As per the report by Grand View Research, Inc., the Gum Arabic Market is poised to rise to a valuation of USD 555.9 million and is estimated to witness a CAGR of 5.9 % by 2025. Rising consumer spending on fiber-rich food and dietary products, particularly in bakery sector are anticipated to propel the market in the years to come.

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In addition, increasing buying power of consumers along with substantial spending in the confectionery and beverage industry in emerging economies such as India and China are expected to boost the market growth in the forecast period. Rising bakery industry in numerous South American and Asian countries and increasing sales of natural and functional constituents used in bakery products are major factors benefiting the gum arabic industry.
Furthermore, the capacity of this ingredient to be rapidly soluble in products and help retain colors, flavors, and aromas in numerous beverages and foods is anticipated to boost the product demand. On the other hand, high cost of gum arabic is a major factor limiting the development of the market. Low production rate and high demand of gum arabic is another factor hindering the development of gum arabic over the forecast period.
Increased consumption of gum arabic owing to its high dietary fiber content, which supports in bowel movement and healthy digestion is the new trend in the market. Gum arabic could be helpful for patients suffering from irregular bowel movement and constipation. Furthermore, gum arabic manufactures are concentrating on securing regulatory clearance to include this emulsifier as a constituent in food products.
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North America is expected to witness a considerable growth in the coming years owing to large consumer base, particularly for confectioneries, pharmaceutical products, and beverages. Soring sales of dairy products, mainly in the economies like China, Japan, India, and Australia have been propelling the Asia Pacific market, allowing it to register the fastest development over the years to come.
Some of the key players effective in the gum arabic market are Nexira; Gum Arabic Company; Kerry Group; Agrigum International Limited; Tic Gums Inc.; Farbest Brands; Ashland Inc.; Archer Daniels Midland Company; Prodigy NIG Limited; and Hawkins Watts.
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