Food Aroma Market - By Type (Natural, Synthetic), By Product (Benzenoids [Benzoic acid, Benzyl acetate, Vanillin, Cinnamyl, Benzaldehyde], Terpene [Limonene, Pinene, Myrcene, Linalool, Terpineol], Musk Chemicals), By Application & Forecast, 2024- 2032

Food Aroma Market Size

Food Aroma Market size valued at USD 853.3 million in 2023 and is poised to grow at over 6.1% CAGR from 2024 to 2032. Driven by a surging consumer demand for ready-to-eat convenience food products.
 

Consumers across emerging economies are increasingly paying more attention to sensory appeals such as aroma and taste while making their convenience food choices, fostering the market demand. According to reliable estimates, India’s fast-food industry is expanding at an annual rate of more than 40%, creating a heightened demand for food aromas in the regional market. With convenience food gradually becoming a staple in diets across developed countries such as typical the US is likely to create a stronger growth impetus for the industry.
 

Harmful effects of synthetic food aroma products to constrain the industry outlook

Food flavorings do not add nutritional value to food products and may sometimes yield negative effects on their nutritional content. Some potential effects of food additives such as food aromas include allergic reactions and food hypersensitivity. Harmful additives and preservatives are also proven to be a leading contributor to obesity, heart difficulties, and other health issues, which may constrain their adoption in the F&B sector.
 

Food Aroma Market Analysis

The food aroma market from the synthetic segment exceeded USD 530 million revenue in 2022. The artificial flavors are less expensive and entail less processing, making them an affordable investment for food companies. Synthetic aroma chemicals can easily replicate the fragrance of natural aroma chemicals for snacks, carbonated sodas, candies, and can also be used to impart flavors to dairy items such as milkshakes, ice creams, and yogurts. They are also commonly used in the baked goods sector to replicate natural flavors or formulate new ones. 
 

Based on product, the food aroma market size from terpene segment held a valuation of over USD 390 million in 2022, spurred by the surging demand for authentic and natural flavors. Terpene is versatile and imparts a number of health benefits of the food while improving natural flavors present in it. The product further enhances the innate qualities already present in food owing to its aromatic qualities. Certain terpenes such as curcumin possess antioxidant, anticancer, antiseptic, and astringent properties, making their use more alluring. 
 

The segment growth can also be ascribed to the wide availability of terpenes due to the presence of new purification and extraction methods.  
 

On a regional spectrum, the Europe food aroma market is slated to witness 6% CAGR through 2032, on account of the region’s growing dairy industry. According to reliable estimates, the region produced over 161 million tonnes of raw milk in 2021, which represents a year-on-year increase of 0.7 million tonnes. Global consumers have shown a rising interest in exotic flavors and international cuisines, particularly from Europe. This has increased the use of food aromas for the creation of distinctive as well as appealing flavors from Europe.
 

In 2021, wine, confectionary, chocolate, and cereal-based products had the highest export values and held over 18% of total EU agri-food exports. Meanwhile, the strong presence of industry players such as BASF and Solvay coupled with the wide availability of aromas, for creating complex and distinctive flavor profiles. 
 

With respect to application, food aroma market from the beverages segment crossed USD 290 billion revenue in 2022, attributed to the growing popularity of different aroma compounds in the food and beverages sector to produce novel taste experiences, to set the products apart from rivals and improve flavors. In fact, in September 2022, Solvay, a Belgian multinational chemical firm, launched new natural vanillin flavors for the food and beverages industry.
 

Furthermore, increasing use of musk chemicals such as ambrette are widely in alcoholic and non-alcoholic beverages is also proliferating the market growth.
 

Food Aroma Market Share

Major players involved in the food aroma market include

• Hindustan Mint and Agro Products
• BASF
• Takasgo International Corporation Solvay

Many leading companies are increasingly emphasizing on expansion strategies to grow their consumer pools worldwide. For instance, in February 2021, Isobionics, a BASF subsidiary based out of Netherlands, opened a distillation facility for producing new flavors & fragrances at Brightlands Chemelot Campus in Geleen, Netherlands. The new distillation unit will help the company grow its business while catering to the needs of its customers.
 

Impact of COVID-19 Pandemic

The COVID-19 pandemic impacted the aroma chemicals market negatively due to export-import halt and industry shutdowns. The situation introduced numerous bottlenecks to global food supply chains. However, the industry is expected to witness substantial growth in the post-pandemic era due to the resumption of business practices, government support, and the growing food and beverages industry. In fact, in June 2021, the USDA announced an investment of more than USD 4 billion to strengthen the food system, improve food processing, and support food production. 
 

This food aroma market research report includes in-depth coverage of the industry with estimates & forecasts in terms of volume in kilo tons and revenue in USD million from 2018 to 2032 for the following segments:

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Market, By Type

• Natural
• Synthetic

Market, By Product

• Benzenoids
  • Benzyl acetate
  • Benzoic acid
  • Vanillin
  • Cinnamyl
  • Benzaldehyde
  • Others
• Terpene
  • Limonene
  • Pinene
  • Myrcene
  • Linalool
  • Terpineol
  • Others
• Musk Chemicals
  • Muscone
  • Musk ambrette
  • Musk Ketone
• Others

Market, By Application

• Beverages
• Bakery
• Dairy
• Confectionery
• Snacks
• Others

The above information has been provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Russia
  • Poland
  • Sweden
  • Austria
  • Switzerland
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Indonesia
  • Thailand
  • Malaysia
  • Australia
• Latin America
  • Brazil
  • Mexico
  • Argentina
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • South Africa