Global Food Encapsulation Market Size, Share, Opportunities, COVID-19 Impact, And Trends By Technology (Microencapsulation, Hybridencapsulation, Nanoencapsulation), Method (Spray-Drying, Fluid-bed Coating, Spray Chilling/Cooling, Coacervation, Extrusion, Others), By Coating Material (Carbohydrate, Cellulose, Gum, Lipids, Protein, Others), By Encapsulation Application (Vitamins, Enzymes, Flavouring Agents, Artificial Sweeteners, Preservatives, Colourants, Others), By Food Application (Functional Foods, Meat Applications, Bakery And Confectionary, Others), And By Geography- Forecasts From 2022 To 2027

Published:  Aug 2022 Report Code: KSI061613460 Pages: 111

The global food encapsulation market is projected to grow at a CAGR of 7.89% to reach US$34.950 billion by 2027, from US$20.540 billion in 2020.

Encapsulation, a technique for enclosing an active substance with a protective wall material, offers numerous appealing benefits. These benefits include the protection of food-active ingredients against chemical reactions or migration in food, and the controlled delivery of bioactive compounds, among others. The demand for the delivery of the right food components at the right time is fueling the market demand for encapsulation technology. It has been predicted that the encapsulated bioactive components will be capable of improving nutritional characteristics with the development of novel approaches. Also, the huge application of encapsulation lies in increasing the efficiency of functional foods and beverages. This further provides an opportunity for the market to grow at a fast pace in the forecast period and the upcoming years.

The market is currently at a nascent stage and holds potential growth opportunities for encapsulated food in various end-user food applications. The growing popularity of functional foods and beverages with the changing living standards and changing dietary patterns of individuals worldwide is driving the market demand in the forecast period and the upcoming years. This is due to urbanization and the increasing purchasing power of consumers worldwide, with growing disposable income. With continuous technological advancements in the food and beverage industry, the market is poised to hold strong growth prospects in the forecast period.

Geographically, North America is projected to hold a significantly larger market share than the European region. The reason is the early adoption of technology and high standards of living, which include the consumption of industrial food commodities rather than home-cooked meals. While the Asia Pacific region is estimated to be the fastest-growing with the increasing urbanization and rising purchasing power of its consumers, leading to the consumption of industrial foods, which include convenience foods and beverages. Also, with the adoption of a busy lifestyle, consumers prefer foods with high health benefits along with an enhanced shelf life. Furthermore, the shift from home-cooked traditional food consumption to the consumption of convenience-based industry-prepared food products is further providing an opportunity for the market to grow in the upcoming years.

The transition from traditional food consumption to industrial food is driving market demand during the forecast period.

It has been observed, especially in the developing economies of the world, that there is a shift from the adoption of convenient foods rather than traditional home-cooked meals. Fast-food consumption and the consumption of pre-cooked meals have become part of an individual's day-to-day food habits. With the adoption of modern living conditions, a need for innovations has been realized in order to keep food fresh for longer periods of time. Hence, this is creating a high demand for technologies such as food encapsulation, further propagating the market growth in the forecast period. If noticed from an industrial point of view, it is quite easy and less costly for the transportation, storage, and handling of powders than hydrated food products. Hence, encapsulation reduces transportation costs while providing the convenience of handling as well. Encapsulation also provides protection for the food components at the time of storage or processing. Furthermore, encapsulation provides a controlled release of bioactive compounds at the time of cooking, thus, providing an exceptional approach to the maintenance of quality and nutritive status.

The presence of companies in food encapsulation is further augmenting the market growth in the forecast period with the growing consumer demand.

BASF, a leader in the supply of microencapsulated polyunsaturated fatty acid (PUFA) powders for application in infant and maternal nutrition, fortification of food, and dietary supplements, is driving market growth in the forecast period. The company's Dry n-3® powders offer an ultra-long shelf-life without the need for refrigeration. The uniqueness of the product is attributed to BASF encapsulation technology for the protection of highly sensitive fatty acids from oxidation. Additionally, this provides an ideal handling characteristic for the food industry and the consumer. The company makes use of a specific microencapsulation technology for protecting sensitive PUFA oil from oxidation. This can further limit the health benefits of the product. The encapsulated powder can be stored for up to 3 years in its original packaging at an ambient temperature, a maximum of 25 degrees Celsius. There is no degradation noticed of omega-3-fatty acids over a longer period of time. This form of protection helps in safe blending and processing. Also, when compared with conventional spray-dried powders, these capsules do not break easily at the time of transportation, handling, and storage. 

