Omega-3 fatty acids are one of the most popular dietary supplement ingredients globally, widely used in areas such as cardiovascular health, brain function, vision support, and prenatal nutrition. For a long time, fish oil has been the dominant source in the Omega-3 market, accounting for approximately 65% of the market share and serving as the primary way for consumers to obtain EPA and DHA.
However, this landscape is undergoing profound changes. With increasing consumer health awareness and sustainability concerns, more and more studies are pointing to the potential risks of residual marine pollutants such as heavy metals and polychlorinated biphenyls (PCBs) in traditional fish oil. Furthermore, the pressure of overfishing on marine ecosystems has also attracted widespread attention.
This shift in consumer attitudes is reshaping the market. Surveys show that 64% of global dietary supplement consumers indicate they would be willing to switch from fish oil to plant-based Omega-3 supplements if plant-based alternatives were available. Among these alternatives, algal oil Omega-3 has emerged as the most promising option, being pure, safe, and suitable for vegetarian and plant-based products.
What Is Plant-Based Omega-3?
Plant-based omega-3 refers to omega-3 fatty acids derived from non-animal sources. While many plant oils contain ALA (alpha-linolenic acid), only algal oil naturally provides DHA and EPA in forms directly usable by the human body.
This makes algal oil the most effective and commercially viable option for vegan omega-3 supplements.
What Is Algal Oil Omega-3?
Algal oil omega-3 is not an entirely new concept; its scientific basis is quite straightforward. Fish cannot synthesize EPA and DHA on their own. They accumulate omega-3 in their bodies by consuming microalgae that contain these fatty acids.
Algal oil production essentially “shortens the food chain,” extracting these valuable nutrients directly from the source—microalgae. Major commercial algal strains include Schizochytrium sp. and Crypthecodinium cohnii. These microalgae are cultivated in industrial fermentation tanks with a growth cycle of only about 25 days, offering significant efficiency advantages compared to the over 24-month growth cycle of fish.
A study published in the Journal of Functional Foods indicated that daily supplementation with 600 mg of DHA from algal oil significantly increased plasma DHA levels in healthy adults, with effects comparable to fish oil and even showing excellence in bioavailability.
Algal Oil vs Fish Oil: A Detailed Comparison
| Comparison Dimension | Algal Oil | Fish Oil |
| Source & Sustainability | Cultivated in fermentation tanks; renewable, not reliant on marine fishing | Relies on deep-sea fish; faces risks of overfishing and ecological damage |
| Pollutant Risk | Extremely Low (cultivated in controlled environments) | May contain mercury, PCBs, and other marine pollutants |
| Sensory Experience | No fishy odor or reflux aftertaste | Often has a fishy smell and causes “fish burps” |
| Target Consumers | Vegans, those with fish allergies, all consumers | Non-vegan consumers |
| DHA Concentration | Can exceed 500 mg/gram (some specialized products) | Typically around 270 mg/gram |
| EPA Content | Mostly DHA-focused; some strains can provide EPA | Typically contains a mix of EPA and DHA |
From a market performance perspective, algal oil omega-3 has become the fastest-growing segment of the entire omega-3 market. It is projected to grow at a CAGR of 13.36% between 2025 and 2035, far exceeding traditional fish oil.
Why Brands Are Switching to Algal Oil Omega-3
1. Growing Demand for Vegan Omega-3 Supplements
The global rise in vegan, vegetarian, and flexitarian consumers has created strong demand for vegan omega-3 supplements. Algae oil is currently the only scalable, plant-based source of DHA, making it a key ingredient for brands looking to enter the plant-based market.
2. Cleaner and Safer Omega-3 Source
Unlike fish oil, algal oil omega-3 is produced in controlled environments, which means:
- No ocean pollution exposure
- No heavy metals or microplastics
- Better batch-to-batch consistency
It is particularly well-suited for:
- Infant nutrition
- Prenatal supplements
- Premium health products
3. Better Consumer Experience
Unlike fish oil, which is often criticized for its fishy aftertaste, algae oil Omega-3 is naturally odor-free, making it ideal for:
- Softgels.
