The global lactase market was valued at USD 247 million in 2022 and is projected to reach USD 336 million by 2027, registering a compound annual growth rate (CAGR) of 6.3% during the forecast period. Lactase is an essential enzyme used in the food and beverage industry to hydrolyze lactose found in milk and dairy products. Sourced from various high-activity and stable origins, lactase is capable of withstanding fermentation processes, making it ideal for industrial applications.
One of the primary drivers of market growth is the rising global prevalence of lactose intolerance. This has led to increased demand for lactose-free products, subsequently fueling the need for lactase enzymes. In addition, intensified research and development activities by leading companies aimed at delivering cost-effective and sustainable lactase solutions are further accelerating market expansion.
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Market Segmentation by Form: Liquid Lactase Dominates
Based on form, the liquid segment holds the largest share of the lactase market. Liquid lactase enhances chemical and biological reactions, making it particularly effective in food and beverage applications. Its diluted nature allows for flexible usage depending on the specific application. However, the major limitation of this form is the requirement for storage at optimal temperatures to maintain its enzymatic activity.
Application Outlook: Pharmaceuticals & Dietary Supplements Set for Rapid Growth
By application, the lactase market is segmented into food & beverages and pharmaceutical products & dietary supplements. The pharmaceutical segment is anticipated to grow at a notable CAGR during the forecast period. Lactose, commonly used as a binder in pharmaceutical tablets, is unsuitable for individuals with lactose intolerance. In such cases, dry lactase powder is used to break down lactose, making medications safe for consumption. Similarly, lactose-free dietary supplements provide nutritional benefits of dairy without compromising health or taste, further contributing to the segment’s expansion.
Regional Insights: Asia Pacific Leads with Fastest Growth Rate
The Asia Pacific region is projected to register the highest CAGR in the global lactase market. Growing awareness of lactose intolerance—particularly among infants and adults—is a key driver in the region. The increasing demand for lactose-free and lactose-reduced products, including infant formulas and adult nutrition products, is further stimulating market growth.
Moreover, regional manufacturers are actively expanding their footprint through product innovation and strategic initiatives such as partnerships, collaborations, and facility expansions. These efforts aim to enhance consumer awareness and address the surging demand for lactose-free solutions.
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Leading Lactase Companies:
This report includes a study on the marketing and development strategies, along with the product portfolios of leading companies. It consists of profiles of leading companies, such as CHR. Hansen Holdings A/S (Denmark), Kerry Group plc. (Ireland), Koninklijke DSM N.V. (the Netherlands), Novozymes A/S (Denmark), Merck KGaA (Denmark), IFF (US), Amano Enzymes (Japan), Advanced Enzymes (India), Novact Corporation (US), Antozyme Biotech Pvt. Ltd (India), Nature Biosciences Pvt. Ltd (India), Aumgene Biosciences (India), Creative Enzymes (US), Biolaxi Enzymes Pvt. Ltd (India), Enzyme Biosciences Pvt. Ltd (India), Infinita Biotech (India), Mitushi Biopharma (India), Oenon Holdings Inc. (Japan), Ultreze Enzymes (India), and Senson (Finland).
