The Policy Supporting and Expansion of Downstream Application Market Are Conducive to the Development of Inositol Market

Inositol, also known as cyclohexanol, is naturally occurring. It exists in beans, fruits, bran, corn husks and other plants. The human body can also synthesize inositol by itself. Inositol is widely distributed in animals and plants and is a growth factor for animals and microorganisms. Inositol is an essential substance for the growth of humans, animals and microorganisms, and is widely used in feed, medicine, food and other industries. Inositol can prevent depression, lower cholesterol, fight fatty liver, strengthen bones, and lower blood sugar. Since inositol is nontoxic and harmless, it can be used in various health foods or oral liquids.

Feed grade inositol is an essential nutrient for certain animals and plays an important role in maintaining its normal physiological functions. Food grade inositol can promote cell growth, participate in metabolism activities in the body, synthesize creatine phospholipids, membrane phospholipids, sphingomyelin, and other substances. It is a nutrient necessary to maintain the physiological functions of animals. Pharmaceutical grade inositol can promote fat metabolism in the liver, and is used to treat cirrhosis, fatty liver, hepatitis and other diseases. Pharmaceutical grade inositol also has the effect of lowering blood cholesterol levels, and can treat fat and cholesterol catabolism disorders. In 2019, the market share of these three types of inositol was 24.18%, 65.19% and 10.63% respectively.

Inositol is a raw material for the manufacture of high-end cosmetics, which can promote cell growth and prevent cell aging. Inositol can be used in food and beverages. In the fermented food industry, inositol is used to cultivate various strains and promote the growth of yeast. Inositol can also be used as a feed additive. Pharmaceuticals Inositol has a similar effect to biotin microbial B in medicine. It is currently used to treat liver cirrhosis, fatty liver, hepatitis, vascular sclerosis, and high cholesterol. In addition, it can enhance liver function, and reduce the blood cholesterol content and other effects. In 2019, the market share of these three applications was 5.62%, 61.27% and 8.13%, respectively. It can be seen that inositol is the most widely used in the food and beverage industry.

Influence of COVID-19 Outbreak on Inositol Industry Development


China was the largest revenue market with a market share of 57.45% in 2015 and 58.29% in 2019, an increase of 0.84%. In 2019, the Europe market share was 8.69%, ranking second. Development of economy and increase downstream demand in these areas will promote the Inositol market.

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China is the main production and export region of inositol. Since China is also the initial outbreak area of COVID-19, strict control measures have hindered the flow of labor force, delayed the resumption of the factory, and transportation has also been affected, all these have severely affected the production and export of inositol. Due to the coronavirus crisis, transportation has also stopped, so sales are facing greater pressure. The global inositol supply cycle may be extended. At the same time, the uncertainty of the global epidemic will further strengthen the control measures of various countries, and the operating efficiency of affiliated companies is much worse than in the past. It is estimated that the global value of inositol will be 70.58M USD in 2020.


The Policy Support and Expansion of the Downstream Application Market Are Conducive to the Development of Inositol Market, but the Low Price Will Reduce the Enthusiasm of Enterprises

The policy allows inositol to be added to food. Due to the nutritional effects of inositol, downstream application industries will need more inositol products. Therefore, inositol has huge market potential in the future. Polycystic ovary syndrome (PCOS) is a disease that affects women, and its prevalence is thought to be as high as 10%. It is related to abnormal glucose metabolism and androgen metabolism, which can lead to obesity, impaired fertility and acanthosis nigricans. Inositol is a small molecule with a structure similar to glucose and is involved in cell signaling. Inositol appears to be the most promising as a dietary supplement to promote female fertility to help improve insulin resistance, restore ovulation function, restore insulin sensitivity and reduce anxiety. Due to the mixed benefits of insulin resistance and fertility, inositol is considered a good treatment for women with PCOS. Changes in consumption patterns and preference of consumers for healthy weight-loss foods have led to increasing demand for food and beverage products containing inositol, which is another factor driving the growth of the global inositol market. Because inositol is a kind of bioactive element, it participates in the metabolism of the body, and has related effects on immunity, prevention and treatment of some diseases. Trace amounts of inositol are added to many health drinks and foods of children. As an important component of energy drinks, inositol can effectively convert nutrients into energy. Manufacturers are trying to improve technology to produce high purity and high performance inositol.

Due to prominent unhealthy eating habits and lifestyles, the demand for inositol is also rising because it helps treat hair loss, depression and other health problems faced by modern people. Inositol participates in the metabolism of the body and has multiple functions such as immunity, prevention and treatment of certain diseases. Inositol can promote fat metabolism, prevent liver fat accumulation, accelerate the removal of excessive liver fat, and have therapeutic and preventive effects on fatty liver, hepatitis, cirrhosis, diabetes, and obesity. In recent years, the application of inositol in the medical field has become more and more common. With the increasing number of patients suffering from fatty liver, hepatitis and other diseases, the market demand for inositol is also increasing.

China is a major producer and exporter of inositol. Since 2003, due to the increase in environmental protection costs, raw material prices, energy and labor costs, and the appreciation of the RMB, export quotations of China for inositol have continued to rise. However, affected by the economic crisis in the second half of 2008, demand from foreign buyers began to weaken. In addition, due to the superimposed effects of overcapacity and price reductions of raw materials, export price of China of inositol plummeted by nearly half, and some inositol production companies had to take measures to limit or stop production to cope with the drastic market changes at that time. Later, as the market gradually warmed up, the export price of inositol basically remained stable. In recent years, the overall export price of inositol in China has shown a downward trend. The decline in the price of inositol will cause a decline in the gross profit margin of manufacturers, and the profitability of enterprises in the industry will be affected, hindering the development of the whole industry.

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