The global functional food ingredients market size is expected to reach USD 154.37 Billion in 2028 and register a revenue CAGR of 6.6% over the forecast period, according to latest report by Reports and Data. Increasing focus on credible labeling and certifications fueling demand for functional food ingredients is expected to drive market revenue growth. Food and beverage manufacturers and nutraceutical manufacturers are focusing on organic, clean labels, natural, non-GMO, and other certifications to drive the sale of their products. Demand for natural, organic, and clean label products is growing due to increase in the number of health-conscious consumers and rising consumer purchasing power.
Prevalence of chronic non-communicable diseases, such as high blood pressure, cardiovascular disease, and type 2 diabetes, has increased significantly, raising concerns about increased healthcare costs and reduced quality of life. Modern lifestyles have also been related to mental health issues like depression, poor concentration, and memory loss. As a result, consumers are focusing on intake of healthy and nutritionally-rich products to prevent such diseases, which is expected to create significant opportunities for players operating in the global functional food ingredients market.
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Some Key Highlights From the Report
- Probiotics segment is expected to expand at a significant revenue CAGR during the forecast period. Probiotics are a type of microorganisms, which when added to food products provide several health benefits, such as prevention of diarrhea, improvement in mental health conditions, reduction in severity of allergies and eczema, strengthening of immune system, and various other benefits.
- Energy drinks contain functional food ingredients like minerals, vitamins, and proteins. Several energy drinks have been developed by food & beverage manufacturers to provide certain specific health or medical benefits, such as improvement in heart health, immunity improvement, and enhancement in energy. Suppliers are looking to use new constituents in functional food that can provide better satisfation to consumer needs. For instance, suppliers of sports drinks are expanding their ingredient choices to improve sports nutrition, which is expected to provide a major boost to the global market.
- The market in Asia-Pacific is expected to register a rapid revenue growth rate in the global functional food ingredients market over the forecast period, which can be attributed to rising consumer disposable income and growing population in the region.
- In September 2020, ADM launched Arcon T textured pea proteins, Prolite MeatTEX textured wheat protein, and Prolite MeatXT non-textured wheat protein. These functional protein solutions would help improve the texture and density of meat substitutes and achieve a consumer-preferred, meat-like texture.
- Major companies profiled in the market report are Cargill, Inc., BASF SE, Archer-Daniels-Midland Company, Arla Foods amba, Kerry Group plc, Ajinomoto Co., Inc., Blattmann Schweiz AG, Ingredion Incorporated, Tate & Lyle PLC, and Euroduna Food Ingredients GmbH.
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For this report, Reports and Data has segmented the global functional food ingredients market on the basis of type, source, health benefits, application, and region:
- Type Outlook (Revenue, USD Billion; 2018-2028)
- Probiotics
- Proteins & Amino Acids
- Phytochemical & Plant Extracts
- Prebiotics
- Fibers & Specialty Carbohydrates
- Omega-3 Fatty Acids
- Carotenoids
- Vitamins
- Minerals
- Others
- Source Outlook (Revenue, USD Billion; 2018-2028)
- Natural
- Animal
- Microbial
- Plant
- Synthetic
- Natural
- Health Benefits Outlook (Revenue, USD Billion; 2018-2028)
- Gut Health
- Cardiovascular Health
- Bone Health
- Immunity
- Nutritive Health
- Weight Management
- Others
- Application Outlook (Revenue, USD Billion; 2018-2028)
- Food
- Infant Food
- Dairy & Dairy-based Products
- Bakery Products
- Confectionery Products
- Snacks
- Meat & Meat Products
- Others
- Beverages
- Energy Drinks
- Juices
- Health Drinks
- Food
- Regional Outlook (Revenue, USD Billion; 2018-2028)
- North America
1. United States
2. Canada
3. Mexico - Europe
1. Germany
2. United Kingdom
3. France
4. Italy
5. Spain
6. Sweden
7. BENELUX
8. Rest of Europe - Asia-Pacific
1. China
2. India
3. Japan
4. South Korea
5. Rest of APAC - Latin America
1. Brazil
2. Rest of LATAM - MEA
1. Saudi Arabia
2. UAE
3. South Africa
4. Israel
5. Rest of MEA
- North America
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