On the other hand, Balchem microencapsulates are tailored according to the specific application. The company's fluid bed technology develops a coating system where particles are repeatedly propelled through a mist of atomized coating droplets. The multiple coating layers lead to a thin but strong shell over the active ingredient. These micro-encapsulated ingredients are further utilized for controlling food ingredient interaction within its environment, the extension of the shelf-life via the controlled release of active ingredients, moisture pick-up by the hygroscopic ingredients, and masking of undesirable taste and flavour, and extended-release of ingredient interaction. The company's ingredient solution's extensive encapsulation application includes food acidulants like citric, malic, and tartaric acid; salts such as sodium and potassium chloride; leavening bases like sodium and potassium bicarbonate; leavening acids; bakery mould inhibitors, and nutrients and pro-oxidants. The following are the products listed under the speciality encapsulation line, namely BakeShure® for bakery applications, ConfecShure® for candies, and MeatShure® for meat applications.

Key Developments in the Market

  • In September 2021, AnaBio Technologies Ltd., an Irish-based natural food-grade microencapsulation developer, opened its new facility in Carrightwohill in Ireland. This development aligns with the firm's objective to build a comprehensive portfolio of encapsulation offerings and its future research and development plans. The firm aims to expand its production by September 2022. 
  • In October 2020, Mantrose-Haueser Co., Inc. launched encapsulated acid crystals to proteinate the sour flavours of licorice, gummy vitamin products, and licorice. The highly stable, fat-free encapsulated acid crystals, including MantroShield MA200 and MantroShield CA100, can effectively reduce coating weight and deliver a clean and quick acid flavour, facilitating lower levels of sanding usage. 

COVID-19 Insights

COVID-19 had a significant impact on the global food encapsulation market. The growing health awareness amid the pandemic has increased the demand for quality-based foods in the market. The increased demand for a high proteinaceous and immune-boosting diet was one of the factors supplementing the market growth during the period.

Global Food Encapsulation Market Scope:

Report Metric Details
 Market Size Value in 2020  US$20.540 billion
 Market Size Value in 2027  US$34.950 billion
 Growth Rate  CAGR of 7.89% from 2020 to 2027
 Base Year  2020
 Forecast Period  2022–2027
 Forecast Unit (Value)  USD Billion
 Segments Covered  Technology, Method, Coating Material, Encapsulation Application, Food   Application, And Geography
 Regions Covered  North America, South America, Europe, Middle East and Africa, Asia Pacific
 Companies Covered DSM, FrieslandCampina Kievit, Ingredion Incorporated and its Affiliates, Cargill, Incorporated, Balchem Corporation, BASF SE, Symrise Group, Encapsys, LLC, AnaBio Technologies Ltd., Ronald T. Dodge Company
 Customization Scope  Free report customization with purchase

 

Segmentation:

  • By Technology
    • Microencapsulation
    • Hybridencapsulation
    • Nanoencapsulation
  • By Method
    • Spray-Drying
    • Fluid-bed Coating
    • Spray Chilling/Cooling
    • Coacervation
    • Extrusion
    • Others
  • By Coating Material
    • Carbohydrate
    • Cellulose
    • Gum
    • Lipids
    • Protein
    • Others
  • By Encapsulation Application
    • Vitamins
    • Enzymes
    • Flavouring Agents
    • Artificial Sweeteners
    • Preservatives
    • Colourants
    • Others
  • By Food Application
    • Functional Foods
    • Meat Applications
    • Bakery and Confectionary
    • Others
  • By Geography
    • North America
      • USA
      • Canada
      • Mexico
    • South America
      • Brazil
      • Argentina
      • Others
    • Europe
      • UK
      • Germany
      • France
      • Spain
      • Italy
      • Others
    • Middle East and Africa
      • UAE
      • Israel
      • Saudi Arabia
      • Others
    • Asia Pacific
      • Japan
      • China
      • India
      • Australia
      • Indonesia
      • Thailand
      • Others

Frequently Asked Questions (FAQs)

Q1. What are the growth prospects for the food encapsulation market?
A1. The food encapsulation market is projected to grow at a CAGR of 7.89% during the forecast period.


