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According to our latest market study on “Organic Wheat Derivatives Market Forecast to 2028 – COVID-19 Impact and Global Analysis – by Type (Starch, Gluten, Maltodextrin, and Others) and Application (Food and Beverages, Pharmaceuticals and Nutraceuticals, Animal Feed, Personal Care, and Others),” the market was valued at US$ 629,235.10 thousand in 2020 and is projected to reach US$ 912,272.31 thousand by 2028; it is expected to grow at a CAGR of 4.8% from 2021 to 2028. The report highlights key factors driving the market growth and prominent players along with their developments in the market.
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Organic wheat derivatives and the by-products, such as starch, gluten, bran, DDGS, and maltodextrin, obtained from organic wheat processing. The shift in consumers lifestyle and dietary patterns has surged the demand for healthy food products and their ingredients. With the growing emphasis on health along with rising focus on the consumption of natural food ingredients, the demand for organic wheat derivatives have gone up steadily. Organic form of wheat derivatives is perceived to be a nutritious alternative, and it supports several application bases owing to their properties. For instance, the organic form of wheat starch has gained importance in the food & beverage industry. It is treated as an essential ingredient in the preparation of various food products such as cakes, biscuits, breads, waffles other baked items due to its superior gelling, stabilizing, and thickening properties.
In 2020, North America accounted for the largest share in the organic wheat derivatives market. The well-established food sector in North American countries provides a wide consumer base for organic wheat derivatives manufacturers operating in the region. Growing demand for organic wheat derivatives in the preparation of several bakery and fast-food products is offering a growth opportunity for the organic wheat derivatives producers. The demand for organic wheat derivatives in North America has surged owing to the increasing consumption of convenience food items such as bakery products, snacks, noodles, and pasta due to a busy lifestyle and hectic work schedule of the consumers.
Organic Wheat Derivatives Market: Competitive Landscape and Key Developments
SACCHETTO SPA; Cargill, Incorporated; ETEA S.R.L.; Archer Daniels Midland Company; AGRANA Beteiligungs-AG; Kröner-Starke Bio; Amylon; Manildra Group; Ulrick & Short Limited; and Tate & Lyle PLC are among the well-established players operating in the global organic wheat derivatives market.
Impact of COVID-19 Pandemic on Organic Wheat Derivatives Market
The COVID-19 pandemic has negatively impacted various industries due to lockdowns, travel bans, the shutdown of manufacturing units, and supply shortages. The food and beverage industry faced operational difficulties caused by disruption of supply chains, labor shortage, and shortage in raw material supply. Moreover, the prices of Organic Wheat Derivatives got significantly dropped as there was a decline in demand from various industries, such as food and beverage and personal care. This factor also affected the profitability of the market players and the farmers engaged in cultivating Organic Wheat Derivatives. Thus, the COVID-19 pandemic substantially affected the global Organic Wheat Derivatives market’s growth. However, as the governments of various countries introduced relaxation in the restrictions and rising vaccination rates, the food and beverage industry is recovering from its losses. The demand for Organic Wheat Derivatives is projected to grow over the forecast period.
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Rise in Demand for Natural and Organic Ingredients
The importance of organic food items has been understood in the wake of alarming health issues, coupled with rising consciousness about organic certifications and growing preference for high quality food items. Nowadays, consumers are looking for natural, clean, and simple ingredients with proper labels, which could effectively convey their contents, quality, and intent of the product use. Currently, the consumers are quite concerned about using conventional food products due to their contribution to increasing incidence of health issues. This has encouraged the manufacturers to develop products based on consumer’s expectations. Further, as per an estimate, almost 45% of families in the US are largely dependent upon organic and natural food products. Manufacturers of wheat derivatives are also focusing on developing and marketing organic wheat derivatives owing to the market’s demand.
Based on type, the organic wheat derivatives market is segmented into starch, gluten, maltodextrin, and others. The starch segment led the market with the largest share in 2020. Organic wheat starch is a polysaccharide established from amylose and amylopectin. The starch consists of a carbohydrate fraction of wheat flour of premium quality. Its unique characteristics make the product highly useful in several industrial segments, such as food & beverages, pharmaceuticals, personal care, and animal feed. Food starches are majorly added to various food and beverage items, such as sauces, soups, puddings, salad dressings, pie fillings, and several baking applications, to stabilize or thicken them. When used in food, organic wheat starch assists with gel formation, viscosity, adhesion, texture, moisture retention, and binding. The starch can be used as a fat substitute. It further works as a stabilizer, clouding, emulsifier, or glazing agent.
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