The Latin America Food Additives market has been estimated at USD 4.05 Billion in 2016 and is projected to reach USD 5.55 Billion by 2021, at a CAGR of 6.50% during the forecast period from 2016 to 2021. Food additives are basically used for imparting specific desired properties to food products, enhancing food palatability in terms of food appearance & appeal. It helps to improve protection against harmful bacteria and other kinds of microbes to prolong shelf life.
The market for Food Additives in Latin America is mainly driven due to increasing disposable incomes of the burgeoning middle class which is driving the shift towards convenience and processed foods, thus escalating the need for food, thereby need for food additives. But, the market growth can be constrained due to health hazards associated with the consumption of synthetic additives, and growing consumer demand for ‘no additive’ food products.
Latin America market for Food Additives is segmented based on type, source and application. By type, the market is further sub-segmented into Acidulants, Anti-caking agents, Colors, Emulsifiers, Enzymes, Flavors, Hydrocolloids, Preservatives, Sweeteners. By Source, the market is further sub-segmented into Natural and Synthetic. By Application, the market is further sub-segmented into Bakery & confectionery, Beverages, Convenience foods, Dairy & frozen desserts, Spices & condiments, sauces & dressings. The flavors segment accounts for the largest market share followed by the sweeteners segment in the market by type. The demand for food additives in beverages accounted for the largest share, while the sauces, dressings, spices, condiments segment is projected to be the fastest-growing segments.
Geographically, Latin America market for Food Additives is segmented into Brazil, Argentina and Mexico. The Food Additives market in the Latin America region is projected to grow with high CAGR, due to growing importance of functional ingredients for incorporating properties such as emulsification, flavor, and extension of shelf life. Government initiatives to promote production output in emerging economies are also creating wide range of opportunities in this region.
E.I. DuPont , Archer Daniels Midland Company, Cargill, Incorporated, CHR. Hansen Holding A/S, Kerry Group Plc, and BASF SE are the major players of Latin America Food Additives market.
