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The global fruit and vegetable ingredients market is witnessing a robust growth owing to the increasing consumers' demand for clean-label and healthy ingredients. The fruit and vegetable ingredients are manufactured after the raw materials are subjected to drying and dehydration processes such as sun-drying, freezing, fermentation and others. The fruit and vegetable ingredients impart aromas, flavors, colors and enhance the texture in the end products. Furthermore, they also impart nutritional value to it. Fruit and vegetable ingredients are a rich source of nutrition that improves overall health. These factors are cumulatively aiding in the growth of the fruit and vegetable ingredients market.
The fruit and vegetable ingredients are widely incorporated in various food products such as bakery, confectionery, and dairy for manufacturing cakes, pastries and chocolates. The consumers changing preferences towards healthy and minimally processed food is nudging the manufacturers to produce fruit and vegetable ingredients infused products. For instance, Catalina Crunch, a New York-based company launched a keto-friendly, shelf-stable smoothie made with freeze-dried whole fruits and vegetables.
The increasing demand for convenience food incorporated with plethora of fruit and vegetable has led to the growing inclination of the consumers towards healthy, plant-based food ingredients. The rapid expansion of processed and packaged food industry is expected to spur the demand for natural and clean-label additives and inputs, eventually driving the sales of fruit and vegetable ingredients.
Key Market Driver -
Rising Inclination Towards Plant-Based Food Ingredients
Key Market Restraint -
Inconsistency in Maintaining Quality of Ingredients
In emerging economies where there are the presence of many local players supplying fruit and vegetable ingredients as raw materials to the processed food industries, the quality of the products is sometimes compromised. The consumers often prefer fresh fruits and vegetables over the ingredients. The concerns regarding the quality and consistency of these ingredients is hampering the global fruit and vegetable ingredients market.
The key companies operating in the global fruit and vegetable ingredients market are, Archer Daniels Midland Company, Olam International Limited, Cargill, Incorporated, Sensient Technologies Corporation, AGRANA Group, Kerry Group plc., SunOpta Inc., Diana Group, Dohler GmbH, and SVZ International BV.
The pieces and powder segment are leading owing to the growing incorporation of freeze-dried or minimally processed fruit and vegetable in numerous processed foods. The concentrates are also witnessing traction due to the demand from the fruit juice industry and other ready-to-eat food manufacturers. The NFC juices are gaining popularity owing to their ease of processing - they are developed by mechanically processing the fresh fruits and vegetables.
The beverage application segment of fruit and vegetable ingredients is leading owing to the wide incorporation of fruit and vegetable in preparing different beverages such as smoothies, juices, and others. The processed foods and RTE products are expected to rise due to the changing diet patterns of consumers and their evolving lifestyles.
North America is expected to witness significant growth in the fruit and vegetable ingredients market in the forthcoming years. The consumers changing preferences towards plant-based food has increased owing to the growing negative health impact associated with highly processed food products. The rising vegan trend among the consumers in the region is also one of the major reasons for the increased demand of fruit and vegetable ingredients.
Europe is observing a significant growth in the fruit and vegetable ingredients market. The growth in consumption of ready-to-eat products with high nutritional value, along with the incorporation of exotic fruit and vegetables are driving the market. The shift towards healthy, plant-based eatables is driven by the rising adoption of vegan lifestyles. Further, the growing realization among the consumers about the benefits of consuming fruits and vegetables for disease prevention has positively driven the regional fruit and vegetable ingredients market.
Asia Pacific is anticipated to witness a substantial growth of fruit and vegetable ingredients market in the foreseeable years. The increase in disposable income of the consumers in the region has increased their purchasing capabilities, allowing them to spend more on premiumized processed foods incorporated with fruit and vegetable ingredients. The rapid urbanization and increasing adoption of westernized culture has led to the wide utilization of fruit and vegetable ingredients in various food products.
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