Bioactive Ingredients Market size is forecast to reach $29.5 billion by 2025, growing at a CAGR of 6.3% during the forecast period 2020-2025. Bioactive ingredients refer to supplementary bio-molecules that are present in foods to adopt one or more metabolic progression for superior health. Bioactive food ingredients are typically found in multiple forms such as glycosylated, esterified, thiolated, or hydroxylated. Increasing consumer preference for natural products and high consumer awareness regarding the potential adverse effects of artificially produced food additives are the major factors driving the growth of the market. Shifting of consumers towards a healthier lifestyle and rising concerns related to allergies caused owing to added substances further enhance the overall market demand for Bioactive Ingredients Market during the forecast period 2020-2025.
Key Takeaways
- The Asia Pacific dominates the Bioactive Ingredients Market in 2019 owing to the rising consumption of flavored food & beverage products and increasing disposable income coupled with growing health awareness among consumers. The Bioactive Ingredients Market scope for different regions will be provided in the final report.
- Growing health consciousness among the consumers and increasing health care expenses are likely to aid in the market growth of the Bioactive Ingredients Market.
- Detailed analysis of the Strength, Weakness, and Opportunities of the prominent players operating in the market will be provided in the Bioactive Ingredients Market report.
- Lack of a regulatory framework to validate health claims and the stringent rules and intense regulatory scrutiny for the utilization of food ingredients is set to create hurdles for the Bioactive Ingredients Market.
Ingredient Type - Segment Analysis
The Omega 3 Fatty Acids held the largest share in the Bioactive Ingredients Market in 2019 and is estimated to grow at a CAGR of 5.6% during the forecast period 2020-2025. Omega 3 Fatty Acids are widely distributed in nature, being important constituents of animal lipid metabolism, and they play an important role in the human diet and human physiology. Mammals are unable to synthesize the essential omega−3 fatty acid ALA and can only obtain it through diet. However, they can use ALA, when available, to form EPA and DHA, by creating additional double bonds along its carbon chain (desaturation) and extending it (elongation). Probiotics are live bacteria and yeasts that are good for the digestive system. Prebiotics are compounds in food that induce the growth or activity of beneficial microorganisms such as bacteria and fungi. Dietary prebiotics is typically nondigestible fiber compounds that pass undigested through the upper part of the gastrointestinal tract and stimulate the growth or activity of advantageous bacteria that colonize the large bowel by acting as a substrate for them Omega 3 Fatty Acids is set to be the highest growing segment and is estimated to register the highest CAGR during the forecast period 2020-2025 owing to its characteristics to reduce blood pressure, reduce triglycerides, and reduce the chance of abnormal heart rhythm.
Application- Segment Analysis
The Food & Beverage held the largest share in the Bioactive Ingredients Market in 2019 owing to the health benefits of bioactive ingredients. Bioactive ingredients-based food and beverage products are rich in vitamins, minerals, and fibers, and have low calorific value. Bioactive compounds are capable of modulating metabolic processes and demonstrate positive properties such as antioxidant effect, inhibition of receptor activities, inhibition or induction of enzymes, and induction and inhibition of gene expression. Bioactive ingredients may naturally occur, such as the fatty acids in milk, or are produced in a certain environment, such as the controlled fermentation of vegetable matter to produce alcohol. The Food & Beverage are set to be the highest growing segment and are estimated to register the highest CAGR during the forecast period 2020-2025 owing to its advancement in technology, these ingredient usages are set to increase from its current uses too many other new areas of the human health.
Geography - Segment Analysis
Asia Pacific dominated the Bioactive Ingredients Market in 2019 with a share of more than 38%, followed by North America owing to the rising urbanization and consumers are turning to healthy diets and are more concerned about the consumption of healthy nutrients. The availability of biotech processes such as plant tissue culture, microbial fermentation, and bioconversion that enable the conversion of fruit & vegetable ingredients into flavors affecting the nutritional value is increasing the growth of the global bioactive ingredients market in this region.
However, North America is estimated to grow at a higher CAGR during the forecast period 2020-2025 owing to the high consumer awareness regarding produced food additives. Consumer shift towards healthier lifestyles and the growing adoption of health and wellness food products is also increasing the growth of the global bioactive ingredients market in this region.
Drivers – Bioactive Ingredients Market
- Growing health consciousness among the consumers and increasing health care
Growing health consciousness among the consumers and increasing health care is increasing the growth of the global active ingredients market. Consumer awareness of health issues, a greater focus on fitness, higher personal incomes, and the urbanization of emerging economies is increasing the demand for bioactive ingredients. Progressive Health and wellness consumers are seeking alternatives to fear-based information, a phenomenon that has been driving wellness views for decades. Consumers see the convergence as being all about mindfulness, integrity, and authenticity. Recent technological advances such as microencapsulation are adopted for protecting bioactive ingredients from unwanted reactions and oxidation. There is a rising demand among manufacturers to find suitable solutions that provide higher productivity and adequate quality of the final products. Thus, increasing the growth of the global bioactive ingredients market during the forecast period 2020-2025.
- Consumer shift towards a healthier lifestyle and rising concerns related to allergies caused owing to added substances
Consumer shift towards a healthier lifestyle and rising concerns related to allergies caused owing to added substances is increasing the growth of the global active ingredients market. Organic food consumption may reduce the risk of allergic disease and overweight and obesity, but the evidence is not conclusive owing to likely residual confounding, as consumers of organic food tend to have healthier lifestyles overall. Differences in the composition between organic and conventional crops are limited, such as a modestly higher content of phenolic compounds in organic fruit and vegetables, and likely also a lower content of cadmium in organic cereal crops. Organic dairy products, and perhaps also meats, have a higher content of omega-3 fatty acids compared to conventional products. However, these differences are likely of marginal nutritional significance. Thus, increasing the growth of the global bioactive ingredients market during the forecast period 2020-2025.
Challenges – Bioactive Ingredients Market
- Lack of a regulatory framework to validate health claims and the stringent rules and intense regulatory scrutiny for the utilization of food ingredients
Some of the factors that may impede the growth of the Bioactive Ingredients Market are lack of a regulatory framework to validate health claims and the stringent rules and intense regulatory scrutiny for the utilization of food ingredients.
Global Bioactive Ingredients Industry Outlook
Product launches, mergers and acquisitions, joint ventures, and R&D activities are key strategies adopted by players in the Bioactive Ingredients Market. In 2019, the Bioactive Ingredients Market share is consolidated by the top ten players present in the market. Global Bioactive Ingredients, the top 10 companies are Cargill Incorporated, Ajinomoto Co. Inc, BASF SE, Archer Daniels Midland Company, DuPont, Sabinsa Corporation, Mazza Innovation Ld., and Ingredion Incorporated among others.
Acquisitions/Product Launches
- In September 2017,Nestle acquired Bottle Cofee and Sweet Earth Foods.
- In April 2017,Danone acqired Whitewave to create DanoneWave.
