According to the latest report of the Friedonia Group, the global fragrance and spice market will grow at an average annual rate of 4.3% in 2014, driven by the increase in demand for food and beverage processing industries and the increase in consumer spending in developing countries. The total global fragrance and fragrance market will reach 23.5 billion U.S. dollars. Among them, North America accounted for 28%, Asia Pacific accounted for 28%, Western Europe accounted for 27%, and other regions accounted for 17%.
The report said that by 2014, the food and beverage processing industry will still occupy the largest share of the global flavor and fragrance market, accounting for 47% of the total market demand in 2009. Analysts believe that the rapid development of the food and beverage industry will stimulate the growth of demand for the fragrance and fragrance market, because flavor and fragrance are commonly used to mask offensive odors of vitamins, minerals, antioxidants and other additives. In addition, the prevalence of fast food and other convenience foods will further stimulate the growth of the flavor and fragrance market.
The report pointed out that another growth driver for the demand for flavors and fragrances came from the cosmetics and hygiene products market, especially the growth momentum of the Asia-Pacific market was even stronger, mainly because the increase in per capita income in the region will lead to a surge in demand in this area. However, the growth in demand for the detergent market will be more limited as even the developing regions have become saturated.
Givaudon, the world's leading manufacturer of flavors and fragrances, recently announced that it will invest 169 million US dollars to build a new savory spice production plant in Hungary to supply the rapidly growing Eastern European market. The factory is scheduled to start production in 2013. Another giant, Dexinxin, said that it has expanded its spice production capacity in Holzminden, Germany, and invested 5 million euros to build two sets of essential oil blending and metering facilities. It was put into operation in August this year, which increased production capacity by 25%. It is said that Dexin's essential oil production capacity in the area has reached about one-third of global demand.
The report also predicts that in the next few years, the fastest growing demand for fragrances and fragrances in the world will be in the developing regions, and the growth in demand in the Asia-Pacific, Latin America, Eastern Europe, Africa and the Middle East will exceed the global average growth rate. In the next four years, the flavor and fragrance market in the Asia-Pacific region will increase at an average annual rate of 5.3%. This growth rate exceeds the average annual growth rate of 4.9% from 2004 to 2009. By the end of 2014, the total fragrance and spice market in the Asia Pacific region is expected to total. At 6.5 billion U.S. dollars, it will exceed Western Europe as the world’s second largest spice and spice demand area; Western Europe will grow at an average annual rate of 3.8%, and the total market volume in 2014 will be 6.4 billion U.S. dollars; the average annual growth rate in the U.S. This is 3.4%, and the total amount in 2014 is 6.6 billion U.S. dollars; the average annual growth rate in other regions is 5%, and the total market volume in 2014 is about 4 billion U.S. dollars.