Global food encapsulation market expected to account for $5,464.6 million by 2020
Growth is supported by increasing demand for natural flavours and clean label products
Future Market Insights (FMI), with a sharp focus on emerging regions, delivers key insights into the global food encapsulation market in its recent report titled, “Food Encapsulation Market: Global Industry Analysis and Opportunity Assessment 2015-2025.”
According to the report, the global food encapsulation market is projected to witness a single-digit CAGR of 9.4% during the forecast period, accounting for $5464.6 million by 2020. The growth is supported by increasing demand for natural flavours and clean label products, which has led to the development of novel products to cater specific needs of consumers.
The global food encapsulation market is segmented on the basis of technology into physical and chemical. The physical segment is projected to account for around 79.0% share of the total food encapsulation market by 2020. The chemical technology segment, by contrast, is expected to record a CAGR of around 10.1% during the forecast period.
The global food encapsulation market is segmented according to major application into dairy, beverages, bakery, confectionery, dietary supplements, functional food, animal nutrition and others. Of all the aforesaid application segments, the dietary supplements segment is expected to account for around 25.6% share of the overall food encapsulation market by 2020. This growth is attributed to increasing demand for nutritional products among consumers across the globe.
By core material, the global food encapsulation market is segmented into flavouring agents, lipids, vitamins and minerals, antioxidants, acids, bases, and buffers, amino acids and peptides, enzymes and microorganisms and others. Among these, flavouring agents is expected to record a CAGR of 10.5% during the forecast period. This is attributed to increasing demand for enhanced taste and quality of the food products among consumers. Moreover, on the basis of wall material type, the segmentation includes carbohydrates, proteins and lipids. The demand for proteins as wall material is expected to increase robustly, registering a CAGR of 10.0% during the forecast period.
Increasing R&D by companies on the development of clean label products with micro-encapsulation technology comprising no preservatives, added antioxidants and gelatin are expected to drive the demand for food encapsulation in the global market during the forecast period. However, the demand for food products that offer additional benefits is increasingly at a rapid pace, especially in emerging economies. This is attributed to increasing consumer awareness and improved consumer spending on food and beverages.
Region-wise, North America is expected to dominate the global food encapsulation market with a market share of 25.6% by 2020. However, Asia Pacific, excluding Japan, is expected to record highest CAGR of 10.2% during the forecast period. The growth is attributed to new product launches, geographical expansion by companies, and increasing demand for functional and fortified food products among consumers.
The prominent players in the global food encapsulation market include TasteTech Lt, Balchem Corp., Sensient Technologies Corp., Givaudan SA ADR, Symrise AG, Koninklijke DSM NV (ADR, Appvion Inc., Aveka Group, Firmenich International SA, International Flavours & Fragrances Inc. and BASF SE S/ADR.