Press release
What's driving the Functional Ingredients market trends? Key Company Profiled Archer Daniels Midland Company, BASF, Arla Foods, Cargill, DSM, Amway, The Kerry Group, LLC, Herbalife, Ingredion Incorporated, General Mills
Functional Ingredients Market
Functional Ingredients are bioactive compounds present in plants or food stuffs which undergo appropriate processing method to deliver physiological health benefits beyond fulfilling basic nutritional requirements. Most common and high growth ingredients are proteins, soy proteins, vitamins, probiotics, prebiotics, omega 3, omega 6 and fatty acids, hydrocolloids. Growing consumer health consciousness supported by adoption of multifunctional products that provide added functional benefit and claim substantiation to address their specific health needs Rising trends for food fortification with vitamins, mineral and herbal extracts will favour functional ingredients demand.
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Company Profiles
1. Archer Daniels Midland Company
2. BASF
3. Arla Foods
4. Cargill
5. DSM
6. Amway
7. The Kerry Group, LLC
8. Herbalife
9. Ingredion Incorporated
10. General Mills
Probiotics are used in variety of dairy products which include sour & fresh milk, cheese and yoghurt. These are beneficial bacterial strains which stimulate natural enzymes to enhance digested metabolism. Increasing consumer awareness towards avoiding hefty medical bills along with desire in geriatric population for better living standards should drive probiotics market size for functional food application.
In addition, probiotics also finds application in animal feed application as a natural growth promoter along with enhancing their immune response and digestive system. Growth in meat consumption along with emerging livestock disease will have positive influence on functional ingredients market demand.
Omega 3 is prominently consumed dietary supplement which plays a vital role in reducing cholesterol, potentially reducing risk for coronary heart disease. Global dietary supplement market size may exceed to USD 275 billion by 2024 with gains at over 9.5%. It promotes weight loss by increasing metabolism and fat burning potential. Supporting regulatory amendments by EU Commission pertaining to nutritional claims of omega 3 supported by availability in different consumer friendly forms will propel functional ingredients industry growth.
Growth in demand for plant – based protein owing to rising vegan population will boost rice protein functional ingredients demand. Growing consumer awareness regarding animal borne diseases along with rise in sustainable farming techniques for rice production will favour product demand. Rice protein concentrates have extensive application in baked products, bars, nutritional beverage, dessert and confectionary.
Global pharmaceutical market size is anticipated to reach up to USD 1.15 trillion at the end of 2024. Rising R&D expenditure along with growth in life expectancy will have positive influence on pharma industry, thus promoting functional ingredients demand. They are extensively used as coating materials owing to high solid content, water solubility and low viscosity. Maltodextrin helps in imparting strength to the tablets and are considered non-toxic and safe for oral dosage.
North America, driven by Canada and the U.S. functional ingredients market size may show significant gains owing to favourable regulatory policies by FDA approving probiotics GRAS status. Shift in consumer preference towards plant based and herbal ingredients mainly in functional food and cosmetic products supported by presence of major players developing novel products in this application will propel regional industry growth.
Europe led by France, Italy, UK and Germany functional ingredients market size may observe strong gains owing to abundant availability of raw material mainly for omega 3 production. Moreover, ban on antibiotic growth promoters in animal feed supported by shifting preference towards probiotics as potential alternative will drive regional industry growth.
Asia Pacific driven by India, Japan and China functional ingredients market size is projected to witness strong gains owing to consumers have shifted their interests towards preventive healthcare which requires daily functional food and dietary supplements consumption. In addition, government assistance to the agri based business leading to easy raw material availability will contribute towards regional industry growth.
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Fluctuating raw material prices owing to high dependency on climate and weather for production may hamper industry profitability, thereby affecting functional ingredients market price trend. Moreover, stringent regulatory standards on food safety led by EFSA and FDA may act another restraining factor.
Global functional ingredients market share is fragmented and competitive with key players present in the market includes ADM, BASF, Arla Foods, Cargill, DSM, Amway, Kerry Group PLC, Herbalife, Ingredion Incorporated and General Mills Inc. Companies are engaged in manufacturing novel multifunctional ingredients which will boost product demand.
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