Food Emulsifiers Market

Market Overview

The global food emulsifiers market size was valued at USD 3.42 billion in 2022 and is projected to reach USD 5.17 billion by 2031, registering a CAGR of 4.7% during the forecast period (2023 to 2031). Food emulsifiers like mono and diglycerides are naturally occurring substances that are frequently used in the food industry. Europe currently owns the largest market share and is projected to grow at a CAGR of 4.53% during the forecast period. The market is driven by changing lifestyles and rising disposable income.

Food emulsifiers are synthetic or natural food additives that stabilize and produce emulsions by decreasing surface tension at the oil-water interface. Food emulsifiers are the most frequent additives used to enhance the consistency of food items, notably baked foods. It increases batter quality by conditioning the dough and boosting the batter's ability to be whipped. They're widely used in pasta production to keep it from burning and overcooking. These emulsifiers are used to facilitate food processing while also maintaining uniformity and freshness. Food emulsifiers can help prevent mold development if the oil and fat in low-fat spreads are separated. Food emulsifiers are classified as synthetic or natural based on their chemical makeup.

The food emulsifier market is expected to grow quickly in the following years. Due to their versatility, emulsifiers are growing in popularity. Sustainable emulsifiers are used in food packaging. New, inventive emulsifiers with extended functionality are also being developed to enhance drinks. Beverage production is massive. Bread and other bakery items are essential to the European diet. Thus, bakery emulsifiers like lecithin strengthen and soften the dough. The confectionery, dairy, and meat products industries also drive demand.

Highlights

• Mono, Diglycerides, and derivatives hold a major share based on type.
• Bakery is the highest contributor based on application.
• By source, the plant owns the highest market share.
• Europe dominates the global market. 

Market Dynamics

Market Drivers

Changing Lifestyles and Rising Disposable Income

Hectic schedules, time restrictions, and rising demand for convenience and ready-to-eat meals define modern lifestyles. People are flocking to processed and packaged foods that offer convenience and simplicity of consumption since they have less time to create meals from scratch. Economic success and growing disposable income levels in many places have resulted in a higher standard of life and increased purchasing power. This has allowed customers to spend more on food goods, such as processed and premium convenience meals, which frequently require food emulsifiers. The demand for mayonnaise and other emulsified products has increased because of changing lifestyles and a growing taste for ready-to-use condiments. According to research by the Food and Agriculture Organization of the United Nations (FAO), global consumption of convenience meals is anticipated to grow by 20% by 2030. Various causes, including changing lifestyles, urbanization, and wages, drive this development. Hence, leading to food emulsifier market growth.

Market Restraints

Regulatory Restrictions and Safety Concerns

Food additives, particularly food emulsifiers, are evaluated for safety by regulatory agencies, including the FDA and EFSA. Based on safety and health considerations, some emulsifiers may have usage limits. Azodicarbonamide, a synthetic food emulsifier, and bleaching ingredient, improves bread texture and volume. However, its safety as a food additive has been questioned. ADA can be used as a food additive in the U.S., although the FDA has restrictions. ADA can be used in some food items at specific amounts but not in newborn and early child diets. Due to health concerns, ADA is banned or regulated as a food ingredient in various countries. ADA's food additive safety was assessed in the Journal of the American College of Toxicology. According to the research, ADA did not pose health hazards at food levels. Regulatory bodies continue to monitor its usage and impose limitations to guarantee safe use. Like other food additives, food emulsifiers are controlled by EU Regulation (EC) No 1333/2008. The law outlines allowed food additives, including emulsifiers, and their use restrictions, such as maximum usage levels, to protect consumer health.

