Acidulants Market to Reach US$ 3.5 Bn by 2030-end; Both, Production & Demand Hit Due to COVID-19 Outbreak
Published : 29 Oct 2020 Industry: Chemical & Materials
Acidulants are needed in the food and beverage industry as a key chemical compound for improving the quality of food products. Owing to diverse applications of acidulants and associated benefits, rapid growth of around 5% will be witnessed in the market in terms of revenue, which will reach a figure of around US$ 3.5 Bn by the end of 2030. The COVID-19 has proven to have had an adverse impact on the global acidulants market. The pandemic has reduced the production of acidulants due to government restrictions regarding health & safety, and a decrease in demand of the product has also been observed.
Widespread functions of acidulants such as pH control, preservatives, etc., is one of the main causes of introduction of more competition in the market, which, as a result, has paved the way for further technological advancements pertaining to acidulants. Investments in research & development by key players such as Archer Daniels Midland and Tate & Lyle PLC are also important aspects in terms of market growth.
Key Takeaways from Acidulants Market Study
- The flavor enhancers segment holds a majority share of 32% in the global acidulants market.
- Asia Pacific is a dominating region with a market value of US$ 809 million as of 2019.
- Acetic acid is the largest segment, and is predicted to expand at a rate of more than 4% over the forecast period.
- Bakery & confectionery applications of acidulants are set to reach a noteworthy market value of US$ 1.8 billion by 2030.
- Investments of players in expansion of feed acidulants portfolio to act as a key opportunity in the growth of the acidulants market.
- Food grade acidulants is a key segment with a collective consumption of 1.8 million tons of acidulants, as of 2019.
- The COVID-19 outbreak has affected the production of acidulants, and demand has also been hit due to reduced industrial activities across the globe.
“Expansion of footprint through acquisition of low tier companies by leading players will act as a key factor for growth in the acidulants market,” says a Fact.MR analyst.
Increased Competition Leading to Different Approaches for Market Growth
The global acidulants market has a vast number of leading players, thereby making it significantly fragmented in nature. To tackle the competition, key companies have adopted a number of strategies to bolster their footprints in the acidulants market, such as important acquisitions. For example, Archer Daniels Midland recently acquired Neovia, an animal nutrition company, which has helped Archer Daniels Midland to further expand its product portfolio of feed acidulants in the market.
Other strategies such as hosting seminars and providing sponsorships of events pertaining to the food & beverage sector is also one of the prime factors of establishing an awareness of a brand, which, as a result, helps progress in the acidulants market space.
More Valuable Insights on Acidulants Market
Fact.MR, in its new offering, presents an unbiased analysis of the global acidulants market, presenting historical demand data (2015-2019) and forecast statistics for the period of 2020-2030. The study divulges essential insights on the acidulants market on the basis of type (acetic acid, fumaric acid, citric acid, phosphoric acid, lactic acid, malic acid, and tartaric acid), function (flavor enhancers, microbial control, pH control, preservatives, and others), grade (food and feed), and application (bakery & confectionary, beverages, dairy food, and animal nutrition), across major regions of the world (North America, Latin America, Europe, Asia Pacific, and the Middle East & Africa).
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