‘Fortified food’ is a disruptive trend in the global F&B sector. Nutritional Labelling and Education Act by FDA very well resonates with the fact that nutrition has emerged as a principal factor modulating food processing. The increasing demand for functional food globally clearly indicates the diversion of food and beverages industry towards fortified food items from taste oriented conventional products. This has augmented the uptake of nutritional premixes by end-product manufacturers in the F&B sector. Demand for tailored nutritional profiles in sports nutrition, clinical nutrition, and health supplements has further expanded the scope of specific premixes constituents such as vitamins, amino acids, nutraceuticals, nucleotides, and minerals. Among several ingredients, demand for vitamin and mineral premixes has emerged owing to its extensive scope of application in an extensive array of verticals industries including confectionaries, dairy products, beverages, nutritional products, and dietary supplements. Increasing geriatric population amalgamated with the rising incidence of infant’s health disorders is adding further impetus to the vitamin and mineral premixes market. As such premixes are an integral constituent of infant formula and nutraceuticals in geriatrics. Another end-user industry adding impetus to vitamin and mineral premixes market demand is ‘animal feed’. The wide acceptance of non-vegetarian diet amalgamated with the agricultural sector not sufficing with its crops output to feed the global bourgeoning population, animal husbandry is the asylum being sought for global food security. Vitamin and mineral premixes are an integral constituent of livestock feed to enhance the output of the animal farming sector. Apart from enhancing end-products, nutritional premixes also enhances the economic efficiency of production in the F&B sector. As it is a single source of multiple nutrients, vitamin and mineral premixes assists end-product manufacturers to streamline manufacturing operations, developing towards reduced inventory cost, improved production efficiencies, and quality control. Hence, owing to the extensive scope of application in the flourishing F&B sector and developments in the healthcare and personal care products creating demand for premixes, the global vitamin and mineral premixes market size was evaluated to be $ 8.9 billion in 2018. Tracing the significance of animal farming in global food security and importance of nutritional premixes for adequate outcome serving the economy as well, opportunities in the market is estimated to be progressing at a CAGR of 5.2% during the forecast period of 2019-2025.
Government leveraging nutritional premixes to diminish cases of malnutrition and ‘hidden hunger’ globally:
The population of undernourished people with chronic food deprivation witnessed an upsurge from 804 million in 2016 to 821 million in 2017, according to the Food and Agricultural Organization of the United Nations (FAO). Similarly, ‘hidden hunger’ is a global epidemic where people get sufficient calories, but miss out on imperative nutrients. WHO states that 2 billion people in both developed and developing economies suffer from vitamins and minerals deficiencies. As a consequence, WHO and FAO have detected food fortification among the top 4 strategies to be implemented for diminishing micronutrient malnutrition at the global level. Governments of several economies, both developed and developing such as Pakistan, United States, Middle East, and, Africa have partnered with international agencies and NGOs for the fortification of centrally-processed staple foods. The approach being affordable and viable is being imitated by 86 countries across the globe currently, and Vitamin A and iron are major constituents of these fortification processes. Such practices by governments and organizations is a major disruptive force for global vitamin and mineral premixes market growth. A classic example of such a case can be derived from India, a global leader in terms of population and 100th rank holder in Global Hunger Index & its initiative to address Malnutrition. An Indian state, Rajasthan is fortifying 4,500 metric tonnes of wheat flour, 8,900 metric tonnes of oil and 41,000 metric tonnes of milk per month via India Integrated Food Fortification Program, an undertaking of Global Alliance for Improved Nutrition (GAIN). GAIN along with United States Agency for International Development, is also working in Afghanistan towards eradicating ‘hidden hunger’ by fortifying staple food and condiments. As a result of such initiatives, the percentage of fortified flour has increased by 18% from null. Such inventiveness at the international level towards implementing food fortification as a regular practice is proliferating vitamin and mineral premixes market demand.
From animal feed and dairy products to infant’s formula and geriatrics, vitamin and mineral premixes stands out as an integral fortifying ingredient:
Among numerous end-users in global vitamin and mineral premixes market, animal feed is estimated to be the fastest-growing segment progressing with an application CAGR of 4.4% up to 2025. Humongous demand for animal-based food products is pushing the output of animal farming sector, eventually nominating the application of vitamin and mineral premixes. According to FAO animal farming sector is responsible for 40% of the global agricultural production value. Moreover, global meat consumption is forecast to grow by 70% during 2000-2030 and 120% in the period of 2000-2050. Hence, intense growth in the animal farming sector and increasing consumption of meat globally is creating demand for nutritional feed premixes for livestock to enhance both quantity and quality of the supply. The growth in the global cattle feed market size that was evaluated to be $16 - $17 billion in 2018 is directly influencing global vitamin and mineral premixes market as a major growth driver.
