Market Trends of Oleoresin Industry
This section covers the major market trends shaping the Oleoresin Market according to our research experts:
Increasing Demand From Food Manufacturers
The ethenic foods are gaining popularity i. countries such as Italy, the United Kingdom, India, China, Mexico, Spain, etc., owing to their authentic flavors with the use of turmeric oleoresin is propelling the market growth. Especially manufacturers of meat products, such as sausages, frequently apply oleoresins as ingredients instead of using marinades from flavoring manufacturers. Some prepare their own marinades from oleoresins and other spices (for example, dried spices). Moreover, the rising demand for confectionery and baked food products and increasing preference for natural and organic ingredients over artificial flavor or colors propel the demand for oleoresins in the food and beverage industry. Several giant producers of mayonnaise, sauces, marinades, and pickles also apply oleoresins as ingredients instead of using products from artificial flavoring agents. Oleoresins are also heat-stable and easy to store, and they are not susceptible to microbiological contamination and have a much longer expiration than fresh or dried spices. Thus, the oleoresins market is propelling higher growth owing to its increased demand in food and beverage manufacturers worldwide.
Europe Holds a Significant Market Share
The United Kingdom, Germany, and Spain are prominent users of oleoresins in the region, with the largest food and beverage industries. The region imports most of its oleoresins from Asian counties, particularly India. Furthermore, several industries in Europe like perfumery, personal care & cosmetics, pharmaceutical, and food and beverage extensively incorporate oleoresins and ingredients in their commodities. The rising popularity of ethnic cuisines, such as Indian, Mexican, and Thai, has spurred the demand for oleoresins derived from spices among food manufacturers, for instance, pepper oleoresin, in order to mimic fresh pepper flavor. The region offers huge potential for oleoresin manufacturers, owing to increasing demand and fluctuations in the raw material supply within the region. For instance, oleoresin extractions for cardamom take place in countries such as India and Sri Lanka. So they have export opportunities in the region, provided that they comply with the European regulations and standards for oleoresins. For example, European legislation has permitted the usage of only a few extraction solvents, namely, propane, butane, ethyl acetate, ethanol, carbon dioxide, acetone, and nitrous oxide.
