European market for digestive food additives and benefited from higher prices and new applications

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The European market for digestive products is also benefiting from increasing consumer awareness of functional foods. In 2008, the “digestion” sector was the largest sector in the overall market for functional foods with EU approval with a sales share of 68 percent. Higher product prices in combination with an expansion of the areas of application should drive the market growth further. Accordingly, a new study by the management consultancy Frost & Sullivan expects the sales volume in this industry to increase from 245,0 million US dollars in 2008 to 536,5 million US dollars in 2015. The study covers the segments prebiotics, probiotics and Digestive enzymes.

"The European market for digestive foods and additives is in a growth stage and is characterized by a high frequency of new product launches," said Sridhar Gajendran, industry analyst at Frost & Sullivan. "The range is divided into the categories of functional foods and dietary supplements, with the former accounting for the larger share in terms of both market volume and market value in 2008." Functional foods with digestive effects are in the form of dairy products, beverages, baked goods, cereals and Convenience food available. Mainly due to its significant potential to penetrate other application areas such as meat and fish, this category is likely to grow strongly in the next few years.

In addition, increased product prices have resulted in higher sales in the market. For example, Beneo-Orafti, the world's largest supplier of the prebiotic fibers inulin and oligofructose, has successively increased the prices for its BENEO program in recent years. At the end of 2007, liquid products became 2008 percent more expensive and powder products 25 percent more expensive. In November XNUMX there was another increase – this time even by XNUMX percent, after the Belgian company had started co-branding with meat products for the first time two months earlier with its prebiotic additives. Other co-brandings followed, including canned fish in Germany and turkey steaks in Spain.

The negative effects of the recession are of course also noticeable in this market, especially in the case of probiotics, which are expensive to produce. "However, the growing trend towards digestive foods and the efforts of consumers to counteract the rising costs of health care through personal initiative, such as a conscious diet, should offset this effect again," comments Sridhar Gajendran. “Furthermore, as demand and production volumes increase, manufacturing costs will also decrease, which suits probiotics suppliers. Because these cost savings can be passed on to processors and then ultimately to consumers.”

Another challenge is the high cost of clinical trials, which is why research has been very limited. "However, the results of such studies would ensure a significant increase in demand, in which they could be used to provide targeted information about the advantages of healthy digestion," says Sridhar Gajendran. "At the same time, all possibilities for comprehensive claims should be examined and exhausted for the marketing of products with convincing health-promoting properties."

Frost & Sullivan sees the continuously expanding segment for prebiotics as a future growth driver. Dairy, Bakery and Cereals remain the top performing categories here. Currently, 50 percent of all prebiotics on the market are in the form of dairy products. At the same time, an increasing number of cereal manufacturers are using prebiotics to enrich their products with additional fiber and thus give consumers the feeling that they are doing something good for themselves and their health.

If you are interested in further information on Frost & Sullivan's latest study "EU Digestive Health Ingredients Market" please contact Katja Feick - Corporate Communications (This e-mail address is being protected from spambots To display JavaScript must be turned on!). The information will then be emailed to you.

The EU Digestive Health Ingredients Market study is part of Frost & Sullivan's Growth Partnership Service Food & Beverage, which includes the following studies, among others: US Digestive Health Ingredients Market, EU Food and Feed Antioxidants Market, US Bone and Joint Health Ingredients Market and European Heart Health Ingredients Market. All studies in the subscription service are based on extensive interviews with market participants and provide detailed information on market opportunities and industry trends.

About Frost & Sullivan

Frost & Sullivan is a global consulting firm that partners with clients to develop innovative growth strategies. With a service portfolio consisting of Growth Partnership Services, Growth Consulting and Corporate Training & Development, Frost & Sullivan supports its clients in establishing a growth-oriented culture and implementing corresponding strategies.

Operating in a variety of sectors and industries for over 45 years, Frost & Sullivan has a vast body of market information and now has 40 offices on six continents. Frost & Sullivan's client base includes Global 1000 companies as well as emerging firms and investment industry clients.

More information on Growth Partnerships at http://www.frost.com/.

Study Title: EU Digestive Health Ingredients Market M426

Source: Frankfurt am Main [ RnJvc3QgJiBTdWxsaXZhbg== ]

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