The human milk oligosaccharides (HMO) market is projected to grow from USD 101.1 million in 2025 to USD 191.6 million by 2035, registering a CAGR of 6.6% over the forecast period.
| Metrics | Values |
|---|---|
| Industry Size 2025 | USD 101.1 million |
| Industry Value 2035 | USD 191.6 million |
| CAGR 2025 to 2035 | 6.6% |
The market is being driven by rising global awareness of the benefits of HMOs in early childhood nutrition, advancements in synthetic biology, and the increasing inclusion of HMOs in infant formula, functional foods, and dietary supplements. With research linking HMOs to long-term immune system modulation and gut-brain axis regulation, adoption is expanding across pediatric and adult health applications.
The market is witnessing strong momentum due to growing investments in prebiotic research, clinical validation of HMOs, and regulatory support for safe inclusion in pediatric formulations. Manufacturers are scaling up production of 2’-FL, 3-FL, and LNnT, which are among the most widely studied and approved HMOs globally.
Demand is particularly strong in Asia, where rising birth rates and increased spending on premium infant nutrition products are fueling market expansion. Meanwhile, established players in North America and Europe are investing in biotechnology collaborations and production capacity to ensure consistent supply and cost-efficiency.
The human milk oligosaccharides (HMO) market is projected to reach USD 101.1 million in 2025. HMOs constitute roughly 50-55% of the infant formula ingredients market, as they’re increasingly included to mimic the benefits of breast milk. In the functional food & beverage ingredients market, they hold about 3-5%, driven by their emerging use in gut-health-focused products.
Within the nutraceutical ingredients market, HMOs account for 2-3%, appearing in dietary supplements targeting immunity and digestion. In the prebiotic ingredients market, they represent approximately 10-15%, competing with other prebiotics in gut microbiome applications. In the specialty sugars and biotechnology ingredients market, HMOs hold around 1-2%, reflecting their high-value bioengineered origins.
In a June 2024 article by AZoLifeSciences, researchers highlighted a major advancement in human milk oligosaccharide (HMO) production using genetically engineered plants. The study demonstrated that plants like Nicotiana benthamiana can serve as efficient biofactories for synthesizing various HMOs, including fucosylated, acidic, and neutral forms.
As noted in the article, “The findings showed that using a transgenic plant-based platform to produce HMOs essential for infant and adult health was a biologically and economically viable option.” This represents a breakthrough in sustainable HMO manufacturing.
The below table presents a comparative assessment of the variation in CAGR over six months for the base year (2024) and current year (2025) for the global industry. This analysis reveals crucial shifts in market performance and indicates revenue realization patterns, thus providing stakeholders with a better vision of the growth trajectory over the year. The first half of the year, or H1, spans from January to June. The second half, H2, includes the months from July to December.
| Particular | Value CAGR |
|---|---|
| H1 (2024 to 2034) | 6.2% |
| H2 (2024 to 2034) | 6.7% |
| H1 (2025 to 2035) | 6.5% |
| H2 (2025 to 2035) | 6.8% |
The global industry's predicted compound annual growth rate (CAGR) over a semi-annual period from 2025 to 2035 is shown in the above table. The business is anticipated to grow at a CAGR of 6.2% in the first half (H1) of 2024 and then slightly faster at 6.7% in the second half (H2) of the same year.
The CAGR is anticipated to decrease somewhat to 6.5% in the first half of 2025 and continues to grow at 6.8% in the second half. The industry saw a decline of 43 basis points in the first half (H1 2025) and an increase of 52 basis points in the second half (H2 2025).
The human milk oligosaccharides (HMO) market is set for significant growth, with major investments flowing into the development of HMOs for infant formula, adult nutrition, and functional foods. Growth is being fueled by increasing demand for immune-boosting and gut health-promoting ingredients in food and beverages, particularly in the infant and prebiotic sectors.
Fucosylated human milk oligosaccharides are expected to capture 35% of the HMO market by 2025, driven by their critical role in enhancing immunity and gut health. Demand is rapidly intensifying as nutrition brands strive to replicate the immunological benefits of breast milk. Leveraging precision fermentation, suppliers are achieving commercial-scale yields of 2ʹ-Fucosyllactose and related trisaccharides that selectively nourish Bifidobacterium species and block pathogen adhesion.
Regulatory clearances across North America, Europe, and key Asian markets are accelerating formulation activity in infant and adult products alike. Ingredient houses have sealed strategic alliances with dairy majors to ensure reliable volumes and consistent quality.
Infant formula is projected to dominate the human milk oligosaccharides market with a 60% share by 2025, driven by growing demand for nutritionally advanced breast milk alternatives. Dual-HMO blends, such as 2ʹ-Fucosyllactose and Lacto-N-neotetraose, are increasingly incorporated to support immune health, gut function, and brain development.
The Asia-Pacific region is seeing rapid premiumization, with working parents favoring high-quality, convenient nutritional formats. Leading manufacturers are expanding their HMO production capabilities through dedicated facilities, ensuring control over supply chains and consistent product quality. These advancements are enabling broader adoption of HMO-enriched infant formulas in both developed and emerging markets.
