Global Calcium Propionate Market Demand & Forecast Analysis, 2016-2032

Calcium Propionate (C₆H₁₀O₄Ca)or calcium salt of propionic acid is an additive used majorly in bakeryproducts across the globe. It can also be found in various products likeprocessed meat, alcoholic & non-alcoholic beverages, animal feed, and manymore. Calcium propionate inhibits the growth of microorganisms by engagingalanine and other essential amino acids required for microbial growth.Similarly metabolism of enzyme is inhibited by calcium propionate to preventmold formation. The calcium propionate market has been segmented into Food(Bakery products, Dairy & desserts and others including alcoholic &non-alcoholic beverages and processed meat), Feed and others consisting ofpharmaceuticals, industrial rubber, cosmetics, herbicide and pesticide. 

In the food industry,calcium propionate is used as a fungus inhibitor and provides antibacterialfunction against mold bacteria and yeast bacteria which helps extend the shelflife as well. With change in consumer lifestyle and food habits, there has beenan increase in demand for food & beverage products like value added dairyproducts and bakery products products with longer shelf life. This hasincreased the demand for processed food with added preservatives such asCalcium Propionate which adds value to the food products and affordable interms of pricing.

The potential ofcalcium propionate to be used in new product lines can also drive the demandduring the long-term forecast.

Global calciumpropionate market was USD 269.6 million in 2020. The market has grown from USD223 million in 2015 to current value at an average annual growth rate of 4.6%. Foodwas the largest application accounting for 77.33% of total market. Dry calciumpropionate acquires most of the market with 96.7% of calcium propionateconsumed globally being dry.

Western Europe is oneof the largest market for Calcium Propionate. Bread production in WesternEurope was around 26 million tons with industrial bakeries accounting for morethan 50% of market share. Bakery market in UK is highly organized with 80% ofits production form industrial bakeries whereas bakery market in Spain isunorganized with industrial sector representing only 19% of the market. Duringthe COVID-19 pandemic Bakery consumption in Europe declined by 6.6%, althoughthe decline was due to reduction in demand from artisanal fresh bakeryproduction. Packaged bakery products consumption in the region increased byalmost 6% in 2020.

Animal feedproduction in Germany declined in 2020 owing to China’s ban on pig meat importsfrom the country. The decline in Germany’s feed production was offset by theincrease in feed production in other Western European countries like Spain.

The United States isa major consumer and exporter of calcium propionate. The country accounts for85% of the North America’s Calcium Propionate market. US is also a majorexporter of processed bakery products and value-added dairy products in theNorth American region. These are major applications of calcium propionate.United States is also a large producer of dairy products. US produced more than100 million tons of milk in 2020 whereas; exports of dairy products were aroundUSD 5.5 billion.

Currently AsiaPacific is the third largest market for Calcium Propionate after Western Europeand North America, however owing to fast growing demand from China and Indiathe region will the region will overtake North America to become second largestmarket for calcium propionate in 2024 and Western Europe in 2025 to become thelargest market.