Our September sale is now live until 30th September 2021! Apply a 15% discount to your cart in Store using promotional code: EQLYSEP21

The World Market for Ingredients

May 2020

Ingredients in packaged food are largely driven by a rise in flexitarian diets with non-animal proteins on the rise while milks are in decline. Growth is also largely dependent on health benefits, with sucrose declining due to links with obesity as well as increased regulation in many markets. Beauty and personal care ingredients are largely impacted by green and clean trends, with negative growth in abrasives/inorganics due to the former and decline in anionic surfactants due to the latter.

USD 1,325
Request More Information

Key findings

Asia Pacific remains the biggest player in ingredients consumption

Asia Pacific is the largest region for ingredients across industries with 595 million tonnes consumed in 2018. Western Europe and North America are the second and third largest regions, respectively.

All industries bar tobacco show growth

Most industries showed growth between 2013 and 2018, except for alcoholic drinks and tobacco which showed flat and negative growth, respectively. In both cases, this is largely due to mindful consumption and healthy living.

“Healthy” ingredients thrive in packaged food

Ingredients perceived as healthier, such as protein, grew in packaged food between 2013 and 2018 as consumers looked to increase their intake of these in line with healthy and active living trends. Artificial sweeteners also benefited from this as particular markets introduced sugar taxes to tackle obesity.

Rise in “flexitarian” diets challenges milk

Milk struggles in many markets due to “flexitarian” diets and a shift towards milk alternatives and dairy-free products. Asia Pacific defies the trend due to its growing milk-based drinks and yoghurt market.

Clean and environmental concerns effect ingredient consumption in beauty and personal care

Surfactant cleansers and adjuvants remain threatened in beauty and personal care due to the clean movement, while abrasives/inorganics begin to be threatened by concerns over microplastics, as well as a shift towards chemical exfoliation.

Asia Pacific’s strong shampoo growth offsets surfactant decline

Decline in surfactant cleansers and adjuvants in products in Asia Pacific is offset by the growing shampoo market, which continues to see high adoption rates.

Introduction

Scope
Key findings

Overview

Ingredients largely split between ingestible and non-ingestible
Asia Pacific is the largest market but MEA is growing faster
Packaged food is the largest market with the second largest growth
Weak growth in tobacco and alcoholic drinks

Packaged Food

Strongest growth from fats and oils in packaged food
Plant-based diets and sugar taxes impact demand
Asia Pacific bucks the trend in milk
Opportunity in milk alternatives varies regionally

Beauty and Personal Care

Surfactants: Largest category but slowest growth
Clean trend and regulation impact consumption
Asia Pacific defies low growth surfactants trend

Industry Snapshots

Alcoholic Drinks: Historic Growth and Regional Breakdown
Home Care: Historic Growth and Regional Breakdown
Hot Drinks: Historic Growth and Regional Breakdown
Pet Care: Historic Growth and Regional Breakdown
Soft Drinks: Historic Growth and Regional Breakdown
Tobacco: Historic Growth and Regional Breakdown

Prospects

2019 marks the final year of normality for long-term trends
The 5-step consumer progression of COVID-19
A progression of challenges for fmcg industry over 2020-2021
Most impacted fmcg categories
Most ingredients likely to benefit from shifting demand...
… while some ingredients face difficulties
Share:

NEW REPORT GUARANTEE

If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extract FREE! Home Page