Table of Contents
Overview
New York, NY – October 15, 2025 – The global xanthan gum market is projected to climb from about USD 688.7 million in 2024 to roughly USD 1,079.8 million by 2034, registering a CAGR of 4.6% between 2025 and 2034. The Asia-Pacific region commands a substantial 44.6% share, powered by surging demand in processed foods and cosmetics.
Xanthan gum—a microbial polysaccharide produced via sugar fermentation—serves as an effective thickener, stabilizer, and emulsifier across food, personal care, and industrial formulations. Its ability to yield viscous solutions at low concentrations makes it a go-to ingredient for texture and stability in sauces, creams, and more. Rising consumer preference for “clean-label” and plant-based ingredients, along with stricter regulations on synthetic additives, is driving greater adoption of xanthan gum.
A notable bet on the sector: Jungbunzlauer is investing USD 200 million to build Canada’s first xanthan gum plant in Ontario, underscoring confidence in escalating North American demand. In parallel, investor momentum around food tech highlights the ingredient’s relevance—Hero Bread secured USD 21 million in funding, while The Baker’s Dozen raised INR 33 crore (led by Wipro Consumer VC). In the ingredient space, Jungbunzlauer’s move and the broader appetite for specialty grades (e.g., pharmaceutical or biotech quality) position manufacturers who scale efficiently to capture future upside, particularly in emerging markets across Asia and Latin America.
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Key Takeaways
- The Global Xanthan Gum Market is expected to be worth around USD 1,079.8 million by 2034, up from USD 688.7 million in 2024, and is projected to grow at a CAGR of 4.6% from 2025 to 2034.
- In 2024, the Xanthan Gum Market saw thickening agents dominate, capturing a strong 44.8% share.
- Dry form led the Xanthan Gum Market in 2024, holding a remarkable 79.2% share.
- The Food and Beverages segment dominated the Xanthan Gum Market with a 56.4% share in 2024.
- The Asia Pacific market value reached USD 307.1 million, driven by rising food demand.
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Report Scope
| Report Features | Description |
|---|---|
| Market Value (2024) | USD 688.7 Million |
| Forecast Revenue (2034) | USD 1,079.8 Million |
| CAGR (2025-2034) | 4.6% |
| Segments Covered | By Function (Thickening Agent, Stabilizing Agent, Suspending Agent, Fat Replacer, Others), By Form (Liquid, Dry), By Application (Food and Beverages (Bakery Products, Confectionery, Meat Products, Frozen Food, Dairy Products, Beverages, Others), Pharmaceuticals, Personal Care and Cosmetics, Oil Refinery, Others) |
| Competitive Landscape | ADM, Foodchem International Corporation, Deosen Biochemical (Ordos) Ltd., Cargill, Incorporated, Ingredion, CP Kelco U.S., Inc., HEBEI XINHE BIOCHEMICAL CO., LTD, MEIHUA HOLDINGS GROUP CO., LTD., Qingdao Unionchem Co., Ltd. |
Key Market Segments
By Function Analysis
In 2024, the Thickening Agent segment led the Xanthan Gum Market by function, capturing a 44.8% share. This dominance stems from xanthan gum’s wide use in food, beverage, and personal care applications, where it ensures viscosity control and consistent texture.
Its unique rheological behavior allows stable suspension of ingredients under diverse temperature and pH conditions. Efficient even at low concentrations, it offers a cost-effective solution for products like sauces, dressings, dairy alternatives, and bakery goods.
The industry’s growing shift toward clean-label and multifunctional ingredients continues to strengthen xanthan gum’s importance as a natural thickening agent, solidifying its position as a core functional ingredient across global manufacturing sectors, from food and cosmetics to industrial formulations seeking reliable, stable, and sustainable performance.
By Form Analysis
In 2024, the Dry form dominated the Xanthan Gum Market by form, accounting for a significant 79.2% share. Its strong market presence is attributed to superior stability, long shelf life, and convenient handling compared to liquid variants. Food, cosmetic, and industrial manufacturers prefer dry xanthan gum for its consistent quality, excellent solubility, and ease of transportation.
