July 17, 2024

Rise In Demand For Plant-Based And Clean Label Products Is Expected To Drive The Growth Of Fruit And Vegetable Ingredients Market

Market Overview:

Popular fruit ingredients include concentrated fruit purees, juices and powders from apples, berries, citrus fruits, mangoes and tropical fruits. Vegetable ingredients include dehydrated and freeze dried vegetables such as carrots, broccoli, spinach and tomatoes available in powdered or granulated form. These ingredients help enhance flavors, colors and nutritive value of food products. They are increasingly used in dairy, bakery, confectionery, snack foods, beverages and other processed food industries to fortify products with vitamins, minerals and antioxidants. The expanding processed and packaged food industry globally is driving the demand for these ingredients.

Market key trends:

One of the key trends in the fruit and vegetable ingredients market is the rise in demand for plant-based and clean label products. With increasing health consciousness, consumers are looking for ingredients derived from natural sources and without artificial additives, preservatives, colors or flavors. Food manufacturers are offering products with recognizable fruit and vegetable ingredients that appeal to consumers looking to adopt healthier diets.

Another trend is the growing popularity of exotic fruits with superfood status. Ingredients from acai, maqui, mangosteen, noni and goji are finding wider application in foods, beverages, nutraceuticals and cosmetics owing to their antioxidant properties. Technological advancements have also improved stability, shelf-life and versatility of fruit and vegetable ingredients. Novel processing techniques preserve maximum nutritional value.
Porter’s Analysis

Threat of new entrants: The threat of new entrants in the fruit and vegetable ingredients market is moderate. Sizeable capital investments are required to set up processing plants and meet stringent quality and safety standards.

Bargaining power of buyers: The bargaining power of buyers in the fruit and vegetable ingredients market is high. Buyers can switch between suppliers depending on pricing and quality easily as the ingredients are commoditized.

Bargaining power of suppliers: The bargaining power of suppliers in the fruit and vegetable ingredients market is moderate. There are many suppliers of raw materials but suppliers of high quality natural ingredients have some bargaining power.

Threat of new substitutes: The threat of substitutes in the fruit and vegetable ingredients market is low as the ingredients are used for their nutritional and functional benefits that are difficult to substitute.

Competitive rivalry: High in the fruit and vegetable ingredients market due to many global and regional players competing on pricing, quality, and service.

The global Fruit and Vegetable Ingredients Market Demand is estimated to be valued at US$ 224.37 Bn in 2023 and is expected to exhibit a CAGR of 4.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Key Takeaways

The global fruit and vegetable ingredients market is expected to witness high growth, exhibiting CAGR of 4.6% over the forecast period, due to increasing demand for plant-based and healthy ingredients in food and beverage products.

The Asia Pacific region dominates the market and is expected to grow the fastest during the forecast period due to rising health consciousness, westernization of diets, and increasing disposable incomes in the region. China, India, Japan, and Australia are some of the major consumers in the regional market.

Key players operating in the fruit and vegetable ingredients market include Hans Zipperle AG, Archer Daniels Midland Company, Kerry Group, Sensient Technologies, AGRANA Beteiligungs-AG, Kanegrade Natural Ingredients, Taura Natural Food Ingredients, Olam International Limited, Sunopta, Inc., Roquette Freres, Sensoryeffects Ingredient Solutions, Yaax International Ltd, Diana SAS, Svz International BV, DMH Ingredients Inc., Cargill Incorporated, Tate & Lyle PLC, and Dohler Group.

Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it