Food Ingredients Market by Product type, Function, Application

List of Tables

[198 Pages Report] The Food Ingredients Market size was estimated at USD 79.96 billion in 2023 and expected to reach USD 84.59 billion in 2024, at a CAGR 6.13% to reach USD 121.30 billion by 2030.

Food ingredients encompass a broad range of products used in the preparation and enhancement of food items, which may include flavors, preservatives, sweeteners, emulsifiers, colorings, and nutritional additives, among others. These substances are integral to maintaining food quality, ensuring safety, extending shelf life, and enriching taste profiles. The escalating demand for convenience foods has been the major propellant for the expansion of the food ingredients market. This is further augmented by the increasing awareness and consumer demand for nutritionally enriched food products. However, stringent regulations, health concerns over artificial additives, and the rising clean label movement advocate for minimal processing and transparency impede their development. To navigate these challenges, manufacturers are increasingly focusing on research and development into natural and organic alternatives, which show substantial potential in overcoming said restraints. Technology advancements such as biotechnology and nanoencapsulation, meeting the growing demand for plant-based and allergen-free ingredients, and aligning with sustainability trends that emphasize ethical sourcing and production methods can enable future commercialization of food ingredients.

KEY MARKET STATISTICS
Base Year [2023]	USD 79.96 billion
Estimated Year [2024]	USD 84.59 billion
Forecast Year [2030]	USD 121.30 billion
CAGR (%)	6.13%

Product Type: Increasing use of vegetable oils & fats in food preparation and processing

Enzymes are bio molecules that catalyze chemical reactions within food products, often used to enhance taste, texture, and shelf life. Antioxidants are compounds utilized to prevent oxidation, prolonging the stability and freshness of food items. Functional ingredients include fibers, prebiotics, probiotics, proteins, and vitamins that provide health benefits beyond basic nutrition. The preference for these ingredients is based on the growing consumer demand for health-centric and functional foods. Natural flavorings and colors are derived from plant, mineral, and microbial sources. They are favored for their ability to meet consumer demands for natural and transparent labeling without compromising sensory appeal. Natural sweeteners, such as stevia, and allulose, provide sweetness without the caloric content of sugar, catering to the health-conscious consumer and those with dietary restrictions, including diabetes. Starches, derived primarily from corn, wheat, and potatoes, serve as thickeners, binders, and stabilizers in various food products. The selection of starches is based on the desired texture, processing requirements, and nutritional content.Vegetable oils and fats, such as palm, soybean, and coconut oil, are essential for cooking and as ingredients in many foodstuffs. While enzymes and antioxidants focus on extending shelf life and food quality, functional ingredients are driven by the burgeoning market for health and wellness products. Natural flavorings and colors cater to the desire for clean-label products with sensory appeal, whereas natural sweeteners align with the trends for reduced sugar intake and natural food consumption.

Function: Rising demand of flavors and color additives to enhance the sensory appeal of foods and beverages

Emulsifiers are agents that help to mix water and oil, which naturally tend to separate. These ingredients are vital in creating stable emulsions, ensuring that products such as salad dressings, mayonnaise, and creamy sauces maintain a uniform texture without separating. They also play a critical role in baked goods, improving consistency and extending shelf life by preventing staling. Fat replacers are ingredients designed to mimic the mouthfeel, taste, and texture of fat, providing fewer calories or no fat. They are used in a variety of low-fat and reduced-calorie foods. Fat replacers can be carbohydrate-based, protein-based, or fat-based, each with different properties suited to specific applications. Flavors and color additives enhance or modify the taste and appearance of food. While flavors can be natural or artificial, providing a distinct taste profile to food products, color additives improve the visual appeal by giving vibrant, consistent hues that can also signify flavor or freshness. Nutrients are added to foods to enhance their nutritional profile. This includes vitamins, minerals, fiber, amino acids, and other essential elements that enrich food products, making them more beneficial to consumers' health. Fortification and enrichment practices are common in cereals, dairy products, and bread. pH control agents and acidulants adjust acidity levels in food, which can affect flavor, color stability, and microbial growth. These ingredients are crucial in soft drinks, candies, and jams, where precise pH control is required for safety and quality. Preservatives are substances added to food to prevent spoilage from microbial growth, oxidation, and other processes that lead to reduced quality and safety. They extend the shelf life of products and are essential in processed foods, dairy products, meat, and baked goods. Spices derived from various parts of plants, including seeds, fruits, roots, and bark, are used primarily for flavoring, coloring, or preserving food. They introduce complex flavors and aromas and exhibit antimicrobial properties contributing to food preservation. Stabilizers help maintain the consistency and structure of food products. They are crucial in preventing the separation of ingredients and ensuring that textures are uniform. Commonly used in foods including ice cream, dairy products, and dressings, they help improve shelf life and quality during storage. Thickeners, binders, and texturizers affect the viscosity and texture of food. These ingredients, such as starches, gums, and pectin, contribute to the mouthfeel and stability of products such as soups, sauces, jams, and low-fat items. Sweeteners are used to impart a sweet taste to food and beverages. They range from natural sugars to artificial sweeteners and sugar alcohols, varying in sweetness intensity, caloric content, and functional properties. Sweeteners are central in confectionery, beverages, and baked goods, contributing to taste and sometimes texture.

