Global Clean Label Ingredients Market to Reach US$ 72.7 Bn by 2029
The global clean label ingredients market is projected to reach US$ 72.7 Bn by the end of 2029. The market was valued at US$ 39.1 Bn in 2019. If these figures hold true, the market will exhibit a CAGR of 6.4% between 2019 and 2029. Regionally, North America and Europe continue to be leading markets for clean label ingredients. However during the forecast period, Asia Pacific is expected to emerge as a more attractive market. In terms of form, the market can be classified into liquid and dry. Of these, the dry segment is forecast to lead the global market.
KEY RESEARCH FINDINGS
- Clean label ingredients market is a consumer-driven market. This entails that the market primarily covers food products that are natural, organic, and free from any preservatives or additives.
- Consumers’ preference for organic food as they get more conscious about their health is the chief growth driver of the market. Their shift in food choices is aided by the increasing disposable income and their willingness to spend on healthy food products.
- North America and Europe are currently dominant markets for clean label ingredients. Consumers in these regions have better access to resources, which inevitably makes them more aware about the latest trends in the food and beverages industry. In addition to this, due to increased awareness, they are more likely to spend on clean label products, especially since they have higher purchasing power.
- In the coming years, Asia Pacific and MEA are likely to emerge as the most lucrative markets for clean label ingredients. A surging millennial population is at the forefront the increasing demand, thus positively impacting the clean label ingredients market.
- The increasing application of clean label ingredients in bakery products, confectionery, condiments and sauces and frozen dessert will boost the market in the coming years.
FACTORs shaping THE CLEAN LABEL INGREDIENTS MARKET
Growing Trend of Organic Food Consumption
The last few decades have witnessed an upsurge in the popularity of organic food across the world. Rising health consciousness in the wake of a fast-paced lifestyle is attracting manufacturers to augment production of clean label ingredients. Moreover, people are also becoming more concerned about the harmful effects of synthetic foods on the environment, an important factor determining the shift towards organic food.
Rising Disposable Income
As consumers experience an increase in their standard of living, their per capita incomes are increasing. More people are being employed in high-paying jobs, allowing them to afford more expensive products. Today, a large proportion of people are willing to pay a premium price for clean label ingredient-enhanced products because their health concerns take priority over the money they earn.
As the novel coronavirus spreads its tentacles, an eclipse looms over the future growth prospects of the clean label ingredients market. Strict lockdowns and social distancing measures have compelled market players to either reduce or shut down their production cycles, supply chain operations, product commercialization, and vendor operations. As people increasingly restrict their outdoor activities such as shopping, the sales of bakery products, confectioneries and frozen desserts have fallen. Consequently, their production has stalled, doing away with the need to use clean-label ingredients.
However, a resurgence is expected in the latter half of 2020 as the infection curve flattens. Social distancing measures will be more relaxed, allowing market players to resume their operations. This is anticipated to restore balance to the demand-supply equation. Consumer demand shall witness a resurgence as people will be in a position to venture into marketplaces to shop for their favourite food items, thus augmenting market prospects for clean-label ingredients.
Market STRUCTURE ANALYSIS
- Key companies are tapping into the shifting consumer consumption patterns to leverage their market prospects. For instance, Cargill is engaged in the production of allergen-free lecithins to answer bakery consumer demand.
- On a similar note, Archer Daniels Midland (ADM) company has boosted its clean label portfolio by introducing organic bread flour with high protein content and gluten strength.
- Sensient Technology specializes in clean label food colors named Cardea. The brand includes completely natural ingredients and concentrates.
Base year considered
Actual estimates/Historical data
2014 - 2018
2019 - 2029
Value (USD) Bn
Product Type, Application, Form and Region
North America, Latin America, Europe, East Asia, South Asia, Oceania and MEA
Cargill, Brisan, Archer Daniels Midland Company, Sensient Technology Corporation, Corbion N.V., Koninklijke DSM N.V., Kerry Group PLC, Tate & Lyle PLC , Beneo, Arjuna Naturals Extracts Ltd , E.I. Dupont De Nemours and Company
Revenue forecast, company share, competitive landscape, growth factors, and trends
Dry Clean Label Ingredients to Remain in High Demand
Organic foods are in high demand, compelling leading players in the food and beverages sector to rethink their production strategies. In order to woo the expanding demography of health conscious consumers, an increasing number of companies are including natural ingredients in their portfolio. This automatically creates attractive market for clean label ingredients. This factor, aided by the rising disposable income of consumers and their subsequent willingness to spend on high priced but better quality food are driving the clean label ingredients market. Currently, the demand for dry clean label ingredients is considerably high. The trend is likely to continue through the course of the forecast period. According to the report, the overall clean label ingredients market can be bifurcated into dry and liquid in terms of form.
