Medium Chain Triglycerides Market Size, Share & Trends Analysis Report By Application (Dietary & Health Supplements, Personal Care & Cosmetics, Pharmaceuticals), By Region, And Segment Forecasts, 2020 - 2027

Report Overview

The global medium chain triglycerides market size was valued at USD 1.7 billion in 2019 and is expected to grow at a compound annual growth rate (CAGR) of 6.8% from 2020 to 2027. Improved standard of living coupled with the adoption of a healthy lifestyle by consumers is expected to drive medium chain triglycerides (MCT) based dietary and health supplements consumption over the forecast period.

MCTs are partially derived fats with 6-10 carbon chain lengths. MCTs include caproic acid, caprylic acid, capric acid, and lauric acid. The product is generally derived from vegetable oils including coconut, palm kernel, rapeseed, sunflower, and soybean. Coconut oil is considered to be the primary source of MCT extraction. Palm kernel oil is favored as raw material after coconut oil, making up nearly 34.0% of MCT production.  

Coconut oil-infused products are marketed as MCT-infused products by several small-scale players operating in the market. This is expected to hamper market growth as consumers may get mystified over the difference between medium chain triglycerides and coconut oil and consider them to be similar. However, the basic difference between the two is that coconut oil contains MCTs as well as other fats while specific MCTs are extracted from coconut oil.

Commercially MCTs are manufactured through a fractionation process, which separates capric and caprylic acid from the other fats present in the vegetable oils. The extracted product is then further processed using lipase esterification to produce triglycerides. After a series of quality checks, the final product is distributed as a finished product for consumption.

Furthermore, the extracted product contains caprylic acid and capric acid to a greater extent as compared to other glycerides and is in the ratio of 5:2, respectively. However, caproic acid is often eliminated from the rest of the product owing to its unpleasant odor and taste. Also, the product sold in the market generally does not contain lauric acid (C12) as the benefits associated with it are debatable.

Application Insights

Dietary and health supplements emerged as the leading application segment and accounted for over 57.0% of the total revenue in 2019. Medium chain triglycerides are widely used in formulating various health and dietary supplements owing to their ability to reduce and prevent the occurrence of several diseases including cardiovascular, Alzheimer’s, Chyle Leaks, and gastrointestinal disorders. The regular consumption of medium chain triglycerides increases metabolism, decreases fat deposition in adipose tissue, and reduces food intake, thereby lowering obesity levels. Furthermore, it is also used in formulating sports nutrition supplements that are consumed during training, to boost endurance during exercise, for lessening body fat, and enhancing lean muscle mass.

MCT’s are gradually gaining attention within the cosmetic and personal care industries owing to their antioxidant, anti-inflammatory, and anti-microbial properties. The product is primarily used as an emollient, viscosity regulator, and carrier for active substances in several cosmetic formulations including perfumes, lipsticks, creams, sunscreens, bath oils, and body lotions. MCT-based products moisturize and impart smooth texture to the skin. In addition, it also helps to reduce the aging effect on the skin. In makeup products, the product acts as a non-comedogenic agent, which prohibits pore-clogging, thereby enhancing the skin's properties.

Cosmetic products infused with MCT are effective for individuals with sensitive skin as the product contains natural ingredients, thereby making it less harmful to the skin. In addition, the product is being widely used in aromatherapy as it is lightweight, colorless, odorless, and exhibits longer shelf life. However, the use of medium chain triglycerides is still in a nascent stage and shows greater potential for new entrants in the medium chain triglycerides market.

Regional Insights

North America accounted for a volume share of over 35.0% in the market in 2019 and is expected to maintain its dominance over the forecast period. Rising product demand in this region is primarily attributed to the growing focus on dietary supplements and functional food and beverages among millennials. The region, led by the U.S., is home to many globally renowned beverage manufacturers.

The rising popularity of nutritional supplements drives the market in the U.S. The inclusion of MCT as an ingredient in nutritional supplements owing to its ability to treat cardiovascular, and liver diseases is gradually gaining popularity among individuals over the years. The dietary supplements market in the country is under-regulated as they are not classified as medical drugs. The aforementioned factors have encouraged the manufacturers to augment the scale of production within the country to cater to varied consumer demands. Consumers across the country have been increasingly using health supplements over the years. Their sedentary work lifestyle is expected to majorly contribute to the growing product consumption trend over the forecast period.

The Asia Pacific is projected to register significant growth over the forecast period owing to a surge in demand for dietary supplements and increased consumption of medium chain triglycerides in the nutraceutical sector. The presence of a high youth population also characterizes the regional market, which is expected to augment the use of MCTs in dietary supplements and sports drinks. The presence of key market players such as ChinaHemp, Scion Chem Pvt. Ltd, Stepan Company, and Bioriginal Food and Science Corp in the region is expected to increase awareness regarding the benefits of the product, thus leading to increased demand.

In some parts of the region including Singapore, the product is sold as a dietary supplement over the counter. Windmill Health Products, LLC. is a prominent manufacturer and supplier of MCT and MCT-based products in the country. The company develops MCTs through chemical-free processes, thereby proving to be extremely safe for its inclusion in food formulations

Key Companies & Market Share Insights

The market is highly fragmented in nature with the dominance of well-established and long-term operating players. The competition is expected to intensify over the forecasted period owing to the ascending demand for health supplements. Moreover, the presence of large and established participants has led to a high degree of rivalry in the market.

Most of the players are backward integrated and are focused on sustainable raw material sourcing thereby reducing the manufacturing cost. Market players such as BASF SE, P&G, and Cargill, Incorporated have entered into a partnership commissioned by the German Federal Ministry for Economic Cooperation and Development (BMZ) to establish a sustainable supply chain of coconut oil in the Philippines and Indonesia. Some of the prominent players in the medium chain triglycerides market include:

• BASF SE

• DSM

• Croda International Plc.

• Sternchemie Lipid Technology

• KLK OLEO

• Wilmar International Limited

Medium Chain Triglycerides Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2020 to 2027. For the purpose of this study, Grand View Research has segmented the global medium chain triglycerides market report on the basis of application and region:

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)

  • Dietary & Health Supplements      

  • Personal Care & Cosmetics

  • Pharmaceuticals

  • Others

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)

  • North America

    • The U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • France

    • Italy

    • The U.K.

  • Asia Pacific

    • China

    • India

    • Japan

    • Indonesia

    • Malaysia

  • Central & South America

    • Brazil

    • Argentina

  • Middle East& Africa

    • South Africa

    • Saudi Arabia