Protein Extracts from Single Cell Protein and Other Conventional Sources Market Analysis By Sources (Plant, Bacteria, Yeast, Algae, Fungi), By Applications (Pharma, Animal Feed {Isolate, Concentrate, Hydrolysate}, Agriculture), And Segment Forecasts, 2018 - 2025

Industry Insights

The global protein extracts from single cell protein and other conventional sources market size were estimated at USD 12,685.7 million in 2016. Key drivers attributing to the market expansion include growing demand for food and feed that has low-fat concentration and optimal amino acid composition.

Furthermore, demand for the products that can be manufactured using ethically sustainable production is anticipated to drive progress in this sector over the forecast period. Although, soy-derived products enjoy the success of proactively positioning as a sustainable source of protein, higher preference to the functional role than the nutritional role is projected to drive R&D.

Technological advancements in the production of the proteins derived from a single cell are expected to drive the industry with lucrative growth. Development in products for personalized nutrition is anticipated to add to growth in this sector as R&D in nutraceuticals is expected to aid the acceptance of such products. Several research papers are being published on the use of protein obtained from the single-cell protein and another microbial origin.

Genetically modified yeast obtained from the bioethanol factories is already employed as feed for cattle in several countries. Owing to the advantages associated with single-cell protein (SCP), these products are preferred in animal feed as well as for human consumption. Companies such as DuPont are engaged in the genetic engineering of yeast for the production of long-chain omega-3 fatty acids, which is essential to human health.

The presence of a substantial number of players that are engaged in the production of Spirulina and Chlorella serves as a major source of revenue generation in this market.

For instance, BlueBiotech Int GmbH is a micro-algal biotechnology company, which has operated for more than 10 years, producing large quantities of Spirulina and Chlorella.

Similarly, Cyanotech Corporation is one of the world’s leading producers of Spirulina with sales in the U.S. and 30 other countries. Moreover, Spirulina has obtained Generally Recognized as Safe (GRAS) status from the U.S. FDA for its usage as a food ingredient.

Also, the companies are engaged in providing spirulina in the form of a nutritional drink. The drink contains the live form of spirulina to serve as a probiotic than just the nutritional supplement. Companies are engaged in masking the taste of spirulina to gain a competitive edge.

Application of spirulina as a multipurpose nutraceutical drives the research interest of manufacturers in a single cell-derived product, thus boosting growth in this sector. The applications include antioxidant, B vitamin source, chlorophyll enhancer, and alkaliser. Spirulina production is considered as a low-income high investment program as it promises the farmers with a good income than other regular crops with low investment.

Source Insights

Plant extracts accounted for the largest revenue share in 2016 owing to the highest usage of these products in the food as well as animal feed. The presence of a large number of methods for the extraction of plant proteins is anticipated to result in the dominance of this segment in the coming years.

Food grade substrates are usually employed for the production of SCP for human consumption, however, there are other processes under the phase of development for SCP production from inexpensive waste materials. The waste material sources include forestry, agricultural sources, and food & beverage processing industries. Moreover, the availability of a substantial number of SCPs in the market that is used as a high protein source for animal feed has resulted in a significant share of this segment. Furthermore, developments continue to take place in and these developments are expected to maintain the growth of SCP extract throughout the forecast period.

For instance, in August 2014, ProFloc, a new SCP, was developed by Nutrinsic from food and beverage nutrients for animal health. This product was developed as a sustainable substitute for other animal and plant originated products, and can replace any animal or vegetable source in animal nutrition applications.

Bacteria have been majorly used as SCPs over the past years and this usage rate is anticipated to grow during the forecast period. Bacterial SCP generally contains 50-80% protein on a dry weight basis. Methionine content in bacterial SCP is observed to be more than algal or fungal proteins. This segment continues to witness development concerning production capabilities, which in turn, is expected to enhance the production of bacteria-based SCPs.

Application Insights

Protein plays a pivotal role in various fields of biotechnology including pharmacy, cell cultivation, nutraceuticals, and cosmetics. Companies involved in the manufacture of nutraceuticals and cosmetics are observed to be the major beneficiaries. This can be attributed to the availability of a substantial number of sources that can be employed within the nutraceuticals and cosmetics industry.

Peptide drugs are the fastest-growing drug class in the pharmaceutical industry. This can be attributed to the rapid technological advances that have significantly accelerated protein production. Besides, several studies have been conducted for protein isolation from plants and their applications in medicinal use.

Regional Insight

North America accounted for the major share in 2016. The introduction of mature biotechnology techniques, coupled with the presence of major firms operating in this region, is driving regional growth. The U.S.-based companies like Cyanotech Corporation, Nucelis, and KnipBio have contributed to the major share in the global SCPs market. These companies are recognized as prominent producers of SCP and have contributed to major revenue generation through sales of their products such as Spirulina (Cyanotech Corporation).

However, Asia Pacific is expected to emerge as the lucratively growing region as the countries are undertaking efforts to enhance their share in the global animal feed industry. For instance, in 2016, Vietnam, with 21% growth over the past year, entered the list of top 15 Asian feed-producing countries. Furthermore, although China sustained its position as the top feed-producing country with 187.20 million metric tons, India, Japan, Pakistan, and Vietnam have also been observed to have made significant contributions to the Asian market.

Competitive Insights

KnipBio; BlueBioTech Int. GmbH; Lallemand Inc; Marlow Foods Limited are some key players operating in this market. Tangshan Top Biotechnology Co., Ltd; XIAMEN HYFINE GELATIN CO., LTD are few of the emerging entities.

Companies are undertaking viable strategies to enhance their market position as animal feed producers such as facility expansion and strategic alliances with other players. For instance, in September 2015, Nutreco established a new animal nutrition plant in East Java, Indonesia as a part of its growth plan for the Asian market. In the same year, it also opened a premix plant in Vietnam. Both facility expansions were aimed at enhancing the company’s growth in this sector.

Report Scope

Segments Covered in the report

This report forecasts revenue growth at global, regional & country levels and provides an analysis of the industry trends in each of the sub-segments from 2014 to 2025. For this study, Grand View Research has segmented the global protein extracts from single cell protein and other conventional sources market based on source, application, and region:

• Source Outlook (Revenue, USD Million, 2014 - 2025)

  • Plant Protein Extract Sources

  • Microbial Sources - Single Cell Proteins

  • Microbial Sources - Direct Use

• Application Outlook (Revenue, USD Million, 2014 - 2025)

  • Biotechnology

    • Pharma

    • Cell Culture media

    • Others

  • Animal Feed

    • Animal feed by sources

      • Plant Protein Extract Sources

      • Microbial Sources - Single Cell Proteins

        • Bacteria

        • Yeast

        • Algae

        • Fungi

      • Microbial Sources - Direct Use

    • Animal feed by grades

      • Concentrates

      • Isolates

      • Hydrolysates

    • Animal feed by animal type

      • Livestock

        • Poultry

        • Pig

        • Cattle

        • Other Livestock

    • Fish Feed

    • Companion/Pet Animals

  • Agriculture & Fertilizers

  • Others

• Regional Outlook (Revenue, USD Million, 2014 - 2025)

  • North America

    • The U.S.

    • Canada

  • Europe

    • Germany

    • UK

  • Asia Pacific

    • China

    • Japan

    • India

  • Latin America

    • Brazil

  • Middle East & Africa

    • South Africa