Some of the factors driving the market expansion include an increase in chronic disease cases, micronutrient deficiencies, rising demand for fortified foods due to changing lifestyles, and rising consumer health consciousness. Additionally, the ageing population and the expanding middle class in emerging nations are driving up demand for functional food ingredients as well as fortified meals.
The market for Functional Ingredients was estimated at US$ 76.79 billion in 2022, and from 2023 to 2030, it is projected to increase at a compound annual growth rate (CAGR) of 6.6%.
Prominent Companies in the Functional Ingredients Industry:
Archer Daniels Midland Company: Minneapolis, Minnesota was established in 1902. A significant processor of maize, wheat, oilseeds, and other agricultural products is Archer-Daniels Midland. The business also has a vast network of logistical resources that it can use to store and ship crops anywhere in the world. Additionally, ADM owns and operates a nutrition company with a focus on both human and animal products. The corporation also makes a significant amount of ethanol, starches, and sweeteners from corn.
FISA (Dec 2021), Deerland Probiotics & Enzymes (Nov 2021), and Pedigree Ovens (Sep 2021) are the most recent acquisitions.
Cargill, Incorporated: Minneapolis, Minnesota was established in 1869. Farmer, producer, manufacturer, retailer, government, and other service providers are served by the producer of agricultural products and the provider of financial services. In addition to offering farmer services and risk management solutions, the business also sells grains and oilseeds, as well as animal nutrition, biofuels, meat and poultry, food, and industrial products, allowing customers to select the goods and services they need. Complete acquisition of Sanderson Farms by Cargill and Continental Grain
E. I. du Pont de Ne1. mours and Company: Headquarters in the United States; founded in 1801. Chemical manufacturer E.I. du Pont de Nemours & Co. has operations in more than 80 nations. Agriculture, feed and nutrition, electronics and communication, construction and transportation, safety and protection, and feed are all included in its extensive portfolio. DuPont has made an effort to diversify its product line. The business has also stepped up its research into genetically modified seed technology, elevating it to the position of one of the leading seed suppliers worldwide. A merger of equals between DuPont and Dow Chemical has been agreed upon, and it is anticipated to close in the second half of 2017. DuPont's Nutrition & Biosciences Business and IFF will merge.
Ingredion Incorporated Koninklijke DSM N.V.: Headquarters in the United States; founded in 1906. Around 70% of sales at Ingredion come from the production of ingredients for the food and beverage industries. The paper, personal care, and animal feeding sectors account for the remaining sales. A little over one-third of sales are made up of speciality, value-added products, with the remaining two-thirds coming from commodity-grade ingredients. Ingredion is a worldwide player with good exposure to growing markets, including Latin America and Asia-Pacific, as the majority of its sales are made outside of the United States. Ingredion adds KaTech to its portfolio of specialty ingredients.
Tate & Lyle plc: Headquarters in England, United Kingdom; founded in 1921. An international supplier of ingredients and services for food and drink is Tate & Lyle. Tate & Lyle is currently concentrated on specialty ingredients, such as sweeteners, starches, and soluble fibre, after selling a majority stake in its commodity ingredients business in 2022 and leaving the sugar industry a decade earlier. It employs 2,700 people and conducts business in more than 140 nations, with the majority of its earnings coming from North America.
FMC Corporation: Headquarters in the United States; founded in 1882. FMC is a corporation that only deals with crop chemicals. To build a balanced agricultural chemical portfolio across geographies and crop exposure, the company has diversified its sales. FMC has grown through acquisitions to become one of the top five producers of patented agricultural chemicals. The company will keep creating new products through its pipeline of research and development, with a concentration on biologicals. In 2022, the agricultural sciences firm FMC Corporation (NYSE: FMC) declared that the completion of its acquisition of BioPhero ApS, a Danish pheromone research and production company, had been completed.
Omega Protein Corporation: Headquarters in the United States; founded in 1913. Nutritional and protein product creators and manufacturers. With the help of the company's protein and nutritional products, consumers can have a healthy, balanced diet. These products include specialised oils, essential fatty acids, and protein products including fish meal, fish oil, and fish solubles.
*Definition: The use of functional ingredients in food and beverages is a growing because it promote healthy immune and digestive system function.
