Global Food Preservatives Market Overview, 2023-28

The global food preservatives market has witnessed substantial growth in recent years, driven by factors such as the increasing demand for processed and convenience foods, concerns about food safety, and the need for extended shelf life to reduce food wastage. Food preservatives play a vital role in maintaining the quality and safety of various food products by inhibiting microbial growth and preventing spoilage. The rise in consumer awareness about the impact of foodborne illnesses has prompted manufacturers to adopt various preservatives to ensure product safety. Additionally, the expansion of the global food supply chain has heightened the importance of preservatives in ensuring the stability of food products during transportation and storage. Looking ahead, the global food preservatives market is expected to continue growing, driven by factors such as population growth, urbanization, and increasing disposable income. Manufacturers will likely focus on developing natural and sustainable preservatives while adhering to stringent regulatory requirements to meet consumer demands for safe, high-quality, and fresh food products. The market is driven by the growing need for clean label solutions, the rising popularity of processed and packaged foods, and the complexity of the food industry's supply chain. The food preservatives market is likely to be driven by the growth of organized retail, especially in emerging markets. As the need for natural antioxidants, antimicrobials, and other natural food preservatives has grown, so has the need for clean label foods. Consumers are becoming more health conscious, preferring products with clean labels over those with artificial ingredients. Consumers are frequently checking the ingredients of products before buying them. There are high expectations among consumers globally that food products, including meat and poultry, should have clean-label ingredients. This growing consumer concern is pushing them much further down the value chain, back to the ingredients, and increasing demand for natural food preservatives. The food preservative manufacturers have also adapted the production of clean-label additives that can be helpful when developing clean-label products. These clean-label preservatives have found their applications in varied food products and other applications.

According to the research report, Global Food Preservatives Market Overview, 2023-28 the market is expected to cross USD 4 Billion market size, increasing from USD 3.21 Billion in 2022. The global market is forecasted to grow with 4.57% CAGR by 2023-28. The lifestyle choices and subsequent food habits of consumers have drastically changed as a result of long workdays. Food products with a longer shelf life and ease of digestion are in high demand as a result of these changes. In the food and beverage business, the function of food preservatives is becoming increasingly important. The well-established storage effectiveness of preservatives has also enhanced food distribution networks, enabled more low prices, and added value to food products. Health-conscious customers have a high demand for organic products, and the industry is increasingly using natural preservatives in food production to suit this desire. The market, particularly in emerging countries, is projected to be driven by the growing penetration in the organized retail sector. Consumers now place a higher value on products with clean labels than those with artificial ingredients because they are more concerned about their health. Consumers frequently read the labels of products before buying them to find out what’s inside. The clean labeling of food products, including meat and poultry, is something that consumers around the world demand. Growing customer concerns are pushing them back to the raw materials and much further down the value chain, increasing their demand for natural food preservatives.

Based on the regions, North America is dominating the market with more than 30% market share in 2022 in overall global food preservatives market.

North America boasts a highly developed and sophisticated food processing industry. The region is home to numerous food manufacturers and processors, ranging from large multinational corporations to small and medium-sized enterprises. The well-established infrastructure and advanced technologies in food processing facilitate the integration of food preservatives, ensuring the safety and shelf life of a wide range of processed food products. The demand for processed and convenience foods has been steadily increasing in North America due to busy lifestyles, urbanization, and changing dietary habits. Processed foods often require food preservatives to maintain freshness, extend shelf life, and prevent spoilage. As a result, the widespread consumption of processed foods has driven the need for food preservatives in the region. North America has robust food safety regulations and standards enforced by agencies such as the U.S. Food and Drug Administration (FDA) and the Canadian Food Inspection Agency (CFIA). These regulations mandate the use of safe and approved preservatives to ensure the quality and safety of food products. Compliance with these regulations has contributed to the consistent use of food preservatives in the region. North American food preservative manufacturers have access to a substantial export market. With a reputation for high-quality products and adherence to strict regulatory standards, North American companies can tap into the global demand for food preservatives, further solidifying the region's dominant position.

Based on the type, synthetic food preservatives are occupying higher market share of more than 70% in 2022 in global food preservatives market.

