The global caffeine market is estimated to be valued at US$ 18.12 Mn or billion in 2023 and is expected to exhibit a CAGR of 6.7% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Caffeine is a bitter, white crystalline purine, methylxanthine alkaloid, which is founded in coffee, tea, soft drinks, chocolate, kola nuts, and certain medications. It acts as a central nervous system stimulant and is included in many weight loss supplements. Caffeine provides increased alertness, improved mood and performance.
Market key trends:
One of the key trends in the caffeine market is the increasing demand for energy drinks and beverages. The consumption of energy drinks containing caffeine has increased significantly over the past few years, especially among youth and young adults. Manufacturers are launching various flavored energy drinks in the market to cater to changing consumer preferences. Furthermore, the usage of caffeine in functional foods and dietary supplements is also growing due to rising health consciousness among consumers. For instance, caffeine is added to weight loss supplements claiming to boost metabolism. The wide applications and health benefits have been driving the growth of the global caffeine market.
Market key trends:
One of the major trends witnessed in the caffeine market is the increasing demand for caffeine-infused beverages and food products. With growing health consciousness, consumers are shifting towards energy drinks, bottled coffee, canned coffee, carbonated coffee, etc. for a quick energy boost instead of sugary sodas. Caffeine-infused water, gums, candies, nuts, and dark chocolate are also gaining popularity. Moreover, the trend of protein-packed energy bars containing caffeine is on the rise as they provide sustained energy without any sugar crashes.
SWOT Analysis:
Strength: Caffeine is widely consumed around the world as it helps boost memory, mood and exercise performance. It is easily available from sources like coffee beans, tea leaves, etc.
Weakness: Heavy consumption of caffeine (>500 mg per day) can cause side effects like anxiety, insomnia, increased heart rate, etc. With increasing health awareness, some consumers are limiting caffeine intake.
Opportunity: Growing demand for functional beverages and food items infused with natural ingredients like caffeine provides opportunities for product innovation and new product development.
Threats: Strict regulations regarding the use of caffeine in products may hamper market growth to some extent. Introduction of alternatives providing energy without side effects of caffeine is also a threat.
Key Takeaways
The Global Caffeine Market Size is expected to witness high growth, exhibiting CAGR of 6.7% over the forecast period, due to increasing demand for functional beverages and foods. The market size for 2023 is estimated to be US$ 18.12 Mn.
North America dominates the global caffeine market currently due to high coffee consumption and growing demand for energy drinks. Changing lifestyles, increasing health consciousness and busy schedules have boosted the demand for functional beverages containing caffeine for instant energy boost in North America.
Key players operating in the caffeine market are BASF SE, Spectrum Chemical Manufacturing Corp., Kudos Chemie Limited, AVT Natural Products, Tianjin Zhong€TMan, Pharmaceutical Company Ltd., Shandong Xinhua Pharma, Aarti Industries Limited, Bakul Group, Taj Pharmaceuticals Limited., and Jilin Shulan Synthetic Pharmaceutical Co. Ltd. These players are focusing on new product development and innovation to cater to the changing consumer preferences.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
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