Fish Protein Hydrolysate Market

The Global Fish protein hydrolysate market is projected to witness significant growth during the forecast period, exhibiting a CAGR of 4.2% during the forecast period. The key factors driving the growth of the fish protein hydrolysate market are the booming fish industry across the APAC region coupled with the growing expansion policies adopted by the key players. However, complex manufacturing process is expected to restrict the market's growth during the forecast period. Furthermore, the increasing government investment in the fishing sector is anticipated to create growth opportunities for the market.

The growing fish industry across the APAC has increased the production of fish protein hydrolysate to serve the various end users such as pharmaceuticals, personal care, agriculture, animal feed & pet food which in turn would boost its market growth. For instance, in December 2021, according to Ministry of Fisheries, Animal Husbandry and Dairying, the second-largest producer of fish in the world, India accounts for 7.56% of worldwide production, 1.24% of the nation's Gross Value Added (GVA), and more than 7.28% of its agricultural GVA. For millions of people, fishing and aquaculture remain significant sources of food, nutrition, income, and a way of life. During 2019–20, the Fisheries sector generated export revenue of Rs. 46,662.85 crores. Over 280 lakh people receive livelihood support from the sector at the primary level, and about twice as many do so further down the value chain. For the past few years, the average annual growth rate in the fishing industry has been 7%. One of the best solutions to reduce hunger and dietary deficiencies is fish, which is a cheap and abundant source of animal protein. The fisheries industry must be given consistent and focused attention through policy and financial support to accelerate its development in a way that is sustainable, responsible, inclusive, and equitable. The sector has the potential to double its exports.

The "Sunrise Sector" designation has been given to the fishing industry, which has had excellent double-digit average annual growth of 10.87% since 2014–15. The sector has enormous growth potential and produces a record-breaking 142 lakh tonnes of fish in FY 2019–20. Also, it has played a crucial role in preserving the livelihoods of over 28 million people in India, particularly for vulnerable and marginalized populations, and it has helped to promote socioeconomic growth. Hence, the growing fishing sector across the region coupled with the extraction of fish protein hydrolysate from it in order to serve the various end users is set to contribute to its overall market growth.

The increasing government investment in fishing sector is set to open up huge opportunities for the fish protein hydrolysates market in the upcoming years. For instance, by 2024–2025, the government is committed to achieving a national goal of 22 million metric tons of fish output, which will benefit 2.80 crore fishermen, fish growers, and nearly twice that amount along value chains associated to fish. The Blue Revolution Scheme, the Fishery and Aquaculture Infrastructure Development Fund (FIDF), and the Pradhan Mantri Matsya Sampada Yojana are among the various programs and schemes that the Central Government has announced will receive the highest investment ever in the fisheries sector between 2015 and 2025, totaling Rs. 30,572 crores. The construction of contemporary fishing harbours and fish landing areas has also been planned, starting with the conversion of five significant fishing harbours into economic hubs. Furthermore, the persistent effort to enhance the fishing industry has produced amazing outcomes. During FY 2021–2022, marine exports reached Rs. 57,586 Crores, while fish output reached an all-time high of 16.25 MMT. 31.89 lakh farmers from 22 states and seven UTs have received insurance coverage through the Pradhan Mantri Matsya Sampada Yojana (PMMSY), and an additional 6.77 lakh farmers have received coverage for nutritional and livelihood support during the lean/ban time. India has established itself as a nation with a fish surplus and has steadily grown its exports of fish and fish products in recent years. India exports a variety of aqua products to many nations worldwide.

Furthermore, in February 2022, the U.S. Department of Agriculture (USDA) invested USD 50 million in grants to help seafood processors, processing facilities, and processing vessels, through the Seafood Processors Pandemic Response and Safety Block Grant Program. In addition, in order to prepare for, avoid exposure to, and respond to the COVID-19 pandemic, seafood processing facilities and processing vessels will incur costs. These grant funds, which will be dispersed through state agencies, will assist in covering those costs. Hence, the increasing government investment in the fishing sector would eventually led to an increase in the production of fish protein hydrolytes which would eventually boost its market growth in the upcoming years.