Synthetic preservatives held the largest market share in 2020, due to their effectiveness and low cost compared to natural preservatives. However, the demand for natural food preservatives is also increasing due to the growing trend of clean label and natural food products. Moreover, regionally, North America held the largest market share in 2020, followed by Europe and Asia-Pacific. The increasing demand for packaged and processed foods in these regions, along with the presence of major food preservative manufacturers, is driving the growth of the market in these regions. The capacity of food preservatives to prolong shelf life and prevent natural aging and discoloration of food goods continues to enhance consumer demand for them. Consumers who are concerned about their health are gravitating more and more toward natural and allergen-free food as a result of increased knowledge about chemical and synthetic ingredients. It is anticipated that this would enhance consumer demand for natural food preservatives. Demand for products and methods needed to extend the shelf-life of the food product has increased due to the global nature of food sourcing and the increasing development of the food supply chain, which has also increased the demand for natural food preservatives.

Based on the function, Antioxidants are growing with higher CAGR of more than 6% by 2023-28.

Antioxidants are among the essential factors in food labeling as consumers are now aware of the health benefits associated with additives, and they opt for products rich in antioxidants. Green tea extracts, acerola, rosemary extract, and ascorbic acid possess antioxidant properties and are majorly used for preventing food oxidation. An increase in demand for antioxidants due to their health properties and expanding reach of application can boost the preservative market. Antioxidants are used as vitamin supplements in the pharmaceutical sector and assist in the preservation of food goods. By focusing on natural antioxidants like rosemary extract, industrialized economies have identified new growth potential. Antioxidants are largely utilized as preservatives in the food and beverage sector. However, as the world's population grows exponentially, other businesses, such as pharmaceuticals and animal feed, are projected to see increased demand. Due to many cases of under-nutrition in Asia Pacific, antioxidant supplements are in great demand. Farmers are also encouraged to provide antioxidant-rich hay to their cattle to increase milk yield. Companies have changed their focus to rosemary extract since it contains more antioxidants than other extracts, fights premature aging, has a long shelf life, and consequently increases the demand.

Based on the application, Meat, Poultry, and Seafood Products are expected to lead the market by crossing USD 1200 Million market size by 2028.

The processed meat, poultry, and seafood industry are expanding at a significant rate globally, which is expected to drive the demand during the forecast period. Food preservatives are used in a wide variety of applications, including bakery, meat and poultry, seafood, beverages, confectionery, oils and fats, and dairy and frozen products. Meat and meat products are essential for human nutrition and promote microbial growth. Synthetic preservatives, like nitrites, nitrates & sorbates, are widely used in the food industry to avoid contamination. However, concerns about health issues have led to a growing demand for natural substances as food preservatives. These natural preservatives inhibit spoilage microorganisms and food-borne pathogens by increasing microbial cell membrane permeability and disrupting protein synthesis and metabolism. As a result, natural/clean-label preservatives emanated from plants (such as rosemary, sage, chestnut, GSE & turmeric), animals (such as lysozyme, lactoferrin, lactoferoxidase & others) & microorganisms (such as organic acids, bacteriocins & BLIS) have been studied as possible replacements for synthetic food preservatives. Furthermore, food preservatives are used in various items, such as dairy, frozen goods, meat and poultry, seafood, drinks, candies, and petroleum-based products. Global demand for these products is rising due to several causes, including shifting consumer lifestyles, increased imports and exports, a preference for fresher foods, and a growth in consumer capacity to pay more for goods.

Market Drivers

The Growing Trends of Adopting Organic Food Products: The growing health consciousness of the general public has resulted in an increase in demand for a healthier option that raises the use of natural preservatives. Consumers are becoming more health-conscious owing to the harmful effects caused by the presence of chemical pesticides in food products. The toxicity of chemical pesticides in food products can cause cancer, hormone disruption, and birth defects. According to a UN report, around 200,000 people die every year owing to the toxic effects of pesticides in food products. This is causing consumers to shift their focus towards organic food products. Companies in the organic food market are focusing on the introduction of new product categories and varieties. Organic food manufacturers are coming up with new and innovative organic food products in the form of ready-to-eat snacks, cookies, organic tea, pulses, spices, edible flowers, frozen waffles, medical plants, herbs, and organic juices. Owing to such factors, the usage of natural food preservatives rises in organic products.

