The phycoerythrin market size reached USD 4.2 million in 2022, worldwide demand for phycoerythrin shows year-on-year growth of 6.2% in 2023 and thus, the target product sales are expected to reach USD 4.8 million in 2024. Over the projection period (2024 to 2034), global phycoerythrin sales are projected to rise at an 8.1% compound annual growth rate (CAGR) and reach a market size of USD 10.3 million by 2034-end.
The Functional benefits attached to phycoerythrin in various end-use applications such as pharmaceuticals, biomedical or biotechnological research and development, and cosmetic and food products drive the sales of phycoerythrin globally. Target products have shown great potential as bioactive compounds that are derived from the algae or microalgae.
Commonly red algae, particularly Porphyridium sp., have undergone extensive research to use as the origin for the commercial production of R-PE for a long time, considered as the primary source of target products. Along with the red algae, cyanobacteria is also developed and considered as the source of phycoerythrin as a C-PE product type.
According to research carried out across the globe, Phycoerythrin from different sources has demonstrated pharmaceutical or therapeutic properties such as antioxidant, anti-aging, antidiabetic, and neuroprotective effects to prevent or cure any diseases. The experimentation is carried out after the extraction of phycoerythrin from microalgae sources such as cyanobacterium Halomicronema sp. R31DM shows antioxidant properties both in vitro and in vivo after experimental application on the C. elegans, eukaryotic organism which shows the same aging mechanism as humans.
Continuous research and development also improve the existing process for the production of target products reshaping the phycoerythrin Market. This continuous development led to new opportunities and pushed the sales of phycoerythrin as a widespread application across a range of industries. This increased application of products in various fields is driven by the ongoing development in the production, purification, and supply of phycoerythrin to the widespread industrial end-use.
Continuous development in the target product extraction, purification, and microencapsulation technology which increases its efficiency and stability to withstand any process and application such as for research and study, pharmaceutical, cosmetic, food and beverage industries, etc.
| Attributes | Description |
|---|---|
| Estimated Global Phycoerythrin Market Value (2024E) | USD 4.8 Million |
| Projected Global Phycoerythrin Market Value (2034F) | USD 10.3 Million |
| Value-based CAGR (2024 to 2034) | 8.1% |
The commercialization of the phycoerythrin sale is limited due to its high production cost as this product is to be derived from microalgae. So key leaders across the globe are investing huge amounts in their research and development to reduce the cost of production by identifying different wild strains or creating Genetically modified (GM) strains that contain high concentrations of desired products besides the technical innovation in the production process.
Another strategy for cost reduction is the so-called biorefinery concept where the biomass is processed into different fractions to extract as much value as possible. This requires strains that simultaneously produce several desirable products. These products are water soluble so does not require any solvent for their extraction, production, and purification.
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The below table presents a comparative assessment of the variation in CAGR over six months for the base year (2023) and current year (2024) for the global phycoerythrin industry.
This analysis reveals crucial shifts in business performance and indicates revenue realization patterns, thus providing stakeholders with a better vision of the domain growth trajectory over the year. The first half of the year, or H1, spans from January to June. The second half, H2, includes the months from July to December.
| Particular | Value CAGR |
|---|---|
| H1 | 6.1% (2023 to 2033) |
| H2 | 6.3% (2023 to 2033) |
| H1 | 7.6% (2024 to 2034) |
| H2 | 8.1% (2024 to 2034) |
The above table presents the expected CAGR for the global phycoerythrin sales growth over several semi-annual periods spanning from 2024 to 2034. In the first half (H1) of the decade from 2023 to 2033, the business is predicted to surge at a CAGR of 6.1%, followed by a slightly higher growth rate of 6.3% in the second half (H2) of the same decade.
Moving into the subsequent period, from H1 2024 to H2 2034, the CAGR is projected to increase slightly to 7.4% in the first half and remain relatively moderate at 8.1% in the second half. In the first half (H1) the sales witnessed a decrease of 30 BPS while in the second half (H2), the target sales witnessed an increase of 20 BPS
Increasing pigment requirement and the need to develop naturally derived pigments bioactive compounds
The obligation of developing the naturally and sustainably sourced bioactive compound that can prevent diseases to explore various algae or plant sources in the pursuit of novel and sustainable pigment supplies. Due to the increased pigment requirement as an ingredient across the globe for various end-use applications for the development of pharmaceuticals, cosmetics products which include lipsticks and eyeliners, and various food products with enhanced aesthetic value.
