India Food Preservative Market

India Food Preservatives Market Analysis

The India Food Preservatives Market is expected to register a CAGR of 3.86% during the forecast period.

• Food preservation is the major factor in preventing food from spoilage and harmful microorganisms. Preservation techniques have been used for centuries to extend the shelf life of food products and prevent spoilage. Historically, people used natural methods like salting, smoking, and drying to preserve food.
• In more recent times, the use of synthetic preservatives has become more common due to the increased demand for processed foods and beverages. Various types of preservatives, such as antioxidants, antimicrobials, acidulants, flavor enhancers, and color additives, are added to foods to prolong their shelf life and improve their taste. Market players continuously innovate and develop new preservatives to cater to the specific needs of different food products.
• Additionally, in harmony with the global food standards of the Codex Alimentarius Commission (CAC) and the World Health Organization (WHO), the Food Safety and Standards Authority of India (FSSAI) has laid down several regulations for the use of preservatives. These regulations are designed to ensure that food products containing preservatives are safe for consumption and do not pose a threat to public health. \
• The Indian government has imposed strict regulations on the use of synthetic and chemical preservatives in food products, as well as limiting the use of natural preservatives. As a result, the demand for organic and natural preservatives in the country is on the rise.
• Additionally, consumer demand for clean-label and natural ingredients is fueling the growth of the market. Manufacturers are responding to this trend by developing new products and technologies that use natural preservatives and meet the standards set by regulatory authorities. This shift towards natural and organic preservatives is expected to continue in the coming years, as consumers become increasingly health-conscious and demand transparency and sustainability in the food products they consume.
• In September 2022, Solvay, a global leader in natural ingredients, expanded the range of one of its flagship products, Rhovanil Natural CW, with three new natural flavor ingredients: Rhovanil Natural Delica, Alta, and Sublima. With these new products, the Group will enable the Food and Beverage industries to cost-effectively switch to natural and address growing consumer expectations for healthier, safer, tastier, and more natural products.

India Food Preservatives Market Trends

Growing Demand for Processed Food

• As urbanization, disposable income, and the working population is increasing in India, demand for convenience and processed food is increasing among consumers. According to World Bank data from 2021, the per capita income in India was USD 1,053.77.
• The demand for on-the-go food is increasing due to busy work schedules, resulting in an increase in the production of convenience foods and beverages. Furthermore, consumer awareness about clean-label and natural ingredients in food is growing, leading to an increase in demand for natural, organic, and plant-based additives and preservatives in the country.
• Butylated hydroxyanisole (BHA) and butylated hydroxytoluene (BHT) are synthetic antioxidants commonly used as preservatives in food, cosmetics, and personal care products. They are effective at preventing the oxidation and rancidity of fats and oils in foods, thereby extending their shelf life.
• BHA and BHT have been approved as food additives by regulatory agencies worldwide, including the United States Food and Drug Administration (FDA). However, their safety and potential health effects are still a topic of debate and research, and some countries have placed restrictions on their use in food. Hence, market players are demanding the use of natural preservatives, such as citric acid and other plant-based sources, to replace synthetic antioxidants like BHA and BHT.
• In September 2020, Manali Petrochemical announced its plans to triple its annual production capacity for propylene glycol (PG) from 22,000 MT to 70,000 MT in two phases at an investment of about Rs 150 crore. It is also used as a carrier for food colors, flavors, and nutrients. PG is a clear, odorless liquid with a slightly sweet taste. It is a chemical compound that is used as a solvent, humectant, and preservative in various industries, including food, cosmetics, and pharmaceuticals. In the food industry, PG is used as a food additive to keep food moist, prevent caking, and enhance flavors.

Growing Demand for Organic Preservatives

• A growing number of consumers are increasingly becoming aware of artificial preservatives and are avoiding additives like BHA and BHT, sorbates, benzoates, and other preservatives. The rising aging population and calorie-conscious consumers are looking for healthy alternatives in the form of 'organic food.
• According to data from the Ministry of Statistics and Programme Implementation, in 2021, in Kerala, India, 16.5% of the population was aged. This has led market players to invest in research and development to launch organic food additives and preservatives, such as natural color additives, flavor enhancers, and protein-based fat replacers that enhance the quality of organic food.
• Furthermore, increased consumer awareness about the potential side effects of synthetic preservatives is driving the market for organic food preservatives.

India Food Preservatives Industry Overview

Indian food preservatives market is fragmented, with global and regional players dominating the market. Some of the major key players in the market are Cargill Inc, Kerry Group, Corbion Purac, Royal DSM, and BASF SE. The strategies used by companies is the increase in Research and Development expenditure to innovate products under the natural preservatives segment to meet the growing consumer preference. Additionally, mergers and acquisitions between the companies are also driving market growth owing to the expansion of businesses.

India Food Preservatives Market Leaders

India Food Preservatives Market News

January 2023: Camlin Fine Sciences Ltd. (CFS), a leading global manufacturer of diphenols, has recently launched the world's first fully integrated plant for the production of Vanillin. The new plant, which operates under the brand name 'adorr,' is located at CFS's world-class facility in Dahej, India. The launch of 'adorr' marks a significant milestone for CFS, strengthening the company's position as a leading provider of high-quality diphenols and related products. The new plant is expected to help CFS meet the growing demand for Vanillin and other related products in the global market while reinforcing its commitment to sustainability and responsible manufacturing practices.

June 2022: Jungbunzlauer Saussie AG launched two new mineral salts: zinc gluconate and mono magnesium citrate. Zinc gluconate is derived from the neutralization of gluconic acid with a high-purity zinc source. Monomagnesium citrate is a partly neutralized magnesium salt of citric acid. These two new mineral salts extend Jungbunzlauers unique range of high-purity organic mineral sources.

June 2021: Kerry, a leading company in the taste and nutrition industry, successfully acquired Niacet, a renowned global leader in the field of preservation. This strategic move by Kerry bolstered the company's global food protection and preservation platform, as it leverages the synergies between its own food protection portfolio, resources, and global scale and Niacet's capabilities, expertise, and knowledge.