Based on encapsulation process, spray drying is estimated to remain dominant in the global encapsulated flavours market.

Valley Cottage, NY -- (SBWire) -- 11/24/2018 --Chocolate flavours segment expected to grab maximum revenue share in the global encapsulated flavours market during the period of forecast

The chocolate flavours segment is estimated to be valued at more than US$ 800 Mn by 2017 end and is expected to increase at a CAGR of 5.3% over the forecast period. The segment is expected to be valued at more than US$ 1,300 Mn by the end of 2027, creating an absolute $ opportunity of more than US$ 35 Mn in 2017 over 2016 and an incremental $ opportunity of a little more than US$ 550 Mn between 2017 and 2027. The general fruit flavours segment is expected to account for a relatively high value CAGR in the global encapsulated flavours market over the forecast period. The segment is expected to be valued at more than US$ 1,000 Mn by the end of 2027, creating absolute $ opportunity of about US$ 29 Mn in 2017 over 2016 and an incremental $ opportunity of more than US$ 400 Mn between 2017 and 2027.

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Growing demand for savoury flavours and increasing demand for flavoured drinks are the major factors boosting the flavour type segment during the period of assessment

Demand for encapsulated flavours in convenience food has grown rapidly and continues to increase at a significant rate. In developed markets, preference for readymade meals, savoury soups and snacks is increasing, leading to higher demand for spicy, ethnic and exotic flavours. The addition of spicy and exotic flavours to existing product lines continues to be one of the key strategies adopted by global manufacturers to attract consumers' attention in more mature markets of the U.S. and Canada. Growing prevalence of ethnic food and drinks has led to the incorporation of hotter, spicier and more striking flavour profiles, thereby driving revenue growth of the flavour type segment in the global encapsulated flavours market.

The trend towards natural, wholesome and healthy products is increasing, but poor properties of these ingredients are major challenges in the food industry. To avoid such issues, companies are focussing on trapping the original flavour of the products by encapsulating it using different techniques. The addition of flavours in different types of food products such as biscuits, cookies, and ice-creams is preferred by consumers these days, which is also expected to increase demand for encapsulated flavours. Moreover, growing health awareness and time constraints along with the ensuing demand for functional and convenience foods is expected to continue to fuel the growth of the flavour type segment.

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Consumers have started preferring fizzy and flavoured drinks that are expected to lead to an upsurge in revenue growth of the flavour type segment across the assessed regional markets. Due to the known poor health effects of artificial flavours, consumers have opted to switch to drinks that contain artificial flavours. Health conscious individuals are preferring plant-based drinks over other beverages. This is a major factor that is anticipated to drive revenue growth of the flavour type segment.

Global Encapsulated Flavours Market Structure

The global encapsulated flavours market is primarily characterised by the presence of a large number of regional and multinational companies that operate in the global market. An approximate share of 70%-75% is accounted for by multinational players, who are also the price regulators of the market. North America and Western Europe are the two main regions targeted by these companies due to increasing number of health conscious consumers and a growing demand for food and beverages in the market.

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