The product FPH consist of various steps for preparation of fish visceral hydrolysates. Pretreatment, hydrolysis, and FPH recovery are the steps. The creation of protein hydrolysates from fish viscera aims to enhance the biological and nutritional value of the protein source by solubilizing it using chemical or enzymatic processes to create goods with a high added value and commercial significance that can form various size peptides. Firstly, in the pretreatment stage, fish and leftover fish products may be used as raw materials in the production of FPH. However, using whole fish or merely fish by-products can have an impact on the manufacturing. The technical line should thoroughly examine the raw materials to ensure the successful recovery of the protein fraction. The FPH production process begins with the gathering of raw materials, such as different fish parts such viscera, scales, fins, and corpse. The leftover fish is cleaned and used to produce fertilizer from secondary and underutilized fish raw materials. Nevertheless, crucial amino acids like tryptophan, methionine, and cystine are typically lost during acid hydrolysis. Furthermore, glutamine and asparagine are transformed into glutamic acid and aspartic acid, respectively. Moreover, acquired hydrolysates have poor functional characteristics because salts develop during the neutralization process. Hence, a variety of highly effective separation techniques have been proposed, including nanofiltration and the use of ion exchange resins. In the second stage i.e. hydrolysis, protein hydrolysates can be made from fish processing waste using three different techniques: acid hydrolysis, alkali hydrolysis, and enzymatic procedure. Protein hydrolysis is carried out for breakage of peptide bonds by absorbing a molecule of water for each broken bond to recover free amino acids and low molecular weight peptides. Recently, the hydrolysis mechanism (chemical or biochemical) has been applied in aquaculture and fisheries to produce more useful and viable items. Lastly, in the FPH recovery stage, FPH can be recovered or purified using a variety of techniques, including centrifugation, nano-filtration, ultrafiltration, microfiltration, and ion exchange chromatography, depending on the hydrolysates' intended use. The method above that was most frequently employed produced four stages: oil fraction, emulsion sheet, FPH, and sludge. After separating FPH by decantation, it is dehydrated using lyophilization or spray drying to extend the shelf life and make handling, transporting, and storing it easier. The finished product is often a creamy white powder with improved functional and bioactive qualities, and it should be stored below 0 degree C to increase product stability. Hence, the complex manufacturing process involved in the production of fish protein hydrolysates may restrain its market growth in the upcoming years.

The stringent government regulation pertaining to fishing industries is likely to hamper its market growth during the forecast period. For instance, in Canada, before fish are introduced into the water at any aquaculture site in Canada, a current license and a legal lease must be in place. The lease allows the owner or operator to cultivate or anchor containment arrays on the lake or seabed. According to the terms of the license, the owner or operator is permitted to bring fish or shellfish inside the establishment. Furthermore, there are a set of regulations such as the Aquaculture Activities Regulation, which define the circumstances in which aquaculture operators may maintain their facilities, deposit organic materials, and treat fish for parasites and disease in accordance with sections 35 and 36 of the Fisheries Act. Additionally, the rules mandate reporting on the industry's environmental performance as well as environmental monitoring and sampling standards. Furthermore, Fishery Regulation, which outline the powers of Fisheries and Oceans Canada to grant permission for the release of fish into fish habitat and the transfer of live fish to facilities used for fish rearing. Together with the Pacific Aquaculture Rules, they also assist the Department in managing aquaculture in British Columbia.

Furthermore, in Australia, the Environment Protection and Biodiversity Conservation Act of 1999 (EPBC Act), which is overseen by the Department of the Environment and Energy (the Department), and the Biosecurity Act of 2015, which is overseen by the Department of Agriculture and Water Resources, both place restrictions on the import of exotic fish into Australia. For exotic fish, the Department of Agriculture and Water Resources (DAWR) maintains several quarantine protocols. When thinking about importing unusual fish, an individual must get in touch with DAWR to find out what licenses an individual need and what the quarantine policies are. Everyone must follow the limitations and guidelines for importing exotic fish, including companies, people, commercial dealers, fish breeders, retail establishments, and aquarium lovers and hobby keepers. Hence, the presence of various government bodies coupled with their stringent government regulation regarding the fishing industry may serve as a challenge for Fish protein hydrolysate market during the forecast period.