Food products with a longer ledge existence: It includes all those products which are integrated throughout food processing to boost its permanence and also evade spoilage. Depending on the circumstances, they are added in tiny amounts to a variety of foods. Meat and other foods were conventionally conserved with salt, sugar, and spices. Consumer lifestyle is changing consistently, due to this effect preference for eating habits also changes, altering in response of these food products provides longer shelf life. This can proportionally Increase demand for Food & Beverage industry. The rise in demand for health-conscious foods is also increasing which can create a profitable evolution for the food stabilizing market during the forecast period. The functional beverage has a huge demand for elevating the ingestion of various constituents comprising preservatives. These products are used in various industries such as meat & poultry, seafood, oils & fats, and frozen products which is fuelling the growth of the market.

Market Challenges

High price and limited availability of natural preservatives: There is limited availability of natural sources; natural preservatives such as nisin and natamycin are at least ten times heavier priced than chemical preservatives. Many natural preservatives are yet to be manufactured on a larger scale. The commercialization of manufacturing processes of natural preservatives is in a nascent stage. Good and reliable sources of high-quality natural preservatives are still being studied, and tests are conducted to check for efficacy. Therefore, until these challenges related to natural preservatives are acknowledged and resolved, the full growth potential of the food preservatives market is expected to be challenging to a certain extent.

Consumer Perception and Labeling Issues: The perception of food preservatives by consumers can affect their purchasing decisions. Negative perceptions or misconceptions about preservatives, such as concerns about their impact on health or naturalness, can influence consumer preferences for preservative-free products. Clear and accurate labeling of preservatives can assist in addressing these concerns and fostering consumer confidence. The increasing demand for natural & clean-label alternatives due to the growing consumer concerns related to health risks caused by synthetic preservatives will hamper the food preservatives market growth. Manufacturers must tackle these challenges to meet consumer expectations and offer products that are stable & safe. Additionally, the manufacturing cost of natural preservatives is higher than synthetic alternatives, affecting their adoption and hampering market growth.

Market Trends

Advanced Preservation Technologies: The food industry has been exploring and adopting advanced preservation technologies to enhance food safety and extend shelf life. Techniques such as high-pressure processing (HPP), pulsed electric field (PEF) technology, and ultraviolet (UV) light treatments have shown promise in preserving food products without the need for traditional chemical preservatives. These technologies offer potential advantages in maintaining food quality, nutrient retention, and flavour. With the rise of the Internet of Things (IoT) and smart technologies, the food industry has been exploring the integration of sensors and indicators into packaging. Smart packaging can monitor factors like temperature, humidity, and gas composition, providing real-time data on food freshness and quality. This technology helps identify potential spoilage issues early on and allows consumers to make informed decisions about food consumption.

Biodegradable Preservative Films: In response to growing environmental concerns, the food industry has been exploring biodegradable and edible films infused with natural preservatives. These films provide an additional barrier against microbial growth, extending the shelf life of products while being more sustainable and reducing plastic waste. Artificial intelligence (AI) and data analytics are increasingly being used to optimize the selection and application of preservatives in food products. These technologies help predict and analyze factors affecting food spoilage, shelf life, and safety, enabling manufacturers to make more informed decisions about preservative usage.

Covid-19 Impacts

The COVID-19 outbreak resulted in lockdown restrictions due to strict governmental regulations. The pandemic has disrupted supply chains across the world, leading to a shortage of raw materials and ingredients required for the production of food preservatives. Thus due to a lack of raw materials, the prices of food preservatives were increased. Strict governmental lockdown restrictions forced individuals to stay home. During this time, consumers shifted towards natural and fresh food, which resulted in a decreased demand for processed food and food preservatives. Furthermore, the pandemic also led to increased demand for shelf-stable foods that have a longer shelf life, so the demand for food preservatives was slightly increased.

