by Guarana is a plant native to Brazil that has long been used to make caffeine-rich drinks. The seeds of the guarana plant contain up to twice as much caffeine as coffee beans and are commonly used as a stimulant. Guarana extracts contain a variety of compounds like tannins, polyphenols and catechins which provide additional benefits beyond caffeine such as antioxidant and anti-inflammatory properties. Guarana extracts are increasingly being used in energy drinks, dietary supplements and other beverages seeking to deliver a boost of alertness and energy to consumers.
Guarana extracts deliver a smooth energy lift without the jittery effects of regular caffeine consumption. The global guarana market has witnessed steady growth driven by the expanding energy drink and sports nutrition industries. Guarana, which has origins as an indigenous caffeinated drink among Amazonian tribes, is now a global additive that energizes popular beverages consumed worldwide. The global guarana market is estimated to be valued at US$ 5,062.1 Mn in 2024 and is expected to exhibit a CAGR of 7.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends driving growth in the guarana market is the rising popularity of natural, plant-based energy drinks among health-conscious consumers. According to a recent study, over 50% of energy drink consumers are actively seeking out options with no artificial ingredients and guarana appeals as a naturally caffeinated alternative. Guarana extract manufacturers have also leveraged its antioxidant benefits, marketing the plant compound for its cognitive support in brain health supplements. Expanded applications of guarana in nutraceuticals, cosmeceuticals and functional foods are expected to provide new opportunities for market players over the coming years.
Porter’s Analysis
- Threat of new entrants: The established players in the market have strong distribution networks and brand loyalty which acts as a barrier for the new entrants.
- Bargaining power of buyers: Buyers have high bargaining power due to the availability of substitutes like coffee and green tea in the market.
- Bargaining power of suppliers: A few companies control the supply of guarana which gives them strong bargaining power over buyers.
- Threat of new substitutes: Products like coffee, green tea and energy drinks pose significant threat being substitutes to guarana market.
- Competitive rivalry: The market consists of few large players intensifying the competitive rivalry.
Key Takeaways
The global guarana market is expected to witness high growth over the forecast period.
South America led by Brazil dominates the guarana market currently. Brazil accounts for over 90% of the global guarana production owing to ideal climate conditions for guarana cultivation.
Key players operating in the guarana market are Vitaspice Brasil Ltda, Prover Brasil for Export Ltda, Herboflora Produtos Naturais Ltda, Ambev, Duas Rodas Industrial Ltd, A R De Sousa Ribeiro & Cia Ltd, Natural Amazon Herbs Producao De Extratos Ltda, Iris Trade Inc., The Green Labs LLC, and Nutra Green Biotechnology Co., Ltd.
