Protein Hydrolysis Enzymes Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Source (Animal, Plant, and Micro-Organism), By Method of Production (Fermentation, and Extraction), By Application (Detergent, Pharmaceutical, Food & Beverages, Textile, and Others), By Region and Competition, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 3.67 Billion
CAGR (2026-2031)	5.77%
Fastest Growing Segment	Detergent
Largest Market	North America
Market Size (2031)	USD 5.14 Billion

Market Overview

The Global Protein Hydrolysis Enzymes Market is projected to grow from USD 3.67 Billion in 2025 to USD 5.14 Billion by 2031 at a 5.77% CAGR. Protein hydrolysis enzymes, technically known as proteases, are specialized biocatalysts that cleave peptide bonds within proteins to produce amino acids and smaller peptides, thereby modifying the solubility, digestibility, and functional properties of the substrate. The market is primarily supported by the escalating need for cost-effective animal feed formulations and the expanding demand for hydrolyzed proteins in specialized infant and sports nutrition products. According to the 'European Feed Manufacturers' Federation', in 2025, EU compound feed production was forecast to reach 147 million tons. This substantial production volume directly correlates with the sustained requirement for feed enzymes to enhance livestock nutrient absorption and growth efficiency.

One significant challenge impeding market expansion is the complex regulatory environment governing enzyme safety and labeling. Manufacturers must navigate rigorous approval processes and demonstrate the absence of adverse effects, particularly for genetically modified strains. These stringent compliance requirements impose high development costs and extend time-to-market, which can stifle innovation and restrict the rapid commercialization of new enzymatic technologies.

Key Market Drivers

The rapid expansion of the plant-based meat and alternative protein sector is fundamentally reshaping the protein hydrolysis enzymes market, as manufacturers increasingly rely on proteases to overcome functional and sensory challenges. Hydrolysis is essential for modifying vegetable proteins—such as pea, soy, and wheat—to enhance solubility, improve gelling properties, and reduce viscosity, which are critical for mimicking the texture of animal-derived counterparts. Furthermore, specific enzymes are deployed to debitter protein hydrolysates, addressing the characteristic off-notes that often deter consumer acceptance of plant-based formulations. This technical dependency is validated by the sector's financial resilience; according to the Good Food Institute, April 2025, in the '2024 State of the Industry Report', global retail sales of plant-based meat and dairy alternatives reached $28.6 billion in 2024, representing a 5% annual increase. This continued commercial growth necessitates scaling enzymatic solutions to meet the requisite processing volumes.

Simultaneously, the rising adoption of enzyme-based formulations in the detergent industry acts as a robust industrial driver, propelling the demand for high-performance proteases engineered for cold-water wash cycles. Modern laundry and dishwashing detergents utilize these enzymes to effectively break down tough proteinaceous stains, such as blood, egg, and grass, without requiring high temperatures or harsh chemicals, thereby aligning with global sustainability goals and energy conservation mandates. The commercial viability of this shift is evident in recent corporate performance; according to Novonesis, February 2025, in the 'Annual Report 2024', the Household Care division achieved an organic sales growth of 13% for the fiscal year 2024, driven significantly by increased enzyme penetration. Broader market indicators further reflect this positive momentum; according to Novonesis, in 2025, the Food & Health Biosolutions segment also reported a 7% organic sales growth for 2024, illustrating the parallel expansion in enzyme applications which share underlying production technologies.

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Key Market Challenges

The stringent regulatory environment regarding enzyme safety and labeling acts as a substantial barrier to the expansion of the Global Protein Hydrolysis Enzymes Market. Manufacturers are required to navigate rigorous and expensive approval processes to demonstrate that their products, particularly those derived from genetically modified strains, are free from adverse effects. These exhaustive compliance obligations significantly increase development costs and prolong the time-to-market for new solutions. Consequently, the high barrier to entry stifles innovation, preventing companies from responding swiftly to shifting market demands and limiting the commercial availability of advanced enzymatic technologies.

This regulatory bottleneck is particularly detrimental considering the rising volume of livestock production that relies on these enzymes for nutritional efficiency. The slow approval of optimized proteases directly restricts the industry's ability to cater to high-demand segments such as poultry nutrition, where feed efficiency is critical. According to the 'European Feed Manufacturers' Federation', in 2025, poultry feed production was forecast to increase to 50.368 million tonnes. This growing production scale highlights a significant missed commercial opportunity, as the rigid regulatory framework hampers the introduction of next-generation hydrolysis enzymes essential for maximizing nutrient absorption in this expanding sector.

Key Market Trends

The expansion of enzymatic solutions for pet food premiumization is significantly influencing the market, driven by the "humanization" of companion animals and the demand for hypoallergenic diets. Manufacturers are increasingly utilizing specialized proteases to hydrolyze protein sources, such as salmon and chicken, effectively reducing antigenicity to cater to pets with digestive sensitivities. This enzymatic process not only improves nutrient absorption but also enhances palatability, which is critical for the success of high-value therapeutic formulations. The sector's commercial vitality is evident in the performance of major ingredient suppliers; according to dsm-firmenich, February 2025, in the 'Integrated Annual Report 2024', the Animal Nutrition & Health business unit achieved an organic sales growth of 5% for the fiscal year, underscoring the robust demand for advanced nutritional solutions in animal care.