- HPMC (Vegetarian) capsules.
- Liquid Omega-3 formulas.
- Vegan Omega-3 gummies.
Common Application Fields of Algal Oil Omega-3
Algal oil omega-3 has found precise positioning in several market segments due to its unique advantages:
Infant and maternal nutrition is a core application area for algal oil Omega-3, accounting for approximately 12% of the market share. The European Food Safety Authority recommends that pregnant and breastfeeding women should supplement their diet with an additional 100-200 mg of DHA daily. Due to its high purity and lack of contaminants, algal oil DHA has become the preferred source for many infant formula products.
In the field of cognitive and brain health support, algal oil DHA shows great potential. Clinical studies have shown that DHA is a key structural component of the brain and retina, and is essential for maintaining cognitive function.
The cardiovascular health market is also receptive to algal oil products. A double-blind controlled trial showed that algal oil and fish oil were equally effective in lowering triglycerides, with a daily supplement of 2.4 grams of algal oil significantly reducing triglyceride levels.
It is noteworthy that different applications have varying demands for omega-3. Looking at the global omega-3 market revenue share, cardiovascular health applications account for about 30%, general health supplements about 24%, functional foods 16%, and infant/child/prenatal nutrition 12%.
Manufacturing Challenges of Algal Oil Omega-3
Although algal oil offers distinct advantages, its manufacturing process still requires professional expertise.
1. Oxidative Stability Management
Omega-3 fatty acids are prone to oxidation, and algal oil is no exception.
The manufacturing process typically requires:
- A robust antioxidant system
- Microencapsulation or protective embedding techniques
- Strict control of the production environment
2. Dosage Form Matching and Formulation Design
Different dosage forms have different requirements for algal oil:
- Softgels: Flowability and sealing properties
- Vegetable capsules (HPMC): Compatibility
- Gummies: Flavor masking and stability
Professional formulation design can significantly improve product stability and consumer experience.
3. Cost and Concentration Balance
Algal oil is typically more expensive than regular fish oil, therefore it requires:
- Precise selection of DHA/EPA concentration
- Formulation optimization based on the target market
Regulatory and Labeling Considerations
Regarding regulations, different markets have varying requirements for health claims and labeling of omega-3 products.
The European Market has strict management of health claims. The European Food Safety Authority has approved several omega-3 related health claims, such as “DHA contributes to the maintenance of normal brain function” and “EPA and DHA contribute to the maintenance of normal blood pressure.” Notably, 78.4% of omega-3 supplements contain health claims related to the active substances.
The US Market follows the FDA’s regulatory framework. Algal oil as a New Dietary Ingredient requires an NDI notification. Once approved, it can be labeled as a source of omega-3 fatty acids.
For product labeling, brands need to pay attention to key points including:
- “Plant-Based” or “Vegan” claims must ensure the entire production process is free of animal-derived ingredients.
- Non-GMO certification requires control from algal strain selection through processing.
- Sustainability claims should be supported by verifiable supply chain transparency and environmental practices.
Future Direction
Looking ahead, algal oil omega-3 will not completely replace fish oil but will become the fastest-growing and most innovative segment of the market. Market forecasts predict the algal oil omega-3 market value will reach $2.0 billion by 2035.
This growth will be driven by three major trends: the continued rise of sustainable consumerism; the development of high-concentration formulations driven by personalized nutrition demands; and the increasing preference for clean-label ingredients in functional foods and beverages.
Hybrid Omega-3 Formulations may be an important future direction—combining algal oil DHA with specific marine-sourced EPA to meet purity requirements while ensuring a comprehensive fatty acid profile.
Conclusion
As consumer demand for health, environmental sustainability, and product transparency continues to rise, plant-based Omega-3 supplements have evolved from a niche alternative into a mainstream trend.
For brands, selecting the right Omega-3 source and partnering with an experienced supplement manufacturer will directly determine the long-term competitiveness of their products in an increasingly discerning market.