Market Opportunities

Product Innovation and Customization

Food emulsifier innovation entails creating new and better emulsifiers

with increased functions and performance. Customization comprises adapting emulsifiers to individual food product compositions, meeting the unique needs and problems that food makers encounter. As the demand for plant-based and vegan food develops, emulsifier producers have an opportunity to develop tailored emulsifiers particularly intended for vegan mayonnaise manufacturing. Vegan mayonnaise necessitates the stabilization of plant-based oil-in-water emulsions, which can be difficult owing to changes in plant oil composition and qualities compared to typical mayonnaise created with egg yolks. A bespoke emulsifier formulation with plant-derived stabilizing agents and modified starches can give vegan mayonnaise essential stability, texture, and mouthfeel, resulting in a smooth, creamy product that fulfills customers' expectations. Furthermore, food manufacturers are looking for emulsifiers that may replace standard synthetic emulsifiers while retaining product quality and stability. Natural-source emulsifiers, such as plant gums, lecithin, or modified starches, have gained favor as clean-label alternatives, coinciding with customer demands for natural and transparent food components.

Regional Analysis

The global food emulsifiers market is analyzed in North America, Europe, Asia-Pacific, the Middle East and Africa, and Latin America.

Europe Dominates the Global Market

Europe holds the most significant market share and is anticipated to expand at a CAGR of 4.53% during the forecast period. Stearoyl lactylates and sorbitan esters for baking and dairy applications are expected to grow. Due to increased foreign investments in alcoholic beverage production, eastern Europe, particularly Russia, is predicted to grow the quickest. Emulsifiers may profit from this. Bakery and confectionery dominate the U.K. market. Bakeries use most of the country's flour, adding to the market examined. Nationwide snacking is common. With increased health awareness, the nation's elderly population is seeking healthier food. Manufacturers might utilize emulsifiers from numerous sources. Veganism is also expected to increase the use of plant-based emulsifiers. EU food rules have long been strict. European food industry emulsifiers are supported and promoted by associations like EFEMA. Food emulsifiers' application in dairy and meat industries shows the region's food and beverage sector's large market share. Seeing this industry's success, manufacturers are inventing the best food emulsifier to boost productivity and shelf life.

North America is an important market expected to grow at a CAGR of 4.6%. Food emulsifiers stabilize and transport pharmaceuticals in North American cosmetics and pharmaceuticals. Emulsifiers increase texture, stability, and shelf life. Oil and water mix. Emulsifiers hold mayonnaise, salad dressings, ice cream, and baked goods together. Processed food consumption drives food emulsifier demand. The USDA says processed foods contribute 60% of American calories. Emulsifiers texture and preserve processed foods. Emulsifiers are needed for organic foods. Healthy eaters like organic food. Soy lecithin emulsifies meals healthily. Kraft Heinz and General Mills dominate North American food processing. Food emulsifiers help these companies dominate. Archer Daniels Midland and Cargill produce Canadian food emulsifiers. Cosmetics and drugs employ food emulsifiers. Emulsifiers keep lotions stable. Cosmetics, sunscreens, and moisturizers use emulsifiers. Natural cosmetics use vegetable oil and beeswax. Processed foods, natural and organic items, and pharmaceutical and cosmetic sectors will boost food emulsifier demand. Food emulsifiers will be supported by North America's pharmaceutical, cosmetic, and food processing industries.

The Asia-Pacific market for food emulsifiers is likely to boom. The region's growing processed, packaged, and frozen food sectors ensure market growth. Demand from China, India, and Japan has boosted the market. The region's food emulsifier sector is growing due to rising urbanization and many working young with hectic lives. Food emulsifier demand has grown due to retail market expansion and processed food sales. The food emulsifier industry is growing in Asian nations like India and China due to rising disposable incomes and busy lifestyles. Food makers are demanding more food emulsifiers to maintain processed meals' freshness, safety, flavor, appearance, and texture. Emulsifiers are used in dairy, baking, and confectionery. The desire for natural and nutraceutical goods increases the usage of emulsifiers in food applications. Due to rising populations and changing diets, Asia-Pacific's emerging economies, particularly India and China, are growing faster. The Australian food emulsifier market is predicted to rise significantly during the projected period.

The UAE's food and beverage industries are thriving, and its consumers are becoming more discerning. Some food and beverage companies have been forced to make difficult decisions, yet these decisions have proven critical. As a result of these reasons, the demand for processed food and drinks from the hotel business in Latin America, the Middle East, and Africa is increasing. As a result of these reasons, the regional need for new and improved ingredients for use in food processing, delivery, and other activities is growing. This will result in regional market growth throughout the forecast period.

Segmental Analysis

The global food emulsifier market is segmented based on type, application, source, and region.

For better understanding, type is further segmented into Mono, Diglycerides and derivatives, lecithin, sorbitan esters, stearoyl lactylates, and polyglycerol esters.

Mono, Diglycerides, and derivatives hold the major share of the market

Mono, Diglycerides, and derivatives

Mono and diglycerides are food emulsifiers that occur naturally and are commonly utilized in the food industry. They are made from edible oils like soybean, sunflower, or palm oil by esterifying fatty acids with glycerol. Mono and diglycerides are flexible emulsifiers with hydrophilic (water-attracting) and lipophilic (fat-attracting) qualities that make them useful for stabilizing oil-in-water emulsions. Mono and diglycerides contribute to the smooth and uniform texture of various food items, including baked goods, ice cream, and margarine. Mono and diglycerides in bakery formulations improve dough handling, volume, and crumb structure in bread and baked items.

Lecithin

Lecithin is a phospholipid that occurs naturally in plant and animal cells. It is a versatile food emulsifier and surfactant that aids in the stabilization of emulsions by lowering surface tension between the water and oil phases. For commercial application in the food sector, lecithin is frequently derived from soybeans, sunflower seeds, and egg yolks. Lecithin is a versatile ingredient that may be found in various foods, including chocolate, margarine, dressings, and confectionery. Lecithin increases product texture and mouthfeel, adding a creamy and smooth texture to many emulsified meals.

The segment can be bifurcated by application into Bakery, confectionery, convenience foods, dairy products, and others.

Bakery is the highest contributor in the market.

Bakery

Bakery items are a major application area for food emulsifiers. Emulsifiers are important in baking because they improve baked products' texture, volume, and quality. Emulsifiers, such as mono and diglycerides, improve dough handling abilities while increasing bread volume and softness. Food emulsifiers help create a fine and delicate crumb structure in cakes and pastries and improve the mouthfeel and overall texture. Emulsifiers help to produce consistent doughs, which allows for uniform shape and the ideal texture of biscuits and cookies.

Confectionery 

Food emulsifiers can also help confectionery items reach stable and attractive formulations. Emulsifiers are essential in reducing fat bloom in chocolate, increasing caramel smoothness, and minimizing crystal formation in confectionery goods. Lecithin is often employed as an emulsifier in chocolate manufacture to stabilize the cocoa butter and solids, producing a smooth and consistent texture. Emulsifiers aid in managing fat and water separation in caramel, resulting in a consistent and creamy texture in a wide range of caramel-based confections.

By source, the market is sub-segmented into plant and animal.

Plant owns the highest market share.

Plant

Plant-based emulsifiers come from various plant sources, including oils, seeds, and fruits. They have grown in favor of the food business as the demand for clean-label and natural ingredients has increased. Plant-based emulsifiers have various advantages, including vegetarian and vegan-friendly, allergen-free, and non-GMO, making them appealing to health-conscious customers.

Animal

Animal-based emulsifiers are made from animal products like eggs or milk. While they have historically been utilized in the food industry, there is a rising demand for alternatives due to dietary choices, ethical concerns, and a desire for more sustainable and cruelty-free products.

Recent Developments

• June 2023- Kerry Introduced BiobakeTM EgR Egg Reduction Enzyme: A Sustainable, Cost-Effective Baking Solution.
• July 2023- Singapore's Evonik DL-methionine manufacturing capacity expanded.
• July 2023- Cargill and partners announced the first Gold Standard-approved beef producer methane emissions reduction technique.