These widespread applications across the industry have resulted in increased interest of key leaders in the research, extraction, purification, and commercialization of the target product due to its applications in several fields. Recently, the consumer has become more aware of their health consciousness and the ingredients they consume in their food. So there is a shift towards quality and health safety and preferences for naturally derived pigments from various sources over chemically manufactured pigments.
The advantage of phycoerythrin as a fluorescent marker for cells and macro-molecules was followed by its extensive application in high-sensitivity fluorescence technology.
Increased Health and wellness benefits from the products extracted from microalgae
According to some research carried out across the globe, Phycoerythrin which is a water-soluble, colored pigment from the phycobiliprotein family, is reported to have anti-inflammatory, anticancer, and antioxidant, properties making it an attractive pigment or ingredient to be used in various end-use application to develop pharmaceuticals, nutraceuticals, cosmetic, food and feed products.
Earlier, phycoerythrin was sourced from red algae, especially from the Porphyridium sp., which is commercialized as R-PE and has a dominant market share across the market. Now, due to increased health benefits and increased market need for phycoerythrin, the process has been discovered to commercialize the alternative source from cyanobacteria as the C-PE.
Production of target products from cyanobacteria is fast and easy and has greater resistance to bacterial contamination. R-phycoerythrin (R-PE) is a fluorescent protein used to label antibodies, which is one of the increasing demands of biological laboratories in recent years.
Focus on expanding production capacities and investing in R&D activities
The key industry leader is focusing and investing huge amounts of money from their budget to research and develop new processes and sources to get phycoerythrin and processing methods to scale up to the trade demand. Their shift to the expanding product portfolio and production capabilities with modern technology due to a surge in the natural pigments demand across the globe.
Key industry leaders also collaborate with academic institutions and research institutes across the globe to share knowledge and technology for further development. Manufacturers focus on the various raw materials or alternative sources that give higher output in terms of production and efficiency as well as in terms of safety from contamination.
Increased application of phycoerythrin in the food and feed business
Increased awareness about the ingredients in food products among consumers drives the natural additives market. Similarly, phycoerythrin has natural coloring pigment properties which becomes an alternative for synthetic dyes or coloring agents. Phycoerythrin is available in various colors such as pink, red, yellow, etc.
This pink color target product can be added to milkshakes, yogurt, or other dairy products as the dye to make them more appealing. Phycoerythrin which is red can be used in various food products which require to exhibit yellow fluorescence. Some other widespread applications in food and feed are under study. Another benefit of using this product in food is because of its medicinal value such as providing antioxidant properties to the processed product.
Also, these products have limited or very less side effects compared to synthetic dyes or colors. These benefits are also applicable to the development and production of feed for animals.
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Global phycoerythrin sales increased at a CAGR of 6.2% from 2019 to 2023. For the assessment period of 2024 to 2034, the projections showcase that the sales value will expand at a CAGR of 8.1%.
A slow and steady increase in the sales of phycoerythrin in recent years can be attributed to the rising awareness and widespread application as a natural pigment and to the avoidance of synthetic ingredients or dyes. With the rising consciousness about health and wellness among consumers expanding the phycoerythrin industry.
With the advancement in the extraction, and purification process and increase in the advanced processing techniques such as development in biotechnology to develop the alternative source with the help of genetic engineering and manufacture the final product with more efficiency and stability catering to the diverse consumer as per their demands. The manufacturer also focuses on mergers, acquisitions, partnerships, and collaboration with different companies, institutions, and research centers to hold the maximum market share.
The global phycoerythrin industry has many big players or MNCs such as Thermo Fisher Scientific Inc., Norland Biotech, Agilent Technologies, Sigma-Aldrich, Jackson Immuno Research, Europa Biotechnology and many more that comprise a significant share of the global sales including in Tier1 of industry structure.
These tier 1 companies hold around 65-70 % of the global market share. These companies have numerous manufacturing facilities that distinguish themselves based on production capacity, supply chains, or distribution networks that allow them to manufacture and supply their products worldwide.
