the global savory ingredients market is estimated to be valued at USD 7.2 billion in 2020 and is projected to reach USD 9.3 billion by 2025, recording a CAGR of 5.2%. The demand for flavor enhancers witnessed a significant increase due to the availability of a variety of food choices for consumers. The demand for food consisting of different flavors is increasing at an exponential rate across the world. To meet this demand, highly cost-effective and innovative ways of producing flavors, which are added as flavor enhancers, are expected to propel the growth of the market.
However, the growing awareness regarding the ill-effects of synthetic savory ingredients, such as MSG, is one of the key factors restricting the growth of this market in developed regions, where the consumers are more inclined toward natural ingredients such as yeast extracts.
By type, the monosodium glutamate segment is projected to account for a larger share in the savory ingredients market
The monosodium glutamate segment is projected to dominate the market, on the basis of type, during the forecast period. This is attributed to the cost-effectiveness and wide application areas of MSG in food and feed applications. MSG is a sodium salt of glutamic acid and is the most widely used savory ingredient. It is generally added to food to enhance the salty or sugary flavor, even though it is tasteless. MSG is widely used in frozen foods, spice mixes, canned & dry soups, salad dressings, and meat or fish-based products.
By application, the food segment is expected to account for a larger share in the market during the forecast period
Based on application, the market for savory ingredients is segmented into food and feed. The food segment is estimated to account for a larger share because of the high consumption of savory ingredients, such as MSG and yeast extracts, in various food applications, such as prepared meals and snacks. The rising consumption of natural savory ingredients with the growing demand for clean label and free-from products drives the market for savory ingredients in the food industry.
By origin, the synthetic segment is expected to hold a major share of the savory ingredients market during the forecast period
Based on origin, the savory ingredients market is segmented into synthetic and natural. The synthetic segment is estimated to account for a larger share in the savory ingredients market because of its low cost and high usage in the food industry. The most commonly used synthetic savory ingredient, monosodium glutamate (MSG), finds wide applications in savory foods, soups, sauces, and other processed food products. Also, the extraction process of synthetic savory ingredients is easier and cheap as compared to natural savory ingredients. Thus, the demand for synthetic savory ingredients is high in the savory ingredients market.
Asia Pacific is projected to account for the largest market share during the forecast period
In 2019, Asia Pacific accounted for the largest market share in the savory ingredients market. The processed food industry in the Asia Pacific region is experiencing fast growth owing to changes in lifestyles and an increase in disposable income levels. The processed food market in the region is currently undergoing dynamic changes in response to rapid urbanization, diet diversification, and liberalization in the food sector.
The key players in this market include Givaudan (Switzerland), Lesaffre Group (France), ADM (US), Ajinomoto Co., Inc. (Japan), Koninklijke DSM N.V. (Netherlands), Kerry Group PLC (Ireland), Tate & Lyle PLC (UK), and AngelYeast Co., Ltd. (China).
