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Food Flavors Market Drivers, Restraints, Opportunities & Challenges

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By Author: Sonal Phulambrikar
Total Articles: 52
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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.

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Drivers: Shift in consumer base

Consumer base shift has been observed in the past few years on various scales such as physical activities, health awareness, connoisseurs, and food choices about including meat or vegan diet. Due to this reason, the demand for a wide portfolio of flavors ...
... is rising for various categories of food & beverages. To match this consumer demand, food manufacturers are constantly striving in R&D to achieve an innovative product portfolio.

Restraints: Side-effects of added flavors, both natural and synthetic

There are major health effects of a few chemicals that make up natural and artificial flavors. For instance, the benzaldehyde compound contains hydrogen cyanide, which can cause central nervous system depression and convulsions. Several synthetic flavors made with amyl acetate (pear and banana) may cause indigestion, chest pain, headaches, fatigue, and irritate mucus membranes. Similarly, benzyl acetate may also cause gastrointestinal, bronchial, skin, and eye irritation. There are few more compounds, such as butyric acid and carvacrol, which are used in synthetic flavoring, which can cause health problems. Also, there are certain toxins, such as monosodium glutamate (MSG), diacetyl, and castoreum, present in natural flavors extracted through fruits or plants. Such toxins can be harmful to the human body and cause health hazards if not treated properly. These effects restrain the market growth.

Opportunities: Innovative raw material sources

The consumption of natural foods is becoming a trend, and the food industry strives to introduce new sources of flavors. Castoreum extract, a natural flavoring that is obtained from the anal glands of a beaver, is used as a natural flavor in beverages, confectionery, dairy, and desserts. Knowledge regarding the biogenesis of plant volatiles, their enzymes, and genes will pave the way for the production of innovative food flavors.

Microorganisms have a higher capacity for the production of natural pigments and extracts. Marine sources are used on a commercial level for flavor extraction; seaweed is one of the most innovative sources that are used by well-established flavor houses. Varieties of superfruits from rainforests are in demand for the use of natural flavors. Such innovations present opportunities for market growth.

Challenges: Compliance with quality & regulatory standards

The food flavors industry faces a legal obligation to abide by the norms and standards of various regulatory standards. These regulatory standards vary by country; however, they have a common goal of ensuring the safety of consumers. The regulations set by different countries also emphasize on the usage of flavors and proper labeling of food products. These stringent regulations can delay or prevent the launch of new products, increase the prices of any new product introduced in the market, and may lead to product recalls. Therefore, the implementation of new regulations and modifications in the existing regulations negatively affect the growth of the market.

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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).

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