20

Sep

Additive market to grow modestly PDF Print E-mail
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A new report by Leatherhead Food Research on the global food additives market concludes that growth in the market is likely to be relatively modest.

It's key conclusions are as follows:

Flavours
Consumer distrust of artificial flavourings will persist. Flavour combinations are in vogue. Growth will be highest in the savoury sector.

Hydrocolloids
High prices look likely to impact the market, but continued demand for healthy and natural foods will sustain the market.

Flavour enhancers
The MSG market will be heavily skewed towards the Far East. However, continuing growth in ethnic- and strongly-flavoured foods is positive, and yeast's ‘natural' heritage will benefit it.

Acidulants
The market will remain steady, with most growth coming from sectors such as lactic acid, malic acid and tartaric acid. Production is likely to remain focused in China.

Sweeteners
Demand for alternative sweeteners will remain high. If stevia lives up to expectations, many other sweeteners will come under market pressure.

Colourants
Consumer antipathy towards artificial ingredients will continue to influence the colourants sector. Usage of natural colours is expected to rise substantially in the USA.

Fat replacers
The drive to reduce intake of saturated fats augurs well for fat replacers. Carbohydrate-based replacers will see less growth than protein-based replacers.

Enzymes
The continuing debate about GM foods will likely affect the enzyme market in developed markets. However, demand across the developing world is forecast to show strong growth.

Emulsifiers
Enzymes represent a threat to the market. Natural emulsifiers will grow at the expense of synthetic versions. The greatest potential exists in chocolate, sugar confectionery, ice cream and sauces.

Preservatives
The trend away from preservatives is forecast to continue. Synthetic preservatives are expected to show a particular decline.

Vitamins and minerals
Consumer awareness is likely to positively impact the sector. Threats come from dietary supplements and a potential preference for foods naturally high in vitamins and minerals.

Antioxidants
Clean labelling will benefit antioxidants, as will continuing demand for processed foods in the developing world. Astaxanthin has proved to be a disappointment.

Functional food ingredients
Growth is expected to be lower than previously. Health claims regulations and the need to provide better scientific evidence may see a scaling back of investment.

Global economy
Demand across the food and drinks industry may remain flat, and possibly decline, if the economic situation worsens. This will have a knock-on effect on the food additives industry.

Major end user trends
Food and drinks positioned on a health or wellness platform are most likely to succeed, with functional dairy products, healthy breakfast cereals, healthy snacks and healthy confectionery expected to outperform the average.

Regulatory environment
Regulation will have a major effect on growth in the food additives industry. Manufacturers believe existing regulation is too strict, yet pressure groups are calling for even stricter measures. Foods labelled as containing only natural additives or ingredients are likely to come under increasing scrutiny.

 

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