Rice Derivative Market Size - By Ingredient Type, Nature, Form, Application Analysis, Share, Growth Forecast, 2025- 2034

Rice Derivative Market Size

The global rice derivative market size was valued at USD 19.1 billion in 2024 and is estimated to grow at a CAGR of over 5.8% from 2025 to 2034, fueled by rising demand across various sectors such as food and beverage, pharmaceuticals, cosmetics, and nutritional supplements. Rice derivatives, which include rice flour, rice starch, and rice protein, are increasingly popular due to their versatility, hypoallergenic characteristics, and gluten-free compatibility.
 

As consumers shift toward plant-based and organic alternatives, rice derivatives stand out as sustainable, health-focused substitutes for synthetic and animal-derived ingredients. Moreover, their role is expanding in processed foods, beverages, bakery items, and infant foods, where rice derivatives add texture, enhance stability, and boost nutritional value, making them crucial in the functional food and specialized nutrition segments.
 

Additionally, heightened research and development investments are propelling innovation in rice derivative formulations and applications, helping the market meet the evolving needs of health-conscious consumers. A growing awareness of the health benefits associated with organic rice derivatives, coupled with demand for fortified and clean-label products, is amplifying the market's potential.
 

Leading players are broadening their portfolios to serve diverse end-use markets, while advancements in processing technologies are enhancing the efficiency and quality of rice derivative production. This growth trend is expected to remain strong as regulatory changes support sustainable sourcing and manufacturing practices, aligning with the global shift toward environmentally responsible and health-oriented food production.
 

Rice Derivative Market Trends

The rice derivative industry is experiencing dynamic growth trends, driven by the rising popularity of natural and organic food ingredients, especially within the plant-based and gluten-free sectors. Consumers are increasingly seeking rice derivatives like rice protein, starch, and flour as healthy alternatives, thanks to their hypoallergenic and easily digestible properties. The demand for clean-label products and transparency in food ingredients is also accelerating, making rice derivatives a preferred choice for functional foods, bakery items, and fortified beverages.
 

Additionally, technological advancements in processing are enhancing product quality and efficiency, supporting greater adoption in cosmetics and pharmaceuticals. Companies are expanding their offerings to meet this demand by developing innovative rice-based solutions for diverse applications, setting the stage for steady market growth.
 

Rice Derivative Market Analysis

The rice derivative industry is undergoing a significant transformation as consumer preferences shift toward healthier, sustainable, and plant-based food options. Increasing awareness of the health benefits associated with rice derivatives—such as rice protein, starch, and flour—has positioned them as ideal ingredients for gluten-free, hypoallergenic, and organic products. These derivatives are especially favored in the functional foods and beverage sectors, where they add texture, nutritional value, and stability to products like bakery goods, snacks, and infant formulas.
 

The rise of clean-label trends further enhances the demand for rice derivatives, as consumers seek minimally processed ingredients with transparent sourcing. In addition, the global push for food security and sustainability is driving manufacturers to explore rice as a renewable source, bolstering its role in addressing long-term production needs.
 

However, the rice derivative market faces challenges such as fluctuating raw material availability, which can affect pricing stability, as well as competition from other plant-based derivatives like soy and almond. Despite these hurdles, ongoing investments in research and development are fostering product innovation and improving processing techniques, which help mitigate some cost concerns.
 

The cosmetics and pharmaceutical industries also present emerging growth opportunities, as rice derivatives are increasingly valued for their hypoallergenic and skin-nourishing properties. As regulatory frameworks evolve to support environmentally responsible ingredient sourcing and manufacturing, the market is well-positioned to grow steadily, meeting the rising demand for health-conscious, eco-friendly products across various industries.
 

Based on ingredient type, the market is segmented into rice starch, rice bran, rice germ, rice oil, rice protein, rice fats, rice flour, ready to use powder, liquid rice blend and others. The rice starch segment dominates the market by generating USD 3.7 billion revenue in the year 2024 and is expected to reach 6.4 billion by 2034. Rice starch's strong market performance is fueled by its diverse applications across food, pharmaceutical, and cosmetic industries, where it is highly valued for its unique texturizing, stabilizing, and hypoallergenic properties.
 

In the food sector, rice starch enhances product quality by improving mouthfeel, thickening sauces, and maintaining moisture in baked goods, making it indispensable in gluten-free and clean-label formulations. In pharmaceuticals, it serves as an excellent binder and disintegrant, while in cosmetics, it is prized for its smooth finish and absorbent qualities, making it ideal for skin-friendly products.
 

