Global Food Flavour Market - Segmented by Type, Application, and Geography (2017 - 2022)
The global food flavor market was valued at USD XX billion in 2016 and is projected to reach USD XX billion by 2022, registering a CAGR of 5.8% over the forecast period of 2017 - 2022. Flavour and flavour ingredients, when added in minimal quantities, enhance and alter the taste of the food product. Flavor represents a significant share in the highly innovative, specialized, and competitive food additive market.
Sensient Flavors’ has launched a product line including seasonal combinations for spring, summer, autumn and winter. Fruit flavors are perceived by consumers as being healthier options than other flavors. Sensient’s line-up allows manufacturers to reinvigorate their brands and includes concepts designed to appeal to adults as well as children.
Cargill has introduced erythritol as a flavor and it opened up new avenues for the ingredient which till now had been pigeonholed as a bulk sweetener.
INCREASED SAVORY MARKET BOOSTS DEMAND FOR FLAVOR
The increased demand for natural ingredients in a food product is the primary factor driving the market. Globally, consumers are becoming more concerned about the long-term health effects of artificial ingredients and additives in food products. Other major drivers in the markets are - increasing demand for processed foods & beverages with growing disposable incomes, rising demand in various food applications, and growing popularity of exotic flavors. However, the high costs involved in the production of natural flavours is the major restraining factor for the market. Additionally, natural flavours are less stable, thereby decreasing the shelf life of products. The nature identical flavorings segment is a great opportunity for flavour manufacturers, as it is less expensive than natural flavors. Moreover, the emerging economies are anticipated to have a great potential for the market. With the rise in the number of food chain restaurants, the sale of flavors has increased in the food service sector. The industrial food processing sector accounts for 57% of the total flavor sales, while 30% of the contribution is from the food service sector. Retail sale accounts for only 13% of the total flavor market.
NATURAL FLAVOR DOMINATES
The market is categorized based on its type, application, and geography. Based on food flavour types, the market is segmented into natural, synthetic, and nature identical flavourings. The synthetic flavor segment is matured and is witnessing a downward trend in the past few years. The nature identical flavoring segment is growing at a fast pace, due to its lower costs and authenticity to claim the natural nature of the product. The trend of health and wellness is driving the natural flavour market all over the globe. The food flavour market finds its applications in various sectors, such as beverages, confectionery & bakery, dairy, savory, and others. Beverages hold the major share in the market, due to increasing demand for flavoured functional drinks. EMERGING COUNTRIES DISPLAY A GREAT POTENTIAL
China, India, Vietnam, and Indonesia are the major potential markets for food flavours in Asia-Pacific. Companies are focusing on the expansion of their business in these regions and investments in R&D facilities. Moreover, Asian flavours have gained popularity in Europe and Americas. Companies like Nestle have introduced more than 300 flavors of the confectionery Kit Kat in Japan, focusing on the regional and exotic taste preference. The market for flavors is extremely region-specific and varies from country to country. In fact, sometimes, different regions of a country prefer specific flavors and tastes. China demands more for meat flavours, while Japan opts for sushi and seafood flavours. The United States, Europe, and Asia-Pacific account for about 80% of the global market share.
A few major players in the global food flavour market are –
Givaudan IFF Firmenich Wild Flavours (ADM) Symrise Takasago Givaudan dominates the market with a share of XX% in the highly fragmented global market. Companies focus on Innovation, investment, and expansion as the most powerful strategies to sustain the market competition.
NOTABLE MARKET DEVELOPMENTS
ADM has acquired the flavour giant Wild Flavors Gmbh, to expand its businesses into the wild and natural flavour market Takasago has opened a new R&D facility for flavours & fragrance in India, with an investment of USD 10 million Our report on the global food flavor market covers the following -
MRO market trends and dynamics Latest news and developments Porter’s five forces analysis Investment scope Deep dive insights