Summary of the Global
Starch & Corn Starch Market
is the most common carbohydrate in human diets and is contained in large
amounts in staple foods like wheat, corn, potatoes and rice. The leading starches
used in all 2017 food & beverage launches tracked were corn starch, potato
starch, and wheat starch.
Innova Market Insights
The use of starches
grew by +5.1% globally in 2017 vs. 2016, and as the leading starch ingredient,
the corn starch market is projected to grow at the rate of 5.7% during the
forecast period, 2018-2023. High demand
for natural and clean label products will be the major driving growth of the
corn starch market. And the top health positionings for all food &beverage
launches related with starch are as below.
Data Source: Innova Market Insights
In the international
market, North America maintains its leading role due to the high consumption of
processed and instant food products in the region. The abundant corn resources
in the country and the low prices of the corn starch contribute to the growth of
corn starch industry in US market. On the other hand, Asia-Pacific is expected
to grow at the highest CAGR during the next five years.
China’s Corn Starch Market
The rising health
consciousness among consumers and the high demand for the natural, pure, and
high quality products have generated the demand for clean label corn starches.
As one of the most
important sectors of the corn deep processing industry in China, corn starch
industry saw a healthy development in recent years.
The current inventory is equivalent to the
same period of last year. In the first half of 2018, there was a cumulative
process since the Spring Festival but in the second half of the year, the consumption
peak, shutdown maintenance and the environmental protection inspection may
cause the inventory to gradually steady down.
Starch production during September was
significantly more stable than the same period of last year, reflecting the supply
increase by new production capacity since the end of 2017. The exit curve since
the Spring Festival is relatively stable and slightly higher than the same
period last year, indicating that downstream demand is relatively stable.
The trend of consumption coefficient from October
to December may be different from the previous years, the curve fluctuation
will tend to be flat and equivalent to last year, but the monthly consumption
is higher than the same period of last year.
As September to November will be the
consumption peak period, the annual consumption may reach 27 million tons, exceeding
that of last year.
The operation remains at a high level. This
year is basically in full-capacity production, almost the same as last year.
The operation rate after June was slightly lower than that of last year, which
may be caused by environmental protection and the impact of the SCO Summit.
However, with the increased new capacity
since the end of 2017 and the current operation status, the general volatility
rising trend of the starch will not be affected.
The spot price of corn starch is stable in
the Northeast China with the price at 2,350 to 2,450 Yuan per MT; but it has been
rising steadily in North China and Shandong Province due to the corn price increase,
with the price fluctuating at 2,520±50 Yuan/MT. And in the long term, the price may keep the volatile rising trend before 2020.