Algae Protein Market Size, Share & Industry Analysis by Source (Seaweed [Brown Algae, Green Algae, and Red Algae] and Microalgae [Spirulina, Chlorella, and Others]), Analysis by Product Form (Capsules, Powder, Liquid, and Others), Analysis by Application (Dietary Supplements, Food and Beverage, Animal Feed, Cosmetics, and Others), and Regional Forecast, 2024-2032

The global algae protein market is rapidly expanding, driven by rising consumer demand for sustainable and healthy protein sources. The increasing awareness of the environmental impact of traditional protein sources such as animal and dairy is driving consumers toward plant-based alternatives. Algae proteins, with their low environmental footprint and high nutritional content, are emerging as a promising option. Manufacturers have been launching new products to meet the emerging plant-based protein trend. For instance, in September 2021, Tofurky, a popular meat alternative company, partnered with Triton Algae Innovations, a San Diego plant-based protein producer, to bring algae-based meat analogue products to market.

Governments across the globe are increasingly supporting the development of sustainable food sources and helping provide necessary nutrients to the population, including algae protein. For instance, in August 2023, The Haryana government in India introduced spirulina-based products. The new products were launched in order to combat malnutrition in children. The new products were launched with a six-month pilot project planned in the Nuh district.

The global algae protein market has been significantly impacted by the COVID-19 pandemic. Several algae manufacturing and processing facilities were temporarily closed or operated at reduced capacity. However, the pandemic led to a surge in consumer interest in health and wellness, with many seeking out nutrient-rich and immune-boosting supplements such as algal proteins.

Key Insights

The report covers the following key insights:

• Market Overview of Related/Parent Market


• Supply Chain & Regulatory Analysis


• Recent Industry Developments – Partnerships, Mergers and Acquisitions, and New Product Launches


• SWOT Analysis


• COVID-19 Impact

Segmentation

Analysis by Source

The microalgae segment is expected to hold a significant share of the global market. The microalgae are considered a valuable source of proteins and help enhance the nutritional value of foods. Microalgae is considered a source of high-value ingredients such as vitamins, proteins, omega-3 fatty acids, and others. The constant advances in biotechnology have been further boosting the commercial exploitation of microalgae production in various sectors such as food, feed, aquaculture, and others.

Under the microalgae segment, spirulina is expected to hold a major share of the global market. Spirulina is considered a rich source of protein compared to other plant sources and contains between 50% and 70% protein by dry weight. The use of spirulina as functional food has been growing rapidly due to its Generally Recognized as Safe (GRAS) classification by the European Food Safety Authority (EFSA), Food and Drug Administration (FDA), and other food regulatory bodies.

The seaweed segment is expected to grow at a fast pace over the forecast period. Seaweed, also known as macroalgae, is readily available in coastal regions, offering easier access and potential for local and community-driven production.

Analysis by Product Form

The powder segment is expected to hold a significant share of the market. The powder form offers incredible versatility in various culinary applications. Moreover, it can be easily incorporated into various food products or supplements. Compared to the capsule form, the powder form tends to be more affordable, making it accessible to a wide range of consumers and potentially driving mass adoption. Manufacturers have been coming up with innovative products to meet the rising demand. For instance, in March 2021, Allmicroalgae, a Portuguese company, launched two chlorella vulgaris powders. The new products are approved as food ingredients and food supplements by the European Food Safety Authority.

The liquid segment is expected to grow significantly over the forecast period. Liquid form can be added to poultry and livestock feed as a protein supplement, potentially improving animal growth and reducing soy and other land-intensive feed sources. The liquid form is also easily consumable and can be readily incorporated into various food supplements.

Analysis by Application

The dietary supplements segment is expected to hold a significant share of the global market. The increasing demand for natural and sustainable plant-based supplements is accelerating the manufacturing of algae protein-based dietary supplements. Algae proteins have a  rich profile of amino acids, omega-3 fatty acids, and other nutrients, making them an attractive option for supplements. Moreover, dietary supplements offer a convenient and targeted way to address specific nutritional deficiencies or support individual health goals. Prominent players in the market have been formulating strategies to meet the rising demand. For instance, in September 2022, Aliga Microalgae, a Danish food-tech company, acquired Duplaco’s microalgae production facility in the Netherlands. This strategy helped increase the production capacity of Chlorella algae products for dietary supplements and food ingredients markets.

The food and beverage segment is expected to grow significantly over the forecast period. Algae proteins have a neutral flavor and the ability to blend seamlessly with various food ingredients, offering immense potential for creative food and beverage applications. Advances in the processing and formulation techniques are overcoming the earthy or unpleasant taste associated with the algae protein sources. For instance, in March 2022, ProFuture, a European-funded research project, developed a high-protein microalgae strain. The new product is a Chlorella strain with improved taste and is used in products such as vegan soups, snacks, sports drinks, and others. The new strain offers improved organoleptic characteristics and high nutraceutical value.

Regional Analysis

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Asia Pacific is expected to hold a major share of the global market. Asian cultures traditionally place a high emphasis on protein consumption, creating a strong demand for protein sources. The growing disposable incomes and rapid urbanization in countries such as China, India, and Indonesia are leading to hanging dietary habits and increased purchasing power. This creates a prime market for premium, healthy, and protein-rich food options such as algae proteins. Several Asian governments are actively promoting sustainable food production and consumption practices through investments in research and development activities in the algae protein market. Such strategies and approaches further help fuel the market growth.

North America is expected to record significant growth over the forecast period. The algae protein market is majorly driven in the region owing to its increasing application in dietary supplements and food, attributed to the growing interest in health and fitness among consumers. Moreover, the algae protein market is gaining traction as a nutricious source in animal feed formulations, contributing to the growth of the market.

Key Market Players

The key players in the market include Corbion, Cyanotech Corporation, Earthrise Nutritional,  Far East Bio-Tec Co. Ltd., AllMicroalgae, E.I.D-Parry Limited, FUQING KING DNARMSA SPIRULINA CO., LTD., Aliga Microalgae, and Vimergy LLC.

Key Developments

• In April 2023, MiAlgae, a Biotech company, launched an omega-3 product, NaturAlgae. The new product is a dry powder that can be supplemented into aquafeed and pet food formulations.


• In November 2022, GNT Group B.V., one of the leading global providers of Coloring Foods, extended their green Exberry Coloring Foods with a new powder made from spirulina and turmeric. The new product can be used in bakery mixes and seasonings.