Australia and New Zealand Food Flavors and Enhancers Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

Australia Food Flavors and Enhancers Market is projected to grow at a CAGR of 4.37% during the forecast period and New Zealand Food Flavors and Enhancers Market is projected to grow at a CAGR of 5.11% during the forecast period.

Key Highlights

• Owing to the rising consumers inclination toward healthier foods, food manufacturers are constantly quitting the usage of predominant synthetic flavors, resulting in surge for natural flavors.
• Increased usage of flavors in beverages can be attributed to the constant innovations and developments acknowledging the market. Food manufacturers are increasingly introducing beverages with different flavors to entice consumers’ taste buds, further uplifting the ingredient market, including flavors.
• With the surged acknowledgment of detrimental attributes of some flavorings and enhancers among consumers, as well as regulatory bodies, Australian and New Zealand governments have rolled out regulations to limit the usage of flavors in processed food, resulting in a roadblock for manufacturers involved in the production of respective ingredients.

Key Market Trends

Escalating Demand for Plant Derived Food Ingredients

The unceasing innovation and developments in the flavor market has been tapping the emerging food and beverage industries. Plant-derived vegan flavors in the food ingredients market have emerged as a boon for businesses dedicating operations for vegan products. Moreover, rising vegan population in the countries remain primary factor boosting the market studied. The top 10 ingredients being avoided by Australian consumers are: MSG, artificial preservatives, artificial flavors, artificial sweeteners, foods with BPA packaging, artificial colors, sugar, sodium, Antibiotics/hormones in animal feed. These ingredients are being avoided primarily because of their perceived impact on health. Underlying concerns about animal welfare majorly influences consumers to switch to proclaimed healthier diet, as does the longing for people to manage their weight.

Rising Demand for RTD Beverages and Frozen Desserts

Owing to the fast-paced lifestyle of the generation, consumers are increasingly inclining toward convenience food products, including instant soups, sauces, noodles, baked goods, and other ready meals, owing to their instant nature i.e. lesser preparation time and easy handling. However, despite the need to rely on comfort foods, consumers are reluctant to compromise on flavor. Younger age group in precise, are the primary consumer base constantly willing to discover varied culinary traditions, in interest of their taste buds. Continuous growth in the use of natural ingredients is expected to increase, as consumers prefer RTD beverages which are natural, fresh, lighter and which contain no preservatives, as opposed to artificial tasting soft drinks in both Australia and New Zealand. This has led to high product innovation in the market.

Competitive Landscape

Australia and New Zealand food flavors and enhancers market is consolidated and expansion is the most adopted strategy in the Australia-New Zealand food flavors and enhancers market followed by mergers and acquisition. Companies are also focusing on expanding their facilities, in terms of innovation centers to procure new flavors from regional sources to introduce new flavor ingredient lines. The major players in the market are Givaudan, IFF, Symrise, Takasago, and Sensient Technologies, etc.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support