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Food additives market predominantly driven by the increased focus on health and nutrition

Industry Sector

Food and Drink


11 December 2012


Matt Bodimeade

Type of News


The global food additives market has been forecast to hit a market value of $37.7 billion by 2018, with the market being predominantly driven by the increased focus on health and nutrition, especially the need to control the spread of diabetes, obesity and food allergies, the emergence of value-added products, the need for convenience, and the commercialisation of new products.

Food additives are substances added to food to preserve flavour or enhance its taste and appearance. Some additives have been used for centuries, for example, preserving food by pickling (with vinegar), salting, as with bacon, preserving sweets or using sulfur dioxide as in some wines. With the advent of processed foods in the second half of the 20th century, many more additives have been introduced, of both natural and artificial origin.

The United States dominates the global market. Americans are particularly conscious of the calorie content, and hence low-calorie, low-fat foods are popular in the US. This indicates a growing demand for food additives, such as fat replacers, artificial sweeteners, and hydrocolloids.Food additives

Regionally, the fastest growth is expected to emanate from the Asia-Pacific region. Demand continues to increase from emerging economies such as China and India, which has led many suppliers to establish bases in these parts of the world. Chinese producers have assumed an increasingly significant presence in sectors of the market such as acidulants and vitamins.

A major trend to have affected the food additives industry in recent years has been the increase in consolidation, with BASF's recent acquisition of Cognis representing one such example.

Industry consolidation has been driven by a number of major factors, examples of which have included intense competition from Chinese producers, the increasing purchasing power of major multinational food manufacturers and retailers and a growing demand amongst customers for application-specific ingredients and tailored solutions.

For more information on the food additives market, see the latest research: Food Additives Market

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