Global Food Additives Market is anticipated to grow in the forecast period. Food additives facilitate the mass production of flavored, safe, visually appealing beverages and beverages and nutrition. Although additives make up only a small amount of the finished product (from parts per million to 1–2% by weight), they have a foremost outcome on the taste, color, texture, visual appearance, mouthfeel, and shelf life of prepared foods.

The factors that propel the growth of the Food Additives industry include changing lifestyles of customers and growing consciousness regarding nutritional food. On the other hand, there are factors that may hamper the growth of the market including strict governing environment and problems arising owing to additives, such as allergies. The industry is anticipated to grow at a significant CAGR in the upcoming period as the scope, product types, and its applications are increasing across the globe.

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Food Additives Market may be explored by technology, by product type, by application, and geography. The industry may be explored by technology as Acids, Sweeteners, Antioxidants, Emulsifiers, Anticaking Agents, Humectants, Stabilizers, Flavors & Enhancers, Colorants, Fat Replacers (Bulking Agents), Shelf- life stabilizers (Preservatives), and Others may include Color retention agents, Antifoaming agents, and Glazing agents. The “Flavors & Enhancers” segment led the Food Additives industry in 2015 and is anticipated to maintain its dominance by 2022.

The key applications that could be explored in the Food Additive Market include Hotels, Confectionary, Homes, Bakery, Snacks, Dairy & frozen products, Beverages, Meat, poultry & seafood products, and Others. The market could be explored based on product type as Chemical Based, and Nature Based. The “Natural flavors” segment led the Food Additives industry in 2015 and is anticipated to maintain its dominance by 2022 owing to increasing customer consciousness concerning the benefits of neem and herbs as natural flavors is promoting manufacturing development.

North America accounted for the major share of the Food Additives Market Size in 20-- and will continue to lead in the forecast period. The factors that could be attributed to the growth include increasing demand for confectionery and meat products in North America owing to increased urbanization, and hectic lifestyle, rising hospitality and retail segment is in turn anticipated to propel development of the market over the forthcoming period.

Some of the key players that fuel the development of the Food Additive industry comprise Danisco, BASF, Archer Daniels Midland, Ajinomoto, DSM, Associated British Foods, ADM, Royal DSM N.V., Givaudan and Eastman Chemicals. The leading companies are taking up partnerships, mergers and acquisitions, and joint ventures in order to boost the inorganic growth of the industry.

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Market Segment:

Global Food Additives Product Outlook (Revenue, USD Million, 2012 - 2022)
• Flavors & Enhancers
• Natural flavors
• Artificial Flavor & Enhancers
• Sweeteners
• HIS
• HFCS
• Others
• Enzymes
• Emulsifiers
• Mono, Di-Glycerides & Derivatives
• Lecithin
• Stearoyl Lactylates
• Sorbitan Esters
• Others
• Shelf- life stabilizers
• Fat Replacers
• Protein
• Starch
• Others

Global Food Additives Regional Outlook (Revenue, USD Million, 2012 - 2022)
• North America
• U.S.
• Europe
• Germany
• France
• Latin America
• Brazil
• Asia Pacific
• Japan
• China
• India
• MEA

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Global Market Insights, Inc. has added a new report on Food Additives Market that provides a comprehensive review of this industry with respect to the driving forces influencing the market size. Comprising the current and future trends defining the dynamics of this industry vertical, this report also incorporates the regional landscape of market in tandem with its competitive terrain.

Food Additives Market may surpass USD 115 billion by 2024; according to a new research report. Growing consumer awareness about health consciousness along with supportive government schemes has led to widespread usage of food additives in market. Rapid expansion of technology in food industry pertaining to consumer's demand for healthy and organic product options will positively influence market growth.

