Chitosan Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2021-2031

The Global Chitosan Market is projected to expand from USD 1.72 Billion in 2025 to USD 2.68 Billion by 2031, reflecting a CAGR of 7.67%. Chitosan, a linear polysaccharide primarily derived from chitin found in the exoskeletons of crustaceans like shrimp and crabs, is produced through chemical deacetylation. This biopolymer is highly prized for its biocompatibility, non-toxicity, and antimicrobial nature, making it a vital ingredient across various industries. It functions effectively as a flocculating agent in wastewater treatment, a natural preservative in the food and beverage sector, and a bioactive scaffold for drug delivery and tissue engineering within pharmaceuticals.

The market's growth is largely fueled by the rising global demand for biodegradable substitutes for synthetic plastics and the increasing use of hemostatic agents in advanced wound care. However, the industry faces challenges regarding the reliable procurement of high-quality raw materials, as production depends heavily on the volume and seasonality of seafood processing catches. According to the Marine Products Export Development Authority, India exported 716,004 metric tons of frozen shrimp in 2024, demonstrating the immense scale of crustacean processing by-products available to meet the feedstock needs of the global chitosan manufacturing sector.

Market Drivers

The growing adoption of biofertilizers and biopesticides in agriculture is a major driver for the Global Chitosan Market, as the polymer's capacity to stimulate plant defenses and improve nutrient absorption is essential for sustainable farming. Advances in nanotechnology have further enhanced these benefits, enabling precise delivery systems that increase crop yields while minimizing chemical runoff. Research published in the Journal of Agricultural Chemistry and Environment in November 2024 highlighted these efficiencies, showing that nitrogen-loaded nano-chitosan increased grain yields by 104.83% compared to control groups, validating the integration of chitosan-based agrochemicals to support global food security goals.

Concurrently, the demand for eco-friendly water treatment solutions is transforming the industry, with chitosan gaining traction as a biodegradable coagulant superior to synthetic polymers for industrial wastewater management. This shift is supported by significant capital investment aimed at scaling production; for instance, GeekWire reported in May 2024 that Tidal Vision secured $46.7 million to advance its chitosan-based green chemistry technologies, including water purification. To sustain this industrial growth, a consistent supply of crustacean shells is required, and according to the Vietnam Association of Seafood Exporters and Producers, shrimp exports to the United States reached USD 578 million by the third quarter of 2024, indicating a steady availability of shell waste for processing.

Market Challenges

The primary barrier facing the Global Chitosan Market is the inherent volatility associated with sourcing high-quality raw materials. Because chitosan production relies entirely on waste by-products from the seafood processing industry - specifically the exoskeletons of crabs and shrimp - manufacturers are susceptible to fluctuations in marine catch volumes. Issues such as disease outbreaks in aquaculture, strict fishing quotas, and unpredictable environmental conditions can lead to sudden chitin shortages. This supply chain instability makes it difficult to maintain stable pricing or guarantee consistent output, causing hesitation among potential buyers in high-volume industrial sectors.

This dependence on irregular feedstock sources creates severe operational bottlenecks during periods of low catch. According to the Southern Shrimp Alliance, shrimp landings in the U.S. Gulf of Mexico dropped by 45.8 percent in 2024 compared to the historical average for the first half of the year. Such a significant decline in the primary fishery directly reduces the volume of shell waste available for deacetylation. Consequently, chitosan manufacturers face immediate raw material scarcity, which restricts their ability to scale production to meet the growing requirements of the packaging and biomedical industries.

Market Trends

A rapidly emerging trend is the expansion of chitosan applications within the clean beauty and cosmeceutical sectors, driven by the shift toward sustainable, non-animal ingredients to replace synthetic polymers. Brands are increasingly adopting high-purity, fungal-derived chitosan for its antimicrobial and film-forming properties, using it as a bio-based alternative to silicones and preservatives in skincare and haircare products. This transition is further accelerated by demand for vegan and non-allergenic options, leading to the commercialization of vegetal grades. For example, KitoZyme launched KiOsmetine in March 2024, a patented, non-GMO fungal chitosan designed to provide eco-friendly encapsulation and conditioning benefits for the personal care market.

Simultaneously, the integration of chitosan into advanced wound care and surgical dressings is evolving beyond basic hemostasis to treat complex chronic conditions through bioactive tissue regeneration. Innovations in this field focus on developing sophisticated scaffolds and hydrogels that speed up healing in diabetic and venous ulcers, offering better clinical outcomes than standard treatments. This therapeutic efficacy is generating essential clinical validation; according to Primex Iceland in July 2024, a trial published in 'BMJ Open Diabetes Research & Care' showed that patients treated with the company's chitosan-based ChitoCare gel achieved a 92.0% reduction in wound surface area compared to 37.0% in the placebo group.

Key Players Profiled in the Chitosan Market

• Panvo Organics Pvt Ltd.
• GTC Bio Corporation
• DuPont de Nemours, Inc.
• Kitozyme, LLC
• KIMICA Corporation
• Dainichiseika Color & Chemicals Mfg Co. Ltd.
• Heppe Medical Chitosan GmbH
• Meron Group
• Qingdao Yunzhou Biochemistry Co. Ltd.
• Organisan Corporation

Report Scope

In this report, the Global Chitosan Market has been segmented into the following categories:

Chitosan Market, by Source:

• Prawns
• Shrimps
• Crabs
• Lobsters
• Others

Chitosan Market, by Application:

• Agriculture & Horticulture
• Filtration
• Winemaking
• Medical Use
• Bioprinting
• Biotechnology
• Others

Chitosan Market, by Region:

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Chitosan Market.

Available Customization

The analyst offers customization according to your specific needs. The following customization options are available for the report:

• Detailed analysis and profiling of additional market players (up to five).

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