Food Encapsulation Market - Forecast(2024 - 2030)

Report Code: FBR 39260 Report Format: PDF + Excel
Food Encapsulation Market Report
Food Encapsulation Market size in 2019 is estimated to be $4.5 billion and is forecast to be growing at a CAGR of 9.36% during the forecast period 2020-2025. Encapsulation involves the combination of food ingredients, enzymes, cells, or other materials in small capsules. Encapsulation in foods is also utilized to cover odors or tastes. Encapsulated materials can be protected from moisture, heat, or other extreme conditions that help to enhance the stability of food and maintaining viability. An increase in demand for convenience foods and growing health consciousness are the major factors driving the growth of the market. Moreover, increasing the adoption of encapsulated flavors further enhances the overall market demand for food encapsulation.

Report Coverage
The report: “Food Encapsulation Market Forecast (2020-2025)”, by IndustryARC covers an in-depth analysis of the following segments of the Food Encapsulation Market.
 By Shell Material
  •   Polysaccharides
  •   Emulsifiers
  •   Fats
  •   Lipids
  •   Protein
  •   Others
By Method
  •   Physical Process
  •   Chemical Process
  •   Physicochemical Process
By Technology
  •   Micro-encapsulation
  •   Macro-encapsulation
  •   Nano-encapsulation
  •   Hybrid-encapsulation
By Application
  •   Dietary Supplements
  •   Functional Food Products
  •   Bakery Products
  •   Confectionery
  •   Beverages
  •   Dairy Products
  •   Others
By Flavor
  •   Chocolate 
  •   Vanilla 
  •   Fruits & Nuts
  •   Dairy
  •   Spices
  •   Others
By Core Phase
  •   Vitamins
  •   Minerals
  •   Enzymes
  •   Organic Acids
  •   Additives
  •   Probiotics
  •   Essential Oils
  •   Others
By Geography
  •   North America
  •   Europe
  •   Asia-Pacific
  •   Rest of the World

Key Takeaways

  • In 2019, North America accounts for a major share of the food encapsulation market owing to the high availability of shell materials such as emulsions and the presence of a large number of manufacturers.
  • Increasing demand for convenience foods and growing health consciousness aid in market growth.
  • Detailed analysis of the Strength, Weakness, and opportunities of the prominent players operating in the market will be provided in the Food Encapsulation Market report.
  • The high cost of encapsulation technology and lack of technological developments create a hurdle for the growth of the market.

Shell Material - Segment Analysis

Based on the shell material, the food encapsulation market is segmented into polysaccharides, emulsifiers, fats, lipids, protein, and others. The polysaccharides shell material is forecast to be the fastest-growing segment with a CAGR of 5.8% during the forecast period 2020-2025. This is mainly owing to benefits such as improved blood sugar level, cardiovascular health, and also improved immunity. Moreover, it helps in recovery from heart disease, improves liver function, provides energy to the body, and, keeps sugar level normal.

Method - Segment Analysis
Based on the method, food encapsulation is segmented into the physical process, chemical process, and physicochemical process. In 2019, the physical process accounted for a major share in the food encapsulation market. This is mainly owing to enhancing stability to temperature, moisture, oxidation, light, and masking undesirable flavors. Also, reducing negative interaction with other compounds and modify particle density are some factors driving the growth of this segment.

Geography - Segment Analysis

North America accounts for 33% of the food encapsulation market share in 2019. This is mainly owing to the high availability of shell materials and a large number of manufacturers. According to the Food and Drug Administration, U.S. exports of prepared fats and oils have amounted to $32 million, with $25 million to Canada and $4 billion to Mexico. There are likely to be increased U.S. imports of encapsulated fish oil from Canada. For total U.S. trade, there are likely to be increased U.S. imports of encapsulated fish oil.
However, Asia-Pacific is projected to be the fastest-growing during the forecast period 2020-2025. The increasing demand for processed food, a flourishing food industry, increasing living standards, and rising economies in developing countries that are factors driving the growth of the food encapsulation market in this region. 

Drivers – Food Encapsulation Market 
Increasing Demands for Convenience Foods
Increasing demand for convenience foods and growing awareness about increasing the taste, color, and flavor of such foods is a major factor in the growth of the food encapsulation market. This is mainly owing to benefits offered by convenience foods such as lower time spent on planning meals, and ease of preparing which contributes to the increase in market growth
Growing Health Consciousness 
Growing health consciousness and increasing dietary supplements are some factors driving the growth of the market. Besides, increasing demand for processed food, busy schedule, and changing lifestyles of people are contributing to the market growth.

Challenges – Food Encapsulation Market 

The high cost of encapsulation technology and lack of technological developments create a hurdle for the growth of the market. Growing alternative techniques such as co-crystallization further hinders the growth of the market.

Food Encapsulation Industry Outlook
Product launches, Merger & Acquisitions, Joint Ventures, and R&D activities are key strategies adopted by players in the food encapsulation market. Food encapsulation top 10 companies are Taste Tech Ltd., Givaudan SA, Sensient Technologies Corporation, Balchem Corporation, International Flavors & Fragrances Inc., BASF SE, Symrise AG, Appvion Inc., AVEKA Group, Firmenich International SA, and Koninklijke DSM N.V.

November 2019: Givaudan, a leading flavor company announces breakthrough fat encapsulation technology for plant protein which helps reduce up to 75% of the fat content. Fat encapsulation provides the benefit of increased authenticity and impacts through flavor stabilization.
16 December 2019: Balchem Corporation announced the acquisition of Zumbro River Brand Inc., in developing extruded products for the food and beverage industry.
25 March 2020: Evolva, the Swiss biotech company a new collaboration agreement with International Flavors and Fragrances, a leading global creator of taste to further develop and expand commercialization of vanillin.
March 2020: Firmenich has announced the acquisition with DRT (Derives Resiniques et Terpeniques) which is one of the leading suppliers globally of high-quality renewable ingredients.

1. Food Encapsulation Market Overview
    1.1 Definitions and Scope
2. Food Encapsulation Market - Executive Summary
    2.1 Market Revenue, Market Size and Key Trends 
    2.2 Key trends by Shell Material
    2.3 Key trends by Method
    2.4 Key trends by Technology
    2.5 Key trends by Application
    2.6 Key trends by Flavor
    2.7 Key trends by Core Phase
    2.8 Key trends by Geography
3. Food Encapsulation Market Landscape
    3.1 Market Share Analysis- Key Companies
    3.2 Product Benchmarking- Key Companies
    3.3 Financial Analysis - Key Companies
    3.4 Patent Analysis - Key Companies
    3.5 Pricing Analysis
4. Food Encapsulation Market - Startup companies Scenario Premium (Premium)
    4.1 Key startup company Analysis by
        4.1.1 Investment
        4.1.2 Revenue
        4.1.3 Application Analysis
        4.1.4 Venture Capital and Funding Scenario
5. Food Encapsulation Market - Industry Market Entry Scenario Premium (Premium)
    5.1 Regulatory Framework Overview
    5.2 New Business and Ease of Doing business index
    5.3 Case Studies of successful ventures
6. Food Encapsulation Market Forces
    6.1 Market Drivers
    6.2 Market Constraints/Challenges
    6.3 Porters Five Force Model
        6.3.1 Bargaining Power Of Suppliers
        6.3.2 Bargaining Powers Of Customers
        6.3.3 Threat Of New Entrants
        6.3.4 Rivalry Among Existing Players
        6.3.5 Threat Of Substitutes 
7. Food Encapsulation Market- Strategic Analysis
    7.1 Value Chain Analysis
    7.2 Opportunities Analysis
    7.3 Market Life Cycle
8. Food Encapsulation Market – By Shell Material (Market Size -$Million/$Billion)
    8.1 Polysaccharides
    8.2 Emulsifiers
    8.3 Fats
    8.4 Lipids
    8.5 Protein
    8.6 Others
9. Food Encapsulation Market – By Method (Market Size -$Million/$Billion)
    9.1 Physical Process
        9.1.1 Atomization
        9.1.2 Spray Drying
        9.1.3 Spray Chilling
        9.1.4 Spinning Disk
        9.1.5 Fluid Bed
        9.1.6 Others
    9.2 Chemical Process
        9.2.1 Polymerization
        9.2.2 Sol-gel Method
    9.3 Physicochemical Process
        9.3.1 Coacervation
        9.3.2 Evaporation-Solvent Diffusion Method
        9.3.3 Layer-By-Layer Encapsulation
        9.3.4 Others
10. Food Encapsulation Market – By Technology (Market Size -$Million/$Billion)
    10.1 Micro-encapsulation
    10.2 Macro-encapsulation
    10.3 Nano-encapsulation
    10.4 Hybrid-encapsulation
11. Food Encapsulation Market – By Application (Market Size -$Million/$Billion)
    11.1 Dietary Supplements
    11.2 Functional Food Products
    11.3 Bakery Products
    11.4 Confectionery
    11.5 Beverages
    11.6 Dairy Products
    11.7 Others
12. Food Encapsulation Market – By Flavor (Market Size -$Million/$Billion)
    12.1 Chocolate 
    12.2 Vanilla 
    12.3 Fruits & Nuts
    12.4 Dairy
    12.5 Spices
    12.6 Others
13. Food Encapsulation Market – By Core Phase (Market Size -$Million/$Billion)
    13.1 Vitamins
    13.2 Minerals
    13.3 Enzymes
    13.4 Organic Acids
    13.5 Additives
    13.6 Probiotics
    13.7 Essential Oils
    13.8 Others
14. Food Encapsulation Market - By Geography (Market Size -$Million/$Billion)
    14.1 North America
        14.1.1 U.S.
        14.1.2 Canada
        14.1.3 Mexico
    14.2 Europe
        14.2.1 U.K.
        14.2.2 Germany
        14.2.3 France
        14.2.4 Italy
        14.2.5 Spain
        14.2.6 Rest of Europe
    14.3 Asia-Pacific
        14.3.1 China
        14.3.2 Japan
        14.3.3 South Korea
        14.3.4 India
        14.3.5 Australia & New Zealand
        14.3.6 Rest of Asia-Pacific
    14.4 Rest of the World
        14.4.1 Middle East
        14.4.2 Africa
        14.4.3 South America
15. Food Encapsulation Market – Entropy
16. Food Encapsulation Market - Industry / Segment Competition landscape Premium (Premium)
    16.1 Market Share Analysis
        16.1.1 Market Share by Country- Key companies
        16.1.2 Market Share by Region- Key companies
        16.1.3 Market Share at Global Level- Key companies
        16.1.4 Best Practices for Companies
17. Food Encapsulation Market - Key Company List by Country Premium (Premium)
18. Food Encapsulation Market Company Analysis
    18.1 Company Revenue, Products, M&A, Developments
    18.2 Company 1
    18.3 Company 2
    18.4 Company 3
    18.5 Company 4
    18.6 Company 5
    18.7 Company 6
    18.8 Company 7
    18.9 Company 8
    18.10 Company 9
    18.11 Company 10 and more
"*Financials for private companies would be provided on a best efforts basis”.