Polyunsaturated Fatty Acids Is Estimated To Witness High Growth Owing To Opportunity To Replace Saturated Fats

Polyunsaturated fatty acids (PUFAs) are an essential part of human nutrition and help in maintaining proper heart health. PUFAs such as omega-3 and omega-6 fatty acids play important roles in brain and eye function. They help reduce inflammation and maintain cholesterol levels in the body. Increasing awareness about health benefits of consuming omega-3 and omega-6 fatty acids is fueling the demand for PUFAs in various food and beverage products.

The global Polyunsaturated Fatty Acids Market is estimated to be valued at US$ 6.36 billion in 2024 and is expected to exhibit a CAGR of 11% over the forecast period 2024-2030, as highlighted in a new report published by Coherent Market Insights.

Market Opportunity:
The growing trend of replacing saturated fats with healthier polyunsaturated fats in food products presents a major market opportunity. Saturated fats are known to increase risk of heart diseases when consumed in excess. Increasing health consciousness and changing consumer preferences have prompted food manufacturers to lower saturated fat content and raise PUFA levels in various snacks, baked goods and other packaged food items. transition to PUFA-enriched food products can help reduce preventable deaths from heart attacks and strokes. This growing demand from food industry to substitute saturated fats with omega-3 and omega-6 fatty acids is expected to drive significant growth of the polyunsaturated fatty acids market over the forecast period.

Porter's Analysis

Threat of new entrants: The polyunsaturated fatty acids market requires high R&D investment and established distribution channels. These barriers make it difficult for new companies to enter the market.

Bargaining power of buyers: Buyers have moderate bargaining power in this market due to the availability of substitute products. However, the health benefits of PUFAs give companies bargaining power over price-sensitive buyers.

Bargaining power of suppliers: A few companies dominate omega-3 and omega-6 fatty acid production, giving them strong influence over prices of raw materials. Suppliers can forward vertical integrate to gain control over the value chain.

Threat of new substitutes: New sources of omega-3 and omega-6 fatty acids from algae and transgenic plants pose a threat, though traditional marine and plant-based sources still dominate the market.

Competitive rivalry: The market has many regional and global players competing on product development, pricing and supply chain efficiency. Partnerships are common to gain access to new technologies and applications.

SWOT Analysis
Strengths: PUFAs have proven health benefits leading to increased demand. Established suppliers have economies of scale.

Weaknesses: Market depends on unstable marine harvests and fluctuations in crop yields affect prices and supply security. Processing requires energy-intensive steps.

Opportunities: Growing demand from food & beverages and pharmaceutical industries with new research on other health applications. Emerging economies offer market expansion potential.

Threats: Negative publicity around sourcing practices could impact brands. Regulations influence product approvals and labelling standards in key regions.

Key Takeaways

The global Polyunsaturated Fatty Acids Market Size is expected to witness high growth over the forecast period of 2023 to 2030, expanding at a CAGR of 11% . Growth will be driven by increasing health awareness, rising incomes, and new applications in various industries.

The North American region currently dominates the PUFAs market, accounting for over 35% of the global share. However, the Asia Pacific region is anticipated to be the fastest growing market through 2030 due to a growing middle class, westernization of diets, and expansion of end-use industries in China and India.

Key players operating in the polyunsaturated fatty acids market are Advanced, Ariba, Inc. (SAP SE), Coupa Software Inc, GEP, Procurify, Sage Intacct, Inc. (The Sage Group PLC), Sievo, SutiSoft, Inc., TOUCHSTONE GROUP PLC, VA Tech Ventures Pvt Limited (Happay), and others. These companies are focusing on new product launches, partnerships, and production capacity expansion to gain market share.