Citrus Flavors Market, By Application (Beverages (Alcoholic beverages, Coffee and tea, Soft drinks, Nutritional beverages), Savoury (Snacks, Soups, Sauces), Confectionery (Sweets and candies, Cereals), Dairy), By Ingredients (Natural Ingredients (Orange, Lemon, Lime, Grapefruit), Artificial Ingredients (Orange, Lemon, Others)), By Geography (North America, Latin America, Europe, Asia Pacific, Middle East & Africa)

Published In : Oct 2023

Code : CMI2112

Pages :120

Formats :

Excel and PDF

Industry : Consumer Goods

Market Challenges And Opportunities

Seasonal availability of raw materials
Price volatility of raw materials

Global Citrus Flavour market Restraints:

Seasonal availability of raw materials : In 2020, the global citrus flavor market was impacted by a shortage of raw materials due to unfavorable weather conditions in major citrus-producing regions. According to a report by Mordor Intelligence, the shortage of raw materials led to an increase in prices for citrus flavors, which in turn affected the profit margins of manufacturers.

The report also notes that the seasonal availability of raw materials can make it difficult for manufacturers to maintain consistent quality and flavor profiles for their products. This can be particularly challenging for companies that rely on a single source of raw materials, as any disruptions in supply can have a significant impact on their operations.

Price volatility of raw materials: The price volatility of raw materials can indeed be a restraint for the global citrus flavor market. This is because the cost of raw materials can have a significant impact on the overall cost of production, which can then affect the final price of the product. One instance of this can be seen after 2020, when the COVID-19 pandemic caused disruptions in global supply chains and led to shortages of certain raw materials. For example, the price of citrus fruits such as oranges and lemons increased due to supply chain disruptions and labor shortages. This, in turn, led to an increase in the cost of citrus flavorings, which affected the overall profitability of companies in the citrus flavor market.