultry and others.
North America pea starch market size will expand at 28% growth rate through 2032, backed by the increasing consumer awareness and preference for plant-based and gluten-free products. The region's health-conscious consumers are opting clean-label alternatives and incline toward pea starch as an ingredient for being a natural and sustainable option. Moreover, the rising popularity of meat alternatives and dairy-free products has spurred the adoption of the product in formulations. Additionally, the focus on sustainable and eco- friendly practices in agriculture further supports the industry growth.
AGT Food and Ingredients, one of the leading pea starch suppliers, is implementing a multifaceted approach to maintain its competitive edge. For example, in December 2021, FrieslandCampina Ingredients entered the plant-based protein market by introducing two powder solutions created through a collaborative effort with AGT Foods. Similar strategies are being implemented by the other major market players, namely:
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