They maintain quality checks across the processing line and throughout the supply chain and reduce costs due to advanced manufacturing technology with high efficiency. These big players often engage in partnership and collaboration to develop solutions that meet specific consumer needs and industry trends.
Tier 2 comprises companies such as mid-tier manufacturing firms with a significant revenue share that are operating in specific and limited geographic locations. These ties 2 companies hold around 25-35 % of the global market share.
Tier 2 companies equipped with processing plants and involved in private labeling with sound market knowledge of the target market. These companies formed strategic partnerships with other companies to expand their reach beyond their limit. Companies like Fivephoton Biochemical, SETA BioMedicals, Dainippon Ink and Chemicals, etc. come under the tier 2 structure.
Tier 3 structure comprises a local company that operates on a small scale and has limitations based on their product type and the end–use application with the distribution and supply chain network. They operate with a local presence and serve a niche market. Such players focus on product quality with traditional processing technology and customer satisfaction rather than commercialization.
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The following table shows the estimated growth rates of the top three countries. China and India are set to exhibit Phycoerythrins sales, recording CAGRs of 8.2% and 8.5%, respectively, through 2034.
| Countries | CAGR 2024 to 2034 |
|---|---|
| United States | 6.9% |
| Germany | 7.0% |
| China | 7.2% |
| India | 8.9% |
| Australia | 9.8% |
The sales for the global phycoerythrin Industry in the United States are projected to exhibit a CAGR of 6.9% during the assessment period of 2024 to 2034. By 2034, revenue from the sales of the global phycoerythrin sales in the country is expected to reach USD 3.44 million.
Customers in the United States are well aware of health and wellness as well as nutrition regarding the food products and their additives due to widespread access to health information and the adverse effects caused by artificial Colours in food has led to a change in their preference for natural coloring agents. With the high disposable income of consumers, they are willing to spend on premium health-oriented products that contain natural ingredients.
The presence of key manufacturing companies of target products in the United States with the widespread distribution network led to an increase the sales in the United States.
Sales of phycoerythrin in China are projected to increase at a value CAGR of 7.2% over the next ten years. By 2034, the sales size is forecasted to reach USD 1.6 million, with China expected to account for an industry share of around 15.6% globally.
Multinational companies and local manufacturers are focusing on the production of target products with the patented advanced manufacturing process with more cost-effectiveness. Developing advanced machinery to scale up the process to supply products with the increasing trend with more efficiency has led the business growth in China for the target product. Along with this development, population growth and increasing regional per capita consumption and expenditure with an active lifestyle led to the increase in sales of phycoerythrin.
The phycoerythrin market in Germany is projected to exhibit a CAGR of 7.0% during the assessment period of 2024 to 2034. By 2034, revenue from the sales of phycoerythrin sales in the country is expected to reach USD 2.2 million.
The use of phycoerythrin in the development of cosmetic products such as lipsticks, eyeliner, and other beauty products with coloring ingredients as well as pharmaceutical products with natural pigments. Fast-growing urbanization as well as increased consumer disposable income has resulted in the growing demand for packaged food, pharmaceutical, and cosmetic products with phycoerythrin leading the target sales in Germany
| Segment | R-PE (By Product Type) |
|---|---|
| Value Share (2024) | 42.5% |
The phycoerythrin in the R-PE type which is sourced from red algae is the most dominant segment are anticipated to register a CAGR of 6.1% during the assessment period of 2024 to 2034, to reach a sales valuation of USD 4.4 million in 2034.
The availability of R-PE is widespread due to its easy production, stability across the products and downstream processing of products sourced from red algae is easy for the production the first choice for the manufacturer. This ease in production and widespread application due to its suitability makes it a dominant segment in the product type.
| Segment | Liquid (By Form) |
|---|---|
| Value Share (2024) | 66.5% |
The phycoerythrin in the liquid form dominates the market share and accounts for 66.5% of the total global market. This segment is anticipated to register a CAGR of 6.8 % during the assessment period of 2024 to 2034, to reach a sales valuation of USD 6.86 million in 2034.
One of the key reasons behind its dominance is the convenience and ease of use that the liquid R-Phycoerythrin offers. Liquid R-PE is ready-to-use and does not require additional reconstitution or preparation steps, saving time and effort in laboratory workflows. This makes it highly desirable for researchers who value efficiency and convenience in their experiments.
