Chitosan Market Size, Share, Forecast, & Trends Analysis by Source (Shrimps, Prawns, Crabs, Fungi), Grade (Industrial, Food, Pharmaceutical), Application (Biomedical and Pharmaceutical, Water Treatment, Cosmetics, Food & Beverage) - Global Forecast to 2031

The Chitosan Market was valued at $2.55 billion in 2023. This market is expected to reach $6.51 billion by 2031 from an estimated $2.87 billion in 2024, at a CAGR of 12.4% during the forecast period 2024–2031.

Chitosan Market Size & Forecast

The growth of this market is driven by the increasing demand for chitosan in the pharmaceutical & biomedical sectors, the rising demand for chitosan in water treatment solutions, and the benefits of chitosan. Moreover, the growing demand for chitosan in the agriculture industry and research & innovation in chitosan derivatives are expected to create growth opportunities for the stakeholders in this market. Furthermore, the rising demand for eco-friendly and sustainable solutions is a prominent trend in the chitosan market.

Key Findings

• By Source: The Shrimps Segment Is Expected to Dominate the Chitosan Market in 2024.
• By Grade: The Industrial-grade Segment Is Expected to Dominate the Chitosan Market in 2024.
• By Application: The Biomedical and Pharmaceutical Segment Is Expected to Account for the Largest Share of the Chitosan Market in 2024.
• By Geography: Asia-Pacific Is Expected to Dominate the Chitosan Market in 2024.

Chitosan Market Growth Drivers

Increasing Demand from the Pharmaceutical and Biomedical Sectors

Chitosan, a biopolymer derived from chitin found in the shells of crustaceans like shrimp and crabs, has seen steadily increasing demand, driven largely by its growing use in the pharmaceutical and biomedical sectors. Its biocompatibility, biodegradability, and nontoxicity have led to its incorporation into a wide range of medical and health-related applications.

In the pharmaceutical industry, chitosan is primarily utilized as a drug delivery system. Its ability to form nanoparticles and encapsulate bioactive agents enhances the stability, solubility, and controlled release of drugs, particularly for poorly soluble medications. This property is especially valuable in the development of targeted therapies for cancer and chronic diseases like diabetes. Chitosan-based formulations also offer advantages in reducing side effects, improving patient compliance, and enhancing therapeutic efficacy. Additionally, chitosan is being explored for its potential in wound healing and tissue regeneration, acting as a natural antimicrobial agent to prevent infections.

The biomedical field further drives demand for chitosan, with applications ranging from tissue engineering to wound dressings and surgical sutures. Chitosan's ability to promote cell growth and its compatibility with human tissues make it an excellent candidate for scaffolds in tissue regeneration. Moreover, its biodegradability ensures that chitosan-based biomedical products can naturally degrade in the body, reducing the need for surgical removal. The antimicrobial properties of chitosan are also valuable in the production of wound care products, helping prevent infections in burns and post-surgical wounds.

Rising Demand for Chitosan in Water Treatment Solutions

The growing emphasis on sustainable water management practices and water quality management is driving the demand for chitosan, an effective and eco-friendly solution for water purification. Chitosan's utility in water treatment lies in its ability to act as a natural flocculant. Flocculation is a process where particles in water aggregate into larger clusters (or flocs) that can be easily removed. Due to its positive charge, chitosan can bind with negatively charged particles, helping remove impurities such as heavy metals, oils, and organic compounds from contaminated water. This makes it particularly valuable in industrial wastewater treatment, where it addresses challenges posed by pollutants that are difficult to treat with conventional chemicals.

Furthermore, the increasing need for water purification technologies is driven by population growth, urbanization, and intensified industrial activities, all of which place greater strain on water resources. As municipalities and industries seek ways to meet water quality standards, chitosan’s versatility and cost-effectiveness make it an attractive choice.

In addition, ongoing research and development into chitosan-based nanomaterials and composites is opening new avenues for water treatment, including advanced filtration systems, desalination processes, and even wastewater recycling. These innovations are expected to further drive the growth of the chitosan market. Thus, the rising demand for chitosan in water treatment solutions is expected to support the market’s expansion.

