Global Specialty Food Ingredients Market by Functional (Preservatives, Antioxidants, Minerals, Vitamins), by Sensory (Enzymes, Emulsifiers, Flavors & Colorants) and Region (North America, Latin America, Europe, Asia Pacific and Middle East & Africa), Forecast To 2028

Summary of the Report

In 2015, the global specialty food ingredients market was worth USD 70.34 million. The industry is expected to grow due to rising demand for convenience and higher quality products.

The most important ingredients that ensure the health and wellbeing of processed foods are specialty ingredients. The special ingredients can be anything from macro ingredients like fibers, carbs, fats & certain proteins to micro-ingredients such as vitamins & minerals. They all have different functional activities that enhance the diet's quality and taste.

These ingredients are used to preserve texture, color, emulsify and add an extra health benefit to the food. These products are safe, nutritious, and affordable, making them a pleasant choice for a healthy diet. These benefits associated with specialty food ingredients will be major drivers of the industry.

These constituents are also considered one of the best options for sustainable food processing. Because of their highly effective effects during storage and processing, these ingredients can help increase the efficiency of resources and reduce downstream losses.

Ingredients can be used to make almost all of the valuable components of raw materials, increasing efficiency and reducing waste. These products reduce the amount of raw materials required for processing, which leads to a reduction in greenhouse gas emissions.

Special ingredients like preservatives and packaging gases can also reduce food waste as they extend the shelf-life of finished/processed foods. These benefits are expected to increase demand in the future.

Functional ingredients are becoming more important due to the development of new technologies, such as decaffeination of coffee beans which reduces gastro-oesophageal acid in patients and healthy people suffering from reflux disease. Many organic technologies have been developed for the processing of ingredients, nutritional supplement, flavor components, processing tools, and reagents. This is due to the increasing demand for organic food products.

Global industry has seen the entry of many participants, mainly multinationals. Many companies have participated in aggressive mergers to increase their product ranges to meet changing consumer preferences and specific needs of food manufacturers. Multinationals are increasingly buying medium-sized companies that specialize in technological advancement, but don't have the funds to expand. These initiatives have been driving the market's growth in recent years.

Product Insights

In 2016, the specialty food ingredient segment was the largest. It is projected to grow at a 5.3% CAGR from 2016 to 2025, to exceed USD 8 billion. For food products that enhance the taste, texture, smell, flavor, or taste of their ingredients, sensory ingredients are essential. These ingredients are being used in confectioneries, packaged foodstuffs, and convenience foodstuffs. This is expected to drive product demand.

The key elements of sensory perception are flavors, enzymes and colorants. Because of their active nature, enzymes are often used to enhance flavor and texture. They also have a longer shelf life and require less chemical additives. The most important constituent is flavor. It gives the final product or cuisine its taste. This market is innovative, technical and specialized in nature. Its growth parameters include changing lifestyles and increasing demand for convenience foodtuffs.

Emulsifiers can be used to enhance the appearance of products by modifying oil crystals or preventing water spattering. Emulsifiers can be found in bread, ice creams and minced fish products. These are the main factors that will drive their demand in the future. These colorants can also be used in a variety of products, including bakery stuff, alcoholic and non-alcoholic beverages, and ready-to-eat packaged meals.

Functional ingredients are preservatives, acidulants, antioxidants and any other constituents that enhance the nutritional properties of foodstuffs. This segment has seen a rise in popularity due to a growing geriatric population, increased consumer awareness about healthy living, rising healthcare costs, and changing sedentary lives.

Vitamins are used in many ways, including in foods, infant formula, fortification with oils and fats, and supplements. The formulation requirements will dictate the type of vitamins that are used. Minerals are an important component of a healthy diet. Another use of minerals is to aid in the absorption of vitamins like calcium by cells.

As a key ingredient, antioxidants protect products from oxidation. This includes color changes and fat rancidity. The type of diet will determine the types of antioxidants that are required. Preservatives can be used to preserve the quality of food for a longer time without causing any harm. The market for specialty food ingredients is expected to grow rapidly because of the shift in consumer preferences for safer and more hygienic foods, especially in developed countries.

This explicit product quality has helped manufacturers to cater to the needs of processors. It is expected to increase the market over the next eight years.

Regional Insights

Asia Pacific was the world's largest regional market and will generate revenues exceeding USD 39 billion by 2025. This region is home to the world's largest food processing industry. China hosts the largest number of specialty ingredient and processing companies in the region.

Due to the availability of cheap labor and skilled workers, many industry players are also shifting production to emerging economies like India, Thailand, Vietnam, and Vietnam. These ingredients are also exported to China. These factors are expected to continue to drive demand for these ingredients in Asia Pacific.

