Natural Ingredients Gaining Ground

AsiaNet 53860

FRANKFURT AM MAIN, Germany, Aug. 5, 2013/PRN=KYODO JBN/ --

    - Steadily growing market share in Western Europe puts pressure on

                          artificial ingredients

    What began as a budding trend some time ago has now firmly established

itself in the market: Demand for natural food ingredients is at an all-time

high. With consumers becoming increasingly conscious of what they eat, foods

based on natural ingredients clearly top their grocery shopping lists. This is

also reflected by current market data. Whilst food consumption in Western

Europe remains virtually stagnant at 0.5 percent annual growth, the food

ingredients market is showing constant movement, as reported by RTS Resource in

a survey entitled "The future for natural and health ingredients". The survey

shows that more and more artificial ingredients are being replaced by natural

substances - a development which producers of such ingredients can certainly

feel in their day-to-day business. Accordingly, they are focussing their

development efforts on an ever-growing number of solutions and ingredients to

accommodate this market trend and thus create a strong buying incentive. The

latest trends and innovations will be on display later this year at the Food

Ingredients Europe (Fi Europe) trade fair in Frankfurt (November 19th to 21st).

One possible approach is to reformulate products by replacing artificial

components with natural ingredients to make them more attractive for consumers

again, and to thereby retain a competitive edge in a stagnating market. The

exhibitors at Fi Europe have set their sights on just that, and will be

presenting a wide range of natural and organic ingredients. More than 26,000

purchasing agents from around the world will attend the fair to review the

palette at first hand and determine how they can use these ingredients for

their products to meet consumer demand.

    (Logo: http://photos.prnewswire.com/prnh/20130723/629764-a )

    Natural Flavour

    Artificial flavouring additives can often be replaced by natural flavours.

According to the RTS Resource survey, the market volume of natural flavouring

agents in Western Europe amounts to EUR 563 million, with a projected growth

rate of 3 percent. This already accounts for a 40-percent share of the total

market in this segment. Companies like Sipal Partners offer flavours made from

natural ingredients such as rice, wheat and manioc, which are used for syrup

production. Most of the raw materials are grown in Europe using

environment-friendly, sustainable and resource-conserving techniques, and are

not refined. The resulting organic products therefore benefit from being

labelled as containing, for instance, "non-refined rice syrup" instead of

"sugar" or "glucose syrup".

    Barry Callebaut takes things even one step further. The company offers

hand-picked cocoa fermented by using a method that is one hundred percent

natural. The process allows the complex aroma of the cocoa beans to fully

develop. In addition, farmers receive training in cultivation methods so that

sustainable production is ensured. The programme also improves the farmers'

living and working conditions and provides easier access to educational and

health resources. The company's approach to sustainable production and the

natural fermentation process therefore yield a natural, sustainably produced

end product of the finest flavour. This is an absolute advantage when it comes

to the customers' buying decision.

    Natural Colouring

    Equally impressive growth is seen in the market for natural food colouring

agents. The share of EUR 327 million of the total market for colouring agents

in 2005 has increased by 68 percent to date, and now amounts to EUR 551

million. Aicacolor SAC, for example, is a company that utilises annatto seeds

for its products. Even the Maya used the seeds of the tropical Bixa orellana

tree for colouring and dying. Today, natural processes are employed to extract

the pigments and to provide a palette of natural food colourings ranging from

light yellow to dark red.

    Another trend is the colouration of food products based on the natural

colours found in other foods. Instead of artificially extracted pigments, the

natural colouring agents contained, for instance, in powdered spinach or

carrots, red cabbage, beetroot, or paprika and other spices, are utilised. The

stability of the end product can be an issue with this method of food

colouration, and is the reason why the process is currently used primarily for

rice, noodles, yoghurts, desserts and soft drinks. To date, these products have

gained a market share of EUR 192 million in Western Europe, with forecasts

predicting a rising trend. This is another indication that growing customer

demand is forcing companies to focus more strongly on natural colours and to

gradually replace the synthetic colouring agents.

    About Fi ingredients Global - the trusted route to market since 1986

    Food ingredients was launched in Utrecht, The Netherlands, in 1986. Its

portfolio of live events, publications, extensive data, digital solutions and

high-level conferences, are now established throughout the world and provide

regional and global platforms for all stakeholders, in the food ingredients

industry. Over 500,000 people have attended our shows over the years with

billions of Euros worth of business created, as a result. With over 25 years of

excellence, our events, digital solutions and supporting products, deliver a

proven route to market, with a truly global audience. For more information

about the Food ingredients Portfolio please visit:

http://www.foodingredientsglobal.com/europe

    About the Organiser

    UBM Live connects people and creates opportunities for companies across

five continents to develop new business, meet customers, launch new products,

promote their brands and expand their markets. Through premiere brands such as

Fi, NuW, MD&M, CPhI, IFSEC, TFM&A, Cruise Shipping Miami, the Concrete Show and

many others, UBM Live exhibitions, conferences, awards programs, publications,

websites and training and certification programs are an integral part of the

marketing plans of companies across more than 20 industry sectors. UBM Live is

a division of United Business Media (LSE: UBM.L, http://www.ubm.com), a leading

global B2B media provider with 6,500 staff in 40 countries. Incorporated in

1918 as United Newspapers Limited, we live by the motto: "We explore, we

exceed, you excel."

    For more information about UBM Live, please visit: http://www.ubm.com

    SOURCE: UBM Live