Increasing Demand Raises the Agar-Agar Prices in Asia

Global: The price of Agar-Agar is increasing in the Asian market due to rising demand from downstream businesses like jelly, bakery, and confectionary sectors. Agar-Agar is also used in dentistry and medicine, which raises the price.

Agar-Agar prices in India marginally increased in march 2023 due to changes in the price of raw materials. Asia-Pacific nations use Agar-Agar extensively, supported by extensive seaweed output. Due to increased demand from the food industries, particularly in jellies, baked goods, meat, and dairy products, prices are projected to rise in India owing to the upcoming holy month of Ramzan. In the past, biofuel production was done sustainably to satisfy UN Sustainable Development Goals standards. The popularity of veganism is growing in India and helping the market for plant products. The vegetarian alternative to gelatine is Agar-Agar, used in many Food & Beverage products.

The price of Agar-Agar jumped this month due to China's status as the world's top exporter. Due to its wide range of applications, Agar-Agar is utilized in various other contexts besides the food industry, where it is primarily used as a gelling agent in dairy products. It is a soluble dietary fiber as a mild laxative for treating digestive system issues. Because of the substantial amount of water-soluble, indigestible fibers, people feel fuller for longer and eat less. As it helps with weight loss, it can be found in supplements. Considering that Agar-Agar is a high source of calcium and magnesium, it is used in medications and supplements that support bone health. As a result, the product's price on the Chinese market is rising as demand for the product increases throughout the pharmaceutical and nutraceutical industries.

According to the ChemAnalyst database, the price of Agar-Agar may rise due to the general increase in demand from various sectors, which will also cause a change in the product's market dynamics.