Increasing demand for dairy products-
Apart from meat, the demand for milk is also adding further impetus to the application of premixes in the dairy-cattle farming industry. As per the International Dairy Federation, the consumption of dairy products is expected to increase by 25% between 2015 and 2024. Therefore, the dairy sector to match their production with increasing demand is augmenting the application of vitamins and minerals to augment the yield from livestock. Globally, there are around 150 million small-scale dairy households and tracing the demand for dairy products, and the figure is sure to escalate creating humongous demand for premixes. Apart from applications in feed for better productivity, finished dairy products also utilize vitamins and mineral premixes to the enhanced nutrient quotient of end-user products. Application of vitamin and mineral premixes also assist end-product manufacturers by making the production process economically efficient. For example, a single blend of premixes improves purchasing efficiency by minimizing the number of raw materials and vendors, reducing freight costs on individual ingredients. This distinctiveness of compound nutritional premixes is not only leveraged by the dairy products, but also manufacturers of bakery products, beverages, nutritional products, and dietary supplements. This is a major vitamin and mineral premixes market growth driver.
Nutritional premixes – Vital element in infant formulas-
Another pivotal industry driving the market for nutritional premixes is infant and mother nutrition market. According to the World Health Organization (WHO), malnutrition and under-nutrition are responsible for 45% of deaths of children under five years of age. To diminish this rampant figure, initiatives such as “Convention on the Rights of the Child” has gained global attention, and consequently, the demand for adequate nutrition for infants is escalating. As vitamin and mineral premixes are an integral constituent in infant formula, its market is leveraging the demand in an adjacent industry. Further impetus to the demand is added by another business in the form of infant formula testing market. As the testing of infant formula ensures the application of adequate nutrients and micronutrients in products, infant formula manufacturers are employing nutritional premixes to fulfill the criteria. Therefore, the $58 billion (2018) infant & mother nutrition market that is progressing with a CAGR of 8.5% up to 2025 is a major factor influencing the global vitamin and mineral premix market.
Vitamin and mineral premixes in geriatrics (geriatric medicine)-
United Nations (UN) stated that by 2050, 16% of the global population would be above the age of 65, while in 2019, only 9% of the global population is above that mark. Aging and problems pertaining to it will be rampant in the coming years, which will significantly support the nutraceutical ingredients market as these dietary supplements have anti-aging properties that help an aged person to overcome the side effects of aging. Since vitamin and mineral premixes are essential ingredients applied in nutraceuticals, increasing demand in the parent industry valued at $31.4 billion (2018) is lucrative for the market. As the geriatric medicine industry is evolving from tablets and liquids to advanced supplements and food products, demand for nutritional premixes is witnessing growth simultaneously. Increasing disposable personal income (DPI) is a major determinant for generating revenue is such markets as it directly influences the sale of products. Increasing income has enabled people of all age groups to expand their outlays on dietary supplements. Organization for Economic Co-operation and Development (OECD) indicates that the economies across the globe are observing increment in DPI, ranging from 0.2% to as much as 7.4%.
U.S. flourishing health club industry - Major end-user vertical in North America vitamin and mineral premixes market:
After an acute analysis of various vitamin and mineral premixes regional markets, North America is reckoned to be the most lucrative marketplace. Increasing health awareness among individuals has augmented the uptake of micronutrient enriched F&B products and health supplements that are supporting vitamin and mineral premixes market growth. According to the International Health, Racquet, and Sportsclub Association (IHRSA), in 2017, the global health club industry was valued at about $87.2 billion with the U.S alone having a share of $30 billion. As a consequence, the demand for products fortified with nutritional premixes is increasing imports of such ingredients, directly impacting the market. According to the International Trade Center, the U.S. and Canada were the leading importers of provitamins and mixtures of vitamins in 2018. The import value for the U.S exceeded $1.2 billion, whereas imports to Canada were worth $171 million. North America in 2018 had a 40% share in global vitamin and mineral market revenue. The dominance of this region can also be supported and justified by the fact that North America held 34%-38% share in global vitamins and nutrition supplements market demand in the same year. This rapidly progressing market worth $56 billion is a major factor influencing the North American market.
Vitamin and Mineral Premixes Market Companies:
Some of the major players operating in the market are Koninklijke DSM NV, Corbion NV, Glanbia PLC, Wright Enrichment Inc., Vitablend Nederland BV, Nutreco NV, SternVitamin GmbH & Co. KG, Watson Inc., Chemische Fabrik Budenheim KG, and Farbest Brands.
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