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Forecast On Food Encapsulation Market Global Industry Analysis and Trends till 2020
Globally, the food encapsulation market is estimated to be US$ 3,252.2 million in 2014 and expected to reach at US$ 5,464.6 million by 2020, by registering a CAGR of 9.4% during 2015-2020.Need to efficiently blend ingredients while ensuring taste, flavour and shelf-life stability of finished products is of vital importance. Also, companies need to focus on combining encapsulation technology and wall material for enhanced product life in applications such as dairy products, beverages, and animal nutrition products.Core Material Analysis
The core material segmentation includes analysis of flavouring agents, acids, bases, and buffers, lipids, enzymes & microorganisms, amino acids & peptides, vitamins & minerals, antioxidants and others (artificial sweeteners and leavening agents). Among all the segments, flavouring agents is expected to witness a CAGR of 10.5%, accounting for US$ 1,677.4 Mn by 2020 followed by vitamins and minerals, registering a CAGR of 9.7% during the forecast period. In terms of market share contribution, vitamins and minerals is expected to account for 40.7% of the total food encapsulation market by 2020.
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Wall Material Analysis
The wall material segmentation includes analysis of carbohydrates, proteins, lipids and waxes. Of which, proteins is expected to witness a CAGR of 10.0%, accounting for US$ 1,209.3 Mn by 2020 followed by carbohydrates, registering a CAGR of 9.2% during the forecast period. Protein-based encapsulation offers high benefits regarding sensory impact of microcapsules in the finished product. Thus, it is expected to witness increased demand among manufacturers in the near future.Also, encapsulation of probiotics in whey protein gel particles results in increased storage and processing, coupled with extended applications for vegetable, biscuits, and juice products. This is expected to fuel the demand for protein-based matrix during the forecast period.
Technology Type Analysis
Technology type food encapsulation market broadly comprises of physical and chemical technologies. The global food encapsulation market is segmented on the basis of technology into physical and chemical. Physical technologyis further segmented as emulsification, spray drying, spray chilling/cooling, fluid-bed coating, centrifugal extrusion and other. Chemical technology segmentation includes coacervation, freeze drying, supercritical fluid technique, nanoprecipitation, liposomes and others. The physical segment is projected to account for around 79.0% share of the total food encapsulation market by 2020. The chemical technology segment on the other hand, is expected to record a CAGR of around 10.1% during the forecast period. The growth is attributed to new food processing technologies, which have been developed to cater to the rising demand for functional food and beverage products.
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Application Analysis
On the basis of application, the food encapsulation market includesdietary supplements, functional food, bakery products, confectionery, beverages, frozen products, animal nutrition, dairy products and others. Among all these segments dietary supplements, functional food, bakery products and beverages is expected to be the top four segments, which are collectivelyexpected to account foraround 70.9% of the globalfood encapsulationmarket by 2020.In terms of sales, functional food and bakeryproducts are expected to record fastest CAGR of 10.8% and 10.2% respectively during the forecast period.
Regional Analysis
Geographically, the global food encapsulation market analysis focusses on North America, Latin America, Eastern Europe, Western Europe, Japan, Asia Pacific excluding Japan, and Middle East and Africa (MEA). In terms of market share contribution, North America is expected to represent the most lucrative market, followed by Asia Pacific and Western Europe. North America is estimated to be US$ 816.6 million in 2014 and expected to reach at US$ 1,401.3 million by 2020, by registering a CAGR of 9.7% during 2015-2020.However, Asia Pacific is expected to register a CAGR of 10.2% accounting for US$ 1,395.3 million by 2020.Growth of the market in APEJ is attributed to rising investments by companies in the encapsulation industry for packaged food. International companies are gaining penetration in the market in Western Europe in terms of technology development. This is expected to fuel market growth during the forecast period.
Key Trends
Manufacturers are focused on developing innovative products, while complying with regulations for food grade materials usage. In order to offer cost advantage to companies, local players have emerged, offering encapsulation technology at comparatively lower prices, primarily in countries such as China and India. In addition, growing demand for functional food products in these countries is expected to widen options for various companies as new entrants in the food encapsulation market in the near future. Proliferating product portfolio in accordance with customers of varied applications such as developing encapsulated system to offer two different flavours in a chewing gum at equal intervals. This is intended to offer distinct taste and flavour to the consumer ensuring improved consumer perception. Also, need to efficiently blend ingredients while ensuring taste, flavour and shelf-life stability of finished products is of vital importance. Thus, companies need to focus on combining encapsulation technology and wall material for enhanced product life in applications such as dairy products, beverages, and animal nutrition products
Competitive Players Outlook
The prominent players profiled in this report include Balchem Corp., Sensient Technologies Corp., Givaudan SA ADR, Symrise AG, TasteTech ltd., Koninklijke DSM N.V. (ADR), Appvion Inc., Aveka Group, Firmenich International SA, International Flavours & Fragrances Inc. and BASF SE S/ADR.
About TMR
Transparency Market Research (TMR) is a global market intelligence company providing business information reports and services. The company’s exclusive blend of quantitative forecasting and trend analysis provides forward-looking insight for thousands of decision makers. TMR’s experienced team of analysts, researchers, and consultants use proprietary data sources and various tools and techniques to gather and analyze information.
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