Folic Acid Market Size to Reach USD 1.31 Billion by 2030 with Growth from Fortification Policies and Rising Supplement Use

 The folic acid market size is projected to grow from USD 1.05 billion in 2025 to USD 1.31 billion by 2030, at a 4.54% CAGR, according to Mordor Intelligence. Growth is supported by mandatory fortification regulations, increased prevalence of anemia, expanding use in pharmaceuticals, and higher demand for functional foods.

With 142 countries implementing food fortification programs and new mandates in regions like the United Kingdom taking effect in the next two years, long-term demand remains stable despite raw material cost fluctuations. South America is set to be the fastest-growing regional market, benefiting from established fortification policies and neural tube defect prevention programs.

Folic acid, a synthetic form of folate (vitamin B9), plays a crucial role in prenatal health, anemia prevention, and various metabolic functions. The market is experiencing consistent demand driven by public health programs, pharmaceutical applications, and consumer interest in preventive healthcare.

Mandatory flour fortification programs have created a predictable demand base, while functional food innovation and clean-label trends are opening new product segments. Pharmaceutical-grade folic acid continues to dominate in terms of revenue, serving both therapeutic markets and high-quality supplement formulations.

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Folic Acid Market Key Trends

Mandatory Fortification Policies

Fortification mandates are creating a resilient market base. The UK’s requirement to add folic acid to non-wholemeal wheat flour by December 2026 is projected to prevent 200 neural tube defects annually and deliver long-term healthcare savings. Brazil, Australia, and many other countries already maintain mandatory flour enrichment, ensuring consistent raw material demand.

Rising Prenatal Supplement Uptake

Global awareness of maternal health benefits is pushing folic acid supplement sales, particularly in premium and physician-recommended segments. Adequate folate intake during pregnancy is linked to reduced risk of neural tube defects and improved cardiovascular health outcomes. Demand is expanding in emerging economies as healthcare access improves.

Increasing Anemia Prevalence

Anemia remains a major global health concern, with folic acid a key component in prevention and treatment strategies. Pharmaceutical companies are developing enhanced bioavailability formulations and targeted delivery systems to improve absorption and treatment outcomes.

Functional Foods and Beverages Expansion

Manufacturers are integrating folic acid into cereals, dairy products, and plant-based alternatives to meet consumer demand for nutrient-rich daily foods. Growth is especially strong in Asia-Pacific and North America, where fortified functional beverages are gaining traction.

Shift Toward Clean-Label, Plant-Derived Folate

Fermentation-derived folates are gaining market share due to higher bioavailability and appeal to consumers seeking natural alternatives. While production costs are higher, companies are targeting premium pricing strategies to meet niche demand.

Folic Acid Market Segmentation

By Grade

• Pharmaceutical Grade – 63.78% share in 2024, serving medical applications and high-quality supplements. Known for strict quality control and higher pricing.
• Food Grade – Projected 6.56% CAGR through 2030, supported by national nutrition programs and functional food innovation.

By Source

• Chemical Synthesis – 91.22% share in 2024, favored for cost efficiency, regulatory familiarity, and large-scale manufacturing stability.
• Fermentation-Derived – Forecast to grow at 8.34% CAGR, catering to clean-label, natural, and genetically tailored nutrition markets.

By Application

• Dietary Supplements – 47.12% market share in 2024, supported by strong retail presence, direct-to-consumer channels, and health professional endorsements.
• Functional Foods – Expected 6.42% CAGR to 2030, with demand driven by fortified dairy, cereals, and plant-based products.

By Geography

• Asia-Pacific – Largest market at 38.42% share in 2024, supported by structured fortification programs and strong manufacturing capacity in China and India.
• South America – Fastest-growing region at 7.01% CAGR, benefiting from healthcare investment and long-standing fortification mandates.
• North America & Europe – Mature but stable markets, with growth opportunities in premium, personalized, and clean-label products.

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Folic Acid Market Key Players

The market is moderately fragmented, with a mix of global chemical producers and specialized ingredient suppliers. Leading companies include:

• BASF SE – Recently divested its food and health ingredients business to Louis Dreyfus Company.
• DSM-Firmenich – Maintains a strong vitamin portfolio and industry influence through formulation standards.
• Parchem
• Xinfa Pharmaceutical Co., Ltd.
• Medicamen Biotech Ltd.

Innovation is focused on improving bioavailability, scaling fermentation processes, and meeting evolving regulatory requirements. Products like Gnosis by Lesaffre’s Quatrefolic are setting new performance benchmarks in absorption efficiency.

Conclusion

The folic acid market is positioned for steady growth, backed by government fortification mandates, rising prenatal supplement usage, and expanding pharmaceutical applications. While Asia-Pacific leads in production and consumption, South America’s rapid expansion highlights new regional opportunities. Shifts toward clean-label ingredients and functional food formats will further diversify product offerings.

Manufacturers that can balance cost-efficient synthetic production with high-value fermentation-derived solutions are well-placed to capture market share across both mainstream and premium segments. As regulatory frameworks strengthen globally, industry leaders will focus on quality assurance, innovation, and targeted health outcomes to maintain competitive advantage.