Table of Contents
Overview
New York, NY – July 22, 2025 – The Global Potato Starch Market is growing fast, driven by high demand from food, paper, textile, and pharmaceutical industries. In 2024, the market was valued at USD 3.9 billion and is expected to reach USD 5.5 billion by 2034, growing at a 3.5% CAGR.
Potato starch is a key segment of the starch market, driven by rising demand for clean-label ingredients. In 2022, global potato production reached 375 million tonnes, with China and India accounting for over 151 million tonnes, roughly 40% of the total, providing a robust supply for starch processing. In Europe, France’s regulated starch quota limits production to approximately 265,354 tonnes annually, indicating a well-established market.
Government initiatives have bolstered potato starch processing capabilities. In the EU, policies regulate starch quotas and support modernized production facilities, while India’s “Operation Greens” program, with INR 500 crore (about USD 60 million) allocated since 2018–19, enhances value chains for tomato, onion, and potato, including starch and concentrate processing infrastructure.
Emerging applications like biodegradable packaging and bioplastics offer significant growth potential for potato starch. Annually, about 1.4 million tonnes of waste potato starch from 360 million tonnes of processed potatoes globally serve as a valuable resource for bio-based material production.
Key Takeaways
- Potato Starch Market is expected to be worth around USD 5.5 billion by 2034, up from USD 3.9 billion in 2024, and grow at a CAGR of 3.5%.
- Modified held a dominant market position, capturing more than a 58.3% share in the global potato starch market.
- Conventional held a dominant market position, capturing more than an 89.9% share in the global potato starch market.
- Food & Beverage held a dominant market position, capturing more than a 41.2% share in the global potato starch market.
- Hypermarkets/Supermarkets held a dominant market position, capturing more than a 38.1% share in the global potato starch market.
- North America emerged as a leading region in the global potato starch market, holding approximately 45.8% of the total market share, equating to around USD 1.7 billion
How Growth is Impacting the Economy
The Potato Starch Market’s growth significantly influences the global economy. Rising demand for processed and convenience foods, especially in emerging economies like China and India, boosts agricultural production, creating jobs in farming and processing. The market’s expansion supports industrial sectors like food, textiles, and bioplastics, fostering innovation and investment.
For instance, companies like KMC and AGRANA are investing millions in production capacity, stimulating local economies. The shift toward sustainable bioplastics enhances environmental sustainability, reducing reliance on petroleum-based plastics. However, challenges like raw material price fluctuations and regulatory compliance require strategic adaptation to sustain economic benefits. This growth drives trade, employment, and technological advancements, particularly in regions like North America and Europe.
➤ Curious about the content? Explore a sample copy of this report – https://market.us/report/potato-starch-market/request-sample/
Strategies for Businesses
Businesses in the potato starch market should focus on innovation and sustainability to capitalize on growth. Investing in R&D for modified starch variants tailored for food, textiles, and bioplastics can meet diverse industry needs. Vertical integration, as seen with major players like Avebe, ensures stable raw material supply. Expanding into high-growth regions like Asia-Pacific, particularly India and China, leverages rising processed food demand. Adopting eco-friendly production methods, like AGRANA’s energy-efficient upgrades, aligns with clean-label and organic trends. Strategic partnerships, such as Brenntag’s collaboration with Avebe, enhance distribution networks and market reach.
