In 2023, the entire world quantity of omega-3 elements reached 124,480 metric tons, marking a 1.4% enhance from 2022.
The dietary dietary supplements sector continued to dominate, consuming greater than half of the entire world omega-3 quantity in 2023, Aldo Bernasconi, PhD, vice chairman of knowledge science at GOED defined.
Nonetheless, the demand for refined oils in dietary dietary supplements remained flat “as a consequence of provide constraints.”
In the meantime, the pet diet phase noticed speedy progress, notably in China and the USA, as a consequence of elevated pet adoption charges. Different purposes, corresponding to prescription drugs and toddler method, have been discovered to play a major function, with smaller volumes however higher-value elements driving the market ahead.
EPA and DHA
Omega-3 EPA (eicosapentaenoic acid) and DHA (docosahexaenoic acid) are long-chain polyunsaturated fatty acids plentiful in fish, shellfish and a few microalgae and genetically engineered crops.
The human physique wants EPA and DHA throughout growth and to operate optimally in each stage of life.
Analysis hyperlinks EPA and DHA to favorable being pregnant outcomes, wholesome child and youngster growth, in addition to coronary heart, eye, mind and joint well being in adults.
Regional Efficiency
The biggest demand for omega-3 demand was reported for the USA and Europe, adopted by China, which skilled speedy progress in 2023, increasing by 10%.
Two primary components drove this progress, Bernasconi defined: the increasing center class in China, which elevated demand for omega-3 merchandise, and a restoration from a difficult 2022, when a late COVID wave slowed financial progress and shopper confidence.
The market’s restoration in 2023 mirrored the catch-up from this slower-than-expected progress in 2022.
Modest progress
Bernasconi mentioned that 2023 noticed solely modest progress as a consequence of ongoing provide points, notably affecting the Peruvian anchovy fishery, a serious supply of crude omega-3 oil.
“The discount in out there crude oil volumes impacted your complete provide chain, making it tough for producers to fulfill world demand,” Dr. Bernasconi added. “This led to cost will increase, which in flip drove the sharp rise within the general market worth.”
The report additionally famous that provide shortages compelled many omega-3 producers and types to depend on present inventories, which dwindled to critically low ranges by the tip of 2023.
Because of this, the business witnessed an acceleration within the shift from frequent refined oils to concentrates and specialty oils, which supply a distinct worth proposition to shoppers.
Peruvian anchovy fishing
The Peruvian authorities recently set a quota of two.475 million metric tons for the 2024 anchovy fishing season, signaling a rebound in provide after a difficult 2023. Organizations corresponding to IFFO and GOED welcomed the information, because it signifies a return to more healthy biomass ranges.
The earlier 12 months noticed low quotas, largely because of the El Niño occasion, which impacted anchovy shares and drove up costs within the omega-3 oil business.
El Niño is a local weather phenomenon the place commerce winds weaken, inflicting heat water to shift eastward towards the Americas. It may possibly have an effect on marine life by weakening upwelling, lowering vitamins within the water and disrupting the meals chain. Hotter waters may appeal to tropical fish species to colder areas.
In 2022, Peru exported practically 43 million kg of refined fish oils, however in 2023, exports dropped considerably to 19.5 million kg, with costs greater than doubling from $4.48/kg to $11.12/kg.
Issues stay, nonetheless, concerning the potential decrease fats content material in anchovies as a consequence of El Niño’s influence on their weight loss plan, which might result in larger manufacturing prices.
In 2023, authorities canceled the primary Peruvian fishing season, and the second produced low yields as a consequence of lean fish, creating additional pressure on the business.
