Indonesia and Malaysia Key Countries in Southeast Asia Food Emulsifier Market

A fresh business and commerce study by Transparency Market Research (TMR) has detected that the food emulsifier market in Southeast Asia is heavily dependent on product innovation in order to meet diverse demands. Consequently, research and development of new products is the primary strategy adopted by the key companies operating in Southeast Asia food emulsifier market, such as Archer Daniels Midland Company, BASF SE, Cargill, Inc., E.I. du Pont de Nemours and Company, Ajinomoto Co., Associated British Foods Plc., Koninklijke DSM N.V., J.M. Huber Corporation, Chr. Hansen Holding A/S, and Givaudan SA. While Riken Vitamin and Palsgaard are focused on developing products with enhanced functional attributes, Danisco A/S already has a portfolio involving goods that possess enhanced taste, nutritional value, texture, and improved shelf life. On the other hand, Cargill, Inc. offers synthetic emulsifier for chocolate, bakery, and snacks.

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As per the projections of the TMR report, the demand in the Southeast Asia food emulsifier market will increment at a CAGR of 5.1% during the forecast period of 2015 to 2021. The report has evaluated that the opportunities in this market were worth US$173.3 mn in 2014, and estimates it to swell up to a valuation of US$248.3 mn by the end of 2021.

Application-wise, the food emulsifier market in Southeast Asia gains maximum demand from bakery and confectionery, significantly more than all other segments put together, including dairy products, meat products, convenience foods, and others. The report observes that demand for gluten-free baked products is escalating, besides gaining traction from growing consumer preference for nutritious and fibrous biscuits.

Country-wise, the report gauges the potential of food emulsifier market in Indonesia, Thailand, Malaysia, Vietnam, and Rest of Southeast Asia. In 2014, Indonesia and Malaysia were the two key country-wide markets for food emulsifier. While Malaysia accounted for 25.2% of the demand share, Indonesia was the primary market and is projected to serve 38.2% of the overall demand in Southeast Asia food emulsifier market by 2021.

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Based on product type, the market has been bifurcated into Stearoyl Lactylatess, Mono, Di-Glycerides & Derivatives, Sorbitan Esters, Lecithin, and others, with mono, di-glycerides & derivatives constituting for 43.4% for the demand share, followed by lecithin which accounted for 23.7%. Mono-, di-glycerides & derivatives are extensively consumed for manufacturing dairy and bakery items, including ice creams, cakes, bread, and margarine.

The sudden rise of urban population in these emerging economies in Asia Pacific is the primary reason behind the prosperity of Southeast food emulsifier market. The urban population live a restless life and consequently, the demand for packaged food as increased leaps and bounds in the recent past. Incrementing demand for convenience food is the major factor boosting the demand for food emulsifier in Southeast Asia. The food emulsifier market in Southeast Asia has been witnessing robust growth due to its increasing demand across confectionery and bakery among others. In addition to that, consumers are now preferring food that are low on fat and healthy. Moreover, food emulsifiers are being added to the finished product to increase the overall quality of bakery and functional foods. Growth in the bakery industry in Southeast Asia is set to propel the demand in the food emulsifier market.

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