Q2. What will be the food encapsulation market size by 2027?
A2. The global food encapsulation market is projected to reach a market size of US$34.950 billion by 2027.


Q3. What is the size of the global food encapsulation market?
A3. Food Encapsulation Market was valued at US$20.540 billion in 2020. 


Q4. What factors are anticipated to drive the food encapsulation market growth?
A4. The shift from the traditional style of consuming food to the adoption of industrial food is propelling the food encapsulation market demand.


Q5. Which region holds the maximum market share of the food encapsulation market?
A5. North America is projected to hold a significantly larger share of the food encapsulation market followed by the European region. 

1. INTRODUCTION
1.1. Market Overview
1.2. COVID-19 Scenario
1.3. Market Definition
1.4. Market Segmentation

2. RESEARCH METHODOLOGY  
2.1. Research Data
2.2. Assumptions

3. EXECUTIVE SUMMARY
3.1. Research Highlights

4. MARKET DYNAMICS
4.1. Market Drivers
4.2. Market Restraints
4.3. Porter's Five Force Analysis
4.3.1. Bargaining Power of Suppliers
4.3.2. Bargaining Power of Buyers
4.3.3. Threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Industry
4.4. Industry Value Chain Analysis

5. GLOBAL FOOD ENCAPSULATION MARKET ANALYSIS, BY TECHNOLOGY
5.1. Introduction
5.2. Microencapsulation
5.3. Hybridencapsulation
5.4. Nanoencapsulation

6. GLOBAL FOOD ENCAPSULATION MARKET ANALYSIS, BY METHOD
6.1. Introduction
6.2. Spray-Drying
6.3. Fluid-bed Coating
6.4. Spray Chilling/Cooling
6.5. Coacervation
6.6. Extrusion
6.7. Others

7. GLOBAL FOOD ENCAPSULATION MARKET ANALYSIS, BY COATING MATERIAL
7.1. Introduction
7.2. Carbohydrate
7.3. Cellulose
7.4. Gum
7.5. Lipids
7.6. Protein
7.7. Others

8. GLOBAL FOOD ENCAPSULATION MARKET ANALYSIS, BY ENCAPSULATION APPLICATION
8.1. Introduction
8.2. Vitamins
8.3. Enzymes
8.4. Flavouring Agents
8.5. Artificial Sweeteners
8.6. Preservatives
8.7. Colourants
8.8. Others

9. GLOBAL FOOD ENCAPSULATION MARKET ANALYSIS, BY FOOD APPLICATION
9.1. Introduction
9.2. Functional Foods
9.3. Meat Applications
9.4. Bakery and Confectionary
9.5. Others

10. GLOBAL FOOD ENCAPSULATION MARKET ANALYSIS, BY GEOGRAPHY
10.1. Introduction
10.2. North America
10.2.1. United States
10.2.2. Canada
10.2.3. Mexico
10.3. South America
10.3.1. Brazil
10.3.2. Argentina
10.3.3. Others
10.4. Europe
10.4.1. UK
10.4.2. Germany
10.4.3. France
10.4.4. Spain
10.4.5. Italy
10.4.6. Others
10.5. Middle East and Africa
10.5.1. United Arab Emirates
10.5.2. Israel
10.5.3. Saudi Arabia
10.5.4. Others
10.6. Asia Pacific
10.6.1. Japan
10.6.2. China
10.6.3. India
10.6.4. Australia
10.6.5. Indonesia
10.6.6. Thailand
10.6.7. Others

11. COMPETITIVE ENVIRONMENT AND ANALYSIS
11.1. Major Players and Strategy Analysis
11.2. Emerging Players and Market Lucrativeness
11.3. Mergers, Acquisitions, Agreements, and Collaborations
11.4. Vendor Competitiveness Matrix

12. COMPANY PROFILES
12.1. DSM
12.2. FrieslandCampina Kievit
12.3. Ingredion Incorporated and its Affiliates
12.4. Cargill, Incorporated
12.5. Balchem Corporation
12.6. BASF SE
12.7. Symrise Group
12.8. Encapsys, LLC 
12.9. AnaBio Technologies Ltd.
12.10. Ronald T. Dodge Company

DSM

FrieslandCampina Kievit

Ingredion Incorporated and its Affiliates

Cargill, Incorporated

Balchem Corporation

BASF SE

Symrise Group

Encapsys, LLC

AnaBio Technologies Ltd.

Ronald T. Dodge Company

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