Its powder form enables accurate dosing and seamless blending in formulations like bakery mixes, sauces, and personal care products. This versatility and cost efficiency have made dry xanthan gum the most widely used form globally, underscoring its reliability and suitability across diverse applications and large-scale production processes throughout 2024.
By Application Analysis
In 2024, the food and beverages segment dominated the xanthan gum market by application, holding a 56.4% share. This strong position reflects xanthan gum’s critical role in enhancing texture, stability, and mouthfeel across products like sauces, dressings, dairy alternatives, and bakery goods. Maintaining uniform viscosity and preventing ingredient separation ensures consistent quality and an improved sensory experience.
Its compatibility with clean-label and natural formulations has made it a preferred additive for modern food manufacturers. Growing consumer demand for stable, high-quality, and long-lasting food and beverage products has reinforced this segment’s leadership, firmly establishing xanthan gum as an essential ingredient in global food processing and formulation during 2024.
Regional Analysis
In 2024, the Asia Pacific region dominated the global xanthan gum market with a 44.60% share, valued at USD 307.1 million. Its leadership stems from robust food and beverage manufacturing, rising demand for convenience foods, and expanding applications in cosmetics and pharmaceuticals. Major economies such as China, India, and Japan drive growth through increased industrial usage and a strong focus on product quality and stability.
North America maintained steady progress, supported by its mature food sector and growing preference for gluten-free formulations, while Europe experienced consistent gains driven by clean-label adoption in bakery and dairy segments.
Emerging regions like Latin America and the Middle East & Africa are gradually strengthening their positions, fueled by higher packaged-food consumption and industrial diversification, marking Asia Pacific as the key growth engine of the xanthan gum industry in 2024.
Top Use Cases
- Paints, coatings & printing: It serves as a rheology modifier for paints, coatings, and printing pastes, preventing pigment settling and improving flow behavior during application.
- Oil & gas drilling fluids: Xanthan gum boosts the viscosity of drilling mud, helping suspend rock cuttings and maintaining fluid flow, especially under low-shear conditions.
- Cosmetics & personal care: It thickens and stabilizes creams, lotions, shampoos, and gels, helping emulsions stay mixed, improving feel, and enabling consistent texture over time.
- Gluten-free baking & doughs: In recipes without gluten, xanthan gum helps mimic the “bind & elasticity” that gluten gives. It improves structure, gas retention, and moisture in breads, cakes, and doughs.
- Sauces, dressings & gravies: Xanthan gum thickens sauces, dressings, and gravies, preventing oil and water from separating. It creates a smooth, uniform texture even at low doses and holds spices or particles in suspension.
Recent Developments
- In June 2025, ADM inaugurated a new research & development center focusing on animal health and microbiome research. This expansion may support future development of antimicrobial or health-related additives.
- In April 2025, Cargill introduced Biostrong C-Protect, a feed additive combining a postbiotic (XPC™) and a phytogenic. It helps poultry (layers) resist avian pathogenic E. coli (APEC), improving egg production and reducing mortality under bacterial challenge.
- In September 2024, Ingredion introduced new clean-label citrus fiber ingredients that help with viscosity, texture, gelling, and stability in foods. These fibers partly replace conventional additives like modified starch and hydrocolloids.
Conclusion
The Xanthan Gum Market continues to evolve as industries seek versatile and sustainable ingredients. Its exceptional thickening, stabilizing, and emulsifying abilities make it vital in food, cosmetics, and industrial applications. Growing consumer preference for clean-label and plant-based formulations supports steady expansion, while innovations in fermentation technology enhance product efficiency and quality.
Additionally, its compatibility with diverse formulations ensures ongoing relevance across sectors—from food and beverages to pharmaceuticals and personal care. As manufacturers focus on eco-friendly production and natural alternatives, xanthan gum remains an essential solution that bridges performance, sustainability, and innovation in modern ingredient formulations.
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