The sales of gelatin are flat with 16,567 tons
The research targeted 14 companies that belong to the Gelatin Manufacturers Association of Japan, and it said that the 2019 sales of collagen peptide were 5,924 tons, which was the highest number ever. Classified by applications, for food, it was 5,072 tons, increased by 2.2 % from the previous year (4,962 tons); and for medical use, it was 77 tons, decreased by 8.3 % from the previous year (84 tons). The export amount was also decreased by 2.6 % to 740 tons from the previous year (760 tons), which has continued for two years. The association analyzed the figures and said that for food usage, the sales slightly increased but the increase was not an amount more than was expected, which it said might have been affected by COVID-19. On the other hand, the sales of gelatin was 16,567 tons, decreased by 0.2 % from the previous year: the medical usage and the exports were slightly increased, but the food usage was decreased. The association said that the food usage had been gradually increasing but the 2019 amount was slightly decreased, which was unexpected, and one of the reasons was COVID-19.
Price of primary raw material is rising, and the entries of oversea companies is intensifying the competition
The demands of collagen peptide have been dramatically increasing for several years not only in Japan but also Asian areas including China, as well as North America. Fish collagen is especially very popular, and the raw materials such as scales and skins of freshwater fish are now facing a shortage because of the very high global demands, and the prices are surging into a serious situation. With this situation, the association feels that the sales have not been increasing as they have expected. Also, in this overheating competition of collagen, overseas gelatin companies have in earnest entered into the Japanese markets recently. Rousselot (France) and Gelita (Germany) are proposing their products under Japanese regulations, and the market competition is becoming intensified with Japanese leading companies as well, such as Nippi, Inc. and Nitta Gelatin, Inc. Additionally, there have been some influences of COVID-19 that have appeared since late last year, and the exports and imports were delayed or stopped, and the demands seemed to have toned down. In the meantime, there are some positive signs. Raw material suppliers said that the shortage of primary raw materials are recovering. Although there are still some bad influences of COVID-19, the mid-term perspective is that it is getting easier to secure the primary raw materials, with which they are expecting to receive new applications.
Abstract of The Health Industry News