Spirulina Extract Market Size & Share Analysis - Growth Trends And Forecast (2025 - 2030)

Global Spirulina Extract Market Trends and Insights

Food and Beverage Expansion for Natural Blue Colorants

In April 2025, the FDA and HHS announced an initiative to phase out synthetic dyes FD&C Blue No. 1 and Blue No. 2 by the close of 2026. This move has hastened reformulation timelines for brands in confectionery, dairy, and beverages, leading to a surge in demand for spirulina-derived phycocyanin. Sun Chemical, a subsidiary of DIC Group, promotes LINABLUE as the sole globally sanctioned blue natural colorant, boasting over 99 percent solubility. This positions LINABLUE as a direct substitute for synthetic dyes, suitable for everything from ice cream to sports drinks. In April 2025, FUL Foods rolled out a patented spirulina extract, boasting improved pH and heat stability, thus overcoming past challenges in acidic and heat-processed items. Research-backed studies highlight the successful use of spirulina extracts in yogurt, cheese, pasta, and juices, achieving vibrant blue shades without undesirable flavors, contingent on deodorization methods. As a result of this regulatory shift, brands are now favoring suppliers who can ensure consistent color across batches and guarantee a microcystin-free certification.

Growing Demand from Dietary Supplements Manufacturers

Dietary supplement brands are increasingly integrating spirulina extracts, driven by clinical evidence linking C-phycocyanin to antioxidant, anti-inflammatory, and neuroprotective effects. Taiwan-based FEBICO has advanced its FB1603 spirulina-derived compound into Phase 2 clinical trials, targeting pharmaceutical-grade applications that command premium pricing. The FDA has issued multiple GRAS notices for dried spirulina biomass and C-phycocyanin-enriched extracts, reducing regulatory barriers for supplement formulators. In November 2025, Zinzino acquired a 35 percent stake in Xion International Group for EUR 1.2 million (USD 1.3 million), emphasizing the strategic importance of securing photobioreactor-grown spirulina. These spirulina variants, cultivated with controlled nutrient profiles, are essential for producing omega-3 and protein supplements. Purified phycocyanin is priced between USD 100 and USD 500 per gram, reflecting the technical complexity of extraction and the premium nutraceutical buyers place on its documented bioactivity, as noted by Semantic Scholar. This segment's growth is less affected by commodity price volatility compared to food applications,

Increasing Cosmetics Industry Use for Skincare Due to High Protein and Pigment Benefits

Cosmetic formulators are increasingly utilizing spirulina extracts, which provide a combination of antioxidant, moisturizing, and pigmentation benefits. A 2024 clinical trial revealed that just 0.1 percent w/w of spirulina extract significantly improved skin hydration, strengthened barrier function, and enhanced epidermal morphology, supporting its anti-aging and photoprotection claims. Studies emphasize that spirulina's phycocyanins, carotenoids, and polysaccharides are key contributors to tyrosinase inhibition, collagen synthesis, and UV absorption, positioning these extracts as vegan alternatives to synthetic actives. Algaria, an Italy-based company, operates a membrane-based extraction unit to co-produce food-grade phycocyanin and cosmetic-grade pigments. They leverage biogas cogeneration to maintain year-round production in northern climates, as noted by the BlueInvest Community^{[2]Source: BlueInvest Community, “Project Pipeline – Algaria Srl,” BLUEINVEST-COMMUNITY.CONVERVE.IO}. The regulatory framework for cosmetic ingredients remains less standardized compared to food additives, creating both opportunities and challenges for producers entering this market.

Advancements in Algae Farming and Extraction Technologies

Advancements in cultivation and extraction are significantly reducing production costs and enhancing pigment yields, addressing the economic challenges that have historically hindered market growth. Ordos City in Inner Mongolia has become a prominent spirulina production center, driven by government support and favorable climatic conditions that facilitate high-density open-pond cultivation. Studies indicate that methods such as ultrasound-assisted extraction, pulsed electric fields, and natural deep eutectic solvents improve phycocyanin recovery rates while minimizing solvent usage and processing time. Algaria's proprietary e-Pond microbial electrochemistry system repurposes food industry byproducts as nutrient feedstock, lowering operational costs by approximately 20% and enabling cultivation in areas with limited access to fresh fertilizers. Although closed photobioreactor systems are capital-intensive, costing USD 10 to USD 25 per kilogram of biomass, they provide higher pigment concentrations and mitigate contamination risks associated with open ponds. These technological advancements are bridging the cost gap between spirulina extracts and synthetic colorants, driving their adoption in cost-sensitive food applications.

