The global xanthan gum market is set to grow from its current market value of more than $745 million to over $1.1 billion by 2023, growing at a compound annual growth rate (CAGR) of 6.2 percent. The growth can be credited to its wide application in horizontal drilling as well as demand for better control of drilling solids.
This was among the findings of a new research report by Global Market Insights, Inc.
The rising demand for food and beverages across the globe, due to the growing population, along with the improved consumer lifestyle in BRICS countries is expected to favourably affect the xanthan gum market size over the coming years.
The food and beverages sector contributed a revenue of $8.50 trillion in 2004, which exceeded $15 trillion in 2015. The product is extensively used in this sector due to its ability to enhance the moisture retaining capacity and improve the shelf life of baked items.
Xanthan gum finds wide applications in Xanthan gum finds its applications in oil and gas, pharmaceuticals and cosmetic products, such as lotions, denture cleaners, and shampoos, due to its thickening and stabilizing properties.
Furthermore, FDA and USDA approval for the use of xanthan gum in bakery foods and medicines will provide huge growth opportunities for the industry over the coming years. The European Commission has also approved the use of xanthan gum as an emulsifier, gelling agent, thickener, and stabiliser in the food and beverage sector.
