U.S. Organic Food Flavors Market Size Expected to Reach $234.3 Million by 2026

According to a new report published by Allied Market Research, titled, "U.S. Organic Food Flavors Market by Type: Opportunity Analysis and Industry Forecast, 2021-2026," the U.S. organic food flavors market was valued at $112.0 million in 2020, and is projected reach $234.3 million by 2026, registering a CAGR of 13.3% from 2021 to 2026

Organic flavors are used in various products such as bakery, confectionery, meat, snacks, seafood, and poultry. Rise in disposable income and change in food habits are the factors that drive the growth of the U.S. organic food flavors industry. The beverages industry has a significant impact on the growth of the organic food flavors market in the U.S.

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Increase in demand for ready-to-eat meals is a key driver for the organic food flavors industry across the U.S. Moreover, innovative technologies, introduction of new flavors, and heavy inflow of investment in R&D activities are other factors that supplement the growth of the organic food flavors market. The U.S. organic food flavors market trends of using organic flavors and ingredients are on its peak, owing to rise in health awareness. Furthermore, high demand for flavors across the U.S. to produce commercialized clean label or green food products that are free of additives and other harmful chemicals propel the organic food flavors market growth.

Technological strides make it possible for manufacturers to develop innovative organic flavors to cater to the change in customer needs and taste requirements. The applications of advanced technologies provide innovative and novel tastes in food. Rise in consumer awareness regarding adverse effects of synthetic flavors on human health are expected to boost the market growth. However, shortage in supply of organic raw materials due to lack of adequate organic farms hamper the growth of the organic food flavors market in the U.S.

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The presence of Hispanic and Asian population is a major reason behind the surge in demand for the spices based organic food flavors in the U.S. According to the U.S. Census Bureau, Asians and Latinos are the fastest-growing minorities. The overall increase in population of Asian origins is expected to foster the growth of the spices segment in the U.S. during the U.S. organic food flavors market forecast period.

The COVID-19 pandemic resulted in a spike in the demand for the organic food owing to the increased health consciousness among the population. Moreover, according to the Organic Trade Association (OTA), the U.S. market recorded all-time high sales of organic food in 2020. This trend is expected to continue further. People started to spend more on healthy food products due to the outbreak of COVID-19.

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Key Findings Of The Study

The U.S. organic food flavors market size was valued at $71.6 million in 2016, and is estimated to reach $234.3 million by 2026, growing at a CAGR of 13.3% during the forecast period (2021-2026).
By source, the fruit & vegetables segment is estimated to witness the fastest growth, registering a CAGR of 14.5% during the forecast period.
By application, the nutrition & supplements segment is estimated to witness the fastest growth, registering a CAGR of 14.3% during the forecast period.

The U.S. organic food flavors market analysis includes key market players profiled in th report such as Firmenich SA, Symrise AG, The Archer-Daniels-Midland Company, Nature's Flavors Inc., Sovereign Flavors, Monster Beverage Corporation, Allen Flavors, Inc., Aromatech SAS, Blue Pacific Flavors, Inc., and Gold Coast Ingredients, Inc. The players are taking consistent efforts to promote their products and establish U.S. organic food flavors market share by adopting product launch and acquisition as U.S. Organic Food Flavors market strategies.

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Allied Market Research (AMR) is a full-service market research and business-consulting wing of Allied Analytics LLP based in Portland, Oregon. Allied Market Research provides global enterprises as well as medium and small businesses with unmatched quality of "Market Research Reports" and "Business Intelligence Solutions." AMR has a targeted view to provide business insights and consulting to assist its clients to make strategic business decisions and achieve sustainable growth in their respective market domain.
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