Flavors And Fragrances Market Size, Growth, Trends, Report 2023-2032
The global flavors and fragrances market size was estimated at around USD 29.19 billion in 2022 and it is projected to hit around USD 49.58 billion by 2032, growing at a CAGR of 5.44% from 2023 to 2032. The flavors and fragrances market in the United States was accounted for USD 5.7 billion in 2022.
Key Pointers
Report Scope of the Flavors And Fragrances Market
| Report Coverage | Details |
| Revenue Share of Asia Pacific in 2022 | 32% |
| Revenue Forecast by 2032 | USD 49.58 billion |
| Growth Rate from 2023 to 2032 | CAGR of 5.44% |
| Base Year | 2022 |
| Forecast Period | 2023 to 2032 |
| Market Analysis (Terms Used) | Value (US$ Million/Billion) or (Volume/Units) |
| Companies Covered | Sensient Technologies Corp.; Mane SA; Takasago International Corp.; Manohar Botanical Extracts Pvt. Ltd.; Alpha Aromatics; Ozone Naturals; Elevance Renewable Sciences, Inc.; Firmenich SA; Symrise AG; Vigon International, Inc.; BASF SE; Indo World; Akay Flavors & Aromatics Pvt. Ltd.; Ungerer & Company; Synthite Industries Ltd.; Universal Oleoresins; Flavex Naturextrakte GmbH; Falcon Essential Oils; doTERRA International; Young Living Essential Oils; Biolandes SAS; International Flavors and Fragrances, Inc.; Givaudan |
The product demand is anticipated to be driven by the rising demand and consumption of processed food and personal care & cosmetic products globally. Rising disposable income in emerging economies like India and China coupled with population growth is expected to augment the demand for personal care and cosmetic products in the industry. In addition, the busy lifestyle pattern upheld in developing as well as developed countries are anticipated to augment the demand for processed foods & beverages, thereby increasing the demand for flavors.
Natural fragrances and flavors are costly due to their processing; and because of limited resources, industry players have developed cost-efficient synthetic alternatives. These products have the advantages of regular supply, steady pricing, and lower production costs. In the past years, there used to exist an arrangement in which dealers would have a multi-year contract with other dealers.
However, such an arrangement is no longer popular. Due to the increased awareness about the adverse effects of allopathic medicines, increasing concerns about the medicinal benefits, and therapeutic effects of herbal products are likely to fuel the demand for herbal products, dietary supplements, and herbal-based beauty aids derived from botanical extracts. These extracts are used in anti-aging cosmetic products to help reduce the radical damage caused by bioflavonoids in their composition.
Flavors and fragrances provide strong sensory impressions, often determined when applied via medical products, beverages, food, and other substances. These products enhance the aesthetic value and overall appeal of consumer goods. The increasing demand for health and wellness foods, Ready-to-Eat (RTE), and convenience meals, as well as rapid technological advancements, are expected to further augment the industry growth.
Product Type Insights
The natural chemicals segment dominated the industry in 2022 and accounted for the maximum share of more than 75% of the overall revenue. This is attributed to the ever-increasing product usage in various application industries like pharmaceuticals, aromatherapy, and natural cosmetics. Furthermore, increasing research spending for the development of natural fragrance compounds is expected to have a positive impact on the overall industry. Aroma chemicals are synthetic aromas, which are used in many applications, such as essential oils, food & beverages, and perfumes.
Aroma chemicals play a crucial role in the manufacturing of fragrances and flavors that are used in the food industry to enhance the appeal and flavor of the product. These chemicals are classified as phenols, aldehydes, alcohols, esters, and other chemicals. The use of natural products is on the rise due to the high demand for the exotic essential oil to be used in pharmaceuticals, aromatherapy, and natural cosmetics. The demand for fragrances where the odor value of a fragrance is replaced with natural oils is high in developed countries. Thus, many exotic essential oils like, sandal, junipers, rosemary, lavender, geranium, etc. find applications in multiple new blends.
Application Insights
The fragrances application segment dominated the global industry in 2022 and accounted for the maximum share of more than 54% of the overall revenue. The high share of this segment can be attributed to the increased demand for various fragrances in toiletries, such as hand washes, detergents, soaps, personal care products, and cosmetics. Furthermore, fragrance plays an important role in aromatherapy applications, owing to which essential oils, materials, compounds, and aromatic oils demand is likely to be driven in aromatherapy applications.
In addition, the growing demand for aromatherapy diffusers is likely to fuel the industry's growth in the coming years. Flavors are the aromas used in food & beverage products. There is a rise in the application of flavors in several foods and beverages in commercial as well as domestic applications. In addition, feed and feed additive manufacturers are focusing more on providing palatability solutions to increase feed intake. This, in turn, is projected to propel the demand for flavors in animal feed applications supporting the overall market growth.
