Global Encapsulated Fragrances Market Will Reach USD 4,600 Million by 2026

Findings from Facts and Factors report "Encapsulated Fragrances Market By Type (Microencapsulated, Macro-encapsulated, and others), By End-User (Toiletries, Cleaners, Food & Beverages, Personal Care & Cosmetics and Others) and By-Products (Aroma Chemicals, Essential Oils & Natural Extracts, Flavor Blends and Fragrance Blends): Global Industry Perspective, Market Size, Statistical Research, Market Intelligence, Comprehensive Analysis, Historical Trends, and Forecasts, 2020-2026" states that the global encapsulated fragrance market in 2019 was approximately USD 3,100 million. The market is expected to grow at a CAGR of 4.5% and is anticipated to reach around USD 4,600 million by 2026.

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Encapsulation is a methodology of containing flavors and fragrances by using a coating material. Encapsulation isolates the coated material for the external environment. This precludes the loss of fragrances and flavor and restraints the deterioration throughout processing and storage. Moreover, this methodology offers functional properties to flavor and fragrance such as the controlled release of flavor and fragrance molecules as per the requirement of different environments including spray, water, and mouth, in product for example candy, food coloring, toothpaste, flavored tea, and others. The market is anticipated to bolster at a CAGR of 4.5% throughout the forecast period.

The fast-paced life, changing lifestyle and changing food habits are increasing the demand for packaged food & beverages. This is supporting the rising demand for encapsulated fragrances resulting in the market's growth globally. Moreover, increasing investment by major players and rapid development in technologies accompanied by increased R&D investment is encouraging the encapsulated fragrance market growth. However, the higher cost of encapsulation technologies may hinder the market's growth. The high cost of encapsulation technologies leading to an increased final cost of the product. Moreover, the lack of availability of food-grade materials is deterring the business size. Furthermore, stringent government regulations concerning the consumer's safety are anticipated to restrain the industry growth from 2019 to 2025. Nevertheless, the rising application of encapsulated fragrance in various end-use industries such as food & beverages, textile, and personal care products is likely to offer a lucrative opportunity for market growth. There is a substantial application of encapsulated fragrance in packaged food & beverages owing to the increasing demand for packaged food. Further, the encapsulated fragrance is used in textile and personal care products. Consumers tend to spend more on personal care products due to the increasing affordability and preference to maintain a healthy lifestyle. Growing consumer products and the personal care industry globally, especially in Europe and Asia Pacific region, is anticipated to propel the encapsulated fragrance market growth in the near future.

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The Encapsulated Fragrances market is segmented based on process, end-users, and product. On the basis of process segmentation, the market is classified into microencapsulated, macro-encapsulated and others. The microencapsulated segment is anticipated to encompass substantial share in the global encapsulated flavor industry owing to its unique functionalities i.e. targeted action, popularity in the pharmaceutical industry and huge R&D investments in innovations of this segment. In terms of end-user segmentation, the market is bifurcated into toiletries, cleaners, food & beverages, personal care & cosmetics, and others. The food & beverage segment held significant market share. This segment is estimated to witness substantial growth in the forecast period, owing to the fast past life and alteration of eating habits amongst the population. Based on product, the market is divided into aroma chemicals, essential oils & natural extracts, flavor blends and fragrance blends. Amongst all, aroma chemicals held the largest share globally.

Geographically, Asia Pacific held the largest share for the global encapsulated fragrances market with an estimated market share of 42% in 2019, and it is anticipated to continue bolstering throughout the forecast period with a CAGR of approximately 4.5% by 2026. This growth is owed by the massive industrialization, rising per capita income, and prompt development in the pharmaceutical industry. Moreover, increasing the inclination of the population towards acquiring cosmetics products is also fueling the growth of this market in APAC.

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Some of the essential players operating in the Encapsulated Fragrances market, but not restricted to include Givaudan SA, Robertet SA, International Flavors & Fragrances Inc., V. MANE FILS, Takasago International Corporation, Sensient Technologies, Symrise AG, Firmenich Incorporated, T. Hasegawa Co. Ltd., and others.

This report segments the encapsulated fragrance market as follows:

Global Encapsulated Fragrances Market: By ProcessSegmentation Analysis

Microencapsulated
Macro-encapsulated
Others (Hybrid Technology, Nanoencapsulation, etc.)

Global Encapsulated Fragrances Market: By End-User Segmentation Analysis

Toiletries
Cleaners
Food & Beverages
Personal Care & Cosmetics
Others

Global Encapsulated Fragrances Market: By Product Segmentation Analysis

Aroma Chemicals
Essential Oils & Natural Extracts
Flavor Blends
Fragrance Blends

Global Encapsulated Fragrances Market: By End-User Segmentation Analysis

Toiletries
Cleaners
Food & Beverages
Personal Care & Cosmetics
Others

Global Encapsulated Fragrance Market: Regional Segmentation Analysis

North America
The U.S.
Canada
Europe
France
The UK
Spain
Germany
Italy
Rest of Europe
Asia Pacific
China
Japan
India
South Korea
Southeast Asia
Rest of Asia Pacific
Latin America
Brazil
Mexico
Rest of Latin America
Middle East & Africa
GCC
South Africa
Rest of Middle East & Africa

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