Economic Expansion to Offer Major Growth Opportunities in Developing Nations
Regionally, the global clean label ingredients market covers North America, Latin America, Europe, East Asia, South Asia, Oceania and the Middle East and Asia. Among these regions North America and Europe currently lead the market. A key factor to consider here is that attitude of regional consumers often has major implications on the market, making it far too difficult to establish ubiquitous standards. A majority of clean label ingredients are high prices and they are have potentially shorter shelf life. Furthermore, most market players increase the inventory of products to cohere to restrictions. This yet again increases the overall cost of production therefore the product, which in turn challenges the market.
Countries in Asia Pacific and MEA however offers substantial growth opportunities to the market. Impressive economic growth witnessed in the last couple of years resulted in the rising population of working people. As a result consumers are left with lesser to invest in cooking food at home, in turn bolstering the demand for organic and clean label products.
Rising Awareness among Consumers will Stoke Growth Opportunities
The rising awareness among consumers will drive clean label ingredients market. In addition to this, the market will benefit from their increasing disposable incomes and consequent willingness to spend on organic food. In developed markets, sales are likely to remain high, aided by the presence of high awareness among consumers. Also their purchasing power is comparatively high, which will support the growth of the market.
Flours segment held the leading market share
Fruit and vegetable ingredients segment forecast to higher rate of growth
Dry segment held lion’s share in the market
Liquid segment to remain the second-lead
Prepared food/ Ready Meals & Processed Food segment holds dominance
Cereals and Snacks segment to rise at a higher CAGR
How Growth will Unfold
Healthy living and focus on wellness constitute some of the most popular trends today. These trends not only influence lifestyle of millennial, but their purchase decisions as well, making it imperative for companies to keep pace with the dynamic consumer preferences. As a result an increasing number of companies in the food sector are shunning the use of artificial or synthetic additives to opt for organic ingredients. In addition to this, consumers nowadays have easy access to information – thanks to modern technology. They often read through label of various food products before buying them. Due to the prevailing trend, an increasing number of producers are using clean label ingredients in their products. This is also rather necessary for them to survive in a highly competitive market.
* This data is only a representation. Actual data may vary and will be available in report.Click Here To Know How The Growth Will Unfold
Custom Market Research Services
FMI offers custom market research services that help clients to get information on their business scenario required where syndicated solutions are not enough.
Clean Label Ingredients Market: Global Industry Analysis 2015-2019 & Opportunity Assessment 2020-2030
A recent market study published by Future Market Insights on the Clean Label Ingredients market offers global industry analysis for 2015-2019 & opportunity assessment for 2019-2029. The study offers a comprehensive assessment of the most important market dynamics. After conducting a thorough research on the historical, as well as current growth parameters of the Clean Label Ingredients market, the growth prospects of the market are obtained with maximum precision.
Clean Label Ingredients Market Taxonomy
The global Clean Label Ingredients market is segmented in detail to cover every aspect of the market and present complete market intelligence to readers.
- Natural Colours
- Natural Flavour
- Starch & Sweeteners
- Fruits & Vegetable ingredient
- Culinary Products
- Cereals & Snacks
- Dairy & Frozen dessert
- Prepared food (Ready meals) & Processed food
- North America
- Latin America
- East Asia
- South Asia
The executive summary of the Clean Label Ingredients market includes the market proprietary wheel of fortune, demand-side and supply-side trends, opportunity assessment, and recommendations on the global Clean Label Ingredients market.
Readers can find the detailed segmentation and definition of the Clean Label Ingredients market in this chapter, which will help them understand basic information about the Clean Label Ingredients market. This section also highlights the inclusions and exclusions, which help the reader understand the scope of the Clean Label Ingredients market report.
The associated industry assessment of the Clean Label Ingredients market is carried out in this section. The macroeconomic factors affecting growth of the Clean Label Ingredients market are provided in this section and the impact of these macroeconomic indicators on the Clean Label Ingredients market is analyzed. The processing overview and technological advancements in the Clean Label Ingredients market is also provided.
Profit margins at each level of the Clean Label Ingredients market are analyzed and readers can find detailed information on top importers and exporters as well as the value chain of the Clean Label Ingredients market.
