Discover trends, market shifts, and competitive outlooks for the biotech ingredient industry through 2025-2034 with The Business Research Company’s reliable data and in-depth research

#How Has The Biotech Ingredient Market Growth Evolved From 2024 To 2025, And What’s Ahead?

The market size for biotech ingredients has seen robust growth in the past few years. It’s projected to inflate from $59.9 billion in 2024 to $63.86 billion in 2025, demonstrating a compound annual growth rate (CAGR) of 6.6%. Factors driving growth during the historical period include innovations in the food and beverage sector, the rising usage of biofuel, customer demand for functional foods, and advancements in genetic engineering.

Predictions indicate a robust expansion for the biotech ingredient market in the upcoming years, reaching a value of $83.5 billion by 2029 at a compound annual growth rate (CAGR) of 6.9%. Development of therapeutic biotech ingredients, a switch towards bioplastics, and an emphasis on personalized nutrition contribute to this growth during the forecasted period. In addition, factors like expansion of cellular-based meat production and usage of bio ingredients for waste reduction play a key role. Anticipated trends during the forecast period include functional foods based on biotech, adoption of biotech solutions for circular economy procedures, therapeutic biotech components, generation of clean energy using biotech ingredients, and a global focus on preserving biodiversity.

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What External and Internal Drivers Are Contributing to the Growth of the Biotech Ingredient Market?

The increased interest in generic medications is predicted to fuel the expansion of the biotech ingredient market in the future. Generic drugs are essentially developed to mimic the effects of previously sanctioned medicines. Biotech ingredients, being essential sources for the cost-effective and efficient production of active ingredients that closely resemble the original substance, are heavily utilized in mainstream medicine. They generally adhere to an expanded set of rules. For instance, the Personalized Medicine Coalition, an organization based in the U.S. promoting professional memberships, revealed that in 2022, the sanction of 12 fresh personalized medications constituted about 34% of all newly sanctioned therapies. This represented a substantial rise from prior years. Consequently, the surging demand for generic medications is boosting the biotech ingredient market’s growth.

What Segment Types Define the Biotech Ingredient Market Structure?

The biotech ingredient market covered in this report is segmented –

1) By Type: Active Pharmaceutical Ingredients, Biosimilars

2) By Expression Systems: Mammalian Expression Systems, Microbial Expression Systems, Yeast Expression Systems, Plant Expression Systems, Insect Expression Systems

3) By Application: Food And Beverages, Personal Care And Cosmetics, Cleaning Products, Other Applications

Subsegments:

1) By Active Pharmaceutical Ingredients (APIs): Biologic APIs, Synthetic APIs

2) By Biosimilars: Monoclonal Antibodies, Recombinant Proteins, Insulin Biosimilars

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Which Geographic Areas Hold the Strongest Growth Potential in the Biotech Ingredient Market?

Europe was the largest region in the biotech ingredient market in 2024. Asia-Pacific is expected to be the fastest-growing region in the biotech ingredients market report during the forecast period. The regions covered in the biotech ingredient market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa

What Long-Term Trends Are Transforming the Competitive Landscape of the Biotech Ingredient Market?

The rise of technological developments is becoming a major trend in the biotech ingredient sector. Major market players are leveraging new technologies to create innovative offerings and reinforce their market stance. For example, in March 2023, International Flavors & Fragrances Inc., a company based in the US that produces fragrances, biotech solutions, cosmetic energetics, and organic health ingredients, introduced Aurist AGC, a cutting-edge biopolymer for hair care products. This underlines the potential of the new DEB platform by applying IFF’s extensive biotechnology capabilities to deliver lasting and superior glamour solutions that can effect genuine transformation in the cosmeceutical field. The ingredient leverages IFF’s exclusive Designed Enzymatic Biopolymers (DEB) technology, a state-of-the-art biotech process that can create novel bio-based polysaccharides with unique structures and properties.

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What Is the Definition of the Biotech Ingredient Market?

Biotech ingredients refer to chemical components produced by microbes, most commonly yeast, yeast-like organisms, or algae that have their DNA edited such that their metabolism results in a commercially viable compound. These ingredients are safer and are often less expensive for consumers.

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