Chitosan Market Trends

Rising Demand for Eco-friendly and Sustainable Solutions

As consumers and industries become more environmentally conscious, there is a growing preference for natural, biodegradable, and non-toxic alternatives to synthetic chemicals. Chitosan, a biopolymer, aligns well with eco-friendly and sustainable values and is widely used in applications such as agriculture, wastewater treatment, food packaging, and pharmaceuticals. Its biodegradability, nontoxicity, and ability to reduce environmental impacts make it a preferred choice over synthetic polymers that contribute to pollution.

For instance, chitosan-based flocculants are safer for water treatment than synthetic options, as they exhibit no harm to aquatic organisms when used at recommended dosages. Additionally, increased awareness of environmental issues, such as plastic waste and chemical pollution, is fueling the demand for chitosan-based products. This trend is further supported by government regulations and consumer preference for green products, boosting the demand for chitosan.

Chitosan Market Analysis: Top Market Opportunity

By Source: The Shrimps Segment to Dominate the Chitosan Market in 2024

Based on source, the chitosan market is segmented into shrimps, prawns, crabs, fungi, and other sources. In 2024, the shrimps segment is expected to account for the largest share of the chitosan market. This segment’s large market share is primarily attributed to the abundant availability of shrimp waste, the cost-effectiveness & high chitin content of shrimps, established production methods to extract chitosan from shrimps, the growing focus on sustainable materials, and the suitability of shrimp chitosan for a wide range of applications.

Furthermore, the growth of the aquaculture industry globally, particularly in regions like Asia-Pacific, North America, and Latin America, is contributing to a steady increase in the availability of shrimp byproducts, including shells. This growth in shrimp production is expected to boost the availability of raw materials for chitosan extraction. In addition, the shift toward natural and bio-based products in industries such as pharmaceuticals, personal care, and agriculture is expected to propel the growth of the shrimp segment.

Geographical Analysis

Asia-Pacific Dominates the Chitosan Market

Based on geography, the chitosan market is majorly segmented into five regions: North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa. In 2024, Asia-Pacific is expected to account for the largest share of the chitosan market, followed by North America and Europe. Asia-Pacific's significant market share can be attributed to several key factors, such as the availability of raw materials, growing concerns regarding water pollution and scarcity, rapid industrialization, expansion of the aquaculture industry, and rapid growth in the pharmaceutical, cosmetics, and food and beverage industries in countries such as India, China, and South Korea. Furthermore, in 2024, China is expected to account for the largest share of the chitosan market in Asia-Pacific due to the increasing preference for naturally derived products in cosmetic & food applications.

However, North America is projected to register the highest CAGR during the forecast period 2024–2031. The high growth of this regional market is mainly driven by increasing environmental initiatives and regulatory support for the use of eco-friendly solutions in water treatment and other applications. In addition, the growing demand for biopharmaceuticals and the high demand for natural, sustainable products are expected to support the growth of this regional market during the forecast period.

Key Companies

The report offers a competitive analysis based on an extensive assessment of the leading players’ product portfolios, geographic presence, and key growth strategies adopted in the last three to four years. Some of the key players operating in the chitosan market are Heppe Medical Chitosan GmbH (Germany), KitoZyme S.A. (Belgium), Marine Hydrocolloids Private Limited (India), Panvo Organics Pvt Ltd. (India), Dainichiseika Color & Chemicals Mfg. Co., Ltd. (Japan), Marshall Marine Products Private Limited (India), Primex ehf (Iceland), Qingdao Yunzhou Biochemistry Co. Ltd. (China), Austanz Chitin Pty Ltd (Australia), BIO21 Co., Ltd. (Thailand), Golden-Shell Pharmaceuticals Co., Ltd. (China), Advanced Biopolymers AS (Norway), Tidal Vision Products, Inc. (U.S.), and Chitinor AS (Norway).

Chitosan Industry Overview: Latest Developments from Key Industry Players

• In September 2024, CuanTec Ltd (U.K.) launched the Chrystal chitosan range, which includes high-quality, highly traceable, high-specification chitosan as powders, solutions, and granules. This product line is characterized by its high viscosity and degree of deacetylation, specifically 89%, making it suitable for advanced applications in the biomedical sector, including wound care and other therapeutic uses.
• In August 2022, The trū Shrimp Company (U.S.) started its production of trū chitosan branded line of premium chitosan for topical and internal medical, pharmaceutical, and cosmetic applications.

Chitosan Market Research Summary

Key questions answered in the chitosan market report: