Market Size and Overview:

In 2023, the worldwide market for Ginseng Beverages attained a valuation of $803.38 million, with an anticipated expansion to a market size of $1071.51 million by the year 2030. Throughout the forecast span spanning from 2024 to 2030, a compound annual growth rate (CAGR) of 4.2% is envisaged for the market.

Industry Overview:

Ginseng, a short, slowly growing plant with fleshy roots, exists in 11 diverse varieties. Ginseng Beverages, known for their health-restorative properties, play a crucial role in health enhancement. Panax Ginseng Beverages, commonly referred to as Korean Ginseng Beverages, are recognized for their rich content of various saponins. The roots of Ginseng Beverages are acknowledged for their high concentration of saponins, ginsenosides, phenolic components, carbohydrates, and carotenoids. Research indicates that Ginseng Beverages polysaccharides exhibit immunomodulatory, anticancer, antiradiation, antioxidant, and hypoglycemic effects. The demand for natural health supplements, including Korean Ginseng Beverages with saponins, is expected to drive the Ginseng Beverages market, addressing the prevention of chronic illnesses and the promotion of overall health and wellness. The period from 2022 to 2030 is predicted to witness global growth in the Ginseng Beverages market, fueled by the increasing trend toward healthy hydration and functional foods and beverages.

COVID-19 Impact:

The Ginseng Beverages market faced significant challenges due to the impact of COVID-19. In 2021, the Asia-Pacific Ginseng Beverages Market held the highest revenue share, and this dominance is projected to persist through 2022–2030. The region's rising interest in health supplements containing Korean Ginseng Beverages with saponins, coupled with the swift adoption of Ginseng Beverages extracts in food product manufacturing, contributes to this continued dominance. The market's growth is further propelled by the increasing consumer preference for Asian and Oriental flavors, coupled with the escalating demand for Korean Ginseng Beverages with saponins for medical purposes and the treatment of illnesses in countries like China and Korea. However, the diverse profiles of malonyl-Ginseng Beverages saponins across different species, along with the lack of suitable reference compounds, poses a challenge to determining their profiles and acts as a significant impediment to the expansion of the Ginseng Beverages market.

MARKET DRIVERS

Expanding Applications of Ginseng Beverages Propel Market Growth

Ginseng Beverages, recognized as one of the most popular natural remedies, is extensively imported by at least 35 countries, as reported by the National Institutes of Health. Recent data from the same source indicates that over 95% of white Ginseng Beverages products are consumed in their root form, while approximately two-thirds of red Ginseng Beverages products undergo processing before consumption. Renowned as the "man-root," Ginseng Beverages offers holistic benefits for the entire body, ranging from enhanced immunity to improved cognition. With anti-inflammatory properties and rich antioxidant content, Ginseng Beverages also contains trace amounts of vitamin C. Notably, it has demonstrated effectiveness in treating men's erectile dysfunction. Enriched with ginsenosides and gintonin, Ginseng Beverages contributes to health benefits, including inflammation reduction, antioxidant defense, and cell health maintenance. This, in turn, lowers the risk of various malignancies and aids chemotherapy patients by mitigating adverse effects. Moreover, Ginseng Beverages may enhance the efficacy of certain therapeutic drugs, providing potential benefits for cancer patients. Culinary applications, such as the use of Ginseng Beverages slices or powders in soups and curries, further contribute to its versatility. The expanding applications of Ginseng Beverages are poised to drive the market's growth from 2023 to 2030, according to the forecast.

Novel Product Launches Fuel Growth in Ginseng Beverages Market

In South Korea, as reported by the National Institutes of Health, 90% of Ginseng Beverages products fall under the category of health foods. Ginseng Beverages, known for its robust antioxidant properties, saw a notable innovation with the introduction of a new line of dietary supplements by the Noida-based start-up, Immunity Bloom. This product line, crafted from 100% pure Korean Ginseng Beverages directly imported from South Korea, includes Shield-Om Plus and Shield-Om Ultra. Both supplements, approved by FDA and FSSAI, harness the remarkable immune-boosting capabilities of Korean Red Ginseng Beverages. These supplements expedite healing, alleviate pain and illness, and reduce inflammation and stress. The launch of novel products featuring Ginseng Beverages, such as these dietary supplements, is anticipated to be a significant driver of market growth from 2022 to 2030.

