The guar gum properties as a natural hydrocolloid, able to form thick solutions at lower concentration levels make it have a range of applications in various industries and regions around the globe. These industries include oil and Gas, food and beverages, cosmetics and pharmaceuticals.
The demand of guar gum powder can be divided into various grades and regions. These grades include;
- Industrial grade guar
- Food Grade guar
- Pharmacy grade guar
The manufacturing process of the guar is done according to the targeted final usage. Like other products, the market for this commodity has been rapidly driven by growing demand in industrial applications and the multi functionality of this product.
Demand Regions of the Guar Gum
The most important areas driving the demand of guar gum include;
North America
Europe
Asia Pacific
Africa and the rest of the world
The international market for the guar powder is estimated to reach 9.7 billion dollars by the year 2019.
North America
According to the latest industry reports in North America, the oil rig count has grown from 809 to 824 by the week ending 31st march 2017. This has been good news for the farmers and processors in the province of Rajasthan in the Indian continent.
This rise in the oil production activity has already pushed up the prices of the guar seed by over 30% in just two months time compared to the decline experienced in the last two years.
Export Volumes in North America
The exports of the guar gum splits to the north Americahas already rose to over 10,000 tons per month in the beginning of the year and currently stands at approximately 35000 tones. The guar splits are used in thefracking process, which is very important in shale gas exploration.
Europe
Reports and manufacturing data shows that Europe is the second biggest importer of the guar seed and guar products internationally. This is attributed to the ever-growing industrial base in these areas. A lot of the demand is driven by the country of Germany, which is among the most industrialized nations in the world. The main industries driving this demand include oil and gas production, pharmaceuticals and the food industry.
In the other European countries such as France, Italy, Denmark, and Spain, the demand for guar is driven by the animal feed manufacturing industries as well. The continents of India and Pakistan are the leading exporters of the guar gum to the European Market.
Asia
The demand for the guar in the Asian sub-continent is expected to grow and expand by approximately 7% annually to the year 2021. The volume demand in this region is also mainly driven by usage in the baked goods industries, pharmaceutical applications, cosmetics and oil field applications. In the baking industry, it is used in making of gluten free products, moisture retention and to produce a smooth product with an appealing texture.
The current demand levels indicate a recovery from the demand trend that has been experienced in the period from 2011 to the year 2016. The multiple application of the guar gum powder including usage in the pet food industry has created the continuous demand for the product in the various regions.