The key players in the phycoerythrin industry are continuously innovating to introduce new formulations from various raw materials in the field of business. Product development plays a crucial role in the market approach. Manufacturers continuously work to improve the quality, purity, and performance of PE.
This may involve optimizing the extraction and purification processes, developing new formulations or conjugation methods, or introducing innovative product variants to address specific customer requirements. Through ongoing research and development, manufacturers aim to differentiate their PE products in terms of quality, reliability, and suitability for various applications.
For instance
As per the process of Extraction, the industry has been categorized into Buffer Extraction, Cell Wall Extraction, and Hydrolysis Extraction.
This segment is further categorized into Freeze dried and Liquid form
This segment is further categorized into R-PE, B-PE, and C-PE
This segment is further categorized into the Pharmaceutical Industry, Food Industry, Cosmetics Industry, Diagnostic Industry, Biotechnology, and Agricultural Industry.
Industry analysis has been carried out in key countries of North America, Latin America, Europe, East Asia, South Asia, Oceania, and the Middle East & Africa.
The global Phycoerythrin market will reach a valuation of USD 4.2 Million by the end of 2022.
The US, Canada, Mexico, Brazil, Germany, the UK, France, Italy, Spain, Poland, Russia, China, Japan, South Korea, India, Australia, and New Zealand are the major countries driving demand for Phycoerythrin Market.
Thermo Fisher Scientific Inc., Dainippon Ink and Chemicals, Norland Biotech, Europa Biotechnology, Jackson Immuno Research.
The Japan Phycoerythrin market contribution is 5.6% of the total market share.
The India Phycoerythrin market will grow at 3.3% CAGR between 2022 and 2032.
The global Phycoerythrin market is forecasted to surpass USD 7.6 Million by the end of 2032.
1. Executive Summary
2. Industry Introduction, Including Taxonomy and Market Definition
3. Market Trends and Success Factors, Including Macro-Economic Factors, Market Dynamics, and Recent Industry Developments
4. Global Market Demand Analysis 2019 to 2023 and Forecast 2024 to 2034, including Historical Analysis and Future Projections
5. Pricing Analysis
6. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034
6.1. Process of Extraction
6.2. Form
6.3. Product Type
6.4. End Use Application
7. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, by Process of Extraction
7.1. Buffer Extraction
7.2. Cell Wall Extraction
7.3. Hydrolysis Extraction
8. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, by Form
8.1. Freeze Dried
8.2. Liquid
9. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, by Product Type
9.1. R-PE
9.2. B-PE
9.3. C-PE
10. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, by End Use Application
10.1. Pharmaceutical Industry
10.2. Food Industry
10.3. Cosmetics Industry
10.4. Diagnostic Industry
10.5. Biotechnology
10.6. Agricultural Industry
11. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, by Region
11.1. North America
11.2. Latin America
11.3. Western Europe
11.4. Eastern Europe
11.5. East Asia
11.6. South Asia and Pacific
11.7. Middle East and Africa
12. North America Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries
13. Latin America Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries
14. Western Europe Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries
15. Eastern Europe Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries
16. East Asia Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries
17. South Asia & Pacific Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries
18. Middle East and Africa Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries
19. Sales Forecast 2024 to 2034 by Category A, Category B, and Category C for 30 Countries
20. Competition Outlook, including Market Structure Analysis, Company Share Analysis by Key Players, and Competition Dashboard
21. Company Profile
21.1. Thermo Fisher Scientific Inc.
21.2. Dainippon Ink and Chemicals
21.3. Norland Biotech
21.4. Europa Biotechnology
21.5. Jackson Immuno Research
21.6. SETA BioMedicals
21.7. Assay Biotech Company Inc.
21.8. R&D Systems Inc.
21.9. Binmei Biotechnology
21.10. Columbia Bioscience
21.11. Sigma-Aldrich
21.12. Vector Laboratories
21.13. Eurogentec
21.14. Procurenet Limited
21.15. Abcepta
21.16. Anaspec
21.17. Chemscene
21.18. Fivephoton Biochemical
21.19. Agilent Technologies
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Phycoerythrin Market
