The Clean Label Ingredients Market is expected to witness significant growth and transformation by the year 2032, driven by evolving consumer preferences, increased awareness of health and wellness, and rising demand for transparent and sustainable food products. Clean-label ingredients refer to natural, minimally processed, and easily recognizable components that consumers trust and understand.
The global Clean Label Ingredients market size was valued at USD 38 billion in 2022 and is anticipated to grow at a CAGR of 16% during the forecast period 2022-2032. Newly released data from Future Market Insights for clean label ingredients Market Analysis shows that global demand of overall clean label product market enjoyed year-on-year (YoY) growth of 15% in 2022.
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Organic foods are in high demand, compelling leading players in the food and beverages sector to rethink their production strategies. In order to woo the expanding demography of health conscious consumers, an increasing number of companies are including natural ingredients in their portfolio. This automatically creates attractive market for clean label ingredients.
This factor, aided by the rising disposable income of consumers and their subsequent willingness to spend on high priced but better quality food are driving the clean label ingredients market. Currently, the demand for dry clean label ingredients is considerably high.
The trend is likely to continue through the course of the forecast period. According to the report, the overall clean label ingredients market can be bifurcated into dry and liquid in terms of form.
Increasing Awareness about Healthy Living and Food Will Boost Growth
Globally consumers have not only become more aware about healthy living and eating, but have a higher disposable income supporting their willingness to spend on better quality and organic food. This is one of the chief drivers of the overall market. Furthermore, the demand for chemical free and natural products has risen, which is aiding its growth around the world. Also due to rapid urbanization and subsequently rising population, there is a considerable surge in the demand for packaged food. Spurred by these factors, the global clean label ingredients market will witness impressive growth in the coming years
In 2022, the US Clean label Ingredients Market grew by 4% year on year, bucking initial skepticism about how the market would perform during a global pandemic.
The Clean label Ingredients Market, dry form products segment, flour segment, revenue totaled USD 38 Billion for 2022, according to the Annual Market Analysis conducted by Future Market Insights.
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CLEAN LABEL INGREDIENTS MARKET TAXONOMY
The global Clean Label Ingredients market is segmented in detail to cover every aspect of the market and present complete market intelligence to readers.
Product Type
- Natural Colours
- Natural Flavour
- Starch & Sweeteners
- Flours
- Fruits & Vegetable ingredient
- Culinary Products
Application
- Beverages
- Cereals & Snacks
- Dairy & Frozen dessert
- Bakery
- Prepared food (Ready meals) & Processed food
Form
- Dry
- Liquid
Region
- North America
- Latin America
- Europe
- East Asia
- South Asia
- Oceania
- MEA
Who is Winning?
Some of the leading players operating in the clean label ingredients market are Cargill, Brisan, Archer Daniels Midland Company, Sensient Technology Corporation, Corbion N.V., Koninklijke DSM N.V., Kerry Group PLC, Tate & Lyle PLC, Beneo, Arjuna Naturals Extracts Ltd, E.I. Dupont De Nemours and company.
As a result of increasing competition, clean label ingredient manufacturers are focusing on expanding their product portfolio and improving sourcing process. Their expansion strategies are further aided by agreements between them and local players across emerging market. These companies are particularly focusing on catering to changing consumer preference across various applications.
In addition to this, mergers and acquisition remains a popular strategy among market players. Companies intend to expand their regional footprint through strategic collaborations.
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Key Questions Answered in the Report
- What was the market for Clean label ingredients worth in 2021?
The global Clean label ingredients market value was around USD 37 Bn in 2021.
- At what CAGR is the market poised to expand through 2032?
Clean label ingredients market revenue is expected to increase at a CAGR of around ~6% during the period 2022-2032.
- How has the performance of Clean label ingredients been over the past half-decade?
Sales of Clean label ingredients market increased a CAGR of around ~5% over the past half-decade.
- What are the drivers of Clean label ingredients market?
The market’s expansion may be linked to a rise in customer interest in identifying the components in food and beverage items throughout the world, particularly among health-conscious consumers. Over the last several years, free-from items have exploded on store shelves in various formats. Parents are increasingly choosing clean label ingredient-based goods for their children as the need for transparent and natural ingredients aimed at children grows.
About Future Market Insights (FMI):
Future Market Insights, Inc. (ESOMAR certified, Stevie Award – recipient market research organization, and a member of Greater New York Chamber of Commerce) provides in-depth insights into governing factors elevating the demand in the market. It discloses opportunities that will favor the market growth in various segments on the basis of Source, Application, Sales Channel, and End Use over the next 10 years.
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