High Production Costs from Controlled Cultivation and Purification Processes

Although spirulina's popularity is growing, its market expansion is hindered by high pricing compared to synthetic alternatives. Open-pond cultivation costs range from USD 5 to USD 12 per kilogram of dried biomass, while closed photobioreactor systems, due to higher capital and energy requirements, cost between USD 10 and USD 25 per kilogram. Downstream purification further increases costs, with spray drying priced at USD 15 to USD 30 per kilogram and freeze-drying reaching USD 50 to USD 100 per kilogram. Algaria's e-Pond system highlights a potential 20 percent reduction in operational costs by utilizing biogas cogeneration and recycling food-industry byproducts. However, these advancements require significant upfront investment, which smaller producers often cannot afford. Purified phycocyanin, priced at USD 100 to USD 500 per gram, remains too expensive for price-sensitive applications, especially when synthetic colorants are available at much lower costs. Consequently, the market is divided: premium brands are willing to absorb higher ingredient costs, while mass-market products delay reformulation until regulatory changes enforce the elimination of synthetic options.

Stringent Regulatory Approvals for Food-Grade and Cosmetic Purity

Regulatory compliance imposes significant time and cost burdens, delaying market entry and reducing supplier diversity. The FDA has permanently approved spirulina extract as a color additive under 21 CFR 73.1530. However, obtaining this approval requires demonstrating batch-to-batch consistency, securing a microcystin-free certification, and meeting specific standards for protein content and pigment purity. Cosmetic-grade applications face less standardized approval processes, but regional differences in acceptable contaminant levels and labeling requirements create obstacles for producers targeting global markets, as noted by Semantic Scholar^{[3]Source: Semantic Scholar, "Innovative Approaches to an Eco-Friendly Cosmetic Industry: A Review of Sustainable Ingredients", pdfs.semanticscholar.org}. Peer-reviewed research emphasizes that the high variability in the nutritional value and safety of commercial spirulina biomass necessitates controlled production and processing methods, raising the technical threshold for market entry. Smaller producers, often lacking in-house regulatory expertise, depend on contract testing laboratories, which can extend product launch timelines and erode first-mover advantages.

Segment Analysis

By Category: Liquid Extracts Gain Traction in Beverage Reformulation

Liquid spirulina extracts are expected to grow at a strong CAGR of 11.81%, surpassing powder formulations, which accounted for a 78.11% market share in 2024. In April 2025, FUL Foods introduced a patented blue spirulina process with improved pH and heat stability. This advancement addresses the ongoing issue of pigment degradation in acidic beverages and thermally processed foods. Sun Chemical's LINABLUE liquid extract offers over 99% solubility, ensuring seamless incorporation into sports drinks, flavored waters, and dairy beverages without sedimentation or color changes. On the other hand, powder formulations remain the preferred choice for dietary supplements, protein bars, and dry-mix applications due to their superior shelf stability and ease of handling. Peer-reviewed studies indicate that liquid extracts require cold-chain logistics and preservatives to preserve pigment integrity, leading to a 15 to 25% increase in distribution costs compared to spray-dried powders, as reported by Springer.

In specialized applications such as confectionery and baked goods, the "Others" category—which includes encapsulated and microencapsulated formats—plays a significant role. These formats provide controlled-release properties that prevent color migration during processing. Algaria demonstrates the benefits of integrated facilities with its membrane-based extraction unit, which produces both liquid phycocyanin and powder biomass, optimizing margins across various product forms. Liquid extracts, priced 20 to 40% higher than powders, reflect the increased processing costs and technical challenges of maintaining pigment stability in aqueous solutions, as noted by Semantic Scholar. The FDA's April 2025 decision to phase out synthetic dyes by the end of 2026 is driving rapid beverage reformulation, with brands favoring liquid extracts to minimize production line adjustments.