Regional Insights
Asia Pacific dominated the global industry in 2022 and accounted for the highest share of more than 32% of the overall revenue. This is attributed to the shift in choices of consumers towards nutritional and healthy foods and beverages in most populated countries like India and China. Asian flavors and fragrances have also gained popularity in the major regions of Europe and North America. Indonesia, India, China, and Vietnam are among the prominent food flavor markets in the region of Asia Pacific. Multiple manufacturing companies are focusing on the expansion of their business and investments in R&D facilities in the Asia Pacific region.
Factors, such as government subsidies, tax benefits, and high per capita income, are attracting global companies to expand and start their operation in this region. The Comprehensive Economic & Trade Agreement (CETA) is predicted to remove the customs duty on food and agricultural products and several other industrial products. The trade agreement between Canada and the European Union is likely to enable it to participate in public bids in Canada. This is further intended to propel the trade of essential oils between Europe and North America, thereby providing a significant growth opportunity for the essential oils & floral extracts industry players in North America.
Flavors And Fragrances Market Segmentations:
By Product
By Application
By Region
Chapter 1. Introduction
1.1. Research Objective
1.2. Scope of the Study
1.3. Definition
Chapter 2. Research Methodology
2.1. Research Approach
2.2. Data Sources
2.3. Assumptions & Limitations
Chapter 3. Executive Summary
3.1. Market Snapshot
Chapter 4. Market Variables and Scope
4.1. Introduction
4.2. Market Classification and Scope
4.3. Industry Value Chain Analysis
4.3.1. Raw Material Procurement Analysis
4.3.2. Sales and Distribution Channel Analysis
4.3.3. Downstream Buyer Analysis
Chapter 5. COVID 19 Impact on Flavors And Fragrances Market
5.1. COVID-19 Landscape: Flavors And Fragrances Industry Impact
5.2. COVID 19 - Impact Assessment for the Industry
5.3. COVID 19 Impact: Global Major Government Policy
5.4. Market Trends and Opportunities in the COVID-19 Landscape
Chapter 6. Market Dynamics Analysis and Trends
6.1. Market Dynamics
6.1.1. Market Drivers
6.1.2. Market Restraints
6.1.3. Market Opportunities
6.2. Porter’s Five Forces Analysis
6.2.1. Bargaining power of suppliers
6.2.2. Bargaining power of buyers
6.2.3. Threat of substitute
6.2.4. Threat of new entrants
6.2.5. Degree of competition
Chapter 7. Competitive Landscape
7.1.1. Company Market Share/Positioning Analysis
7.1.2. Key Strategies Adopted by Players
7.1.3. Vendor Landscape
7.1.3.1. List of Suppliers
7.1.3.2. List of Buyers
Chapter 8. Global Flavors And Fragrances Market, By Product
8.1. Flavors And Fragrances Market, by Product, 2023-2032
8.1.1. Natural
8.1.1.1. Market Revenue and Forecast (2020-2032)
8.1.2. Aroma Chemical
8.1.2.1. Market Revenue and Forecast (2020-2032)
Chapter 9. Global Flavors And Fragrances Market, By February
9.1. Flavors And Fragrances Market, by February, 2023-2032
9.1.1. Flavors
9.1.1.1. Market Revenue and Forecast (2020-2032)
9.1.2. Fragrances
9.1.2.1. Market Revenue and Forecast (2020-2032)
Chapter 10. Global Flavors And Fragrances Market, Regional Estimates and Trend Forecast
