Natural Food Preservatives Market

Natural Food Preservatives Market Outlook

The global market for natural food preservatives revenues will nearly double between 2021 and 2031, reaching nearly US$ 800 Mn in 2031 with a 10-year compound annual growth rate (CAGR) exceeding 7%

Upsurge in demand for convenience products and growing emphasis on organic foods has led to rising preference for foods with longer shelf lives, consequently spurring natural food preservatives demand universally.

Key Points Covered in Natural Food Preservatives Industry Survey:

• Market Estimates and Forecasts 2016-2031
• Key drivers and restraints shaping market growth
• Segment-wise, Country-wise, and Region-wise Analysis
• Competition Mapping and Benchmarking
• Market Share Analysis
• Key Product Innovations and Regulatory Climate
• COVID-19 Impact on Natural Food Preservatives and how to navigate
• Recommendation on key winning strategies.

Consumption Analysis of Natural Food Preservatives from 2016-2020 Vs Future Outlook for 2021 to 2031

The market for natural food preservatives flourished at a CAGR of around 4% from 2016 to 2020. Rising consumption of clean-label ready-to-eat food products have boosted the global demand for natural food preservatives.

However, sales outlook of natural food preservatives as per Fact.MR’s report is fairly positive, expected to touch US$ 800 Mn following a CAGR of 7% from 2021-2031.

Based on type, the salt segment is the largest contributor to the organic food preservatives market. This was attributed to salt being easily available, cheap, and one of the earliest forms of food preservation used throughout the world.

How is Increased Preference for Organic Food Products Influencing Growth of Natural Food Preservatives?

As people become increasingly health-conscious, demand for organic and chemical-free foods is accelerating impressively. Furthermore, concerns regarding environmental sustainability are prompting manufacturers to incorporate more natural preservatives, thereby accelerating growth.

Additionally, increased internet and e-commerce penetration are boosting demand for organic food products worldwide. The usage of synthetic food in daily diet is hampering the consumer's health, consequently making people more concerned about health, prompting the move towards organic products.

Which are Some Lucrative Growth Opportunities for Natural Food Preservatives?

Rapidly growing understanding of animal welfare and changing dietary habits has led to surged demand for plant-based preservatives.

In last few years, beverage producers have implemented a better-for-you approach, which comprises the application of natural ingredients to attract an increasing number of healthy consumers. This, in turn, is projected to lead to the development of the demand for natural food preservatives.

What Are Some Key Trends in the Market?

The growing trend of nuclear families are promoting the consumption of ready-to-eat (RTE) food items that require minimal preparation and cooking time.

Additionally, their demand is anticipated to rise as gelling agents and flavor enhancers in beverages and confectionary items across the globe.

Key Challenges to Natural Food Preservatives Growth

Major limitations exist with respect to widespread application of antimicrobials by the food industry. For example, bioprotective cultures containing lactic acid bacteria have been used to prevent fungal infections in cereal-based products and bacterial spoilage of cooked hams.

However, the major drawback for commercial application has been the production of lactic acid bacteria metabolites, which may have undesirable sensory properties, such as off flavors or other defects.

Country-wise Analysis:

Why is the U.S. Experiencing High Demand for Natural Food Preservatives?

North America is one of the prominent regions in the natural food preservatives market that accounted for approximately 1/3rd of the total natural food preservatives market share in 2021. While, U.S is dominating the regional market with an estimated opportunity of US$ 396.3 Mn with a growth rate of 3.6%.

Rising incidence of diseases caused by synthetic ingredients in food has led to adoption for natural ingredients. Additionally, the presence of key players such as TRinternational, Inc., Chemical Stores Inc, Bentoli Inc, etc in United States have caused major developments in natural preservatives technology which gained ground.

Why is Natural Food Preservatives Demand Flourishing in China?

The market for natural food preservatives in China is expected to witness a CAGR of 4% during the 2021-2031 forecast period.

Key reasons for stimulating the demand of natural food preservatives are rapid urbanization, along with high consumer disposable income which led to progress in demand for packaged food including frozen food and desserts in China.

The market is also increasing due to increased demand for organic food which requires different types of food preservatives. Moreover, the presence of prominent manufacturers of natural food preservatives such as Cargill Inc., Kerry Group, Corbion Purac boosted the demand in the region with new innovative marketing strategies.

Category-wise insights:

Why is Salt Extensively Used as a Natural Food Preservative?

Salt has long been touted as one of the best natural preservatives and if it is Himalayan salt, it is even better. Owing to distinguished preservation properties, it is extensively used since ages.

According to Fact.MR’s projections, a market share of nearly 50% is expected. Additionally, it is an economical way of protecting spoilage of food products such as sea food, meat, and maintains the actual taste alongside.

How is Use of Antimicrobials Gaining Traction in the Natural Food Preservatives Industry?

According to the US Food and Drug Administration (FDA), more than 3,000 additives are permitted in food for imparting or maintaining certain functional and sensory properties, as well as to extend shelf life. Based on function, the antimicrobial segment held nearly 3/5th of the global natural food preservatives market.

Substitution of chemically synthesized antimicrobials with those from natural sources is a promising solution to allay consumers' concerns regarding the safety of their food supply.

Competitive Landscape

Prominent players are embracing innovative approaches such as ground-breaking marketing tactics, technological advances for cancer screening, mergers, and acquisitions.

• In Feb 2021, prominent player IFF completed its merger with DuPont’s nutrition & biosciences business. The combined company will continue to operate under the name IFF.
• In Sep, 2021 Chr. Hansen Holding A/S acquired Jennewein Biotechnologie GmbH to enter the high-growth human milk oligosaccharides market. The company plans to invest more than EUR 200 million in production assets until 2025, including an investment in a brown-field factory, to expand HMO capacity to supply the expected demand.

Report Scope

Attribute	Details
Forecast Period	2021-2031
Historical Data Available for	2016-2020
Market Analysis	US$ Mn for Value 000 Units for Volume
Key Regions Covered	North America Latin America Europe East Asia South Asia Oceania Middle East & Africa
Key Countries Covered	U.S Canada Brazil Mexico Germany U.K France Spain Italy Russia China India Japan South Korea Australia GCC South Africa
Key Market Segments Covered	Type Function Application Region
Key Companies Profiled	Archer Daniels Midland Company Handary S.A. Cargill Foods Naturex S.A E. I. du Pont de Nemours Merck KGaA Danisco Kalsec Inc. Kemin Industries, Inc. Brenntag Inc. Kerry Group Plc. BTSA Biotecnologías Aplicadas Siveele B.V. Royal DSM MAYASAN Food Industries A.S.
Pricing	Available upon Request

Key Segments Covered

• By Type :

  • Salt-based Natural Food Preservatives
  • Sugar-based Natural Food Preservatives
  • Oil-based Natural Food Preservatives
  • Honey-based Natural Food Preservatives
  • Citric Acid-based Natural Food Preservatives
  • Vinegar-based Natural Food Preservatives
  • Other Natural Food Preservatives

• By Function :

  • Antimicrobial Natural Food Preservatives
  • Antioxidants Natural Food Preservatives
  • Natural Food Preservatives for Other Functions

• By Application :

  • Natural Food Preservatives for Sea Food
  • Natural Food Preservatives for Meat & Poultry
  • Natural Food Preservatives for Bakery Products
  • Natural Food Preservatives for Dairy Products
  • Natural Food Preservatives for Snacks
  • Natural Food Preservatives for Beverages
  • Natural Food Preservatives for Fruits & Vegetables
  • Natural Food Preservatives for Other Applications