Bulk Food Ingredients Market

Global Bulk Food Ingredients Market Size (2024 to 2029)

The global bulk food ingredients market size is predicted to be worth USD 883.34 Billion in 2024 and USD 1,100.80 Billion by 2029, growing at a CAGR of 4.5% from 2024 to 2029.

Food ingredients used in processed foods, packaged foods, and ready-to-eat foods such as cookies, confectionery, beverages, and chocolate are called bulk food ingredients. They are foods or goods that are offered in bulk and can be purchased in bulk purchases or moved from bulk containers to small containers. They are also known as whole food ingredients. They buy in bulk and sell in retail stores. Due to lifestyle changes, the availability of disposable income, and an increased awareness of public health, the market for bulk food materials is growing at a significant rate. These food ingredients are generally packaged in large regular containers and grocery packaging materials that use minimal natural resources so that they can be less expensive than packaged foods. These food ingredients comprise artificial sweeteners, coffee and tea extracts, sugar, spices, nuts and seeds, dehydrated vegetables, dried fruits, and others. Food ingredients may or may not be processed. Bulk food ingredients are used as raw materials for the manufacture of various food products, such as cookies, snacks, and others.

MARKET DRIVERS

The increased demand for packaged and convenience foods is a major driver of revenue growth for the global bulk food ingredients market.

The global bulk food ingredients market is growing due to factors such as changes in consumer lifestyles, increased demand for prepared and processed foods and beverages, increased consumer health awareness, a growing population of female workers, and increased income and skills available. The increase in demand for prepared food can be seen more prominently as per capita spending on food increases in the developing world. This increase in demand for prepared foods can also be seen as an increase in demand for bakery foods, fast foods, and desserts. Consumers' purchasing power is increasing, and the demand for fast food is constantly rising along with a more active lifestyle pattern. The main part of convenience foods are bulk food ingredients that provide the necessary sensory properties for food and provide a longer food life than the average shelf life to appeal more to consumers.

Other factors that may be a problem for the market growth include concerns about the freshness and safety of processed foods, high prices for ready-to-eat foods, and unstable agricultural supply. It has a major impact on the Western market, but skepticism about the consumption of prepared foods persists, which may hinder the growth of the market for bulk food ingredients. Consumers are more aware of their health and demand healthy foods that are low in fat, cholesterol, and sugar. Consumers demand foods rich in fiber and protein. This market for bulk food ingredients is impacted by factors like increased consumer spending, rapid urbanization, and increased consumer demand for food preparation through better living standards. Also, as consumer health awareness has increased, the demand for bulk food ingredients has increased. As awareness of healthy lifestyles rises, the demand for healthy and wellness foods expands, and the global market is growing.

The driving forces in this market are rising disposable incomes, busy lifestyles, technological developments, and a growing workforce. The bulk food ingredient companies are developing with a focus on expansion, new releases, and acquisitions. Concerns about the freshness and safety of processed foods are affecting a significant portion of the population that is ready to eat and is not dependent on packaged foods. Despite the impact of Western markets on emerging Asia Pacific economies, skeptics remain skeptical of ready-to-eat consumption in these economies. Also, those who are ready to eat packaged foods are offered at a lower price compared to the middle class. The increase in the workforce, the increase in the consumption of packaged foods, and the increase in disposable income are some of the main factors that are expected to support the growth of sales in the target market. Consumption of ready-to-eat and processed foods is high in North America, leading the market for bulk food ingredients. Due to urbanization in Asia Pacific, the need for processed foods is rising. The majority of consumers in the region are part of the workforce, increasing the need for bulk food ingredients. Besides, manufacturers in this locale are purchasing bulk food ingredients and processed raw materials. The rising preference for the intake of natural ingredients among consumers and the development of such materials by manufacturers is promoting the expansion in the global bulk food ingredients market. The increase in food consumption, together with the growth of the world population, is one of the main factors that is expected to drive the growth of the worldwide bulk Food Ingredients Market.

MARKET RESTRAINTS

The variable cost of bulk food ingredients is another factor that challenges the growth of the global Bulk Food Ingredients market during the forecast period.

The potential for food contamination, along with the lack of adequate infrastructure required for the storage of bulk food ingredients, is one of the main factors expected to undermine growth in the global Bulk Food Ingredients market.

REPORT COVERAGE

SEGMENTAL ANALYSIS          

Global Bulk Food Ingredients Market Analysis By Type

The Herbs and Spices segment is expected to grow at the highest CAGR during the forecast period as demand for healthy products increases among consumers.

Global Bulk Food Ingredients Market Analysis By Application

The bakery products segment has the largest market share, while the prepared products segment is expected to grow at the highest rate during the forecast period. The demand for prepared meals is expected to increase as consumers' eating habits change due to changes in their lifestyles.

REGIONAL ANALYSIS              

The North American market for bulk food ingredients is expected to record significant growth as consumption of prepackaged and ready-to-eat food among the workforce increases with busy work hours. Also, the increased consumption of alcoholic and non-alcoholic beverages among young people is another factor in increasing the growth of the target market in the region. The Asia Pacific market is expected to dominate the global market and continue to dominate during the outlook period. These are additional factors that are expected to accelerate the growth of the target market in the region, along with an increase in disposable income as demand for hygiene and high-quality food increases due to rapid urbanization. However, the mass production of food ingredients such as grains and seeds in emerging countries such as India and China is another factor that is expected to support sales growth in the region's target markets.

KEY PLAYERS OF THE GLOBAL BULK FOOD INGREDIENTS MARKET

Major Key Players in the Global Bulk Food Ingredients Market are Tate and Lyle PLC, EHL Ingredients, Related British Food PLC, Community Food Limited, Cargill, Olam International, DMH Ingredients, DuPont, Archer Daniels Midland Company, Ingredion Incorporated, The Source Bulk Foods UK.

RECENT HAPPENINGS IN THE MARKET

• Olam International acquired the global cocoa business from Archer Daniels Midland Co. (ADM) to increase market revenue and strengthen its global presence.
• In August 2017, Tata & Lyle Plc announced the expansion of the CLARIA Functional Clean Label line of labels by adding two new starch products: CLARIA Instant 360 and 340.
• In 2017, the United States won McCornick and Co. Inc. McCornick brand spices, condiments, and herbal brands launched on the Indian market.

DETAILED SEGMENTATION OF GLOBAL BULK FOOD INGREDIENTS MARKET INCLUDED IN THIS REPORT   

This research report on the global bulk food ingredients market has been segmented and sub-segmented based on type, applications, & region.            

By Type

• Primary

• Grains and nuts
• Seeds
• Sugar
• Herbs and spices
• Oilseeds
• Salts

• Secondary processed

• Grains and seeds
• Nuts
• Sugar
• Herbs and spices
• Salt and flour

By Application

• Bakery products
• Food
• Snacks and spreads
• Confectionery
• Infant formulas
• Dairy products
• Prepared foods
• Beverages (including alcoholic and non-alcoholic drinks)

By Region

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa