Table of Contents
Introduction
The krill oil market is on a robust growth trajectory. It is expected to significantly expand from USD 967.3 million in 2023 to about USD 2531.8 million by 2033, showing a strong compound annual growth rate (CAGR) of 10.1% over the forecast period.
This growth is driven by increasing consumer awareness about the health benefits of omega-3 fatty acids found in krill oil, such as improved heart health and cholesterol management.
However, the industry faces challenges, particularly regarding the environmental and regulatory standards for krill harvesting. Ensuring sustainable sourcing is vital due to the ecological sensitivities of the Southern Ocean, where krill is primarily collected.
Failing to adhere to sustainability standards could lead to significant environmental impacts and legal consequences for the industry.
Recent developments in the Krill Oil Market involving key players like Aker BioMarine, Coastside Bio Resources, and Enzymotec Ltd. have shown significant activity. Strategic moves include acquisitions and partnerships to bolster their positions in the global market.
Aker BioMarine has been particularly active, securing its influence through strategic acquisitions and global partnerships. For instance, Aker BioMarine acquired Enzymotec’s krill oil business for $26.4 million, which not only expanded its market reach but also strengthened its product portfolio and customer base.
Moreover, Aker BioMarine has signed multiple strategic partnership agreements, notably 18 during the China International Import Expo, aiming to deepen its market penetration in the vital Chinese market.
Key Takeaways
- The krill oil market size is expected to be worth around USD 2531.8 Million by 2033, from USD 967.3 Million in 2023, growing at a CAGR of 10.1% during the forecast period from 2023 to 2033.
- As of 2023, liquids emerged as the most popular form, capturing over 62.6% of the market. These are typically in a liquid state, allowing for easy consumption.
- In 2023, dietary supplements dominated the Krill Oil market, holding over a 71.7% share. Dietary supplements are the most popular application, as many people consume Krill oil supplements for their health benefits.
- In 2023, supermarkets/hypermarkets took the lead in the Krill Oil market, securing over a 38.3% share. These large retail outlets were the primary source for customers to purchase krill oil due to their extensive product range and convenience.
- North America Leading accounted for over 35.6% of revenue in 2023, driven by various applications including functional foods, pharmaceuticals, and more.
Krill Oil Statistics
Nutritional and Health Benefits of Krill Oil
- While both contain some EPA and DHA as free fatty acids, krill oil contains particularly rich amounts of choline-containing phospholipids and a phosphatidylcholine concentration of 34 grams per 100 grams of oil.
- Krill oil also contains an appreciable content of astaxanthin at 0.1 to 1.5 mg/ml, depending on processing methods, which is responsible for its red color.
- After 26 weeks, the patients consuming the krill oil experienced a 33.5% reduction in blood triglyceride levels from baseline, versus a 20.8 % reduction among the placebo group, giving a significant treatment difference of -12.7%.
- In addition, research involving 90 individuals with chronic inflammation discovered that 300 mg of krill oil taken daily was sufficient to decrease inflammation by up to 30 percent after one month.
- Krill oil is composed of 40% phospholipids, 30% EPA and DHA, astaxanthin, vitamin A, vitamin C, various other fatty acids, and flavonoids (anti-oxidant compounds).
Industrial and Technological Advances in Krill Oil Production
- Krill oil contains a notable proportion of free EPA and DHA, which can be absorbed directly into the bloodstream without needing to be digested. Studies have shown that krill oil can contain about 22% free EPA and 21% free DHA, which may contribute to its superior bioavailability compared to fish oil, which generally lacks free fatty acids.
- The HHI division had solid revenue growth of 22%, with revenue from krill oil equivalent products increasing by 7% YoY.
- The technology also results in a reduction of viscosity in krill oil, making it easier to handle during production. The viscosity can decrease by 50-70% compared to traditional krill oils.
- Flexitech allows for the production of krill oil with over 56% phospholipid concentration, compared to the typical 40% found in standard krill oils.
- The Houston facility is designed to produce a significant volume of krill oil, contributing to economies of scale. Aker BioMarine produces approximately 85% of all krill oil globally, allowing it to leverage its large-scale operations to lower per-unit costs.
