The global food flavors market size is predicted to grow at a CAGR of 3.5% between 2022 and 2027, reaching a value of $21.3 billion by 2027 from a projection of $18.0 billion in 2022.
The food flavors market in the US is experiencing significant growth driven by several key factors:
- Consumer Demand: Consumers in the US are increasingly seeking diverse and unique flavor experiences in their food products. This demand is fueled by changing lifestyles, increased exposure to global cuisines, and a growing interest in culinary experimentation.
- Health and Wellness Trends: With a rising focus on health and wellness, consumers are looking for healthier food options without compromising on taste. Food flavor manufacturers are responding by developing natural and clean label flavors that meet consumer preferences for healthier ingredients.
- Innovation and Product Development: Food companies are investing in innovation and product development to introduce new flavors and reformulate existing products to meet changing consumer preferences. This includes the development of ethnic and exotic flavors, as well as flavors inspired by popular trends such as plant-based eating and functional foods.
- Convenience and Snacking: The growing trend towards convenience and snacking has created opportunities for flavor innovation in snack foods, ready-to-eat meals, and on-the-go products. Consumers are looking for convenient options that offer bold and exciting flavors to satisfy their cravings.
- E-commerce and Digital Marketing: The rise of e-commerce and digital marketing has facilitated greater access to a wide range of food products and flavors. Online platforms enable consumers to discover and purchase new and unique flavors, driving growth in the food flavors market.
Overall, the food flavors market in the US is growing as manufacturers respond to changing consumer preferences and market trends by innovating and diversifying their product offerings.
The key players in the Food flavors market include Archer Daniels Midland (ADM) (US), International Flavors & Fragrances (US), Givaudan (Switzerland), and Kerry Group (Ireland), among others.
The key strategies the leading market players have adopted recently include product launches, partnerships, acquisition, collaboration, and expansion to maintain their position in the market. In March 2021, Givaudan partnered strategically with Bellomy, a full-service market intelligence firm, to launch FlavorFinders, for the North American market to meet the consumer demand for flavors. In March 2020, IFF collaborated with Evolva (Switzerland), a biotech company, to develop and commercialize vanillin flavor. Under the terms of this agreement, IFF was responsible for the commercialization of the vanillin product that Evolva, a Swiss biotech company developed. In June 2019, Kerry Group opened its production facility in India to expand the taste and nutrition business of the company in the country.