Food preservative are the chemical or natural compounds that are used to increase the shelf life of the product. It is added to the product in small quantity as an additive and is identified by its INS or E numbers. Food preservatives are a growing segment in the food additives market as they are used to prevent spoilage and decomposition which takes place in food products due to microbial reactions. The Food preservatives market is expected to reach USD 3 billion by 2022 with an estimated CAGR of 3.5%.
Processed Food Market Driving the Preservative Industry
The preservatives market is largely driven by demand for convenience and processed foods by the burgeoning population and rising urbanization rates. The increased demand of natural preservative in North America and Europe has triggered the demand of natural preservative market. Preservative increases the shelf life of the product and thus reduces the supply chain complexity for manufacturers. In addition being economically feasible than the other physical process for food preservation has increased its demand in food industry.
However, the major constraint is the increased awareness on the ill effects of synthetic ingredients and growing consumer demand for fresh and natural foods, Demand for natural preservatives which are high in cost and demand for clean label by the consumers. Companies are seeing this as an opportunity to innovate and provide solutions in the in the form of natural and functional ingredients. The various functional properties of preservative has grown its demand in the wide application market.
Benzonates Leading the Preservative Market
Food preservatives are classified as natural and chemical preservatives, with chemical preservatives currently accounting for a large market share. These can also be classified on the basis of Type into Natural Antioxidants, Sorbates, Benzonates and Others. Benzonates have a market share of around 34%. Preservatives are used in foods such as oil & fat, bakery& Confectionary, Fruits and Vegetables, dairy & frozen products, meat, poultry & seafood, savory snacks, and beverages. On the basis of Application beverages lead the sector followed by bakery and confectionary.
Asia Pacific- Fastest Growing Region
Region wise, North America, with about 33% of the total share, has the highest market. With a share of 75%, the United States has the highest market share in the North American food preservatives market. However, the developing markets of Asia–Pacific, most importantly India and China, account for the high growth rate because of increasing population and changing food habits. The estimated CAGR for the North American region is 3.5%. Asia pacific market which is the fastest growing segment with a CAGR of 4.2% due to growing preference for packaged and processed foods. With a share of 21%, Europe follows Asia-Pacific in the global preservatives market. With a highly matured bakery and beverage industry, the demand for preservatives stood constant.
The global preservatives market is dominated by Cargill, Danisco, Celanese Corp, Brenntag Inc., Kerry Group, and Royal DSM and Brenntag accounting for more than 70% share of the total market. The strategies used by companies is the increase in Research and Development expenditure to innovate products under the natural preservatives segment to meet the growing consumer preference. Companies like Corbionspurac’s natural food preservatives portfolio, which includes Verdad powder N6, N8, N9; Royal DSM’s anti-microbial products Delvo Cid, DelvoZyme, Delvo Coat are developed in tandem with growing consumer demand for Natural preservatives. Cargill focusses on strategically sourcing goods and services from suppliers by leveraging indirect and direct, non-raw material spending in the form of cross-business collaborations and purchasing execution. The focus is towards sustainable food supply.
In this report we offer,
Market Definition for the specified topicalong with,identification of key drivers and restraints for the market. Market analysis for the Global Food Preservatives Market, with region specific assessments and competition analysis on a global and regional scale. Identification of factors instrumental in changing the market scenarios, rising prospective opportunities and identification of key companies which can influence the market on a global and regional scale. Extensively researched competitive landscape section with profiles of major companies along with their share of markets. Identification and analysis of the Macro and Micro factors that affect the Global Food Preservatives Market on both global and regional scale. A comprehensive list of key market players along with the analysis of their current strategic interests and key financial information. Why should you buy this report?
For getting a comprehensive overview of the Global Food Preservatives Market. To gain wide ranging information about the major players in this industry and the strategies adopted by them. To gain an insight about the major countries/regions in which this industry is blooming and also identify the regions which are untapped.