Market Overview:
Encapsulated Flavors and Fragrances Market size is projected to reach USD 6.97 Billion units by 2028 from an estimated USD 4.79 Billion units in 2021, growing at a CAGR of 5.5% globally.
Encapsulation describes the process of encasing flavoring or aroma molecules in a particular container. The deterioration or loss of flavor and smell during the various processes and storage of specific items is lessened with encapsulation. The envelope can further provide functional qualities like the regulated release of aromatic compounds in a certain environment. While the coating material is referred to as a shell or encapsulated material, the material that is being covered is characterized as an active or core material. Additionally, flavors are pricy and delicate ingredients that are used as a supplement in food goods.
Top Key Players Covered In The Encapsulated Flavors and Fragrance Market:
- Cargill Incorporated (U.S.)
- Kerry Group PLC. (Ireland)
- Tate and Lyle PLC. (UK)
- International Flavors and Fragrance Ltd. (U.S.)
- DSM (Netherlands)
- Ingredion Incorporated (U.S.)
- Lycored (Israel)
- Balchem Inc. (U.S.)
- TasteTech (UK)
- DuPont (U.S.)
- ABCO Laboratories Inc. (U.S.)
- Clextral (France)
- Sphera Encapsulation (Israel)
- Symrise (Germany)
- Sensient Technologies Corporation (U.S.)
- Institutes of Food Technologists (U.S.)
- Vitasquare (U.S.)
- AVEKA Inc. (U.S.)
- BASF SE. (Germany)
- Firmenich S.A. (Switzerland), and Other Major Players.
Market Dynamics and Factors:
Due to customers' busy and demanding schedules, changing consumer lifestyles and an increase in demand for packaged food and beverages have accelerated market expansion over time. Additionally, a shift in customer tastes towards prepared, ready-to-eat, and quick food as a result of time constraints and a fast-paced lifestyle would boost industry growth. One of the key factors fueling the market growth in the anticipated time is a rising demand for authentically flavored and fragranced items. Leading players are primarily focused on new product innovation and launch to attain market expansion is the major factor to stimulate market growth over the forecast period.
Increasing consumption of convenience food products will provide lucrative opportunities for encapsulated flavors and fragrances and is expected to drive the Encapsulated Flavors and Fragrance Market. Encapsulated flavors and fragrances are designed to provide a controlled release of flavor or aroma over a period of time. This technology is commonly used in convenience food products, such as ready-to-eat meals, snacks, and baked goods, to enhance their taste and aroma. Encapsulation technology also helps to preserve the flavor and aroma of food products, which can deteriorate during storage. As the demand for convenience food products continues to grow, so does the demand for encapsulated flavors and fragrances. Manufacturers can develop new products that cater to the needs of this specific market,
Encapsulated Flavors and Fragrance Market Report Highlight:
- By Product Type, the flavor blends segment is anticipated to lead the growth of the Encapsulated Flavors and Fragrance market in the forecasted timeframe. Due to switching consumer preferences towards fortified food, eating habits are boosting the encapsulated product demand.
- By Encapsulated Form, the paste segment is expected to have the highest share of the Encapsulated Flavors and Fragrance market over the projected period. High production capacity, economic feasibility, particle size flexibility, and feedstock versatility is driving the segment in the market.
- By Technology, the physicochemical process segment is set to develop at the highest CAGR during the forecasted timeframe. Physicochemical encapsulation is a process that involves the formation of a coating around the flavor or fragrance compound by combining chemical and physical methods. This method provides a balance between the effectiveness of chemical methods and the mildness of physical methods.
- By Application, the food and beverages segment is anticipated to lead the growth of the Encapsulated Flavors and Fragrance market in the forecasted timeframe. Healthy snacks, confectionery goods, and others are driving the industry due to the rising demand for packaged food. In addition, more consumers are adopting healthier eating habits.
- The Asia Pacific region is expected to have the highest share of the Encapsulated Flavors and Fragrance market over the projected period. The market is being driven by reasons such as a rapidly expanding population, rising per capita income, and rising demand for food and beverage products, and cosmetic and personal care products.
Key Industry Development:
- In December 2019, a Collaboration between International Flavours and Fragrance Ltd. and DuPont Nutrition and Biosciences Business, with a combined deal value of $45.4 billion. Future gains from the merger will come from the creation of new product lines and client segmentation.
- In March 2021, Ingredion Incorporated announced agreements with Amyris Inc., a top producer of synthetic biotechnology products, to produce and market food components based on fermentation and sugar reduction.
Encapsulated Flavors and Fragrance Market Segmentation:
By Product Type
- Flavor Blends, Fragrance Blends
- Essential Oils & Natural Extracts
- Aroma Chemicals
- Others
By Encapsulated Form
- Powder
- Paste
- Granules
By Technology
- Physical Process
- Physicochemical Process
- Chemical Process
- Extrusion
- Fluid Bed
- Others
By Application
- Food & Beverages
- Consumer Goods
