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How are Organic Trends Influencing US Food Additives Market?

Product Overview:

The expanding worldwide population and their modernized lifestyles are resulting in a significant increase in sale of packaged foods and ready-to-eat meals, which in turn, has increased demand for food additives globally. Major types of food additives used in packaged foods include colorants, flavors & flavor enhancers, preservatives, emulsifiers and sweeteners. These food additives are added to improve appearance, texture, longevity and quality of food products. Consequently, food additives find a gamut of applications in beverages, bakery, confectionary, dairy and meat & poultry products, which is propelling the Global Food Additives Market at a significant rate through 2026.

Country Insights:

Over the past few years, the United States has witnessed a paradigm shift towards consumption of processed and packaged foods due to busier lifestyles and growing working population. This, in turn, is propelling food manufacturers to use specialty chemicals called food additives to enhance the color, flavor, texture and shelf life of processed food products. 

US Household Consumer Expenditure, By Sector, 2016


Quest for Clean Label and Green Label in the United States: 

The US food and beverages industry is showcasing immense inclination towards the organic food, thereby shifting the market towards organic food ingredients or additives, which includes natural sweeteners, preservatives, stabilizers, etc. The growing health-conscious consumers amidst their hectic lifestyle are fueling the demand for natural & dietary food, beverages, confectionery, etc. Moreover, the growing number of cases related to diabetes and other lifestyle related disorders in the US are leading to replacement of high calorie containing drinks and food items with low calorie, all natural and high intensity sweeteners such as Stevia.

As a result, movements such as “Go Clean Label” which promotes transparent display of information regarding nutritional ingredients on the food pack are suppressing the demand for artificial or synthetic food additives. 

Per Capita Calorie Consumption of High Fructose Corn Syrup (HFCS), 2000-16 (Lbs/Year)

Rising innovations, technological advancements and bio-based product developments by the food & beverage manufacturers to capture the new market opportunities are anticipated to drive the US food additives market at a modest pace over the coming years. 

Strong Demand for Food Additives by US Beverages Industry:

As per the American Beverage Association (ABA), the non-alcoholic beverages including carbonated soft drinks, fruit & vegetable juices, coffee, tea, sports drinks, etc. account for a sizable contribution to the US economy. Leading US Players such as Coca-Cola, PepsiCo, etc. are spearheading various initiatives to reduce beverage calories from sugar. For instance, Coca-Cola has announced prize of USD1 Million for researcher(s) who are able to develop a natural, safe and low-calorie compound to produce zero calorie beverages

      US Non-Alcoholic RTD Beverages Market, By Type, By Value, 2016 (USD Billion)

                                                                                                                                                  Source: TechSci Research Estimates


In conclusion, the Global Food Additives market recorded total sales of USD36.7 billion during 2016 and is projected to grow at a steady rate during the forecast period. The global food additives market would register growth at a CAGR of 3.4% during 2017-26, thereby reaching USD51.27 Billion by the end of 2026. On account of changing lifestyle of population, the consumer trend is witnessing a shift towards convenient processed & packaged foods. The growing emphasis on food quality in terms of color, taste, texture, etc. and safety by the packaged food industry is driving the sales of food additives worldwide. Moreover, rising complication in the overall supply chain of food & beverages due to increasing logistics cost is fostering the adoption of food additives to reduce the spoilage and wastage costs, subsequently promulgating the global food additives market through 2026.

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