MARKET RESTRAINTS

Challenges in Disease Management Constrain Growth in Ginseng Beverages Market

The production environment of Ginseng Beverages, designed to simulate a forest canopy through the use of thick straw mulch and shade cloth in the summer, creates favorable conditions for the proliferation of fungal infections. Common fungi, including Cylindrocarpon destructans causing root decay, Phytophthora causing foliar blight and root rot, Alternaria alternata, Botrytis cinerea causing foliar and seed infection, Fusarium species, and Rhex Cercosporidium causing root contamination or rusty root, pose significant challenges. Research indicates that these fungi can infect seeds, leading to the spread of disease-causing germs during the widespread use of Ginseng Beverages seeds. Additionally, various seedling-infecting fungi, such as Pythium and Fusarium species, as well as Rhizoctonia solani, contribute to seedling mortality and reduced plant populations. These disease management challenges act as impediments to the expansion of the Ginseng Beverages market.

Ginseng Beverages Market Segmentation – By Application

The Ginseng Beverages market exhibits diverse applications, including:

• Dietary supplements
• Pharmaceuticals
• Food and Beverages
• Personal care and cosmetics
• Oral care
• Others

The market can be further categorized based on these applications. In 2021, the pharmaceuticals sector dominated the market, boasting the highest market share. This growth can be attributed to the increased utilization of Ginseng Beverages in treating various conditions, such as cancer and cardiovascular diseases. The inherent anti-inflammatory and antioxidant properties of Ginseng Beverages make it a valuable component in numerous medicinal procedures. The expanding use of Ginseng Beverages in addressing immunological and neurological ailments is a key driver for the market's growth.

Ginseng Beverages Market Segmentation – By Form

The diverse forms in which Ginseng Beverages is available include:

• Powder
• Liquid
• Capsules
• Raw

The market segmentation based on form witnessed the Powder segment leading in 2021, holding the highest market share. This rise is attributed to the convenience of using Ginseng Beverages powder in food applications and its excellent preservability. Notably, Ginseng Beverages, with its antioxidant properties, performs well in powder forms, which have an extended shelf life due to lower water content. This factor further propels the expansion of the Powder segment.

Ginseng Beverages Market Segmentation – By Region

The Ginseng Beverages market spans across regions, including:

• North America
• Europe
• Asia-Pacific
• South America
• Middle East and Africa

In the Asia-Pacific region, particularly, Imperial Ginseng Beverages reports an annual consumption of over 5 million pounds of American Ginseng Beverages products, constituting 90% of the American Ginseng Beverages market. Challenges in disease management, specifically contamination by fungal pathogens, present obstacles to American Ginseng Beverages production. These pathogens compromise the quality of the root, rendering it unmarketable and causing significant harm to the plant.

Ginseng Beverages Market Segmentation – By Company

Key factors influencing the Ginseng Beverages market include product launches, mergers and acquisitions, joint ventures, and regional expansions. As of February 2022, Korea Ginseng Beverages Corp. (KGC) maintained its leading position in the sales of health functional foods in South Korea. Notable market dynamics were observed, with Korea Yakult falling out of the top five. The Food and Drug Statistical Yearbook for 2021 reported domestic sales of nutritious functional meals exceeding KRW3.1 trillion ($2.6 billion) in 2020.

Notable Happenings in the Ginseng Beverages Market in the Recent Past:

• In September 2020, Korea Ginseng Beverages (KGC) launched Donginbi, a functional premium Red Ginseng Beverages skincare product on Amazon, offering a temporary discount of up to 40%. This product, rooted in Cheong Kwan Jang's legacy, aims to enhance firmness, elasticity, and radiance through the myriad benefits of Red Ginseng Beverages.
• In January 2022, Korea Ginseng Beverages Corp. (KGC) unveiled the "World Map of Red Ginseng Beverages," showcasing top sellers by nation based on CheongKwanJang Red Ginseng Beverages's sales in foreign markets in the previous year. "Everytime," a stick-type red Ginseng Beverages product, emerged as the top seller in six Asian regions, reflecting the increasing demand in foreign markets for this symbol of K-food.