Emerging Trends
- Fish Oil Alternative: Krill oil is emerging as a superior substitute to fish oil supplements, offering easier digestion and no fishy aftertaste. Its higher availability of omega-3 fatty acids enhances its effectiveness in supporting cardiovascular health.
- Extraction Technology Innovations: Advances in technology, especially supercritical CO2 extraction, are enhancing krill oil’s quality. This method ensures a purer and more potent product by preserving crucial nutrients like omega-3 fatty acids and antioxidants.
- Focus on Sustainability: Growing consumer consciousness about the environment is driving demand for Krill oil sourced through sustainable methods. Compliance with strict regulations and obtaining certifications from organizations like the Marine Stewardship Council are becoming essential for krill oil producers.
- Expansion into Functional Foods and Pharmaceuticals: Krill oil is increasingly being used in functional foods and pharmaceuticals for its health benefits, such as heart health improvement and inflammation reduction. Its integration into daily diets is broadening as consumers look for foods that contribute to their health.
- Market Expansion: Significant market growth is anticipated in regions like Asia Pacific and Europe, where health awareness and higher incomes are leading more consumers to choose natural supplements like krill oil to enhance their health and wellness.
- Use Cases
- Cardiovascular Benefits: Krill oil is renowned for its positive effects on heart health, attributed to its rich content of omega-3 fatty acids. These nutrients are effective in reducing blood sugar levels, maintaining healthy triglyceride levels, and boosting HDL cholesterol. Consistent consumption of krill oil can enhance heart rhythm and blood pressure, contributing to overall heart health.
- Relief from Joint Pain: Krill oil is beneficial for those suffering from joint pain, offering anti-inflammatory properties that help alleviate pain and stiffness. This can lead to improved mobility and a better quality of life for individuals with joint issues.
- Cognitive Health: Rich in DHA and EPA, krill oil plays a vital role in brain health. It supports the development of the brain in fetuses and enhances cognitive functions, such as attention and memory, in both children and adults, supporting overall mental performance.
- Vision Support: The high levels of DHA in krill oil are crucial for the health of the retina, helping to maintain proper vision. Regular intake of krill oil supports retinal structure and function, potentially warding off vision-related issues.
- Skin Care: Krill oil’s antioxidants and omega-3 fatty acids aid in skin health by preserving moisture, reducing inflammation, and offering protection from UV damage. These properties make it a sought-after ingredient in skincare formulations, promoting healthier and more resilient skin.
Major Challenges
- Environmental Sustainability Issues: Harvesting krill has significant ecological implications due to its pivotal role in marine ecosystems. It’s vital to implement and adhere to sustainable fishing practices to avoid depleting krill populations in their natural Antarctic habitat, which are crucial for the survival of various marine species.
- Navigating Regulatory Frameworks: Krill oil manufacturers face the challenge of complying with diverse and stringent regulations across different regions. These regulations, which govern conservation and supplement standards, can vary widely, making compliance a complex and often costly endeavor that can influence market access and scalability.
- Costs of Production: Producing krill oil is inherently expensive due to the need for sophisticated technology and equipment for extraction and processing. These high overhead costs can make it difficult for krill oil to be competitively priced in the market against less costly alternatives.
- Competition in the Market: The market for omega-3 supplements is crowded, with coconut oil competing against fish oil and other alternatives. Companies must invest in marketing and consumer education to differentiate their products and gain a competitive edge in this saturated market.
- Building Consumer Awareness: Although Krill oil is recognized for its health benefits, awareness among potential users remains limited. Increasing consumer knowledge about the unique benefits of krill oil compared to other omega-3 sources is essential for boosting demand and expanding market reach.
Market Growth Opportunities
- Innovative Formulation Techniques: The development of more effective krill oil formulations using advanced technologies like liposomal and nanoemulsion methods is gaining traction. These techniques enhance the absorption and efficacy of krill oil, making it more attractive to consumers and extending its use beyond traditional supplement forms.
- Geographical Expansion: With the health supplement market flourishing in Asia Pacific regions, particularly China and India, there are substantial opportunities for krill oil. By tailoring marketing strategies and products to meet local needs and preferences, companies can capitalize on the increasing health awareness and economic growth in these areas.
- Applications in Pharmaceuticals: Due to its potent anti-inflammatory and antioxidant properties, krill oil is becoming a valuable component in pharmaceuticals. The sector presents opportunities for the development of new therapeutic products that harness these benefits, potentially leading to innovative health solutions.