The rising consumer demand for gluten-free, plant-based, and natural ingredients has only amplified rice starch’s prominence, as it aligns with the increasing shift toward health-conscious, sustainable, and functional products. This combination of versatile applications and alignment with key market trends positions rice starch as a leading choice in the market, driving its substantial growth potential.
 

Based on nature, the rice derivative market is segmented into organic and synthetic. The synthetics segment holds a dominant market share of 55.1% in 2024. This strong position is largely due to synthetic rice derivatives’ cost-effectiveness, consistency in quality, and longer shelf life compared to organic counterparts. Synthetic rice derivatives are often produced at scale, making them more readily available for large manufacturers seeking stable, economical ingredients, especially in processed food and industrial applications.
 

Additionally, the ability to control the chemical composition and functional properties of synthetic derivatives appeals to various industries, including pharmaceuticals and cosmetics, where precise formulation is essential. However, as consumer preferences increasingly shift towards natural and organic ingredients, the organic segment is expected to grow, although synthetic derivatives continue to lead due to their affordability and reliability.
 

The China rice derivative market size dominated around USD 2.6 billion in 2024, leads the Asia-Pacific region, primarily driven by high domestic demand and China’s role as a major rice producer. The country’s extensive rice cultivation supports a steady supply of raw materials for rice derivatives, including starch, bran, and protein, which are widely used across food, pharmaceutical, and cosmetic industries.
 

Additionally, growing consumer awareness of health benefits and rising demand for gluten-free and plant-based ingredients are accelerating the adoption of rice-based products. The market is further fueled by China’s expanding processed food sector, where rice derivatives play a critical role as stabilizers, texturizers, and nutritional enhancers. With continued investments in technology and infrastructure to enhance rice processing, China is well-positioned to maintain its dominance in the market.
 

Rice Derivative Market Share

The major market players in the food and ingredient sectors include a mix of multinational corporations and prominent regional companies. Cargill, a global leader in agricultural, food, and nutrition markets, alongside Associated British Foods, a diversified group with significant interests in food production, both command a strong presence in the market. Adani Wilmar, a joint venture between Adani Group and Wilmar International, is a leading player in edible oils and other food products, contributing substantially to the food ingredient sector.
 

Kowa India, a key player in the food, nutrition, and chemical industries, adds value to the market with its diverse offerings. Similarly, Shafi Gluco Chem is a well-known supplier of food ingredients, particularly focusing on glucose-based products, while Paras Group and Agarwal Group of Industries are recognized for their involvement in starch and other agricultural-based products. Jain Group of Industries is another notable entity in the manufacturing of essential food ingredients.
 

Alongside these, regional players like Muerens Natural and Asharam & Sons, with a focus on natural and organic ingredients, cater to growing consumer demand for clean-label products. SACCHETTO is well known for its packaging solutions, critical to the distribution of food and ingredients, enhancing product shelf life and sustainability.
 

RIBUS specializes in the production of rice-based ingredients, adding to the diversity of ingredient sources in the market. These players, with their varied specializations in natural, organic, and processed ingredients, help shape the dynamic food and ingredient landscape, which continues to evolve due to shifting consumer preferences toward healthier and sustainable food options.
 

Rice Derivative Market Companies

Major players operating in the rice derivative industry are:

• Cargill
• Kowa India
• Adani Wilmar
• Shafi Gluco Chem
• Paras Group
• Associated British Foods
• Agarwal Group of Industries
• Jain Group of Industries
• Muerens Natural
• Asharam & Sons
• SACCHETTO
• RIBUS
   

Rice Derivative Industry News

• In Jan 2024, despite a ban on rice exports, India continues to feed the world, especially its strategic neighbours such as Nepal, Bhutan, Sri Lanka, Maldives, Malaysia, Indonesia, Vietnam and Iran, as well as the wider Asean region.
   
• In Sep 2024, India Central Government has allowed the Food Corporation of India (FCI) to sell rice to distilleries for the production of ethanol, capping the quantity limit at 23 lakh metric tonnes. This decision has been welcomed by biofuel producers; however, they also state that the current price is not viable.
   

This rice derivative market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Million) & volume (Kilo Tons) from 2021 to 2034, for the following segments:

Click here to Buy Section of this Report

Market, By Ingredient Type

• Rice starch
• Rice bran
• Rice germ
• Rice oil
• Rice protein
• Rice fats
• Rice flour
• Ready to use powder
• Liquid rice blend
• Others

Market, By Nature

• Organic
• Synthetic

Market, By Form

• Powder
• Liquid

Market, By Application

• Bakery
• Processed food
• Beverages
• Infant food
• Nutritional products
• Pharmaceutical
• Cosmetic
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia 
• Latin America
  • Brazil
  • Mexico 
• MEA
  • UAE
  • Saudi Arabia
  • South Africa