Report Overview

An increasing demand from dairy industry and rising trend of sugar, fat, and calorie reduction are expected to boost the growth of the Saudi Arabia prebiotic ingredients market during the forecast period between 2023 and 2029.

Saudi Arabia Prebiotic Ingredients Market - Industry Trends & Forecast Report, 2029

Saudi Arabia prebiotic ingredients market size was estimated to be worth USD 85.51 million in 2022. During the forecast period between 2023 and 2029, the Saudi Arabia prebiotic ingredients market size is projected to grow at a CAGR of 5.17% reaching a value of USD 121.53 million by 2029. Major growth factors for the Saudi Arabia prebiotic ingredients market include the increasing significance of nutraceutical products, which are now a staple of consumer dietary planning. Moreover, increasing adoption of technology developments in the production of inulin and oligosaccharides are projected to replace sugar, which is expected to offer growth opportunities to the Saudi Arabia prebiotic ingredients market during the forecast period.

Saudi Arabia Prebiotic Ingredients Market – Overview

According to the definition by the Nutritional Outlook, “A prebiotic is a selectively fermented ingredient that allows specific changes, both in the composition and/or activity in the gastrointestinal microflora that confer benefits upon host well-being and health.” Prebiotics are produced via enzymatic methods. For instance, NDO may be produced this way by joining carbohydrate monomers to create "longer" oligosaccharides, or it can be produced this way by breaking down polysaccharides into smaller oligosaccharides.

Saudi Arabia Prebiotic Ingredients Market

Growth Drivers

Increasing Demand for Prebiotic Ingredients from Dairy Industry

The expanding demand for dairy and dairy products is emerging as a crucial factor propelling the Saudi Arabia prebiotic ingredients market growth. Dairy brands are increasingly launching products with prebiotic ingredients to target the health-conscious consumer demographic. Prebiotic components may be employed as fat substitutes in dairy products to produce non-fat goods with rheological, physicochemical, and sensory characteristics that are comparable to those of full-fat goods. With increasing consumer consciousness towards the health benefits of prebiotic ingredients, the demand for these products is projected to rise, influencing its market growth.

Restraints

High Cost of Prebiotic Ingredients

The high cost of manufacturing prebiotic compounds is one of the main reasons impeding the expansion of prebiotic ingredients market in Saudi Arabia. The prebiotic components are often expensive as the cost of the manufacture is relatively high. The source of the enzyme, the quantity of the substrate, and the parameters of the reaction all affect how much and what kind of oligosaccharides are produced. The existing process's poor yield is pushing up the price of production. To increase the yield and develop more effective manufacturing methods, additional R&D activities should be conducted. It may increase the company’s operational cost.  

Impact of COVID-19 on Saudi Arabia Prebiotic Ingredients Market

The COVID-19 pandemic offered new opportunities to the Saudi Arabia prebiotic ingredients market. Although the market was initially hindered. The COVID-19 pandemic caused a nationwide lockdown and border restrictions that completely disrupted supply chains and had an impact on the manufacturing and distribution of several items. The prebiotic ingredients registered a sharp spike in their demand owing to the increase in consumption of health supplements due to their health benefits. They are a crucial component of dietary supplements since they offer many advantages, from enhancing gut health to boosting digestive health. By increasing the number of probiotics in the gut, particularly lactic acid bacteria and bifidobacteria, prebiotics are also known to enhance immune systems indirectly or directly. Such factors significantly contributed to the Saudi Arabia prebiotic ingredients market during the pandemic.

Saudi Arabia Prebiotic Ingredients Market

Segmental Coverage

Saudi Arabia Prebiotic Ingredients Market – By Type

Based on type, the Saudi Arabia prebiotic ingredients market is segmented into fructo-oligosaccharide (FOS), oligosaccharide, galacto-oligosaccharide, insulin, and others. Insulin holds the highest share in the market, as it is commonly found in leeks, asparagus, onions, wheat, garlic, chicory, oats, soybeans, and Jerusalem artichokes. The fructo-oligosaccharide type also covers a substantial market share. FOS has significant anti-tumor properties, a prebiotic impact, enhanced mineral absorption, and lower blood levels of phospholipids, triacylglycerols, and cholesterol, which contributes to its market growth.

Saudi Arabia Prebiotic Ingredients Market – By Application

Based on application, Saudi Arabia prebiotic ingredients market is segmented into food & beverages, dietary supplements, infant formula, and animal nutrition. The food & beverages segment accounts for the highest share in the Saudi Arabia prebiotic ingredients market. The market demand for these products is anticipated to increase as consumer knowledge of the benefits of consuming protein for maintaining appropriate nutritional levels and preserving muscle mass grows. Moreover, it is expected that the increasing public knowledge of the advantages of protein and the need of leading an active lifestyle would be key in boosting the use of dietary supplement products.

Saudi Arabia prebiotic ingredients Market – By Source

Based on the source, Saudi Arabia prebiotic ingredients market is segmented into roots, grains, and vegetables. The vegetable segment holds the highest market share. Several fruits and vegetables, especially those with complex carbohydrates like fiber and resistant starch, are rich in prebiotics. These carbohydrates travel through the digestive system as food for bacteria and other germs since they cannot be digested by the body. The increasing import activities of many exotic fruits and vegetables in Saudi Arabia are offering lucrative growth opportunities to the prebiotic ingredients market.

Saudi Arabia Prebiotic Ingredients Market – By Function

Based on function, Saudi Arabia prebiotic ingredients market is segmented into gut health, bone health, immunity, heart health, and weight management. The gut health function accounts for the highest share in the Saudi Arabia prebiotic ingredients market. Prebiotics may promote gut health, resulting in improved digestion, fewer antibiotic-related health issues, and other advantages. Prebiotics have become a popular non-pharmacological strategy for restoring intestinal symbiosis and enhancing well-being. Due to such health benefits, the demand for prebiotic ingredients market is expanding in Saudi Arabia.

Competitive Landscape

Major players operating in Saudi Arabia prebiotic ingredients market include Abbott Laboratories, BENEO GmbH, Bright Food (Group) Corp. Ltd., Cargill Inc., Cosucra Groupe Warcoing SA, and The Kraft Heinz Company.

To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In March 2023 – OptiBiotix Health Plc, a UK-based biotechnology company, launched its GoFigure consumer line of nutritional shakes and bars in Saudi Arabia.

Scope of the Report

By Type

• Fructo-oligosaccharide

• Oligosaccharide 

• Galacto-oligosaccharide

• Insulin

• Others

By Application

• Food & Beverages

• Dietary Supplements

• Infant formula

• Animal Nutrition

1. Ruminant

2. Poultry

3. Aquaculture

4. Others

By Source

• Roots

• Grains

• Vegetables

By Function

• Gut Health

• Bone Health

• Immunity

• Heart Health

• Weight Management