The market for Medium Chain Triglycerides (MCT) is expected to grow at a CAGR of over 6% during the forecast period. Major factors driving the market studied are increasing demand of dietary supplements in food and rising penetration of MCT's in personal care & cosmetics products. On the flipside, availability of substitutes such as mineral oil and unfavourable conditions arising due to COVID-19 outbreak are the major restraints, which are expected to hinder the growth of market.
- Growing demand for medium chain triglycerides in pharmaceuticals sector is expected to offer various lucrative opportunities for the growth of market.
- By application, food & beverages segment is expected to dominate the market owing to the increase in the usage of medium chain triglycerides in nutritional diet, infant formula and sports drinks.
- Asia-Pacific region is projected to experience fastest growth across the globe owing to increasing consumption from countries such as China, India, and Japan.
Key Market Trends
Increasing Demand from Food & Beverages Segment
- Medium chain triglycerides are produced by processing coconut and palm kernel oil. They comprise of medium chain fatty acids and are slightly yellowish in color. They are insoluble in water and are miscible with alcohol and methylene oxide.
- The increasing demand of medium chain triglycerides as a substitute for normal fat in diet owing to properties such as helps in maintaining healthy weight, supports in reducing stored body fat by increasing metabolism, and helps in better digestion and giving more energy, is propelling the medium chain triglycerides market.
- Additionally, the growing popularity of medium chain triglycerides among athletes, body-builders and sportsmen owing to its ability to enhance their performance is further expected to positively impact the medium chain triglycerides market.
- The revenue from the food & beverages market is expected to grow at a CAGR of over 5% during the forecast period and would reach over USD 260 billion by 2024. This is likely to create ample opportunities for the growth of medium chain triglycerides market during the forecast period.
- Owing to all the above-mentioned factors for medium chain triglycerides, its market is expected to grow rapidly over the forecast period.
Asia-Pacific Region to Dominate the Market
- Asia-Pacific region is expected to witness fastest growth in the market for medium chain triglycerides during the forecast period. In countries like China, India, and Japan, owing to increasing demand from various end-user industries like personal care & cosmetics, pharmaceuticals, and food & beverages, the demand for medium chain triglycerides such as caprylic, capric and lauric has been increasing in the region.
- Medium chain triglycerides are used in sports drinks, nutritional bars, and energy foods. They are used as food emulsifiers and also help in enhancing the properties of hot and cold beverages, and help in adding distinct flavors to food products. Due to these factors, the demand of medium chain triglycerides is increasing in the region, which will stimulate its market during the forecast period.
- Medium chain triglycerides have various benefits on health of individuals if they are consumed on daily basis. The benefits associated with them includes help in reducing the risks associated with hormonal imbalances, weight gain, gut problems, and cognitive disorders. These factors are expected to positively impact the medium chain triglycerides market in the region.
- Additionally, the demand for medium chain triglycerides is expected to increase as they provide immunity against harmful viruses, bacteria, parasites, and fungi. Also, coconut oils help in treating problems related to inflammations due to antioxidant properties.
- Furthermore, the increasing consumption of medium chain triglycerides in cosmetics products like creams, lotions, gels, ointments, foams and in fragrances and flavorings is expected to further propel the medium chain triglyceride market. The Asia-Pacific cosmetics market is expected to register a CAGR of 4% during the forecast period. This is anticipated to provide lucrative opportunities for the growth of medium chain triglycerides market.
- Some of the major companies operating in Asia-Pacific region are - BASF SE, Stepan Company, and DuPont.
- The aforementioned factors, coupled with government support, are contributing to the increasing demand for medium chain triglycerides during the forecast period.
The Medium Chain Triglyceride (MCT) market is fragmented with top players accounting for a marginal share of the market. Some of the key companies in the market include BASF SE, Stepan Company, DuPont., Croda International Plc, and Wilmar International Ltd.
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