(Food-Beverage-News.Com, May 18, 2020 ) The halal ingredients market, in terms of value, is estimated to account for USD 45.7 billion in 2019 and is projected to grow at a CAGR of 6.0%, to reach USD 64.8 billion by 2025. The increasing disposable incomes, growing population, busy lifestyles, and shift in the focus toward highly convenient and instantly processed food products are some of the key trends influencing the growth of the halal ingredients market. Companies across food, pharmaceuticals products, and cosmetics value chain have various opportunities to access or increase their penetration of halal food and ingredients products, either organically or through acquisition.
With the halal ingredients market set for growth, stakeholders including companies, investors, regulators, and intermediaries, such as e-commerce platforms, education providers, and app developers are focusing on catering to the lucrative opportunities in the halal ingredients market. The use of halal ingredients is of critical importance for Muslim consumers, and these ingredients cannot be derived from pigs, alcohol, or other sources, and require careful detection and vigilance by the importing authorities in OIC countries, and ultimately the consumers.
Key players in the halal ingredients market include Koninklijke DSM N.V. (Netherlands), ADM (US), DowDupont (US), Kerry (Ireland), Solvay S.A. (Belgium), Barentz B.V. (Netherlands), Cargill (US), BASF (Germany), Symrise (Germany), Ashland (US), Purecircle Limited (Malaysia), and Halagel (Malaysia). Key market players, along with the other players, adopted various business strategies such as new product launches, expansions, and joint ventures & agreements, in the last few years, to meet the growing demand for halal ingredients.
To know about the assumptions considered for the study download the pdf brochure
Major players in the market are mainly focusing on undertaking expansions for innovating and developing new products to meet the growing requirements of the consumers. The core strengths of the key players identified in this market are also growth strategies such as new product launches and acquisitions. Increasing number of new product launches and expansions have enabled the market players to enhance their presence in the ever-dynamic halal ingredients market. Key players such as Koninklijke DSM N.V. (Netherlands) undertook these strategies to improve their distribution network, gain a stronger foothold, and enhance their market share. For example, DSM announced a new distribution partnership with Arkem Kimya (Turkey). This partnership helped the company to streamline and accelerate the distribution of its personal care products in Turkey
ADM (US) is focusing on expansions and new product developments to enhance its foothold in the market. For example, in March 2019, Archer Daniels Midland (ADM) launched high-quality organic flours. The new line of organic flour portfolio includes organic all-purpose flour and organic premium bread flour. The products will add to the complementary range of organic and grain-based products.
In December 2017, Kerry Ingredients (M) Sdn Bhd, a unit of Ireland's Kerry Group launched new local products to meet the increasing demand for flavors among consumers in the Asia Pacific, the Middle East, and Africa. Kerry has a strong geographical presence to cater to the increasing demand for food ingredients across the globe. The company has set up various other innovation centers across the globe to continue innovating according to the customers’ demands.
In June 2018, Solvay (Belgium) launched a new naturally-sourced ingredient–Rhovanil US NAT. The product complies with the US natural flavor regulations and is halal certified. This helps food manufacturers to cope up with the increasing demand for flavors among consumers.