|Market Size in 2020
|Market Forecast in 2028
|CAGR (in %)
|USD 16.4 Billion
|USD 22.8 Billion
Food Flavors Market
The global food flavors market accounted for USD 16.4 Billion in 2020 and is expected to reach USD 22.8 Billion by 2028, growing at a CAGR of 4.5% from 2021 to 2028.
Food flavors are substances that do not constitute directly to the food but are used to divulge and develop the taste profile of food products. These flavor additives are mostly natural and artificial flavors. Perishable foods after processing and preserving incline to lose their original natural essence over time, here comes the need to use food flavors to maintain and enhance it. Some of the enhancers which are commonly added to food products constitute Monosodium glutamate (MSG), NaCl, and sweeteners. The food and beverage industry needs flavors continuously to assess different purposes like new product development, enhancing existing product taste, increasing new product line, and adding enhancers to nutrition products.
However, the continuously changing quality and regulatory standards relating to the confirming and safeguarding of consumer health and safety are having a challenge to food flavor producers lately.
The outbreak of the COVID-19 pandemic has forced consumers to depend wholly on the consumption of processed, ready-to-eat food products, which is likely to raise the demand for enhancers and flavors in the food and beverage sector. The food flavor industry is expected to experience changes in the coming years due to the rise in consumer consciousness regarding sustainable, plant-based food, having immunity boosters, and being ready to eat. However, lockdown across the globe may pose some questions with regard to supplying chain for manufacturers in the food flavor market.
Flavors make up for the major share of the food industry and are at the threshold of remarkable growth. The market can be distinguished as technical, innovative, and specialized in nature. Growth of the food flavors market is determined by the changed lifestyle of consumers, higher demand for convenient food, and development of the global beverage industry in terms of safe packaging and ready-to usefulness, for example, self-chilling beverage cans. The food flavors market has witnessed substantial innovation in terms of new product launches along with research and development and collaboration. The overall disposable income of the consumers has also increased over the past few years which in turn is expected to lead to a surge in the sales of food flavors during the forecast period.
There has been an increase in the trend of consumption of natural foods and to strive the food industry is thriving to introduce new sources of flavors. A natural flavoring, castoreum extract is obtained from the anal of a beaver and is used as a flavor in the natural category in beverages, confectionary dairy, and desserts. With the rise in health concerns among consumers, the demand for clean-label products has been experiencing a boost. A clean label is the proper declaration of ingredients present in the food product. In many countries, clean label is also known as food additives which are added in their natural form and contain no harmful chemicals. The increasing demand for natural and organic food has supported the increased demand for clean-label products as consumers want to minimize the risk of being affected by any food-borne disease. The clean label also helps in educating the consumers about food traceability throughout the production and distribution involved in the supply chain. Also, along with its health benefits included in certain natural colors and flavors, the rising purchasing power of the population, a wide range of product offerings with new tastes and flavors, are the factors anticipated to propel the growth of the global natural food flavors market. Nevertheless, high costs related to some natural flavor ingredients may delay the growth of the global natural food flavors market during the forecasted years to a certain level.
The natural segment held a share of over 20% in 2020. With the increasing health concerns among consumers, the demand for natural and organic products has been experiencing a hike. In many countries, consumers refer to food additives that are added in their natural form and contain no harmful chemicals. Resulting in increasing demand for food flavors formed naturally and with natural ingredients. Among the different origins, artificial flavors might dominate the food flavors market.
By application, the beverage is expected to grow at a CAGR of around 5% over the forecast period. Sausages and dressings and bakery and the confectionary market are expected to have a surge in demand by 2028.
The European region held a share of around 20% in 2020. The market in Europe is expected to dominate the global natural food flavors market, owing to shifting consumer preferences towards naturally-derived food products. Due to an increase in dairy production, the food sector is facing incredible growth, especially in Asian countries. The bakery and confectionery demands are also surging, which is pushing the food flavors market all across the globe.
The Asia Pacific region is projected to grow at a CAGR of around 6% over the forecast period. This is because of the growing taste of consumers towards bakery and confectionary items and the increment in homemade food in countries like India. Also, availability of resources like rich agricultural, dairy products etc. is another factor to boost the market in this region.
Report Scope :
|Food Flavors Market Size Report
|Market Size in 2020
|USD 16.4 Billion
|Market Forecast in 2028
|USD 22.8 Billion
|CAGR of 4.5%
|Number of Pages
|Value (USD Billion), and Volume (Units)
|Key Companies Covered
|Givaudan, Firmenich, Takasago International Corporation, Frutarom Industries, International Flavors & Fragrances Inc, and Chr. Hansen Holding A/S, Sensient Technologies Corporation, Robertet, V. MANE FILS SA, and Symrise, among others.
|By Origin, By Application, By Form, and By Region
|2015 to 2019
|2020 - 2028
|Avail customized purchase options to meet your exact research needs. Request For Customization
The food flavors market has an inclusion of major players and new entrants who have made the market even more competitive. As a result, many business giants have been compelled to take a number of strategic moves to maintain a competitive advantage. These actions include purchase, consolidation, product launch, collaboration, change, and other systems. Major competitors in the natural flavors market focus on using strategies such as product innovation, acquisition, market collaboration, and research and development, with the aim to maintain a steady growth rate and increase profitability in the expected years.
The global food flavors market Size was valued at USD 16.39 Billion in 2020.
The global food flavors market Size is expected to reach USD 22.82 Billion by 2028, growing at a CAGR of 4.5% between 2021 to 2028.
Some of the key factors driving the global food flavors market Size growth are increasing number of consumers shifting towards flavored food items and bakery products. Also, the market has witnessed a substantial innovation in terms of new product launches along with research and development and collaboration.
North America region held a substantial share of the food flavors market Size in 2020. This is attributable to the presence of resources like agricultural and dairy. Asia Pacific region is projected to grow at a significant rate owing to the rising demand for food flavors and shift in taste of consumers in developing economies such as China and India.
Some of the major companies operating in the food flavors market are Givaudan, Firmenich, Takasago International Corporation, Frutarom Industries, International Flavors & Fragrances Inc, Chr. Hansen Holding A/S, Sensient Technologies Corporation, Robertet, and V. MANE FILS SA, among others