Fat Replacers Market Size, Industry Analysis Report, Regional Outlook 2024
As per the U.S. Department of Agriculture’s (USDA) Economics Research Service, the global retail food sales values over USD 4 trillion in 2016. The food & beverage industry is projected to witness substantial growth due to economic development, rising population, and increasing disposable income. These macroeconomic indicators are anticipated to boost product demand for fat replacers market over the forecast timeframe.
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The product ability to mimic the physical and chemical properties of lipids, thus, offering less calories per gram, will significantly revolutionized the food & beverage processing industry. Rising number of new product launches positively influencing the low cholesterol and skimmed food products industry is expected to boost growing fat replacers market expansion.
Increasing occurrences of health issues including high levels of blood cholesterol, cancer, heart diseases has propelled numerous consumers to shift to a low-calorie diet, thereby complementing business penetration. Favorable regulations aimed at facilitating foreign direct investments in several emerging economies is predicted to stimulate food & beverage industry, consequently, growing product demand.
Fat replacers do not associate well with the flavor of their full cholesterol counterparts, that may be a key market hindrance and suppress the market over the forecast period. Most of the products are generally recognized as safe (GRAS), however, health conscious consumers are seeking towards consumption of advanced Ketogenesis present in the product enhancing the overall quality.
Based on product type, protein-based segment is expected to be the fastest growing fat replacers market owing to increasing demand for food products with high protein content along with low cholesterol content. Furthermore, in weight management processes, protein intake practices are highly endorsed and that has led to further demand for protein-based products.
Protein-based ingredients will experience tremendous potential in bakery & confectionery, beverages dairy & frozen desserts products. As per FAO, consumption of milk & milk related foodstuffs in the South East Asian region is anticipated to upsurge by 125% by 2030. Increasing demand for dairy products along with healthy dietary habits will fuel fat replacers market developments.
The product plays a significant role in the bakery & confectionery industry expansion. Consumers in various developed regions including Europe and North America have become gradually aware about taking up a healthy regime. This growing trend has led to the decrease of overall fat content in bakery & confectionery goods, propelling industry demand. Additionally, protein-based products are extensively used in bakery & confectionery products. Thereby, increasing utilization of protein-based products is anticipated to support the fat replacers market growth.
Based on form, liquid segment is expected to hold the largest fat replacers market share over the forecast period. Rising demand for convenience foods will propel industry demand as they used to replace fatty oils, thus contributing significantly to the fat replacers market development. They also deliver a glossy texture and help avoiding stickiness on confectionery products.
Asia Pacific is anticipated to be the fastest-growing market owing to its growing economy. Numerous factors including changing lifestyle, rapid urbanization and surge in demand for convenience products will drive fat replacers market growth. Concerns over the hostile effects of calories and flabs along with rise in consumer consciousness about the maintenance of a healthy diet are the crucial factors that have driven the product demand in the region. The high consumption of convenience food products in countries including China, India, Malaysia and Indonesia is anticipated to propel fat replacers market size.
Global fat replacers market is moderately characterized due to low competition. Several companies are engaged in new product developments and collaborations to improve their merchandise offerings with a special focus on starch and protein based fat replacers. These companies are projected to experience huge sales due to growing health awareness over the forecast period.
Some of the key industry players include DuPont, ADM, Ingredion, Ashland Global Holdings, FMC Corporation, Cargill, Koninklijke DSM, Kerry Group, Agritech Worldwide, DKS Co, Archer Daniels Midland Company, Ulrick & Short and CP Kelco.
Other prominent players are Solvaira Specialties, Beneo GmbH, Tate & Lyle, Nestle, Frito-Lay, P&G Food Ingredients, Del Monte Foods, ConAgra Foods, Levapan SA, RS Flavour Ingredients, J. Rettenmaier& Sohne and Kraft Foods.
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