DALLASFueled by the increasing number of health-conscious consumers and their changing food preferences, the global specialty food ingredients market is estimated to reach $80.3 billion by 2018, up from $57 billion in 2012, according to a new report from MarketsandMarkets. In 2012, North America led the global market with the largest share followed by Europe in terms of market value.
The North American market is expected to show a steady growth trend, mainly due to the progress the processed food industry has made to meet increased demand for healthy food. Healthier eating habits also are helping momentum for the European specialty food ingredients market. Asia-Pacific is estimated to grow with the fastest CAGR during the period under review, while India, China, Russia and Brazil are poised to exhibit the fastest-growing trend within the sector.
Nutraceuticals are the leading specialty ingredient with the largest market share and are estimated to grow at a significant rate due to high penetration levels in end-use industries. Demand for premium products is set to propel the growth of various ingredients. Enzymes are projected to exhibit robust growth in the coming years, while demand for acidulants, flavors, colors, emulsifiers, etc., are also seeing remarkable growth.
The report examines how food colors, acidulants, food and beverage enzymes, specialty starches, food emulsifiers, food and beverage starter cultures, sugar substitutes, food preservatives, hydrocolloids, food flavors, and functional food ingredients are being used in applications, including bakery, confectionery, dairy, convenience foods, beverages, meat and seafood products, and functional food products.
So what does this mean for product development? Overall, the specialty ingredients market indicates a flourishing market for food and beverage suppliers and manufacturers, where product innovation will be a key aspect to increase the market share.
Consumer demand for ease of use, health and wellness, and clean label are major drivers for the market sector. And product developers are tasked with producing results that don’t sacrifice taste or function.
More innovation in the industry helps to drive down the cost of production, incorporate additional benefits in the products, and launch new products. Food Product Design’s FoodTech Toolbox provides in-depth information about how food scientists are using these ingredients to bring new food and beverage products to the market.