Food additives have various applications in bakery and confectionary, beverages, dairy and frozen products, sauce and dressings amongst others. Rapid expansion of technology in the industry pertaining to consumer's demand for healthy and organic product options will positively affect market growth. Asia Pacific food & beverage market was valued at over USD 3.0 trillion in 2016 and may witness gains at over 10%. Food additives derived from natural sources are easily available at minimal cost, which is providing a cost advantage to the manufacturers.

Sweeteners Market is projected to surpass over USD 60 billion by 2024. Consumers believe in low-calorie sweeteners will effective for various purposes which includes weight reduction, weight maintenance, management of diabetes and reduction in the risks associated with obesity, thereby driving the industry growth. Asia Pacific natural sweetener Market is likely to witness a significant gain at over 4.5% during the forecast timeframe. Natural sweetener increases the stability of the products and is also used in milk formulations to increase the bioactive calcium.

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Food additives market share is competitive and moderately consolidated with major industry participants include BASF, Cargill, DuPont, Archer Daniels Midland Company, Adani Wilmer, and Ajinomoto which cater to domestic and international market. Manufacturing companies are focusing in expanding business across regions and developing strategies to size up production capability and strengthen global presence. Companies are also forming partnerships and acquire with local & regional companies to open new market opportunities, and further accelerate Food Additives Market Demand.

Food additives are used as antioxidants, anti-foaming, gelling, glazing & bulking agents, emulsifiers, flavor enhancers, stabilizers, thickeners, sweeteners, and humectants in various types of processed beverages. They are mostly used in bakery & confectionery, nutritional products, meat, dairy and frozen desserts, sauces, and dressings, amongst others. Increasing packaged eatable demand for products including ready-to-eat convenient goods, ready-to-eat meals, cake mixes, snacks and frozen meals owing to rise in disposable income and change in lifestyle will stimulate food additives market size.

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North America driven by the U.S., Canada and Mexico food additives Market is expected to reach at USD 29 billion by 2024. The growing demand for confectionery and beverage products in North America due to hectic lifestyle, increased urbanization and growing retail and hospitality sector is in turn expected to drive the growth demand in the region.

Asia Pacific led by Japan, South Korea, India and China food additives Market is expected to reach at USD 40 billion by 2024. Rising awareness about high nutritional diet and increasing need to impart ethnic taste are playing a key role in accelerating demand in the region. The Indian food processing industry is expected to grow with a rapid pace over forecast period. This creates a highly conducive environment for growth of the regional market, buoyed by rapid economic growth in emerging economies of India and China.

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Adroit Market Research launched a study titled, “Global Food Additives Market Size 2017 By Product [Flavors & Enhancers (Natural and Artificial), Sweeteners (High-intensity Sweeteners (HIS), High-fructose Corn Syrup (HFCS), and Others) Emulsifiers (Stearoyl Lactylates, Mono-, Di-Glycerides and Derivatives, Sorbitan Esters, Lecithin, and Others), Fat Replacers (Protein, Starch, and Others), Shelf-life stabilizers, Enzymes, Others), By Region and Forecast 2018 to 2025”. The study covers the global food additives market value and volume for a period ranging from 2015 to 2025.

The global food additives market size is estimated to reach USD 68.34 billion by 2025. Increased consumer demand for packaged, convenient, and processed food products has increased consumption of food additives over the past few years. World processed food market size was valued at over USD 2 trillion in 2017. Changing lifestyle coupled with increased per capita spending in developing economies is expected to increase food additives market reach over the projected period.

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Growing consumption in food & beverage industry to maintain and improve its freshness and enhance aroma, flavor, appearance, texture, and taste is expected to increase its demand over the coming years. Over the past few years, increased working women population coupled with increased dependency on the ready meal and processed foods has increased the popularity of food additives. Growing economy coupled with changing dietary habits in developing countries such India, China, Indonesia, and Brazil is expected to strengthen food & beverage industry, which in turn is expected to increase consumption of food additives over the projected period.

