Natural Butyric Acid Market Forecast to 2028 - COVID-19 Impact and Global Analysis By Application (Dietary Supplement, Animal Feed, Flavor and Fragrance, Chemical Intermediate, Pharmaceutical, and Others)

The natural butyric acid market is expected to grow from US$ 224.88 million in 2022 to US$ 326.5 million by 2028; it is estimated to register a CAGR of 6.4% from 2022 to 2028.

Butyric acid is a fatty acid commonly found in milk and milk products such as butter. It has diverse applications in the food, feed, chemicals, and pharmaceuticals industries. Butyric acid is treated as one of the renewable green fuels of the modern age due to its high energy content. Butyric acid production from renewable resources is receiving significant attention from scientific communities and industries due to the increasing prices of petroleum, concerns about greenhouse gas emissions and global warming, and a shift in the preferences of customers.

Based on application, the global natural butyric acid market is segmented into dietary supplements, animal feed, flavors & fragrances, chemical intermediates, pharmaceuticals, and others. In 2021, the pharmaceutical segment dominated the market. The growing population and increasing per capita income globally are the major factors that are boosting the demand for flavored foods. Natural butyric acid is a widely used flavoring agent in food and beverages, as it has a fruity and cheesy flavor. Various prodrugs that are derivatives of natural butyric acid are used in the treatment of hemoglobinopathies, including leukemia and sickle cell anemia (SCA). Also, the application of natural butyric acid in radio- and chemotherapy-induced alopecia for protecting hair follicles is gaining traction. These factors are expected to drive segment growth during the forecast period.

Based on geography, the natural butyric acid market is primarily segmented into North America, Europe, Asia Pacific, the Middle East & Africa, and South & Central America. In 2021, Asia Pacific dominated the global natural butyric acid market. North America is expected to register the highest CAGR in the market during the forecast period. The pharmaceuticals and flavor & fragrance markets are booming in Asia Pacific. Governments of countries in this region have been supporting the progress of industries. Further, a shift in consumer eating habits toward organic and natural food products favors the natural butyric acid market growth.

Before the COVID-19 outbreak, the natural butyric acid market growth was mainly driven by the rising demand from food & beverages, pulp & paper, animal feed, and pharmaceutical industries. However, in 2020, these industries had to slow down their operations due to disruptions in value chains caused by the shutdown of national and international boundaries. The COVID-19 pandemic hampered the key raw material supply chains and disturbed manufacturing processes due to restrictions imposed by government authorities in various countries. However, in 2021, economies gradually resumed their operations, which had a positive effect on the global marketplace. As large percentages of people from many countries were fully vaccinated by the end of 2021, manufacturers were permitted to operate at full capacities, which helped them consolidate their efforts toward closing the gap between demand and supply. In addition, during the COVID-19 pandemic, the demand for natural butyric acid from the pharmaceutical industry increased, which positively impacted the market. These transformations helped them focus on increasing their production to revive their businesses.

Merck KGaA, Vigon International LLC, Kunshan Odowell Co Ltd, Aurochemicals LLC, Biosynth AG, Elan Chemical Co, Ernesto Ventos SA, Phoenix Aromas & Essential Oils LLC, Berje Inc, and Eastman Chemical Co are among the key players in the natural butyric acid market. These companies are adopting strategies such as mergers and acquisitions, and product launches to expand their geographic presence and clientele. They collectively hold a majority of the global natural butyric acid market share.

The overall natural butyric acid market size has been derived using both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market. Multiple primary interviews have been conducted with industry participants to validate the data and gain more analytical market insights. Participants in this process include VPs; business development managers; market intelligence managers; national sales managers; and external consultants such as valuation experts, research analysts, and key opinion leaders, specializing in the natural butyric acid market.