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Food Additives Market: Key Players are BASF, Cargill, DuPont, Archer Daniels Midland Company, Adani Wilmer, Ajinomoto Co., Inc.

07-24-2018 11:56 AM CET | Business, Economy, Finances, Banking & Insurance

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Food Additives Market

Food Additives Market

The last few decades have witnessed food additives market registering a strong growth trajectory across the globe. One of the principal reasons for the same is the encouragement by regulatory bodies that have been highly supportive of giants in F&B sectors using food additives for enhancing the safety, nutritional value, and taste of foods. Even the modern-day consumer now gives preference for flavored, nutritious foods, in response to which players in food additives industry are looking forward to introducing innovative ingredients. Aided by the support of regulatory bodies like the Food and Drug Administration (FDA), food additive manufacturers have been carrying out extensive research and development activities lately, that have served to stimulate food additives business trends.

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Currently, numerous end-users are prominently using food additives to preserve, blend, and reduce nutritional deficiency in food products. Some of the drivers influencing food additives industry demand among the masses have been enlisted below:

1. Reduced malnutrition: Nowadays, many food manufacturers are adding mineral and vitamins in food derivatives for improving the nutritional quality of the product. This trend has considerably reduced the rate of malnutrition across the globe.

2. Reduced mortality rate: In many countries, the mortality rate has increased due to the cases of foodborne illnesses caused due to food contaminations. In this regard, the addition of preservatives in food has been found to be rather profitable – it has in fact minimized the rate of food contamination. Some of these preservatives perform the function of antioxidants, due to which they are primarily used to prevent the decay of food products. The surging use of food preservatives for improving freshness and safety is thus likely to propel food additives market share.

3. High demand for flavored meals: In addition to the safety and nutrition value, food additives are also being majorly used as thickeners, emulsifiers, and stabilizers in numerous food combinations. These additives improve taste and texture of the food, by controlling alkalinity and acidity. Many of the baked goods producers are found to be extensively using flavoring and sweetening agents during baking processes. As per estimates, food additives industry is poised to collect revenue of more than USD 35 billion from bakery and confectionery application by the end of 2024.

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In recent times, color additives are widely used in food products as pigments and dyeing agents. Though they are gaining importance across the food and beverage sector, regulatory bodies are monitoring the usage of color additives for ensuring food safety. In the U.S., the FDA has been instrumental in regulating safety standards for the use of food colorants and has in fact helped food additives industry players by certifying a long range of color additives. The certified categories of food colorants mainly include synthetically produced food additives, which are being extensively used nowadays. As per estimates, food colorants industry is poised to generate revenue of USD 215 million by the end of 2024.

Taking into account the escalating use of additives in most of the food products, the European Food Safety Authority (EFSA) has also implemented a food safety evaluation program to find out the potential toxicity of food additives. In this regard, a scientific panel at EFSA is also looking forward to strengthening the current level of safety concern about the usage of food additives. Scientists have seemingly patented a new food color, which can be safely consume and used as a food additive. The continuous risk assessment approach of the experts at EFSA will thus have a positive influence on Europe food additives market size over the years ahead.

The strict stand undertaken by regulatory bodies toward the development of food ingredients, colors, and additives will play a pivotal role in encouraging food additives industry firms to get involved in advanced product development activities. The usage of additives as sweeteners, emulsifiers, and thickeners has only served to escalate recently, which is expected to boost the product demand over the years ahead. For the record, by 2024, food additives market will generate revenue of more than USD 115 billion.

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