In 2016, Europe was the second largest market. Europe is known for its famous cuisines. With a shift in consumer demand, new recipes are often created. Some of the biggest importers of specialty ingredients are countries in the region, such as France and Italy.

There are a number of confectionery and processing companies in Germany and the U.K that contribute to the demand for specialty food ingredients.

Market Share Insights & Key Companies

Frutarom and Ashland Inc are major industry players. Globally, the market is highly competitive due to many fully integrated multinationals that have established channels for distribution and procuring globally.

Globally, strict regulations are more favorable to organic or naturally derived foods ingredients than artificially derived ones. In the current scenario, the most important concern is the strict adherence to regulations and the careful preparation of organic raw materials.

Report Scope on Specialty Food Ingredients Market

The Report Covers Certain Segments

This report predicts revenue growth at the global, regional and country levels. It also analyzes the industry trends for each sub-segment from 2014 through 2025. Grand View Research has divided the global specialty foods ingredients market based on source, technology and region.

• Product Outlook (Revenue USD Million, 2014-2025)

  • Specialty sensory components

    • Enzymes

    • Emulsifiers

    • Flavors

    • Colorants

    • Other

  • Functional ingredients that are special

    • Vitamins

    • Minerals

    • Antioxidants

    • Preservatives

    • Other

• Regional Outlook (Revenue USD Million, 2014-2025)

  • North America

    • The U.S.

    • Mexico

  • Europe

    • Germany

    • The U.K.

    • France

  • Asia Pacific

    • China

    • India

  • Central & South America (CSA)

    • Brazil

  • Middle East & Africa

    • Saudi Arabia

These are the most frequently asked questions about this report

b. The market for specialty foods ingredients was valued at USD 84.85 trillion in 2019, and is projected to grow to USD 89.14 trillion by 2020.

b. Global specialty food ingredients markets are expected to grow at a compound annual rate of 5.3% between 2019 and 2025, reaching USD 116.47 trillion by 2025.

b. With a 33% share in 2019, North America was the market leader in specialty food ingredients. Many industry players have moved their production to emerging economies such as India, Thailand and Vietnam due to an increasing supply of cheap but skilled workers.

b. Frutarom and Naturex are some of the key players in specialty food ingredients markets.

b. The market for specialty food ingredients is growing due to increasing demand for convenience and higher quality organic products.

Up Market Research published a new report titled “Specialty Food Ingredients Market research report which is segmented by Functional (Preservatives, Antioxidants, Minerals, Vitamins), by Sensory (Enzymes, Emulsifiers, Flavors & Colorants), By Players/Companies Frutarom, Kerry Group, PPG Industries, Naturex, Ashland Inc, KF Specialty Ingredients, DuPont, Ingredion, Evonik”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.

The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.

Global Specialty Food Ingredients Market Report Segments:

The market is segmented by Functional (Preservatives, Antioxidants, Minerals, Vitamins), by Sensory (Enzymes, Emulsifiers, Flavors & Colorants).

Specialty Food Ingredients Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.

Key Benefits for Industry Participants & Stakeholders:

• Industry drivers, restraints, and opportunities covered in the study
• Neutral perspective on the market performance
• Recent industry trends and developments
• Competitive landscape & strategies of key players
• Potential & niche segments and regions exhibiting promising growth covered
• Historical, current, and projected market size, in terms of value
• In-depth analysis of the Specialty Food Ingredients Market

Overview of the regional outlook of the Specialty Food Ingredients Market:

Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.

Highlights of The Specialty Food Ingredients Market Report:

1. The market structure and projections for the coming years.
2. Drivers, restraints, opportunities, and current trends of Specialty Food Ingredients Market.
3. Historical data and forecast.
4. Estimations for the forecast period 2028.
5. Developments and trends in the market.

                1. Preservatives

                2. Antioxidants

                3. Minerals

                4. Vitamins

                1. Enzymes

                2. Emulsifiers

                3. Flavors & Colorants

8. Market scenario by region, sub-region, and country.
9. Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
10. Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
11. Government Policies, Macro & Micro economic factors are also included in the report.

We have studied the Specialty Food Ingredients Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.

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Reasons to Purchase the Specialty Food Ingredients Market Report:

• The report includes a plethora of information such as market dynamics scenario and opportunities during the forecast period
• Segments and sub-segments include quantitative, qualitative, value (USD Million,) and volume (Units Million) data.
• Regional, sub-regional, and country level data includes the demand and supply forces along with their influence on the market.
• The competitive landscape comprises share of key players, new developments, and strategies in the last three years.
• Comprehensive companies offering products, relevant financial information, recent developments, SWOT analysis, and strategies by these players.