10.1. North America
10.1.1. Market Revenue and Forecast, by Product (2020-2032)
10.1.2. Market Revenue and Forecast, by February (2020-2032)
10.1.3. U.S.
10.1.3.1. Market Revenue and Forecast, by Product (2020-2032)
10.1.3.2. Market Revenue and Forecast, by February (2020-2032)
10.1.4. Rest of North America
10.1.4.1. Market Revenue and Forecast, by Product (2020-2032)
10.1.4.2. Market Revenue and Forecast, by February (2020-2032)
10.2. Europe
10.2.1. Market Revenue and Forecast, by Product (2020-2032)
10.2.2. Market Revenue and Forecast, by February (2020-2032)
10.2.3. UK
10.2.3.1. Market Revenue and Forecast, by Product (2020-2032)
10.2.3.2. Market Revenue and Forecast, by February (2020-2032)
10.2.4. Germany
10.2.4.1. Market Revenue and Forecast, by Product (2020-2032)
10.2.4.2. Market Revenue and Forecast, by February (2020-2032)
10.2.5. France
10.2.5.1. Market Revenue and Forecast, by Product (2020-2032)
10.2.5.2. Market Revenue and Forecast, by February (2020-2032)
10.2.6. Rest of Europe
10.2.6.1. Market Revenue and Forecast, by Product (2020-2032)
10.2.6.2. Market Revenue and Forecast, by February (2020-2032)
10.3. APAC
10.3.1. Market Revenue and Forecast, by Product (2020-2032)
10.3.2. Market Revenue and Forecast, by February (2020-2032)
10.3.3. India
10.3.3.1. Market Revenue and Forecast, by Product (2020-2032)
10.3.3.2. Market Revenue and Forecast, by February (2020-2032)
10.3.4. China
10.3.4.1. Market Revenue and Forecast, by Product (2020-2032)
10.3.4.2. Market Revenue and Forecast, by February (2020-2032)
10.3.5. Japan
10.3.5.1. Market Revenue and Forecast, by Product (2020-2032)
10.3.5.2. Market Revenue and Forecast, by February (2020-2032)
10.3.6. Rest of APAC
10.3.6.1. Market Revenue and Forecast, by Product (2020-2032)
10.3.6.2. Market Revenue and Forecast, by February (2020-2032)
10.4. MEA
10.4.1. Market Revenue and Forecast, by Product (2020-2032)
10.4.2. Market Revenue and Forecast, by February (2020-2032)
10.4.3. GCC
10.4.3.1. Market Revenue and Forecast, by Product (2020-2032)
10.4.3.2. Market Revenue and Forecast, by February (2020-2032)
10.4.4. North Africa
10.4.4.1. Market Revenue and Forecast, by Product (2020-2032)
10.4.4.2. Market Revenue and Forecast, by February (2020-2032)
10.4.5. South Africa
10.4.5.1. Market Revenue and Forecast, by Product (2020-2032)
10.4.5.2. Market Revenue and Forecast, by February (2020-2032)
10.4.6. Rest of MEA
10.4.6.1. Market Revenue and Forecast, by Product (2020-2032)
10.4.6.2. Market Revenue and Forecast, by February (2020-2032)
10.5. Latin America
10.5.1. Market Revenue and Forecast, by Product (2020-2032)
10.5.2. Market Revenue and Forecast, by February (2020-2032)
10.5.3. Brazil
10.5.3.1. Market Revenue and Forecast, by Product (2020-2032)
10.5.3.2. Market Revenue and Forecast, by February (2020-2032)
10.5.4. Rest of LATAM
10.5.4.1. Market Revenue and Forecast, by Product (2020-2032)
10.5.4.2. Market Revenue and Forecast, by February (2020-2032)
Chapter 11. Company Profiles
11.1. Sensient Technologies Corp.
11.1.1. Company Overview
11.1.2. Product Offerings
11.1.3. Financial Performance
11.1.4. Recent Initiatives
11.2. Mane SA
11.2.1. Company Overview
11.2.2. Product Offerings
11.2.3. Financial Performance
11.2.4. Recent Initiatives
11.3. Takasago International Corp.
11.3.1. Company Overview
11.3.2. Product Offerings
11.3.3. Financial Performance
11.3.4. Recent Initiatives
11.4. Manohar Botanical Extracts Pvt. Ltd.
11.4.1. Company Overview
11.4.2. Product Offerings
11.4.3. Financial Performance
11.4.4. LTE Scientific
11.5. Alpha Aromatics
11.5.1. Company Overview
11.5.2. Product Offerings
11.5.3. Financial Performance
11.5.4. Recent Initiatives
11.6. Ozone Naturals
11.6.1. Company Overview
11.6.2. Product Offerings
11.6.3. Financial Performance
11.6.4. Recent Initiatives
11.7. Elevance Renewable Sciences, Inc.
11.7.1. Company Overview
11.7.2. Product Offerings
11.7.3. Financial Performance
11.7.4. Recent Initiatives
11.8. Firmenich SA
11.8.1. Company Overview
11.8.2. Product Offerings
11.8.3. Financial Performance
11.8.4. Recent Initiatives
11.9. Symrise AG
11.9.1. Company Overview
11.9.2. Product Offerings
11.9.3. Financial Performance
11.9.4. Recent Initiatives
11.10. Vigon International, Inc
11.10.1. Company Overview
11.10.2. Product Offerings
11.10.3. Financial Performance
11.10.4. Recent Initiatives
Chapter 12. Research Methodology
12.1. Primary Research
12.2. Secondary Research
12.3. Assumptions
Chapter 13. Appendix
13.1. About Us
13.2. Glossary of Terms
Cross-segment Market Size and Analysis for
Mentioned Segments
Additional Company Profiles (Upto 5 With No Cost)
Additional Countries (Apart From Mentioned Countries)
Country/Region-specific Report
Go To Market Strategy
Region Specific Market DynamicsRegion Level Market Share Import Export AnalysisProduction AnalysisOthers