Note: Segment shares of all individual segments available upon report purchase

By Application: Pharmaceutical and Dietary Supplements Lead Growth Trajectory

The pharmaceuticals and dietary supplements sector is anticipated to grow at a strong CAGR of 10.51%, driven by clinical evidence linking C-phycocyanin to antioxidant and anti-inflammatory benefits. In 2024, the food and beverage sector dominated the market, accounting for a significant 67.91% share. FEBICO has progressed its FB1603 spirulina-derived compound to Phase 2 clinical trials, targeting pharmaceutical-grade applications priced between USD 100 and USD 500 per gram for purified phycocyanin. In November 2025, Zinzino acquired a 35% stake in Xion International Group for EUR 1.2 million (USD 1.3 million), highlighting the strategic importance of photobioreactor-grown spirulina for omega-3 and protein supplements. Additionally, the FDA has issued multiple GRAS notices for dried spirulina biomass and C-phycocyanin-enriched extracts, streamlining regulatory processes for supplement formulators.

Spirulina extracts are being incorporated into animal feed to enhance growth rates, immunity, and disease resistance in shrimp, fish, and poultry. However, this segment remains price-sensitive and typically relies on lower-grade biomass rather than purified extracts. The "Others" category, which includes cosmetics and personal care, utilizes spirulina extracts for their multifunctional benefits, such as antioxidant, moisturizing, and pigmentation properties. A clinical trial revealed that a 0.1 percent w/w concentration of spirulina significantly improved skin hydration and barrier function.

Note: Segment shares of all individual segments available upon report purchase

Geography Analysis

In 2024, North America commanded a dominant 38.58% share of the market, bolstered by a robust organic certification framework, an early embrace of natural colorants, and the FDA's endorsement of spirulina extract as a color additive, as per 21 CFR §§73.530 and 73.1530. An initiative by the FDA and HHS, unveiled in April 2025, aims to eliminate synthetic dyes FD&C Blue No. 1 and Blue No. 2 by the close of 2026. This move is prompting U.S. food and beverage brands to hasten their reformulation efforts, leading to a surge in demand that predominantly benefits domestic suppliers already in compliance with regulations. While Canada and Mexico hold smaller market shares, they leverage cross-border supply chains and enjoy aligned food additive regulations thanks to the USMCA. The region's inclination towards premium pricing is evident, as consumers readily pay a 20 to 40 percent markup for organic-certified and photobioreactor-grown spirulina, underscoring the demand for clean-label products.

Asia-Pacific is on a growth trajectory, boasting a 12.01% CAGR from 2025 to 2030. This expansion is largely fueled by China and India, particularly in Ordos City and Tamil Nadu. Here, favorable climatic conditions, coupled with government incentives, have driven production costs down to a competitive USD 5 to USD 12 per kilogram in open-pond systems. Ordos City is rapidly establishing itself as a pivotal spirulina production center, thanks to advancements in controlled cultivation and downstream processing. In Japan, the cosmetics sector is increasingly incorporating spirulina extracts into formulations targeting anti-aging and photoprotection. Clinical studies back this trend, highlighting that a mere 0.1 percent w/w of spirulina can enhance skin hydration and bolster barrier function. Meanwhile, Australia is channeling its efforts into pharmaceutical-grade applications, capitalizing on its rigorous quality standards to tap into premium market segments. The region's robust growth can be attributed to a burgeoning middle class, heightened health consciousness, and a regulatory pivot towards natural ingredients in both food and cosmetics.

Europe, while holding a smaller market share in 2024, reaps benefits from its stringent cosmetic and food safety regulations. These regulations tend to favor certified spirulina extracts, steering consumers away from synthetic substitutes. In a strategic move, Zinzino acquired a 35 percent stake in Spain's Xion International Group for EUR 1.2 million (USD 1.3 million) in November 2025. This positions Zinzino to distribute photobioreactor-grown spirulina, primarily for omega-3 supplements, throughout the EU. Leading the charge in demand for organic-certified spirulina are Germany, the UK, France, and the Netherlands, where consumers place a premium on traceability and environmental considerations. Meanwhile, South America and the Middle East & Africa are still emerging markets. Brazil and South Africa are making strides in developing cultivation infrastructures, aiming to cater to regional food and aquaculture needs. However, challenges persist with fragmented supply chains and inconsistent quality standards.