Food Ingredients Market Report 2026

The food ingredients market size has grown strongly in recent years. It will grow from $74.61 billion in 2025 to $79.35 billion in 2026 at a compound annual growth rate (CAGR) of 6.4%. The growth in the historic period can be attributed to expansion of processed food consumption, rising demand for food preservation solutions, increased use of additives in packaged foods, growth of industrial food processing, regulatory emphasis on food safety.

The food ingredients market size is expected to see strong growth in the next few years. It will grow to $102.15 billion in 2030 at a compound annual growth rate (CAGR) of 6.5%. The growth in the forecast period can be attributed to increasing demand for functional foods, rising adoption of plant-based ingredients, expansion of personalized nutrition trends, growing investments in food R&D, increasing focus on sustainable ingredient sourcing. Major trends in the forecast period include growing demand for clean-label ingredients, rising use of functional and nutritional additives, expansion of natural flavoring and coloring solutions, increasing focus on food safety and shelf-life enhancement, higher adoption of customized ingredient blends.

The rising demand for ready-to-eat products is expected to drive growth in the food ingredients market. Ready-to-eat products, available in various forms, simplify cooking and offer high convenience. Consumer preference for items such as ice creams, sandwiches, biscuits, soups, pasta, and pizza is increasing, which is expected to boost the food ingredients market. For example, in April 2024, the National Association of Convenience Stores, a US-based trade association, reported that in 2023, foodservice sales - including prepared foods, commissary items, and dispensed beverages - accounted for 26.9% of in-store sales, up from 25.6% in 2022. Additionally, prepared food sales per store per month rose by 12.2% compared to 2022. Therefore, increasing demand for ready-to-eat products is positively impacting the growth of the food ingredients market.

Leading companies in the food ingredients market are focusing on clean-label and plant-based solutions, such as naturally sourced texturizers and fibers, to gain a competitive edge. For instance, in February 2024, Ingredion Inc., a US-based food company, introduced NOVATION Indulge 2940, a functional native starch designed to meet growing demand for clean-label, plant-based ingredients. As the first non-GMO functional native corn starch offering gelling and co-texturizing capabilities, it delivers an indulgent mouthfeel for dairy and alternative dairy products, yogurts, puddings, and desserts. The starch carries a familiar “corn starch” label, preferred by consumers over gelatin or carrageenan, supports natural claims, enhances texture, and helps brands meet expectations for recognizable ingredients. Additionally, it offers cost stability and potential savings due to reliable supply and efficient formulation, according to Ingredion’s application and consumer insight tools.

In June 2024, Tate & Lyle, a UK-based functional food ingredients company, acquired CP Kelco for $1.8 billion. This acquisition enables Tate & Lyle to significantly expand its functional and specialty ingredients portfolio, enhancing its capabilities in “sweetening, mouthfeel, and fortification” to meet the growing global demand for plant-based, clean-label, and sustainable food solutions. CP Kelco, based in the US, is a provider of nature-based food ingredients.

Major companies operating in the food ingredients market are Cargill Incorporated, Archer Daniels Midland Company, Kerry Group, International Flavors & Fragrances, Ingredion Incorporated, Koninklijke DSM NV, Tate & Lyle PLC, Novozymes A/S, Symrise AG, Givaudan International S.A., Wilmar International, Musim Mas, Mewah International, The Nisshin Oillio Group, Miyoshi Oil & Fat Co Ltd, IOI Group, Fairchem, Jayant Oils And Derivatives Ltd, Qingdao Haixingyuan Biotechnology Co. Ltd., Global Specialty Ingredients, Ochakovo Factory Of Food Ingredients Co. Ltd, Stevia First Corporation, Bunge Limited, First Choice Ingredients, Vogler Ingredients, Olam Agricola Ltda, Special Ingredients Ltd, Andrew Ingredients Ltd, Foodmix LLC, ARSTE FI.

North America was the largest region in the food ingredients market in 2025. Europe was the second-largest market in the food ingredients market. The regions covered in the food ingredients market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the food ingredients market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

The food ingredients market consists of sales of starches, vegetable oils and fats, natural sweeteners, enzymes and antioxidants, natural flavorings and colors, functional ingredients, and other food ingredients. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

This product will be delivered within 1-3 business days.