Preservatives Market Put Forth Analysis, and Forecasts 2028

Preservatives Industry Overview

The global preservatives market size is expected to reach USD 8.12 billion by 2028, according to a new report by Grand View Research, Inc., expanding at a CAGR of 5.1% over the forecast period. The increased product demand has positively contributed to the market growth. The synthetic type of food preservatives dominated the global market owing to their cost competitiveness. However, natural preservatives are replacing synthetic ones in developed economies owing to the high customer awareness regarding the adverse effects of chemicals, thus positively impacting the market growth. Food manufacturers utilize antioxidants for the neutralization of free radicals and to balance the adverse effects of additives in processed foods.

Preservatives Market Segmentation

Grand View Research has segmented the global preservatives market on the basis of type, function, application, and region:

Based on the Type Insights, the market is segmented into Natural, and Synthetic.

• The synthetic type segment dominated the market in 2020 with a revenue share of 84.0%. The effectiveness of synthetic preservatives in inhibiting the growth of mold and yeast coupled with its cost-effectiveness is the primary factor contributing to the segment growth. The use of propionates is expected to increase globally as they are increasingly replacing several toxic synthetic preservatives. Manufacturers, such as Niacet Corp. and BASF SE, are focusing on increasing the production of calcium and sodium propionate to cater to its rising demand for use in food, feed, and pharmaceutical applications. There is an increase in demand for traditional natural food preservatives globally due to the growing use of natural products in a variety of applications.
• The Asia Pacific region is a major producer of spices, honey, vinegar, and other natural products. Thus, many companies are expanding and commissioning their production facilities in the region, which is driving the segment growth. Food manufacturers are increasingly using natural bioactive to obtain functional foods, which is becoming a rapidly growing market worldwide. Vegetable oil is the fastest-growing segment in the commercial segment of functional foods as the natural alternatives are seen as potential health-promoting compounds, thereby benefitting market growth.

Based on the Function Insights, the market is segmented into Antimicrobial, Antioxidant and Others.

• Antimicrobial function emerged as the dominant segment with a revenue share of more than 78% in 2020. As disease outbreak and adulteration cases are rising globally, foodborne diseases have become a major concern, which has increased concern about food safety, leading to the high market share of antimicrobial preservatives. Antimicrobial properties against pathogens and microbes can be found in herbal plants and edible oils. With the rising concerns among consumers regarding chemical preservatives, natural antimicrobial agents are becoming popular for increasing the shelf life of products, thereby driving the market. The demand for antioxidant preservatives will increase over the forecast period.
• This is due to oxidation being a problem that causes rancidity in foods and cosmetics when the oxygen reacts with the fat and pigment content. Green tea extracts, acerola, rosemary extract, and ascorbic acid possess antioxidant properties and are being widely used for oxidation prevention purposes, thereby contributing to segment growth. The consumption of processed foods, such as meats and snacks, along with various types of beverages has increased to larger volumes, which is expected to bolster the demand for antioxidants. In addition, manufacturers are utilizing antioxidants for the neutralization of free radicals in the body, which is further expected to contribute to the segment growth during the forecast period.

Based on the Application Insights, the market is segmented into Food and Feed.

• The food application segment accounted for the maximum revenue share of more than 48% in 2020. The growth of the processed meat industries in Asia Pacific and North America is largely responsible for the demand for food preservatives. In addition, the high demand for processed foods, such as bakery, dairy, and beverages, contributed to the segment growth in 2020. The use of feed preservatives has been prominent owing to their effectiveness to preserve feed quality during their transportation and storage. With fluctuating raw material prices and emerging regulatory requirements, feed manufacturers are prioritizing the usage of preservatives in their products, thereby driving the segment growth.
• Preservatives amplify the shelf life of drugs and medicines by lowering or decreasing the oxidation level of active ingredients in them by reducing microbial production. Thus, increasing demand for pharmaceutical products globally is expected to bolster the demand for preservatives that do not affect the therapeutic action of active ingredients. The global cosmetics industry has experienced significant growth in the past few years owing to increasing consumer consciousness about their appearance. With the rising investments in research and development for organic and paraben-free cosmetic products, the demand for natural preservatives is expected to increase in the coming years.

Preservatives Regional Outlook

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

Key Companies Profile & Market Share Insights

The market has been characterized by the presence of a large number of manufacturers of synthetic food preservatives. The increasing demand for natural preservatives has fuelled the competition with new players entering the market. Public companies in the industry are proactive in initiating strategies to push the adoption of their products in the global market. Manufacturers compete on the basis of innovations and new launches with different formulations to improve the shelf life of various products without compromising their texture and flavor. The demand for natural preservatives is gradually increasing worldwide owing to rising health consciousness among consumers and willingness to pay more for premium products.

Some of the prominent players operating in the global preservatives market include,

• Zhejiang Bossen Technology Co., Ltd.
• APAC Chemical Corp.
• Nantong Acetic Acid Chemical Co., Ltd.
• Jinneng Science and Technology Company Ltd.
• Guangzhou ZIO Chemical Co., Ltd.
• Nanjing Jiayi Sunway Chemical Co., Ltd.
• CFS Wanglong Flavors Co., Ltd.
• Tianjin Haitong Chemical Industrial Co., Ltd.
• Wanglong Tech Co., Ltd.
• Celanese Corporation
• FBC Industries
• Veckridge Chemical
• Shandong Hongda Group
• REIPU (QINGDAO) International Trade Co., Ltd.
• Jiangsu Mupro IFT Corp.
• Daicel Corp.

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