US Amino Acid Demand Increasing by 5.3% per Year
US demand for amino acids will advance 5.3% annually to $1.5 billion in 2003, based on sales of 850 million pounds. Animal feed additives will continue to account for more than 60% of demand based on quantity needs of livestock and poultry breeders and the increasing availability of high value-added formulations such as liquid methionine, high-density threonine, and lysine/tryptophan combinations. Pharmaceuticals and nutraceuticals will remain the most diversified market in terms of amino acid requirements, with energy-boosting dietary supplements accounting for the strongest growth. Anti-aging cosmeceuticals based on cysteine and biodegradable plastics based on aspartic acid will emerge as the newest and most promising applications developed by the industry. These and other trends are presented in Amino Acids, a new study from research firm The Freedonia Group Inc. (Cleveland, OH).
Demand for amino acids employed as feed additives will increase nearly 6% annually to over $900 million in 2003. Lysine and methionine will continue to account for the largest revenues based on improving formulations; consumer preferences for leaner, low fat meats; and EPA manure waste reduction initiatives promoting the substitution of amino acid feeds for soybean meal. Threonine will generate the strongest growth among amino acid feed additives due to increasing availability in high value-added commercial formulations and adaptability to all livestock diets.
Amino acids used in food additives will reach $290 million in 2003. Niche products such as lysine flavor masks for potassium chloride salt substitutes and alanine flavoring agents for meat substitutes will see the strongest growth. Although continuing to dominate demand in the food and beverage additive market, the artificial sweetener ingredients phenylalanine and aspartic acid and the flavor enhancer glutamic acid will provide moderate growth opportunities at best due to maturing markets and persisting health controversies.
Demand for amino acids in pharmaceuticals and nutraceuticals will increase 6% annually to 2003. The branched chain amino acids isoleucine, leucine, and valine will see the fastest growth based on diversity of applications and greater human requirements. Alanine, cysteine, and serine will provide the best prospects among amino acids employed in cosmeceuticals due to adaptability to anti-aging lotions and creams. Biodegradable polymers based on aspartic acid and asparagine/lysine will emerge as the most promising new applications for amino acids.
For more information: Corinne Gangloff, The Freedonia Group Inc., 767 Beta Drive, Cleveland, OH 44143-2326. Tel: 440-684-9600. Fax: 440-646-0484. Email: pr@freedoniagroup.com.