Regional Insights

The Americas, with a robust demand for processed and convenience foods, are witnessing substantial innovation and growth in functional ingredients, driven by a consumer base increasingly aware of health and wellness. Major companies in North America focus on clean label and sustainable ingredients addressing these concerns. The APAC market is rapidly emerging, owing to growing consumer incomes, urbanization, and a cultural shift towards Westernized diets. This has given rise to a competitive landscape where local and multinational companies vie for market penetration, emphasizing affordable product offerings tailored to regional tastes and preferences. The EMEA region, with its diverse food laws and consumer preferences, has a fragmented market with a strong emphasis on natural and organic ingredients, aligning with stringent EU regulations and a sophisticated consumer demand for transparency and food safety. These regional disparities underscore the need for tailored market strategies that reflect local consumer behaviors, regulatory environments, and sustainability considerations.

FPNV Positioning Matrix

The FPNV Positioning Matrix is pivotal in evaluating the Food Ingredients Market. It offers a comprehensive assessment of vendors, examining key metrics related to Business Strategy and Product Satisfaction. This in-depth analysis empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success: Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The Market Share Analysis is a comprehensive tool that provides an insightful and in-depth examination of the current state of vendors in the Food Ingredients Market. By meticulously comparing and analyzing vendor contributions in terms of overall revenue, customer base, and other key metrics, we can offer companies a greater understanding of their performance and the challenges they face when competing for market share. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With this expanded level of detail, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Key Company Profiles

The report delves into recent significant developments in the Food Ingredients Market, highlighting leading vendors and their innovative profiles. These include Amco Proteins, AngelYeast Co., Ltd., Archer Daniels Midland Company, Arla Foods Ingredients Group P/S, Axiom Foods, Inc., Batory Foods, Bunge Limited, Cargill, Incorporated, Cayuga Milk Ingredients, Corbion NV, Dairy Farmers of America, Inc., Epi Ingredients, Euroserum, Fonterra Co-operative Group Limited, Glanbia PLC, Gujarat Cooperative Milk Marketing Federation Ltd., Hermes Sweeteners Ltd., Hoogwegt Groep B.V., ICL Food Specialties, Ingredia SA, Ingredion Incorporated, International Flavors & Fragrances Inc., Kansas Dairy Ingredients, Kerry Group PLC, Lactalis Ingredients, Lacto Japan Co., Ltd., Land O'Lakes, Inc., Nestle S.A., Olam Group, Palsgaard A/S, Riken Vitamin Co., Ltd., Royal DSM, Saputo Inc., Sensient Technologies Corporation, Tate & Lyle PLC, and Valio Group.

Market Segmentation & Coverage

This research report categorizes the Food Ingredients Market to forecast the revenues and analyze trends in each of the following sub-markets:

Product type
- Enzymes and Antioxidants
- Functional Ingredients
- Natural Flavorings & Colours
- Natural Sweeteners
- Starches
- Vegetable Oils & Fats

Function
- Emulsifier
- Fat Replacers
- Flavors and Color Additives
- Nutrients
- pH Control Agents & Acidulants
  - Acetic Acid
  - Calcium Phosphate
  - Citric Acid

Preservatives
- Nisin
- Phosphates
- Preservative Acetic Acid

Spices
Stabilizers, Thickeners, Binders & Texturizers
- Carob Bean Gum
- Carrageenan
- Cellulose Gum
- Gellan gum
- Glycerol Ester of Wood Rosin
- Guar Gum
- Gum Arabic
- Pectin
- Xanthan Gum

Sweeteners
- Allulose
- Saccharin
- Stevia

Application
- Animal Feed
- Food & Beverages
  - Bakery
  - Beverages
  - Confectionery
  - Dairy
  - Dried Processed Food
  - Frozen/Chilled Processed Food
  - Sauces, Dressings & Condiments
  - Sweet & Savory Snacks

Pharmaceuticals

Region
- Americas
  - Argentina
  - Brazil
  - Canada
  - Mexico
  - United States
    - California
    - Florida
    - Illinois
    - New York
    - Ohio
    - Pennsylvania
    - Texas
- Asia-Pacific
  - Australia
  - China
  - India
  - Indonesia
  - Japan
  - Malaysia
  - Philippines
  - Singapore
  - South Korea
  - Taiwan
  - Thailand
  - Vietnam

Europe, Middle East & Africa
- Denmark
- Egypt
- Finland
- France
- Germany
- Israel
- Italy
- Netherlands
- Nigeria
- Norway
- Poland
- Qatar
- Russia
- Saudi Arabia
- South Africa
- Spain
- Sweden
- Switzerland
- Turkey
- United Arab Emirates
- United Kingdom

The report offers valuable insights on the following aspects:

1. Market Penetration: It presents comprehensive information on the market provided by key players.

2. Market Development: It delves deep into lucrative emerging markets and analyzes the penetration across mature market segments.