Gut-Brain Axis Integration in Infant Nutrition
Recent human milk oligosaccharides (HMOs) in infant nutrition have significantly shifted the primary focus to cognitive development. Studies provide evidence for active gut-brain axis HMOs, which in turn affect brain function, neurodevelopment, and stress response.
That is the reason for the development of multi-HMO formulations, which have found their place in cognitive health products, reinforced by the further positioning of HMOs as cognitive health agents in research beyond gut health.
2’-FL, 3’-SL, and 6’-SL are the oligosaccharides that the infant formula manufacturers including Abbott, Nestlé, and Friesland Campina add to the products, in order to simulate the neuroprotective functions of breast milk. Scientific proofs of the connection between HMOs and better memory, lower inflammation, and more emotional regulation are the reasons for their inclusion in premium infant formula products.
By showing for example, through brain-targeted nutrition claims, and product differentiation strategies, the growth of the market is gaining manufacturers with the trust of clinical research results. There has been a proliferation of infant nutrition products with brain-boosting properties due to both regulatory approvals and parental demand, so the sector is therefore accelerating.
Expansion of Fermentation-Based HMOs for Cost Efficiency
Producing HMOs using the traditional method was costly and resource-consuming which affected widespread adoption. Seen from the angle of valuing the money, it is hard to beat the gains from new age precision fermentation which brings the value of HMO purity and scalability up to maximum results.
The big fish like Chr. Hansen, Inbiose, and BASF are going for microbial fermentation technology to sell cheap HMOs. This has turned into the fermentative production of LNT possible on a large scale, thus giving them wider distribution in infant formula and functional foods. The fermentation-based HMOs option's cost impact is yielding a higher occurrence among the medium tier brands that are fostering market reach.
Companies that are engaged in bioprocess optimization, strain engineering, and high-yield techniques are addressing the need for economic viability. In line with the mounting demand for HMOs, it is expected that fermentation will supersede all other forms of production, thus, HMOs will become a cheaper and standardized ingredient in the global supply chain.
Regulatory Standardization and Recognition Across Regions
Regulatory approvals represent both the challenges and opportunities for HMO manufacturers. Despite the disparity in regulations with Asia-Pacific and Latin America still linking up, Europe and North America have excised several HMOs from the list of food additives in infant nutrition.
As per the companies, Nestlé, BASF, and Friesland Campina support with, food safety authorities (FDA, EFSA, and China’s SAMR) to expand their HMO accessorized portfolio worldwide. Companies are increasing evident clinical trials and toxicology studies to fast-track approvals in emerging markets.
Due to the gaining of GRAS (Generally Recognized as Safe) among several nations, the growth of the businesses is increasing. The implementation of the alignment of regulations across areas marks the path for the launch of multiple HMO blends and empowers manufacturers to create region-specific formulas. The companies are paying special focus on labelling compliance, clinical validation, and consumer education to build market credibility.
Diversification of HMO Blends Beyond 2’-FL
2’-Fucosyllactose (2’-FL) is continuing to be the most significant presence in the market yet research buildup is indicating the interplay of multiple HMOs in terms of synergy in both infant nutrition and medical applications. The result is that there is a surge in Lacto-N-Tetraose (LNT), Lacto-N-Neotetraose (LNnT), 3’-Sialyllactose (3’-SL), and 6’-Sialyllactose (6’-SL).
The lead companies like dsm-firmenich, FrieslandCampina, and Inbiose are including several HMO enzymes in their product lines to offer a closer-to-nature breast milk formula. The fashion is sending the formulation of hydrated HMO with specific health benefits, namely, immune support, gut health, and cognitive development in the front line.
Manufacturers make use of biology-based production, improvements in stability, and increased bioavailability of these HMOs. The expectation is that the setting for the personalized product plates will emerge in the current infant formula, functional foods, and specialized medical nutrition partly due to this diversification process.
HMO sector, which includes both the large international enterprises and narrow-specialized companies, constitutes the human milk oligosaccharides (HMO) market. The sector is indeed concentrated with some key players dominating it.
The MNCs like Nestlé Health Science (Switzerland), BASF (Germany), and Abbott Nutrition (USA) are situated on the HMO market's first line. They are the companies with the underlying infrastructure and considerable financial resources, report the latest findings from the i.. Furthermore, these industries have their own distribution networks to expand into the global market.
The second tier of the market is occupied by more specialized players, such as Chr. Hansen (Jennewein Biotechnologie) (Denmark/Germany), Friesland Campina Ingredients (Netherlands), and DSM-Firmenich (Glycom) (Denmark). These companies put in a considerable amount of effort to carrying out HMO research, development, and production, and they are commonly associated with their high level of specialization in this area.
In the third tier, we find a more fragmented group of players, including Inbiose (Belgium), Kyowa Hakko Bio (Japan), ZuChem (USA), and GlycoSyn (New Zealand). These smaller-sized companies and sometimes only concentrate on local or HMO market sub-sectors that are more specialized.