- Commitment to Sustainability: As ecological and sustainable practices become more important to consumers, there is a rising demand for responsibly sourced and transparently marketed health products. Krill oil companies focusing on sustainable fishing and clear supply chains are likely to attract environmentally conscious consumers.
- Utilizing Modern Distribution Approaches: The growth of online and direct-to-consumer sales channels offers krill oil brands new ways to reach wider audiences. By adopting these modern distribution methods, brands can provide more personalized shopping experiences, increasing customer engagement and loyalty.
Key Players Analysis
- Aker BioMarine is a prominent company in the krill oil industry, known for its comprehensive work in harvesting and producing krill-derived products for both human health and animal nutrition. The company is recognized as the leading supplier of krill from the pristine waters of Antarctica, focusing on sustainable fishing practices to meet global health product demands.
- Coastside Bio Resources operates in the krill oil sector by providing Nutri-Krill Oil, a product rich in Omega-3 fatty acids sourced from Antarctic krill. Their krill oil is noted for being in a phospholipid form, which is considered more bio-available than the triglyceride form found in traditional fish oils. This makes their krill oil potentially more effective for supporting cardiovascular, brain, and joint health.
- Enzymotec Ltd was actively involved in the krill oil market until it was acquired by Frutarom in 2018. Before its acquisition, Enzymotec had developed a significant presence, especially with its K-REAL® krill oil products that earned a Friend of the Sea certification for sustainable sourcing.
- Rimfrost AS is a Norwegian biotechnology company known for its sustainable production of high-quality krill oil, focusing on the development of innovative omega-3 products derived from krill. They utilize a patented extraction process that enhances the bioavailability of omega-3 fatty acids, making their krill oil highly efficient for dietary supplementation.
- NutriGold Inc is recognized in the krill oil sector for producing high-quality krill oil supplements that are rich in omega-3 fatty acids. Their Krill Oil Gold™ product is especially noted for combining EPA and DHA with phospholipids and astaxanthin, which enhances the bioavailability and effectiveness of the supplements.
- Olympic Seafood AS, a Norwegian firm, is recognized for its sustainable krill oil production, utilizing eco-friendly methods that meet the highest environmental standards. Their operations in the Antarctic are certified by the Marine Stewardship Council, ensuring that their krill oil products are sustainably sourced to protect ocean biodiversity.
- Qingdao Kangjing Marine Biotechnology Co., Ltd specializes in the production of krill oil derived from Antarctic krill. They focus on sustainable fishing practices and have received multiple certifications, including from Friend of the Sea, ensuring their krill oil is responsibly sourced.
- Nutracode LLC specializes in producing a unique brand of krill oil called KrillCode™, which is recognized for its high omega-3 content. They utilize advanced extraction technologies to enhance the bioavailability of nutrients, ensuring their krill oil is both potent and sustainable. Nutracode is committed to high manufacturing standards, focusing on innovative product development in the nutraceutical sector.
- Luhua Biomarine, a Chinese state-owned enterprise, focuses on the sustainable extraction and production of Antarctic krill oil. The company uses advanced technologies to produce high-quality, impurity-free krill oil, emphasizing eco-friendly practices and comprehensive utilization of Antarctic krill.
- Neptune Wellness Solutions, once a significant player in the krill oil market, shifted its focus from krill oil to the cannabis sector. The company, originally known for its krill oil products, now uses its extraction expertise to produce cannabis oils and extracts, applying its knowledge in new industries.
- Enzymotec is known for its K•REAL® krill oil, which has received Friend of the Sea certification, acknowledging its sustainable sourcing practices. This certification helps assure consumers of the sustainability and ethical sourcing of their krill oil products.
- Omega Protein Corporation produces a range of omega-3 rich products, including krill oil. They are recognized for their high-quality fish oils and other marine ingredients, which they supply to the nutrition sector, including options like krill oil which is known for its beneficial omega-3 fatty acids.
Conclusion
The krill oil industry is on track for robust expansion, fueled by heightened consumer recognition of its health advantages, continuous innovations in its formulation, and increased global demand. These dynamics suggest a promising future, offering significant opportunities for market players and investors in a rapidly evolving landscape.
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