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What are the Growth Drivers of Food and Beverages Additives Market? Kerry, E.I. du Pont de Nemours and Company, Symrise AG, Sensient Technologies Corporation, Cargill, DSM

Food and Beverages Additives Market

Food and Beverages Additives Market

Food and Beverages Additives Market is expected to witness a significant gain as rising urbanization and upgrading lifestyles result in growing demand for convenience and packaged eatable items. The packaged food industry recorded high retail sales of USD 2.47 trillion for the year 2016. Ensuring the nutrition safety and quality is a major concern in the processed and packaged eatery items. To meet this demand, food and beverages additives are used. They are used to enhance and improve the color, taste, texture, and to maintain nutritional content and the freshness of items. This will result in enhancing the product demand in the future.

Food and beverages additives market mainly include direct and indirect additives. Direct seasonings are added purposely or intentionally, whereas, indirect additives such as vinegar and salt, are added to give taste and increase shelf life. Demand for healthy eatables and drink is anticipated to support and grow the product market in the future.

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The need for food and beverages additives market is escalating an uptrend as there is an increase in disposable income of middle class and changing mind set towards convenience and processed eatable items. Growing supply chain complexities in food and beverage industry specifically is another major reason which is driving the market growth. These flavourings are also used in storing the product for a longer period of time and thus, reducing the spoilage and wastage cost.

Based on the product, the food and beverages additives market is split into flavors and flavor enhancers, sweeteners, enzymes, preservatives, fat replacers, emulsifiers, colorants, anti-caking agents, acidulants and other shelf life stabilizers and texturizer. Flavors and flavor enhancers are recorded to cover largest segment in the market due to different better taste flavor demand. The addition of sweeteners in eatery products is gaining importance owing to its property of acting as a substitute to sugar and rise on awareness of low calorie product is directing an substantial growth in the future. Demand for Fat replacers is expected to grow and be a major contributor as awareness of effects of increased obesity level and heart diseases is growing. Emulsifiers and enzymes segment is looked forward to showing a healthy growth in the future.

Based on application, the market is split into food and beverages products. Further the eatery product segment includes bakery and confectionery products, processed and frozen items, snacks, meat and poultry products, dairy products and others. Among these, processed and frozen items are anticipated to account for major market share in the future. Beverages segment includes energy/sport drinks, soft drinks, fruit juices, alcoholic beverages and bottled water. Increase awareness amongst people on healthy diet has elevated the demand and supply for packaged fruit juices and soft drinks which is further anticipated to contribute to market growth. Also, the urge for energy/sport drinks is increasing which is looked ahead to support substantial growth of the food and beverages additives market.

Based on region, the established markets of North America constitute for approximately 30% of processed food market and is expected to contribute highest in terms of market share. Europe, led by Germany, UK and France are expected to grow at a significant pace over the forecast timeframe. Increasing importance of functional ingredients for imparting properties in product offerings such as shelf life extension and flavor and emulsification will drive regional demand in the future.

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China is expected to be the most prominent market followed by India in Asia Pacific food and beverages additives market. Expected key drivers contributing to market growth will be growing number of retail stores, convenience food and new product launch in the region. Favorable rules and regulations aimed to promote foreign investments in local eatables & beverage industry will boost regional product market.

The key players in the food and beverages additives market are Kerry, E.I. du Pont de Nemours and Company, Symrise, Archer Daniels Midland, Sensient Technologies Corporation, Cargill, DSM. Hansen Holding, Tate & Lyle, Firmenich SA, Givaudan SA and BASF.

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Global Market Insights, Inc., headquartered in Delaware, U.S., is a global market research and consulting service provider; offering syndicated and custom research reports along with growth consulting services. Our business intelligence and industry research reports offer clients with penetrative insights and actionable market data specially designed and presented to aid strategic decision making. These exhaustive reports are designed via a proprietary research methodology and are available for key industries such as chemicals, advanced materials, technology, renewable energy and biotechnology.

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