Report Scope
| Market Value (2024) | USD 3.9 Billion |
| Forecast Revenue (2034) | USD 5.5 Billion |
| CAGR (2025-2034) | 3.5% |
| Segments Covered | By Type (Modified, Native), By Nature (Conventional, Organic), By End-use (Food And Beverage, Dairy Products, Bakery And Confectionery, Snacks And Processed Foods, Infant Formula, Others, Pharmaceutical, Paper And Packaging, Chemical, Cosmetics And Personal Care, Others), By Distribution Channel (Hypermarkets/Supermarkets, Convenience Stores, Specialty Stores, Online retail, Others) |
| Competitive Landscape | Avebe U.A., Roquette Frères, Cargill, Incorporated, Ingredion Incorporated, AGRANA Beteiligungs-AG, Tereos, Tate & Lyle, Südstärke GmbH, KMC, Pepees S.A., AKV Langholt AmbA, Novidon, Vimal PPCE, Lyckeby Culinar, PPZ Trzemeszno Sp. z o.o. |
➤ Directly purchase a copy of the report – https://market.us/purchase-report/?report_id=22882
Key Market Segments
By Type Analysis
- In 2024, modified potato starch led the global market, securing over 58.3% of the share. Its dominance stems from superior functional attributes, including enhanced thickening, freeze-thaw stability, and extended shelf life. Widely utilized in processed foods, sauces, dairy, and ready-to-eat meals, it ensures consistency and heat resistance. Beyond food, it plays key roles in paper, textiles, and pharmaceuticals.
By Nature Analysis
- Conventional potato starch dominated in 2024, commanding an 89.9% market share. Its affordability, widespread availability, and versatility across food, paper, textiles, and adhesives industries drive this preference. Manufacturers favor it for consistent performance, particularly in regions with developing organic certification systems.
By End-User Analysis
- The food and beverage sector led in 2024, capturing over 41.2% of the global potato starch market. Its extensive use as a thickener, stabilizer, and moisture-retention agent in sauces, soups, bakery fillings, dairy, and meat products fuels this dominance. The rise in demand for convenience, gluten-free, and plant-based foods, coupled with potato starch’s natural origin and neutral flavor, drives growth.
By Distribution Channel Analysis
- Hypermarkets and supermarkets held a 38.1% share of the global potato starch market in 2024. Their popularity is driven by one-stop shopping convenience, reliable product availability, and promotional offers. These outlets serve both household consumers and small food businesses in urban and semi-urban areas. This channel is expected to maintain its strength, supported by expanding retail infrastructure and growing packaged food consumption.
Regional Analysis
North America led the global potato starch market in 2024, with a 45.8% share, valued at approximately USD 1.7 billion. Strong demand for clean-label and functional starches in food processing, particularly for convenience and gluten-free products, drives this dominance.
The U.S. contributed 433,000 tonnes (83% of regional production), with Canada adding 90,000 tonnes, supporting robust processing pipelines. Imports rose 14% year-over-year to 175,000 tonnes, reflecting high domestic consumption and industrial demand.
Recent Developments
1. Avebe U.A.
- Avebe, a leading potato starch producer, recently expanded its Etenia range, offering clean-label, plant-based texturizers for meat alternatives and dairy products. They also invested in sustainable production, reducing water and energy usage. Their focus remains on non-GMO and allergen-free potato starch solutions.
2. Roquette Frères
- Roquette introduced LYCOAT, a potato starch-based binder for pharmaceutical tablets, enhancing drug stability. They also launched NUTRALYS plant proteins alongside potato starch for better texture in plant-based foods, supporting clean-label trends.
3. Cargill, Incorporated
- Cargill expanded its SimPure potato starch line, improving texture in gluten-free bakery and dairy products. They partnered with food manufacturers to enhance sustainability in potato sourcing and processing.
4. Ingredion Incorporated
- Ingredion launched POTEX, a modified potato starch for better stability in soups and sauces. They also developed NOVATION Prima for low-fat dairy alternatives, emphasizing clean-label demand.
5. AGRANA Beteiligungs-AG
- AGRANA introduced organic potato starch for baby food and gluten-free products, aligning with EU organic regulations. They optimized production to reduce carbon footprint while maintaining high purity.
Conclusion
The Potato Starch Market is expected to continue steady growth driven by expanding global demand for processed and convenience foods, clean-label ingredients, and gluten-free solutions. Growth is supported by its versatile functional qualities including thickening, binding, and water retention, which make it valuable not only in food and beverage applications but also in non-food sectors such as paper, textiles, adhesives, pharmaceuticals, and biodegradable packaging.
Discuss Your Needs With Our Analyst
Please share your requirements with more details so our analyst can check if they can solve your problem(s)
