The global malic acid market will grow to US$206.1 million by 2020 from $146.4 million in 2013, as Increasing acidulant and artificial flavorant demand in food and beverage industries is expected to drive the global malic acid market over the forecast period, finds a Grand View Research report.
The market is expected to grow at a compound annual growth rate (CAGR) of 5.0% from 2014 to 2020.
Increasing requirement for citric acid substitutes as natural flavorant coupled with increasing penetration in powdered fruit flavored beverages is also expected to have a positive influence on the market growth.
Regulatory approval of malic acid for food processing from U.S. Food and Drug Administration, Food Safety and Standards Authority of India and European Food Safety Authority is further estimated to augment market growth over the next six years.
Beverages were the largest application segment and accounted for 52.6% of total market volume in 2013.
Increasing fruit flavored beverages demand coupled with rising disposable income level particularly in Brazil, Russia, India and China, is expected to drive this segment over the forecast period.
Confectionery and food is poised to witness the highest growth on account of escalating acidity regulators and acidulants demand in bakeries.
Rising consumption of confectionery products such as gum, fruit butters, jams, jellies, and hard candies is also expected to contribute to the market growth.
Confectioneries and food application is poised to grow at an estimated CAGR of 4.6% over the next six years.
Further key findings from the study suggest:
•Global malic acid demand was 66.3 kilo tons in 2013 and is expected to reach 88.7 kilo tons by 2020, growing at an estimated CAGR of 4.3% from 2014 to 2020.
•Asia Pacific was the leading malic acid consumer and accounted for 43.7% of total market volume in 2013.
Rapid industrialization coupled with positive outlook on food and beverage industry in India, China and Indonesia is expected to drive the regional malic acid demand.
The region is also expected to witness the highest growth of 5.3% from 2014 to 2020.
China emerged as a major malic acid consumer owing to high demand from processed food preservation.
•Europe and North America were other significant regional malic acid market.
The high demand of powdered fruit flavored and low calorie beverages primarily in US, UK, Mexico, France and Italy may be attributed for market penetration.
Stringent regulatory scenario may negatively impact malic acid market growth in these regions over the next few years.
North American malic acid market is expected to exceed US$50 million by 2020.
•Global malic acid market is moderately fragmented on account of large number of regional players.
Major companies operating in the global market have been investing heavily in research and development, and capacity expansion to cater the growing niche application segments.