Key Players

There are numerous international competitors in the extremely competitive and fragmented market for food preservatives. The most active businesses on a global scale are Kerry Group plc,Cargill, Incorporated, Kemin Industries , Celanese Corporation, Royal DSM N.V., The Archer-Daniels-Midland Company, Ajinomoto Co., Inc., Corbion N.V., Eastman Chemical Company, Givaudan S.A., BASF SE, International Flavors & Fragrances (IFF), Brenntag SE, Camlin Fine Sciences, DöhlerGroup, Tate & Lyle, Lycored Ltd., Lallemand Inc. Albemarle Corporation and Chr. Hansen A/S. These firms have concentrated on product improvements, expansions, and collaborations to strengthen their market positions. These firms profit from increased consumption of these preservatives in foods and beverages generally and hold a strong position in the quickly expanding natural preservatives and clean label areas. The strategy of creating new products and forming partnerships with regional businesses aids in expanding the company's presence abroad and enabling the launching of new items in response to shifting consumer tastes.

Recent Developments

• On October 2022, Israeli food tech startup Bountica developed a healthy alternative to chemical food preservatives by educating bacteria to create proteins that can safely preserve food without the health concerns associated with benzoates, sorbates, propionates, nitrites, and other chemicals found with food labels. The company uses precision fermentation to ferment organic matter into a tasteless powder or liquid, which is added to food in tiny amounts. This process is commonly used to develop new drugs but has never been used for food. Bountica hopes to achieve regulatory approvals soon to start selling its products to manufacturers. Unlike synthetic alternatives, the proteins they create are fully digestible and safe to consume.
• On November 2022, ICL Food Specialties and Protera Biosciences partnered to develop and commercialize sustainable protein-based ingredients using precision fermentation. The partnership aims to address market demands, replace chemical additives, and improve sensory properties in plant-based food applications. Protera uses Madi, a deep-learning platform, to predict and match vegetable protein structure and functionality. The platform also enables the discovery of high-performing untapped plant-based proteins, replacing texturizers, stabilizers, and preservatives.
• On November 2022, Prinova Europe is introducing a new plant-based antimicrobial called PlantGuard AM, which inhibits yeasts, molds, and bacteria, addressing the growing demand for natural preservatives. This proprietary blend of natural plant extracts has antioxidant properties and is effective in extending freshness and shelf life, delaying rancidity, hindering microbial growth, and conserving flavour and colour. Preservatives that are heat stable and have a neutral taste outperform synthetic alternatives in various foods and beverages. In a variety of product categories, including dairy, fish, meat, fruit, vegetables, cereals, and juices, PlantGuard AM can take the place of artificial preservatives. Prinova's technical team works with customers to select the optimal solution for their brands, and its low dose rate and cost-in-use enable economies of scale.
• On June 2022, Chinova Bioworks developed Chiber, a natural preservative for processed food and drink products. Chitosan, a dietary fibre obtained from white button mushrooms, prevents processed foods from microbial deterioration caused by mold. Chinova Bioworks conducted a study using accurate food models to understand the antimicrobial properties of the Chiber ingredient and determine the optimal amounts needed for a shelf life comparable to synthetic preservatives. The cost-effective solution makes Chiber an affordable solution for food and beverage processors. Chinova developed a market-ready product to replace synthetic preservatives in Canada, providing data and evidence for potential clients.

Considered in this report

• Geography: Global
• Historic year: 2017
• Base year: 2022
• Estimated year: 2023
• Forecast year: 2028

Aspects covered in this report

• Global Food Preservatives with its value and forecast along with its segments
• Region-wise Food Preservatives market analysis
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

Regions covered in the report:

• North America
• Europe
• Asia-Pacific
• South America
• Middle-East & Africa

By Type

• Synthetic
• Natural

By Function

• Antimicrobials
• Antioxidants
• Other Functions

By Application

• Meat, Poultry, and Seafood Products
• Beverages
• Confectionery
• Bakery Products
• Snacks
• Dairy and Frozen Products
• Other Applications

The approach of the report:

This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources.

Intended audience

This report can be useful to industry consultants, manufacturers, suppliers, associations and organisations related to the Food Preservatives industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.