3. Market Diversification: It provides detailed information on new product launches, untapped geographic regions, recent developments, and investments.

4. Competitive Assessment & Intelligence: It conducts an exhaustive assessment of market shares, strategies, products, certifications, regulatory approvals, patent landscape, and manufacturing capabilities of the leading players.

5. Product Development & Innovation: It offers intelligent insights on future technologies, R&D activities, and breakthrough product developments.

The report addresses key questions such as:

1. What is the market size and forecast of the Food Ingredients Market?

2. Which products, segments, applications, and areas should one consider investing in over the forecast period in the Food Ingredients Market?

3. What are the technology trends and regulatory frameworks in the Food Ingredients Market?

4. What is the market share of the leading vendors in the Food Ingredients Market?

5. Which modes and strategic moves are suitable for entering the Food Ingredients Market?

Product Code: MRR-434CCDA0409D

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. Growing Demand for Ready-to-Eat Foods & Convenience Foods and Need for Food Enrichment in Highly Processed Foods
  - 5.1.1.2. Surging Availability and Access to Premium Quality Ingredients Through B2B and B2C Digital Marketplace
  - 5.1.1.3. Rising Inclination toward Organic or Naturally Extracted Ingredients for Food and Animal Feed
- 5.1.2. Restraints
  - 5.1.2.1. Concerns Regarding Product Recalls and Limited Consumer Knowledge About Food Ingredients
- 5.1.3. Opportunities
  - 5.1.3.1. Nanoencapsulation of Food Ingredients and Improvements in Packaging to Enhance Product Shelf-Life
  - 5.1.3.2. Introduction of New Products and Technological Innovations in the food Ingredient field
- 5.1.4. Challenges
  - 5.1.4.1. Stringent Government Regulations Coupled with the Time-consuming Process of Approval for the Food Ingredients
5.2. Market Segmentation Analysis
- 5.2.1. Product Type: Increasing use of vegetable oils & fats in food preparation and processing
- 5.2.2. Function: Rising demand of flavors and color additives to enhance the sensory appeal of foods and beverages
5.3. Market Trend Analysis
5.4. Cumulative Impact of Russia-Ukraine Conflict
5.5. Cumulative Impact of High Inflation
5.6. Porter's Five Forces Analysis
- 5.6.1. Threat of New Entrants
- 5.6.2. Threat of Substitutes
- 5.6.3. Bargaining Power of Customers
- 5.6.4. Bargaining Power of Suppliers
- 5.6.5. Industry Rivalry
5.7. Value Chain & Critical Path Analysis
5.8. Regulatory Framework Analysis
5.9. Client Customization

6. Food Ingredients Market, by Product type

6.1. Introduction
6.2. Enzymes and Antioxidants
6.3. Functional Ingredients
6.4. Natural Flavorings & Colours
6.5. Natural Sweeteners
6.6. Starches
6.7. Vegetable Oils & Fats

7. Food Ingredients Market, by Function

7.1. Introduction
7.2. Emulsifier
7.3. Fat Replacers
7.4. Flavors and Color Additives
7.5. Nutrients
7.6. pH Control Agents & Acidulants
7.7. Preservatives
7.8. Spices
7.9. Stabilizers, Thickeners, Binders & Texturizers
7.10. Sweeteners

8. Food Ingredients Market, by Application

8.1. Introduction
8.2. Animal Feed
8.3. Food & Beverages
8.4. Pharmaceuticals

9. Americas Food Ingredients Market

9.1. Introduction
9.2. Argentina
9.3. Brazil
9.4. Canada
9.5. Mexico
9.6. United States

10. Asia-Pacific Food Ingredients Market

10.1. Introduction
10.2. Australia
10.3. China
10.4. India
10.5. Indonesia
10.6. Japan
10.7. Malaysia
10.8. Philippines
10.9. Singapore
10.10. South Korea
10.11. Taiwan
10.12. Thailand
10.13. Vietnam

11. Europe, Middle East & Africa Food Ingredients Market

11.1. Introduction
11.2. Denmark
11.3. Egypt
11.4. Finland
11.5. France
11.6. Germany
11.7. Israel
11.8. Italy
11.9. Netherlands
11.10. Nigeria
11.11. Norway
11.12. Poland
11.13. Qatar
11.14. Russia
11.15. Saudi Arabia
11.16. South Africa
11.17. Spain
11.18. Sweden
11.19. Switzerland
11.20. Turkey
11.21. United Arab Emirates
11.22. United Kingdom

12. Competitive Landscape

12.1. Market Share Analysis, 2023
12.2. FPNV Positioning Matrix, 2023
12.3. Competitive Scenario Analysis
- 12.3.1. Micro Harvest launches pilot plant to test and scale single-cell protein ingredients
- 12.3.2. Celanese and Mitsui Sign Definitive Agreement to Form Nutrinova, a Food Ingredients Joint Venture
- 12.3.3. Batory Foods Acquires Ohio-based Tri-State Companies

13. Competitive Portfolio

13.1. Key Company Profiles
13.2. Key Product Portfolio