The human milk oligosaccharides market, being quite diverse is made of organized and unorganized segments, where the top-tier MNCs Lead, while the second and third tiers form a rich diversity and competition.
The buowsienen hmos are the hmos, The Monohmo sector's concentration level debts on considerable investment and the technology platform required to create and introduce new processes to the market and the smaller companies can that cause barriers to entry.
The following table shows the estimated growth rates of the top three countries. USA, China and Germany are set to exhibit high consumption, and CAGRs of 4.8%, 6.8% and 3.5% respectively, through 2035.
| Countries | CAGR 2025 to 2035 |
|---|---|
| United States | 4.8% |
| China | 6.8% |
| Germany | 3.5% |
HMO-infused functional drinks have newly found ground in the USA market, shifting their course from infant formula to adult nutrition and wellness drinks. The inclusion of HMOs, ready-to-drink (RTD) gut-health beverages, immune-boosting shakes, and metabolic wellness drinks by companies like Abbott, dsm-firmenich, and Nestlé Health Science are among the most prevalent.
As more people learn about the benefits of the gut-brain axis and microbiome health, HMOs are tapped as the latest functional prebiotics in the beverage industry. The trend of establishing dairy-based and plant-based HMO drinks is an answer to the customer necessity for easy, scientifically supported gastrointestinal well-being options.
Companies are supporting HMO-added drinks with clinical trials and branding strategies to ensure that they are taken off the shelf from the traditional probiotics and fiber-based drinks. This development is believed to be the major cause of the functional beverage segment rebranding with HMOs becoming a common ingredient in adult nutrition.
In China, the infant formula companies have begun the process of customization of HMO compositions for different regions of the country, effectively considering the local diet and the gut microbiome of babies.
Major players like Feihe, Mengniu, Yili, and Nestlé China are infusing individual HMO blends in premium formulas, which are made according to the different provinces' lactose tolerance, gut flora diversity, and infants' nutritional needs. The government efforts in promoting the nutrition of early life are the gateway for the approvals of different HMOs to be added in formulas (more than 2'-FL and LNnT).
The idea of multi-HMO formulations, which are close to breast milk in terms of diversity, is presented as a scientific alternative to standard formulas. Chinese parents are ever more demanding on personalized nutrition; thus, producers are announcing the HMO technology secures region-specific formulas as the best choice for gut health, immunity, and cognitive development.
Germany is now the top player in the HMO-based footsteps of Mexico, especially through its flagship manufacturers like Friesland Campina, BASF, and Chr. Hansen which have introduced therapeutic HMO formulations meant for treatment of metabolic disorders, inflammatory diseases, and gut microbiome restoration.
The medical professionals in Germany are focusing more on HMOs and are already including some in clinical nutrition products for patients suffering from IBD, gut dysbiosis occurring after antibiotics, and immune-compromised conditions. Unlike the USA, where HMOs are used in functional foods, Germany has shown greater uptake in prescription-based products and hospital-administered nutrition.
BASF and Friesland Campina are steering the direction in HMO-related research on microbiome modulation viscera-chronic inflammation, marking the introduction of HMO-augmented enteral nutrition and pharmacological grade supplements. The regulatory leverage imitated by scientific validation has made Germany stand out in the field of HMO-therapies, which, apart from infant nutrition, are now being added in clinical diet management.
The human milk oligosaccharides (HMO) market is led by advanced biotech firms and global nutrition companies focused on infant formula innovation and gut health. Chr. Hansen (Jennewein Biotechnologie), BASF, and Friesland Campina Ingredients are at the forefront, leveraging proprietary fermentation technology and large-scale production to meet growing global demand.
Key players such as Abbott Nutrition, dsm-firmenich (Glycom), and Nestlé Health Science integrate HMOs into branded infant nutrition products, emphasizing immune and cognitive development benefits. Specialized biotech innovators like Inbiose, Kyowa Hakko Bio, ZuChem, and GlycoSyn focus on developing rare HMOs and scalable manufacturing methods. The market is rapidly evolving with regulatory approvals, increased R&D funding, and expanding applications in dietary supplements and adult gut health solutions.
Recent Industry Developments
Fucosylated, Silylated, Non-fucosylated Neutral
Infant Formula, Dietary Supplements
Industry analysis has been carried out in key countries of North America, Latin America, Europe, Middle East and Africa, East Asia, South Asia, and Oceania
Within the Forecast Period, the Global HMO market is expected to grow at a CAGR of 6.6%.
By 2035, the sales value of the Human Milk Oligosaccharides industry is expected to reach USD 191.6 million.
Prominent players in the Human Milk Oligosaccharides manufacturing include Chr. Hansen (Jennewein Biotechnologie) - Denmark/Germany BASF - Germany Friesland Campina Ingredients - Netherlands Abbott Nutrition - USA dsm-firmenich (Glycom) - Denmark Nestlé Health Science - Switzerland Inbiose - Belgium Kyowa Hakko Bio - Japan ZuChem - USA GlycoSyn - New Zealand. These companies are noted for their innovation, extensive product portfolios, and strategic market positioning.
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Human Milk Oligosaccharides Market
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