Encapsulated Flavors Market

Global Market Study on Encapsulated Flavors: Bakery & Confectionary Industry to Offer Increasing Lucrative Opportunities to Manufacturers

Encapsulated Flavors Market Segmented By Spray drying, Spray Chilling, Fluid Bed Coating, Glass Encapsulation as Encapsulation Process with Citric Flavors, Berry Flavors, Spice Flavors, Nut Flavors, General Fruit Flavors, Exotic Fruit Flavors, Chocolate flavor, Vanilla Flavors

Encapsulated Flavors Market: About the Report

Demand for encapsulated flavors is going northward, attributed to shifting consumer preference for convenience food and ready-to-eat products. The encapsulated flavors market would experience considerably high demand from the beverages & instant drinks segment over the coming years. Especially in developing regions, sales of ready-to-eat meals are growing, leading to higher demand for spicy and exotic flavors. There has been huge increase in the market for ethical flavors around the world. Rising popularity of ethnic food and drinks has led to innovation of hotter, spicier, and more unique flavor profiles. The report by PMR also details how and why demand is high across the regions of North America, Europe, and East Asia. A COVID-19 impact analysis has been provided, which details how the global encapsulated flavors has been affected, and what the future looks like.

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  • Symrise AG
  • Cargill, Incorporated
  • International Flavors & Fragrances Inc.
  • Sensient Technologies Corporation
  • Insta Foods
  • Kerry Group
  • Firmenich SA
  • FONA International Inc.
  • Clextral
  • Gold Coast Ingredients, Inc.
  • Synthite Industries Limited
  • Mane Group
  • Balchem Corporation
  • AVEKA Group
  • Butter Buds Inc.

Encapsulated Flavors Market Trends

Increasing Number of Consumers Preferring Unique & Non-conventional Flavors: Rise in demand for spicy and nutty flavors in various food products is pushing manufacturers to innovate more flavors to meet the various demands of consumers. Flavor manufacturing companies are currently implementing advanced and updated technology variants and advanced technologies to safeguard natural and organic flavors against quality degradation. Technological innovations will also help increase sales of encapsulated flavors over the forecast period.

  • For instance, Frutarom Switzerland Ltd uses innovative technologies such as Durarome, which protect flavors from oxidation and also helps preserve their freshness.
  • In July 2016, PLT Health Solutions, Inc. introduced a new flavor technology - broad-spectrum anti-microbial activity - that helps extend shelf life and enhance flavor in a broad range of food and beverage products.

High Consumption of Beverages & Instant Drinks Driving Demand: The beverage industry is flourishing across all regions of the world, owing to changing lifestyles of consumers. Shifting consumers preference toward convenient products coupled with increasing disposable income in most emerging countries will aid the expansion of the global encapsulated flavors market size.

Today’s customers opt for balanced food and drinks with a strong nutritional quotient and natural flavor. The process of encapsulation allows conversion of fruit and vegetable ingredients into natural flavors without losing their nutritional value. As demand for natural ingredients continues to grow, manufacturers in the encapsulated flavors market will seize lucrative opportunities and form links with different manufactories of food and beverages across regions.

Encapsulated Flavors Market

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Regional Outlook of Encapsulated Flavors Market

Europe is the dominating region as far as encapsulated flavors market share is concerned, and is expected to expand at a decent growth rate of close to 5% through 2030. The high potential markets of Europe and North America, together account for 60% of the market share currently.

The encapsulated flavors market in South Asia and East Asia is projected to experience the fastest growth over the forecast period, despite having a relatively low share. Especially, the South Asia encapsulated flavors market is projected to progress at an impressive CAGR of 8% during the forecast period of 2020 to 2030.

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COVID- Impact on Encapsulated Flavors Market      

The encapsulated flavors market has been moderately affected by the COVID-19 pandemic. Global food & beverage sales remained sluggish during first half of 2020, and consumer focus was on storage during this period. By the end of April, manufacturing facilities around the globe witnessed production issues, which impacted orders in the encapsulated flavors market too. For the next two months, demand remained sluggish; however, when production resumed, recovery was quicker than expected.

During the recovery period, a shift in procurement was reported. A sizable number of food & beverage companies operating in Europe and North America used to procure encapsulated flavors from China and other key markets of Asia. By mid-2020, when markets opened, Chinese companies did not receive order volumes as much as they used to over the past fiscal years. This clearly indicated that North American, European, and Australian food & beverage brands were procuring encapsulated flavors from destinations other than China. A large number of such companies in Europe and North America resorted to local sourcing, whereas, others moved to India, Indonesia, and Vietnam.

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The Analysts’ Viewpoint

The encapsulated flavors market is expected to experience substantial growth over the forecast period, with market volume reaching 232 KT by the end of 2030. Increased demand for unique flavored beverages is one of the main regions aiding market growth. Also, with demand for convenience and ready-to-eat food on the rise, the global encapsulated flavors market is slated to experience healthy growth over the next decade.


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