The natural food ingredients market in India is poised for remarkable growth according to a comprehensive report by TechSci Research titled “India Natural Food Ingredients Market Industry Size, Share, Trends, Competition, Opportunity and Forecast, 2018-2028”. The report projects an impressive Compound Annual Growth Rate (CAGR) of over 5% through 2028, indicating significant opportunities for market players. This growth is attributed to various factors including collaborations and partnerships among leading companies aimed at leveraging individual expertise to strengthen market positions.
One of the primary drivers of the demand for natural food ingredients is the increasing preference for organic products among consumers. Organic products are those produced without synthetic pesticides, herbicides, GMOs, or artificial additives, relying instead on natural and sustainable farming practices. This emphasis on natural ingredients aligns with the clean label movement, which advocates for transparent food labeling and the use of simple, recognizable, and natural ingredients. Consumers opting for organic products often seek food items made with ingredients as close to their natural state as possible.
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Organic products and the natural food ingredients used in them are perceived as healthier options due to their association with improved nutritional content and health benefits. Additionally, consumers concerned about food safety prefer natural ingredients as they are perceived as safer and less likely to contain harmful residues from synthetic chemicals. Furthermore, organic products often align with ethical sourcing practices, supporting fair trade and responsible farming.
In May 2022, Symega Food Ingredients Limited introduced a premium range of food solutions called ‘CUISINARY,’ designed specifically for professional kitchens. This comprehensive range includes seasonings, sauces, coatings, flavor enhancers, and more, all crafted using high-quality ingredients. Symega, headquartered near Kochi in Kerala, India, is actively involved in developing, producing, and promoting sensory solutions for the food, beverage, and related industries. Their offerings cover the entire spectrum of the food and beverage sector, providing solutions such as natural colors, flavors, spice blends, culinary products, and specialty ingredients.
Despite the promising growth prospects, the India Natural Food Ingredients Market faces significant infrastructure and storage challenges. These challenges can impact the quality, availability, and distribution of natural food ingredients. One of the major challenges is the lack of a robust cold chain infrastructure, particularly for perishable ingredients like fruits and vegetables. This absence of proper cold storage facilities can result in post-harvest losses and quality degradation.
Moreover, many regions in India suffer from shortages of modern warehousing facilities essential for storing and preserving natural food ingredients. This shortage can lead to issues such as spoilage, contamination, and pest infestations. Poor road and transportation infrastructure further hinder the efficient movement of natural food ingredients from farms or production sites to processing units and markets, resulting in delays and quality deterioration.
The adoption of modern storage and preservation technologies, such as cold storage units and controlled atmosphere storage, is limited in many areas due to infrastructure constraints. Addressing these challenges will be crucial for the sustainable growth of the India Natural Food Ingredients Market.
The India Natural Food Ingredients Market is segmented based on Type, Source, End-use, and Region. Based on Type, the market is segmented into Proteins, Vitamins, Probiotics, Prebiotics, and Others. Probiotics, in particular, are natural food ingredients consisting of live beneficial microorganisms, primarily bacteria and sometimes yeast, that provide health benefits when consumed. These microorganisms, often referred to as “good” or “friendly” bacteria, are commonly found in various fermented foods and dietary supplements. Probiotics offer a range of health benefits, primarily related to gut health and overall well-being.
Probiotics play a key role in supporting the balance of the gut microbiota, which is a diverse community of microorganisms residing in the digestive tract. A healthy gut microbiota is associated with proper digestion, nutrient absorption, and overall digestive health. Probiotics can help restore the balance of the gut microbiota, especially after disruptions caused by factors such as antibiotic use, illness, or dietary changes.
Based on Region, North India holds the largest share in the India Natural Food Ingredients Market. The northern regions, especially the National Capital Region (NCR), have witnessed significant growth in the food processing industry, driving demand for natural food ingredients as key components in various processed foods. Good transportation infrastructure and connectivity in North India facilitate the movement of ingredients from farms to processing units and markets, contributing to the region’s prominence in the natural food ingredients market.
The presence of research institutions and agricultural universities in North India has fostered innovation in agriculture and food production, including the development of high-quality natural food ingredients. Additionally, the proximity to international borders and airports in North India facilitates access to export markets, further promoting the natural food ingredients industry.
The India Natural Food Ingredients Market presents significant growth opportunities driven by increasing consumer preference for organic products and the demand for healthier, natural ingredients. However, the market faces challenges related to infrastructure and storage, which need to be addressed to ensure sustainable growth. Companies like Symega Food Ingredients Limited are actively contributing to the market with innovative solutions designed to meet the evolving needs of consumers and the food industry. With strategic collaborations and investments in infrastructure, the India Natural Food Ingredients Market is poised for continued expansion in the coming years.
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Some of the major companies operating in the India Natural Food Ingredients Market include:
“Certain areas, particularly in North America, are projected to exert significant demand for Natural Food Ingredients. The growth in the competitive landscape and the presence of well-established companies in the market, committed to enhance the overall wellbeing of people each year, are expected to contribute to a remarkable growth of the India Natural Food Ingredients Market in the forecast period,” said Mr. Karan Chechi, Research Director with TechSci Research, a research-based Global management consulting firm.
India Natural Food Ingredients Market by Type (Proteins, Vitamins, Probiotics, Prebiotics, and Others), By Source (Fruits, Vegetables, Grains & Cereals, Microbial, Animals, Others), By End Use (Health Supplements, Functional Foods, Sports Nutrition, Convenience Foods, Others), By Region, By Competition Forecast & Opportunities, 2019-2028F has evaluated the future growth potential of India Natural Food Ingredients Market and provides statistics & information on market size, structure, and future market growth. The report intends to provide innovative market intelligence and help decision makers take sound investment decisions. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in India Natural Food Ingredients Market.
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