Carrageenan remains a cornerstone ingredient for meat, dairy, plant-based, and beverage applications — and demand continues to rise globally. But behind the scenes, the supply chain has faced real challenges in recent months, particularly due to the series of typhoons that struck major seaweed-producing regions in the Philippines.
As one of the world’s key sources of Kappaphycus and Eucheuma seaweeds, the Philippines plays a critical role in global carrageenan availability. When storms hit, the ripple effect is felt all the way through the food production ecosystem.
This market update summarizes the current supply landscape and what food processors should anticipate in the coming months — and most importantly, how GPI is taking proactive steps to secure stable, cost-effective carrageenan supply for our customers.
Recent typhoons caused significant destruction to seaweed farms across Palawan, Visayas, BARMM (Sulu and Tawi-Tawi), and Western Mindanao — all critical carrageenan raw material hubs. Storm surges have torn lines, washed away seedlings, and damaged the infrastructure farmers rely on for continuous cultivation.
Industry and government reports confirm that extreme weather has repeatedly displaced seaweed farmers, disrupted coastal agriculture, and reduced available raw seaweed volume in affected regions.
Although seaweed has relatively fast 45–60 day growth cycles, recovery after a storm can stretch far longer. Farmers need to rebuild farming structures, replace seed stock, and restore production lines — slowing output just as processors prepare for upcoming seasonal demand.
Heavy rainfall and temperature swings associated with typhoons have increased the prevalence of ice-ice disease and reduced the gel strength and yield of some harvested biomass. Even when raw material is available, quality inconsistency adds pressure further down the supply chain.
Port delays, inter-island shipping interruptions, and damaged coastal roads are adding friction to the movement of dried seaweed from farms to processors. As a result, some exporters are reporting tighter inventories and increased lead-time volatility.
Raw seaweed availability is tighter than usual heading into 2026.
Material quality variances may increase the need for selective sourcing or blending.
Market prices are beginning to see upward pressure, especially for high-purity and high-viscosity grades.
Demand continues to grow, particularly in plant-based, deli meats, and dairy applications, amplifying the supply-demand imbalance.
This does not indicate a crisis — but it does signal that buyers should monitor the market closely and prepare for potential pricing movement.
Despite the challenges in the Philippines, GPI has taken significant steps to protect our customers from price instability and supply shortages.
GPI has proactively secured seaweed supply through multi-origin sourcing contracts, ensuring uninterrupted availability even when individual regions experience setbacks.
Because of our long-standing relationships with growers, processors, and exporters, we have access to consistent volumes and top-grade material — even during volatile seasons.
GPI has built buffer stock and diversified storage points to ensure rapid fulfillment and minimize disruptions in customer production schedules.
Our R&D and QC teams continuously evaluate incoming lots and adjust processing and standardization to guarantee consistent gel strength, viscosity, and performance in your formulations.
Although the global market is showing upward pressure, GPI has structured supply agreements that allow us to keep pricing stable and competitive.
We are committed to shielding our customers from sudden cost increases for as long as raw material conditions allow.
Based on current field insights and market data, food processors should keep in mind:
Some price movement is possible across the industry due to tightening seaweed supply.
Lead times may vary, especially for specialty or custom carrageenan grades.
Planning ahead and forecasting demand early will help ensure the most stable pricing and availability.
However — and this is key — GPI has taken exceptional measures to protect your supply chain.
Customers working with GPI should expect reliable carrageenan availability and stable pricing, supported by our global sourcing network and technical expertise.
The recent typhoons in the Philippines remind us that the carrageenan supply chain is deeply connected to climate conditions and coastal farming communities. While these storms have created supply pressure, the industry remains resilient — and so does GPI’s commitment to our partners.
Our priority is ensuring that your products continue to deliver the texture, stability, and quality your consumers expect, without interruption or unexpected cost fluctuations.