The market faces stringent food safety and quality regulations enforced across different countries in the region. Compliance with various regulatory standards such as Food Safety and Standards Authority of India (FSSAI) in India, State Food and Drug Administration ("SFDA") of the People’s Republic of China, and Indonesia Food and Drug Administration (FDA) adds to production and operation costs for manufacturers. For instance, countries like India have banned the use of Monosodium Glutamate (MSG) in several packaged food items citing potential health hazards.
Market Opportunity - Increasing health-conscious population
The growing health-conscious population across major Asia Pacific countries presents significant opportunities for the savory ingredients market. This drives the demand for clean label, natural flavors containing no artificial preservatives, or monosodium glutamate (MSG). For instance, in May 2022, according to the Food and Agriculture Organization (FAO), Asia Pacific accounts for 60% of the world's population but only 38% of the world's agricultural land.
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