Africa Food Ingredients Market Analysis

Africa Food Ingredients Market Analysis

The flavors & enhancers product was around USD 421 million in 2021 and is projected to exhibit growth at a CAGR of 5% in the forecast period. Flavor enhancers play an essential role in the consumption, acceptance, and quality of food. Rising demand for new and innovative flavoured food & beverages owing to growing sensory-oriented consumers and changing food habits propels the demand for flavors & enhancers. Furthermore, emerging applications in instant soups, snack foods, and frozen dinners should drive the Africa food ingredients market share over the forecast period.

Natural flavors & enhancers surpassed USD 169.5 million in 2021 and is projected to depict a CAGR of 5.5% through 2028. Increasing preference for naturally sourced flavours & enhancers as a healthy alternative to artificial products in premium food and beverages accelerated product demand. Moreover, rising demand for clean labeled food products coupled with rising awareness about the health hazards associated with artificial products is projected to boost Africa food ingredients market growth over the projected period.
 

Artificial flavors & enhancers surpassed USD 251.5 million in 2021 and is projected to show growth of 4.5% of CAGR through 2028. Artificial flavors are ingredients designed to mimic the taste of natural ingredients. Easy availability and low cost are the major factors leading to high demand for artificial flavours & enhancers across the food and beverages sector. They are used in various applications including beverages, bakery & confectionary, and dairy & frozen dessert products to enhance flavour, further propelling the product demand.
 

Hydrocolloids are projected to cross USD 135.5 million by 2028 and is projected to grow at a CAGR of over 5.5% during the forecasted period. Hydrocolloids are used as stabilizers, emulsifiers, water retention agents, thickeners in gravies, soups, sauces, toppings, & salad dressings, and gel-forming agents in jam, jelly, and marmalade. Moreover, they are extensively used in wide variety of food formulations to enhance shelf-life and quality attributes.
 

Starch product surpassed USD 27 million in 2021 and is projected to show growth of 5% of CAGR in the forecasted period. Increasing usage of starch as thickener, binder, and stabilizer in the food & beverage industry boosts the Africa food ingredients market sales. Moreover, rising awareness about its functional properties among food producers such as prevention of undesired hydration, rendering the desired texture, and shelf-life extension stimulate product demand.
 

The beverages application in the food ingredients market was around USD 672 million in 2021 and is projected to exhibit growth at a CAGR of 4.5% in the forecasted period. Products such as flavors, sweeteners, preservatives, hydrocolloids, emulsifiers, and enzymes are used as essential ingredients in the beverage industry. Growing beverages production and rising focus on producing high-quality beverages have increased the demand for food ingredients from the beverage industry.
 

Factors such as a rise in health consciousness and a significant shift of consumers toward a healthy lifestyle & diet have escalated the demand for fortified & functional beverages across Africa. Moreover, the rise in number of fitness enthusiasts coupled with increasing consumer spending on nutritional products is boosting the demand for functional food ingredients. Beverage-producing companies are launching low-calorie and fat-free beverages to attract health-conscious customers in the market.
 

South Africa food ingredients market is projected to cross USD 658 million by 2028 and is predicted to grow at a CAGR of over 4.5% during the forecasted period. Well-established food & beverage sector and the strong presence of many large- and small-scale food & beverage manufacturers such as The Kellogg Company, Tiger Brands, Pioneer Foods Group, and Astral Foods are supporting the market growth in North America.
 

The upsurge in the demand for packaged & convenience food coupled with growing consumers' preference for new tastes and changing food consumption patterns should drive market growth. Significant demand for high nutrition products, and large disposable incomes accompanied by willingness to pay higher for premium and nutritious products is supporting the market growth. Food manufacturers are engaged in innovative practices to offer new food products with high-quality ingredients to the youth consumers.