The drivers and restraints impacting the growth of the Clean Label Ingredients market are explained in this chapter. Opportunities and ongoing trends in the Clean Label Ingredients market are also comprehensively discussed.
This chapter includes detailed analysis of the historical Clean Label Ingredients market (2015-2019), along with an opportunity analysis for the forecast period (2020-2030). Readers can also find the absolute $ opportunity for the current year (2019 - 2020) and incremental opportunity for the forecast period (2020-2030).
Based on product type, the Clean Label Ingredients market is segmented into Natural Colours, Natural Flavour, Starch and sweeteners, Flours, Fruits and vegetable ingredient, Culinary Products. In this chapter, readers can find information about key trends and developments in the Clean Label Ingredients market and market attractiveness analysis based on raw material.
Based on Application, the Clean Label Ingredients market is classified into Beverages, Cereals, Dairy & Frozen desserts, Bakery and Prepared food . This part also offers market attractiveness analysis based on Application.
Based on Form, the Clean Label Ingredients market is classified into dry and liquid. This part also offers market attractiveness analysis based on Form
This chapter explains how the Clean Label Ingredients market is anticipated to grow across various geographic regions such as North America, Latin America, Europe, South Asia, East Asia, Oceania, and Middle East and Africa.
This chapter includes a detailed analysis of the growth of the Clean Label Ingredients market in North America, along with a country-wise assessment that includes the U.S. and Canada. Readers can also find regional trends, regulations, and market growth based on end users and countries in the North America region.
Readers can find detailed information about several factors, such as the pricing analysis and regional trends, which are impacting growth of the Clean Label Ingredients market in Latin America. This chapter also includes growth prospects of the Clean Label Ingredients market in leading LATAM countries such as Brazil, Mexico, and the Rest of Latin America.
Important growth prospects of the Clean Label Ingredients market based on its end users in several countries such as Germany, U.K., France, Italy, Spain, BENELUX, Nordic, Russia, Poland, and the Rest of Western Europe are included in this chapter.
In this chapter, readers can find information about key trends and developments in the key countries of South Asia such as India, Thailand, Malaysia, Indonesia, Singapore, and Rest of South Asia Clean Label Ingredients market.
This chapter includes a detailed analysis of the growth of the Clean Label Ingredients market in the East Asia region, along with a country-wise assessment that includes, Japan, China, and South Korea. Readers can also find regional trends, regulations, and market growth based on end users and countries in the APEJ region.
This chapter offers insights into how the Clean Label Ingredients market is expected to grow in major countries in the Middle East region such as Australia and New Zealand, during the forecast period 2020-2030.
This chapter contains information about the market growth of Clean Label Ingredients in Middle East region such as GCC Countries, South Africa, North Africa, and the Rest of Middle East, during the forecast period 2020-2030.
In this chapter, readers can find detailed information about tier analysis and market concentration of the key players in the Clean Label Ingredients market along with their market presence analysis by region and product portfolio.
In this chapter, readers can find a comprehensive list of leading manufacturers in the Clean Label Ingredients market, along with detailed information about each company, which includes company overview, revenue shares, strategic overview, and recent company developments. Some of the market players featured in the report are Cargill, Brisan, Archer Daniels Midland Company, Sensient Technology Corporation, Corbion N.V., Koninklijke DSM N.V., Kerry Group PLC, Tate & Lyle PLC , Beneo, Arjuna Naturals Extracts Ltd , E.I. Dupont De Nemours and company.
This chapter includes a list of acronyms and assumptions that provide a base to the information and statistics included in the Clean Label Ingredients report.
This chapter helps readers understand the research methodology followed to obtain various conclusions, as well as important qualitative and quantitative information, on the Clean Label Ingredients market.
How the research was conducted?
- C - Level Executives
- Marketing Directors
- Sales Heads
- Production Managers
- Distributors Heads
- Sales Executives
- Product Manufacturers
- Industry Experts
- End Users
- Current Market Dynamics and Challenges
- Market Characteristics
- Market Performance and Growth Quadrants
- Competition Structure and Market Structure
- Strategic Growth Initiatives
- Near-term and Long-term Market Growth Prospects
- Market Segment Splits and Authenticity
- Opinions on Market Projections and Validity Of Assumptions
- Industry Publications
- Industrial Week
- Industrial Product Review
- Industrial Magazine
- Industry Associations
- Dieticians Association
- Food and Agriculture Organization
- Company Press Releases
- Annual Reports and Investor Presentations
- Research Papers
- Government Websites and Publications
- Trade Websites
Primary Interview Splits