According to a new report by Reports and Data, the global Hydrocolloids Market was valued at USD 9,745.3 Million in 2020 and is expected to reach USD 15.17 Billion by the year 2028, at a CAGR of 5.9%. The primary reason behind the demand of hydrocolloids in foods is their ability to alter the rheology of food systems. This involves two basic characteristics of food systems that is, flow behavior (viscosity) and solid mechanical property (texture). The alteration of composition and/or thickness of food systems help to transform its receptive properties. Therefore hydrocolloids are used as a vital food additive to perform particular objectives. There are several hydrocolloids that belong to the category of permitted food additive in many nations, and this is one of the factors which boost the market. Various formulations such as soups, gravies, salad fillings, sauces, and toppings use hydrocolloids as additives to deliver the preferred viscosity and mouth feel. They are also used in several products like ice-creams, jams, jellies, gelled desserts, cakes, and candies, to form the craved texture. In addition to the functional characteristics, future acceptance, and, possibly, a positive advertisement will derive from the recognition that fibers offer many physiological advantages to the natural function and well-being of a human body.

The APAC segment is the largest regional market for hydrocolloids due to the rising consumption of processed food products along with expanding textiles, and construction division are required to fuel the regional product demand. China is presumed to remain a major consumer owing to increasing demand for the food and beverage industry, and abundant availability of raw material is projected to drive the regional market growth. The Comprehensive Economic and Trade Agreement (CETA), a free-trade agreement between Canada and the European Union. It has been provisionally applied, thus eliminating 98% of the preexisting duties between the two parts is likely to influence the customs duty of industrial products as well as a majority of the food and agricultural products. This, in turn, is anticipated to drive the trade of hydrocolloids between North America and Europe, thereby providing a growth opportunity for hydrocolloid manufacturers in North America.

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Gelatin’s unique properties attract the food industry since it acts as a barrier and secures the liquid capsule contents from the outside environment and act as a physical barrier to bacteria, yeasts, and molds. On the other, it also offers a low-permeability sheath to gases. The benefits of encapsulation are portion control, easy use, and storage, extended shelf-life, improved aesthetic appeal, the variety of sizes available, disposability and edibility, improved product aromatics versus time, and biodegradability. A wide range of filler components can be encapsulated within these capsules, such as most vegetable oils, essential oils, and fish oils and others, for instance, real chicken broth containers which retain and liberate flavor more efficiently than the powder system. Guar in the oil and gas industry, this lead to other end-use sectors like food, textile, paper printing to replace guar gum with the other thickeners. Food grade gum demand has decreased as food manufacturers shifted to alternative sources such as Carboxymethyl Cellulose (CMC) and Xanthan gum. The consumption of guar gum in the oil and gas industry increased as guar, is a natural thickener and readily biodegradable, has a higher preference compared to other synthetic gums.

Addressing the increasing demand for renewable diesel in the global market and the low carbon markets by initiating an advanced engineering and development cost review, Diamond Green Diesel, to expand production up to 1.1 billion gallons annually, this was announced in September 2019. This will be the first renewable diesel plant in Texas and solidify Diamond Green Diesel's position as the largest producer of renewable diesel in the U.S. and second-largest globally. The generation from this new plant would increase DGD's annual renewable diesel production to approximately 1.1 billion gallons with nearly 100 million gallons of renewable naphtha production.

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Further key findings from the report suggest

The thickening effect produced by the hydrocolloids depends on the type of hydrocolloid used, its concentration, the food system in which it is used and also the pH of the food system and temperature Calorie-dense materials such as fats and oils may be replaced with ‘structured water’ to give healthy, reduced-calorie foods with excellent eating quality. In particular, numerous hydrocolloid products have been developed specifically for use as fat replacers in food This has consequently led to an increased demand for hydrocolloids. As an example, the Italian dressing includes xanthan gum as a thickener and the ‘Light’ mayonnaise contains guar gum and xanthan gum as fat replacers to enhance viscosity Asia-Pacific is expected to contribute at least USD 2,958.15 million to the global market by 2028, which will be a significant growth driver The role of the market and the supply chain has increasing significance in the area of hydrocolloid manufacturing and transportation Some of the key market players are Ingredion(US), Cargill (US), DowDuPont (US), Darling Ingredients (US), and Kerry (Ireland) and others

Segments covered in the report:

This report forecasts revenue growth at a global, regional & country level, and provides an analysis of the market trends in each of the sub-segments from 2016 to 2028. For the purpose of this study, Reports and Data have segmented Hydrocolloids market on the basis of of product, function and region:

Product Outlook (Volume, Kilotons; Revenue, USD Million, 2020 - 2028)

Gelatin Xanthan Gum Carrageenan Alginates Pectin Guar Gum Gum Arabic Carboxy Methyl Cellulose, Agar Locust Bean Gum

Function Outlook (Volume, Kilotons; Revenue, USD Million, 2020 - 2028)

Thickening Gelling Stabilizing Others

Source Outlook (Volume, Kilotons; Revenue, USD Million, 2020 - 2028)

Botanical Microbial Animal Seaweed Synthetic

Application Outlook (Volume, Kilotons; Revenue, USD Million, 2020 - 2028)

Food & Beverage Personal Care & Cosmetics Pharmaceutical

Regional Outlook (Volume Metric Tons, Revenue, USD Million; 2019-2028)

North America US Canada Europe Germany France UK Spain Rest of Europe Asia Pacific China India Japan Rest of Asia-Pacific Middle East & Africa Latin America Brazil Rest of Latin America

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Key highlights of the Global Hydrocolloids Market Report:

Detailed market scope, structure, and dynamics, and estimated growth. Assessment of prevalent strategies in the market. In-depth analysis of recent events and technological advancements. Detailed market segmentation analysis. Competitive landscape.

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