May 18, 2024
Microcrystalline Cellulose Market

Microcrystalline Cellulose Market is Estimated to Witness High Growth Owing to Increasing Applications in Pharmaceutical Industry

The increasing use of microcrystalline cellulose in pharmaceutical applications such as diluents, binders, disintegrants and other excipient applications is driving the growth of the microcrystalline cellulose market. Microcrystalline cellulose possesses properties such as stabilizes emulsions, retards the crystallization of drugs and increases the effectiveness of medication which makes it a suitable ingredient for pharmaceutical excipients. It is primarily used in capsule formulations to prevent the ingredients from sticking to the capsules.

The Global Microcrystalline Cellulose Market is estimated to be valued at US$ 1349.84 Bn  in 2024 and is expected to exhibit a CAGR of 11% over the forecast period 2024 to 2030.

Key players operating in the microcrystalline cellulose market are Thermo Fisher Scientific, Inc., Illumina, Inc., PerkinElmer Genomics, QIAGEN, Agilent Technologies, Inc., F. Hoffmann-La Roche Ltd, Macrogen, Inc., Abbott, PacBio, Zymo Research Corporation, Oxford Nanopore Technologies plc, Tecan Trading AG, Hamilton Company, ZS Genetics, Inc. LI-COR, Inc. The key opportunities in the market include expansion in emerging economies of Asia Pacific and Latin America. Technological advancements such as continuous innovations in microcrystalline cellulose grades are fueling the market growth.

Market drivers

The rising demand from food & beverage industry is one of the key factors driving the growth of microcrystalline cellulose market. It is extensively used as an excipient in food products due to its texture enhancing, anti-caking and bulking properties. Another factor spurring the demand is increased consumption of microcrystalline cellulose in biodegradable products such as compostable packaging films and other consumer products. Its widening scope of applications in pharmaceuticals, nutraceuticals and cosmetics has been further propelling the market revenues.

Current challenges in the Microcrystalline Cellulose Market Size:
The microcrystalline cellulose market is facing challenges due to stringent regulations regarding the use of excipients in pharmaceutical applications. Many regulatory agencies, such as the FDA, have imposed restrictions on the use of certain materials in pharmaceutical formulations. This causes delays in product approvals and increases costs for manufacturers. Moreover, the complex manufacturing process of microcrystalline cellulose makes it difficult for local players to enter the market. This consolidated the market among leading global players who have the capabilities and resources to overcome technical barriers.

SWOT Analysis
Strength: Microcrystalline cellulose has characteristics like purity, compatibility, moisture holding ability, easy compression which makes it suitable for various applications. It has a well-established market for use as an excipient in pharmaceutical products.
Weakness: The manufacturing process involves use of harsh chemicals and produces toxic waste. This increases production costs. Local and small players also face technical challenges in production.
Opportunity: Growth in demand from nutraceutical, food and other industries offer new opportunities. Innovation towards developing eco-friendly production methods can help comply with stringent regulations.
Threats: Stringent regulatory norms and ban on certain toxic chemicals pose risks. Availability of substitute products also threatens market share of microcrystalline cellulose.

North America accounts for the largest share of the microcrystalline cellulose market in terms of value. This is owing to robust pharmaceutical industry and increasing research activities in the region. Stringent regulations ensure high quality standards of excipients used in pharmaceutical formulations. Microcrystalline is widely used as a binder and disintegrant in tablets and capsules produced.

The Asia Pacific region is emerging as the fastest growing market for microcrystalline cellulose. This is attributed to growth of pharmaceutical production and rising health awareness in countries like India, China and others. Growing nutraceutical industry especially dietary supplements also contributes to demand. Implementation of international quality standards and expansion of global players to tap market potential drives the microcrystalline cellulose market in the region.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it