The galacto-oligosaccharide market has seen considerable growth due to a variety of factors.
• The galacto-oligosaccharide market has experienced strong growth in recent years. It will grow from $0.85 billion in 2024 to $0.93 billion in 2025 at a compound annual growth rate (CAGR) of 9.6%.
The growth is driven by increased health awareness, a growing demand for prebiotics, expanding research on gut health, rising demand for functional foods, and the increasing importance of infant nutrition.
The galacto-oligosaccharide market is expected to maintain its strong growth trajectory in upcoming years.
• The galacto-oligosaccharide market is anticipated to grow significantly, reaching $1.33 billion by 2029, expanding at a compound annual growth rate (CAGR) of 9.3%.
This growth is driven by increasing consumer awareness about gut health, the rising demand for prebiotics in functional foods, growing use in infant nutrition, more investments in R&D for health supplements, a shift toward natural and clean-label ingredients, and a higher prevalence of digestive disorders. Key trends during this period will include innovations in production technology, advancements in food and beverage formulations, and progress in prebiotic research and food technology.
The increasing rate of premature births is expected to drive the galacto-oligosaccharide market. Premature birth, occurring before 37 weeks of gestation, can cause health issues for infants. Galacto-oligosaccharides (GOS) help improve outcomes for premature infants by promoting healthy gut microbiota. According to a report by Tommy’s in December 2022, the premature birth rate in England and Wales increased to 7.9% in 2022, further elevating the demand for GOS. Therefore, the rise in premature births is pushing the growth of the galacto-oligosaccharide market.
The galacto-oligosaccharide market covered in this report is segmented –
1) By Product: Liquid, Powder
2) By Source: Plants, Animals, Microorganisms
3) By Primary Function: Prebiotic, Sweetener
4) By Application: Food And Beverage, Pharmaceuticals, Personal Care, Animal Feed, Other Applications
Subsegments:
1) By Liquid: Syrup Form, Concentrated Liquid GOS
2) By Powder: Spray-Dried Powder, Freeze-Dried Powder
Companies in the galacto-oligosaccharide market are improving enzymatic synthesis processes to enhance GOS production efficiency. The GOS production process uses enzymes to convert lactose into prebiotic galactooligosaccharides. For example, in June 2022, FrieslandCampina Ingredients, a Netherlands-based dairy company, launched Biotis GOS-OP, which offers a higher concentration of GOS (94%), setting it apart in the gut health supplement sector with exceptional purity and reduced lactose content.
Major companies operating in the galacto-oligosaccharide market are:
• Cargill Incorporated
• Royal Friesland Campina
• Fonterra Cooperative Group Limited
• Saputo Dairy UK
• DuPont De Nemours
• DSM
• Kerry Group plc
• Wacker Chemie AG
• Ingredion Incorporated
• Meiji Holdings Co. Ltd.
• Morinaga Milk Industry Co. Ltd.
• Yakult Honsha Co. Ltd.
• Samyang Corporation
• Tate & Lyle
• Nissin Sugar Co. Ltd.
• BENEO
• Danone India
• Biosynth
• Clasado Biosciences
• AIDP Inc.
• ZuChem Inc.
• Inbiose NV
• VW-Ingredients
• Lactose India Limited
• Bioven Ingredients
Europe was the largest region in the galacto-oligosaccharide market in 2023. The regions covered in the galacto-oligosaccharide market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.