Simultaneously, there is a distinct trend towards the production of bioactive peptides for nutraceuticals, shifting focus from basic protein supplementation to functional health outcomes. Advanced hydrolysis technologies are being deployed to cleave proteins at specific sites, releasing peptides with targeted physiological benefits, such as immune system support, stress reduction, and gut health improvement. This capability allows enzyme developers to partner with functional food brands to create personalized nutrition products that claim verified health benefits beyond simple caloric intake. This segment's upward trajectory is supported by financial data from industry leaders; according to Novonesis, February 2025, in the 'Annual Report 2024', the Human Health biosolutions division delivered an organic sales growth of 5%, reflecting the accelerating integration of enzymatic technologies into functional consumer health products.

Segmental Insights

The Detergent segment has emerged as the fastest-growing category within the Global Protein Hydrolysis Enzymes Market, driven by the increasing global preference for sustainable and energy-efficient laundry practices. Manufacturers are extensively incorporating specific proteases to ensure effective stain removal in low-temperature wash cycles, which significantly reduces energy usage. This growth is further propelled by strict environmental mandates that encourage the replacement of phosphate-based chemicals with biodegradable enzymatic alternatives. Additionally, the expanding adoption of these eco-friendly formulations in emerging economies continues to bolster the segment's rapid development.

Regional Insights

North America maintains a leading position in the global protein hydrolysis enzymes market, driven by a strong industrial base in pharmaceuticals and food processing. The United States Food and Drug Administration (FDA) provides a clear regulatory framework that supports the integration of these enzymes into various applications, including dietary supplements and animal feed. Additionally, rising consumer demand for functional food products and clean-label ingredients accelerates market activity within the region. These factors, combined with significant investments in biotechnology, solidify North America’s dominance in the global landscape.

Recent Developments

• In June 2025, Biortus USA announced the commercial release of BioTEV Protease, a high-precision enzyme developed for the cleavage of affinity tags in recombinant protein production. Leveraging artificial intelligence and machine learning in its design, this protease offers exceptional specificity and stability, ensuring efficient protein hydrolysis without non-specific degradation. The product is manufactured with ultra-low endotoxin levels, making it particularly suitable for strict pharmaceutical and research applications where purity is paramount. This release signifies a technological advancement in the protein hydrolysis enzymes market, providing biopharmaceutical developers with a robust tool for downstream processing and protein purification.
• In March 2025, Novonesis introduced two new protease enzymes, Progress® Beyond and Progress® Go, specifically engineered for the liquid laundry detergent industry. These enzymes were designed to deliver superior hydrolysis of protein-based stains, such as blood and food residues, even in cold water and quick-wash cycles. Progress® Beyond offers enhanced stability and compatibility within various liquid detergent formulations, allowing manufacturers to create effective cleaning products that align with energy-saving consumer habits. This launch highlights the company's focus on advancing protein hydrolysis technology to meet the growing demand for sustainable and high-performance household care solutions.
• In November 2024, Biocatalysts Ltd expanded its portfolio in the plant-based sector with the launch of the PlantPro™ enzyme range, which includes specific proteases designed to modify plant proteins. The new product line features enzymes such as PlantPro™ 600L, a broad-spectrum protease capable of functioning in mild acid to neutral pH environments to improve protein solubility. Additionally, the range utilizes proteolytic activity to unlock umami flavors and reduce off-notes in dairy and meat alternatives. This development allows food manufacturers to achieve controlled protein hydrolysis, enhancing the texture and sensory profile of plant-based formulations while meeting clean-label requirements.
• In April 2024, dsm-firmenich and its alliance partner, Novonesis, secured European Union regulatory approval for their second-generation feed protease, ProAct 360™. This specialized enzyme was developed to enhance the hydrolysis of protein in poultry feed, allowing for improved digestibility and amino acid absorption. By breaking down proteins more efficiently, the product enables producers to lower the crude protein content in animal diets, thereby reducing nitrogen emissions and feed costs. This regulatory milestone reinforced the companies' shared commitment to the protein hydrolysis enzymes market by providing sustainable solutions that address both economic and environmental challenges in global animal nutrition.

Key Market Players

• Novozymes A/S
• DuPont Inc
• Dyadic International Inc.
• Associated British Foods Plc
• Amano Enzyme Inc.
• BASF SE
• Kerry Group
• Biocatalysts Ltd.
• Advanced Enzyme Technologies Limited
• Koninklijke DSM N.V.

By Source	By Method of Production	By Application	By Region
Animal Plant Micro-Organism	Fermentation Extraction	Detergent Pharmaceutical Food & Beverages Textile Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Protein Hydrolysis Enzymes Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Protein Hydrolysis Enzymes Market, By Source:

• Animal
• Plant
• Micro-Organism

• Protein Hydrolysis Enzymes Market, By Method of Production:

• Fermentation
• Extraction

• Protein Hydrolysis Enzymes Market, By Application:

• Detergent
• Pharmaceutical
• Food & Beverages
• Textile
• Others

• Protein Hydrolysis Enzymes Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE