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Organic Food Additives Market Analysis

ID: MRFR//2687-HCR | 90 Pages | Author: Tejas Chaudhary| April 2024

The dynamics of demand for organic food additives reflect consumer desire in creating sustainable and better food options. It is clear that rising public knowledge of the potential health risks linked to artificial food additives has caused a shift in consumer preferences in recent years. The market for organic food additives has increased as a result of consumers' shifting tastes, where they increasingly favor natural goods free of harmful chemicals and preservatives. The market for organic food additives is primarily being driven by the increasing demand for clean-mark products. Consumers are choosing foods with fewer, more recognizable components as they are become more conscious of what's in their meals.
Customers that want labelling that are clear and unambiguous respond well to organic food additives since they are made from natural sources and do not include artificial chemicals. The dynamics of demand for organic food additives are significantly shaped by this consumer-driven demand for clean-mark items. The urge to meet consumer enterprises and satisfy the need for organic dairy products is also conveyed by the forward-thinking sweats of the food makers. Businesses are devoting resources to research and development in order to create novel organic food additives that improve product taste, texture, and shelf life without sacrificing quality. This dedication to using only organic language fits in with the larger trend of food consumption shifting toward more environmentally friendly and sustainable methods.
The laws and policies of the government significantly influence the dynamics of demand for organic food additives. Strict rules and guidelines are applied to the organic food industry to ensure the legitimacy and caliber of organic goods. Consumers are reassured by instruments from esteemed organic authorities that the food additions fulfill particular requirements for organic sourcing and processing. The existence of authorized tools boosts customer confidence and helps to fuel the demand for organic food additives as a whole. One important component influencing the dynamics of markets for organic food additives is consumer perception. Customers are becoming less interested in organic complementary products as they become more conscious of the environmental effect of food products and seek for healthier solutions.
The growth of the desire is being driven by the belief that organic food additives are not only better for specific health but also support ethical and sustainable activities. Because of this favorable customer view, organic food additives are seen as the preferred option in the changing food market landscape. However, there are still difficulties with the market dynamics, such as problems with the cost and availability of organic raw materials. Organic sourcing can be more labour-intensive and expensive overall, which affects the price of the finished good. In spite of these obstacles, the demand is being met with greater funding for organic farming methods and force chain innovations to expand the accessibility of organic food additives for a wider range of consumers.
In summary, a convergence of characteristics, such as customer desire for clean-mark items, diligent devotion to organic phrasings, nonsupervisory support, and favorable consumer comprehensions, describe the market dynamics of organic food additives. The demand for organic food additives is expected to increase steadily as consumers continue to place a higher priority on making healthier and more sustainable food choices. The demand is expected to grow as efforts to fulfill customer needs and resolve issues continue, providing a natural and organic way to improve the quality of food items.

Global Organic Food Additives Market Overview


The organic food additives market is projected to grow at a significant rate of 5.9% from 2022 to 2030 to reach a market value of USD 101.22 billion by the end of 2030. Food additives are substances, which are added to food products to preserve flavor or to enhance the taste, appearance, and shelf life of the products. Organic food additives are derived from natural sources, which help preserve the quality of food products and also reduce the chances of food spoilage from exposure to air, bacteria, and fungi. Different types of food additives are used in processed food products and beverages including vitamins & minerals, acidulants, antioxidants, food coloring agents, bakery enzymes, sweeteners, emulsifiers, thickeners, and stabilizers.


 There is an increasing number of health-conscious consumers globally, who prefer organic foods and beverages rather than conventional ones. Additionally, consumers are quite aware of the harmful effects of chemicals used in food items, which may cause various health-related disorders. Hence, to fulfill the market demand the food manufacturers have begun offering products with natural food additives and organic labeling. These factors are expected to catalyze the growth of the market for organic food additives. Furthermore, there is a huge demand for baked products, confectionery items, and frozen foods, among the consumers globally. Furthermore, consumers are increasingly consuming more to ready-to-eat and ready-to-cook food products to save time during their busy schedule, which is further driving the market for organic food additives during the forecast period.


Segmentation


The market has been segmented based on form, type, application, and region.


The organic food additives market has been divided, based on form, into dry and liquid.


The organic food additives industry has been segmented, based on type, into acidulants, vitamins & minerals, colorants, hydrocolloids, enzymes, flavors & sweeteners, and others.


The market has been classified, based on application, into bakery & confectionery, beverages, dairy & frozen dessert, sweet & savory snacks, soups, sauces & dressings, and others.


The global market has been analyzed for four key regions—North America, Europe, Asia-Pacific, and the rest of the world.


The North American market has further been segmented into the US, Canada, and Mexico.


The European market has been classified as the UK, Germany, France, Italy, Spain, and the rest of Europe.


Theorganicood additives industry in Asia-Pacific has been segmented into China, India, Japan, Australia & New Zealand, and the rest of Asia-Pacific.


The organic food additives industry in the rest of the world has been segmented into South America, the Middle East, and Africa.


Key Players



  • E.I. du Pont de Nemours and Company (US)

  • Archer Daniels Midland Company (US)

  • Cargill Inc. (US)

  • Chr. Hansen Holding A/S (Denmark)

  • Kerry Group Plc (Ireland)

  • BASF SE (Germany)

  • Novozymes A/S(Denmark)

  • Tate & Lyle (UK)

  • Danisco A/S (Denmark)

  • Givaudan (Switzerland)

  • Brenntag AG (Germany)

  • Firmenich SA (Switzerland)

  • Associated British Foods plc (UK)

  • International Flavors & Fragrances Inc. (US)

  • Foodchem International Corporation (China)


Regional Market Summary


Global Organic Food Additives Market Share (%), by Region, 2018  Organic Food Additives Market


Source: Secondary Sources and MRFR Analysis


The market in North America is expected to dominate the global organic food additives market during the forecast period. Several times chemical food additives are not good for health, since it may cause some digestive disorder and skin allergies. Hence, there is increasing consumer awareness of natural and organic food additives due to the health benefits associated with it, which is likely to drive the market in this region. Growing demand for confectionaries and beverages among the consumers of North America is also fueling the market growth for organic food additives during the assessment period.


The organic food additives market in Asia-Pacific is expected to register the highest CAGR during the forecast period. Consumers in the region are more inclined towards nutritional diet and prefer to include organic food products and beverages in daily meals. This factor is anticipated to drive the regional organic food additives market during the forecast period. As per the trend in the market, food manufacturers have begun using organic food additives in processed food products, which is further boosting the market for organic food additives.


Global Organic Food Additives Market, by Form



  • Dry

  • Liquid


Global Organic Food Additives Market, by Type



  • Acidulants

  • Vitamins & Minerals

  • Colorants

  • Hydrocolloids

  • Enzymes

  • Flavors & Sweeteners

  • Others


Global Organic Food Additives Market, by Application



  • Bakery & Confectionary

  • Beverages

  • Dairy & Frozen Dessert

  • Sweet & Savory Snacks

  • Soups, Sauces & Dressings

  • Others


Global Organic Food Additives Market, by Region




  • North America

    • US

    • Canada

    • Mexico






  • Europe

    • Germany

    • France

    • Italy

    • Spain

    • UK

    • Rest of Europe






  • Asia-Pacific

    • Japan

    • China

    • India

    • Australia & New Zealand

    • Rest of Asia-Pacific






  • Rest of the World (RoW)

    • South America

    • Middle East

    • Africa




Intended Audience



  • Food processing industries

  • Agriculture associations and farms

  • Commercial research and development institutions

  • Raw material suppliers and distributors

  • Retailers, distributors, and wholesalers

  • Traders, exporters, and importers

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