BIO VANILLIN MARKET ANALYSIS

Regional Analysis

Market Outlook

In terms of revenue, Europe dominated the global market for bio vanillin in 2017. Rising awareness regarding adverse effects of consuming artificial flavoring ingredients such as carvacrol, is fuelling demand for natural flavoring agents in food and beverages, thus, supporting growth of bio vanillin market. Carvacrol is an artificial flavoring ingredient and is associated with circulatory and respiratory depression coupled with cardiac failure. According to the United States Food and Drug Administration (USFDA), artificial flavors and artificial food colors (AFC), have potential to increase learning disabilities and behavior disorders. Moreover, key players are focusing on promoting use of natural extracts and flavors for the production of healthy food and drink products by showcasing their products through various international trade shows such as Ingredients Russia. This in turn is expected to boost the bio vanillin market growth. Ingredients Russia is a leading trade exhibition on food additives. The trade exhibition takes place annually in Moscow, which reflects the development trends in food and beverages industry and promotes innovative high-tech products in domestic and international market.

Asia Pacific is expected to be fastest growing region during the forecast period. This is majorly attributed to steady growth of the food and beverages industry in emerging economies such as India and China. According to the data provided by India Brand Equity Foundation (IBEF), in 2016, the food processing industry in India contributed 14% to the GDP of the country and according to the Department of Industrial Policies and Promotion (DIPP), India received around USD$ 7.54 billion worth of Foreign Direct Investment through the food processing sector during 2000 to 2017. Furthermore, according to the UNFPA, one in four people in Asia Pacific region will be over 60 years old by 2050 and the total geriatric population (aged over 60) is anticipated to reach up to 1.3 billion people by 2050. The steadily rising geriatric population in the region is fuelling the growth of pharmaceutical industry which in turn, is expected to support growth of bio vanillin market. As, bio vanillin is extensively used in the pharmaceutical industry as a flavoring agent in medicines to eliminate the foul taste and odor and is also used as a key intermediate in the processing of therapeutic drugs, used in the cancer treatment.