Food Additives Market: Key Players

Cargill, Ajinomoto Co., Inc., Archer Daniels Midland Company, BASF SE, Mitsubishi International Food Ingredients, Inc., Tate & Lyle, Chr. Hansen A/S, Ingredion, DowDuPont and Lonza.

Asia Pacific was the fastest growing region in terms of consumer spending on eating out from period 2006-2017. Asia Pacific accounted for more than 20% of the global food additives market share in 2017. Growing confectionery and bakery industry in India, China, Japan, Indonesia, and Singapore is projected to offer a lucrative market opportunity for food additives manufacturers over the coming years.

Manufacturers operating in this industry are adopting M&A strategy in order to strengthen their distribution network and increase production capacity to stay competitive in the food additives industry. For instance, in June 2015, Archer Daniels Midland Company, an American food processing company, acquired seed and nut processing assets from California Gold Almonds, LLC. Availability of raw materials from California Gold Almonds will help Archer Daniels Midland Company to increase their production capacity for nuts and seeds.

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Food Additives Market: Segmentation

The Food Additives Market is segmented based on type, end-use industry, and regions:

Product Overview, 2015-2025 (USD Million)

• Flavors & enhancers

1. Natural flavors
2. Artificial Flavor & Enhancers

• Sweeteners

1. HIS
2. HFCS
3. Others (Sugar, Natural)

• Enzymes
• Emulsifiers

1. Mono, Di-Glycerides & Derivatives
2. Lecithin
3. Stearoyl Lactylates
4. Sorbitan Esters
5. Others

• Shelf- life stabilizers
• Fat replacers

1. Protein
2. Starch
3. Others

• Others

Regional Overview, 2015-2025 (USD Million)

• North America

U.S.

• Europe

Germany

France

• Asia-Pacific

China

India

Japan

• Latin America

Brazil

• Middle East & Africa

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16 October 2018, The global Food Additives Market is anticipated to reach USD 56 billion by 2024. Rapid growth in the food & beverage industry in the Middle East and BRICS (Brazil, Russia, India, China, and South Africa)-as a result of growing domestic consumption and rising foreign direct investments-is projected to augment the market growth. Increasing awareness about different types of tastes is also likely to act as an important growth driving factor. In addition, manufacturers are increasing their production capacities due to rising demands for packaged foods including ready-to-eat products, frozen meals etc. which will eventually therefore augment the market growth. The global market is categorized as products and regions.

The product sector comprises flavors & enhancers (natural, artificial), enzymes, sweeteners (high intensity, HFCS), emulsifiers (mono, lecithin, di-glycerides, sorbitan esters, stearoyl lactylates), fat replacers (protein, starch), and shelf-life stabilizers. The enzymes sector is estimated to remain the fastest-growing sector, with a CAGR of over 6 % from 2016 to 2024. Flavors & enhancers dominated the application sector in 2016 accounting for 30 % of the total market revenue. The natural flavors sector is likely to grow at a healthy CAGR of over 6 % from 2016 to 2024.

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Sweeteners are mainly used in formulating F&B products. Moreover, growing health concerns such as tooth decay, diabetes, etc. and rising importance of low-cal food products are anticipated to augment the demands for sugar substitutes such as High Fructose Corn Syrup (HFCS) and High-Intensity Sugars (HIS). The sector is projected to grow at a CAGR of over 5 % during the estimated years.

The Europe food additives market held over 30 % of the overall share in 2016 due to growing significance of functional ingredients to integrate properties such as flavor, shelf life-extension, and emulsification. The Asia-Pacific region accounted for 27 % in 2015 and is anticipated to experience considerable gains over the next few years. The Indian market is likely to grow at a decent CAGR of over 5 % during the forecast period. The Middle East is said to be the high-potential market on account of rising domestic consumption along with the favorable support to attract fresh investments.

The major companies in the food additives market include BASF SE; E. I. du Pont de Nemours and Company; Eastman Chemical Company; and Cargill Inc.

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