The Food Flavors Market size is estimated to be valued at USD 16.4 billion in 2020 and is projected to reach USD 20.7 billion by 2025, recording a CAGR of 4.8% during the forecast period.
The food flavors market is growing at a rapid pace with increasing innovations to launch customized flavor blends. Thus, manufacturers are exploring new revenue streams by launching customized blends in flavors. These customized flavor blends are being increasingly used to enhance the food & beverage product appearance and flavor. Therefore, the usage of flavors by food & beverage manufacturers to help strengthen their market positioning and create new product strategies is expected to aid the growth of the market further.
Food application is projected to account for the largest market during the forecast period
Food flavors are highly used in food applications, such as dairy products, bakery and confectionery, meat products, and other applications, such as sauces and condiments. The food applications use the flavors in large quantities, thereby driving the market. Hence, it is the dominating application segment of the flavors market.
The Nature-identical segment, by origin, is projected to dominate the market during the forecast period.
Nature-identical is the dominant origin segment of the flavors market. Due to the increase in the demand for sweet dishes and confectioneries, flavors have increased in recent times. Manufacturers largely prefer nature-identical flavors due to the similarity of their sources. Also, they are more stable and less toxic as compared to other options.
Asia Pacific is projected to account for the largest market during the forecast period
The Asia Pacific market accounted for the largest share in 2020. This dominance is attributed to factors such as increased demand for non-toxic, clean-label products. The fastest-emerging area is estimated to be South America due to the developing economy and young population, which is open to new and innovative products. Young consumers are more health-conscious as compared to older generations.
players in this market include DuPont (US), Archer Daniels Midland (ADM) (US), Givaudan (Switzerland), Kerry Group (Ireland), International Flavors & Fragrances (US), Firmenich (Switzerland), Symrise (Germany), MANE (France), Taiyo International (Japan), T. Hasegawa (Japan), Synergy Flavors (US), Sensient (US), Bell Flavors and Fragrances (US), Flavorchem (US), Takasago (Japan), Keva Flavours (India), Huabao Flavours & Fragrances (Singapore), Tate & Lyle (UK), Robertet (France), McCormick & Company (US), Wanxiang International (China), Treatt (UK), China Flavors and Fragrances (China), Lucta (Spain), and Solvay (Belgium).