Ever since food has been cooked atop flames, adding flavours and aromas have been a prominent norm; it caters to the dynamic craving patterns of consumers. No wonder that dried spices have always been the perfect kitchen companions to alter the taste of various food items. Since ages, spices have served diverse roles as colouring agents, flavouring agents, preservatives, food additives and medicine ingredients.
Herbs and spices, these two words are often said together. But, they are quite different from each other. While both are used as seasonings, spices often smell and taste stronger than herbs. Spices are typically extracted from the bark, fruit, stems, buds, seeds or roots of plants and trees; whereas herbs are green, leafy parts of a plant.
Health Benefits to Augment Demand Among Consumers
As compared to their fresh variants, dry spices have been incessantly sought by the food industry to elevate the ‘flavour’ of various dishes. They are crucial as ingredients to enhance, redefine and complement the appeal of a dish. Apart from the aforementioned applications, dry spices have also been gaining immense popularity on the back of their various health benefiting properties. For example, cinnamon is commonly used in desserts and bakery foods – such as apple pies, doughnuts, cookies and many more. Moreover, cinnamon is also used to lower blood sugar levels and reduce risk factors associated with heart diseases.
Few other examples of spices, which not only aid in adding flavour but also provide infinite health benefits are fenugreek, bay leaf, cardamom, cumin, ginger, pepper, etc. As per a scientific literature published in the Medical Journal of Australia, the culinary spices contain significant concentrations of antioxidants and phytonutrients. These are likely to provide long-term health benefits, which may, possibly, outrun their short-term taste sensations.
Trends and Challenges Shaping the Demand Curve for Dried Spices
The demand for dried spices is growing in the light of various trends triggering it. Some of the major trends include surging inclination towards a healthy lifestyle; rising interests to discover new tastes; need for convenience and many more. The budding appetite for ethnic food in various regions is one of the major trends fostering the demand for dried spices.
Besides utilization in the food and healthcare industry, use of dried spices in the personal care business is also an emerging trend; and it is gaining considerable momentum. Synthite, a leading Indian oleoresin extraction firm, manufactures and sells products like essential oils using a variety of dried spices. Cleaning, soothing and protecting properties of spices have paved the way for using them in production of aromatherapy products. Demand for dried spices in various oil products – used in salons and spas – is on the rise. Apart from supermarkets/ hypermarkets generating significant revenues, sales of dried spices from online channels are likely to rev up substantially. Surging internet penetration, coupled with rising consumer inclination towards online purchases, is poised to drive the sales of dried spices via e-retail.
However, quality issues are believed to inhibit the demand curve for dried spices. Moreover, price competition is also predicted to be one of the major setbacks in the industry. In addition, the outbreak of food-borne diseases is set to pose major challenges for the market players of dried spices. Unpredictable climatic conditions and inefficient logistics are some of the primary restraining factors inhibiting the growth trajectory of the market.
Competitive Dashboard and Dynamic Market Scenario of Dried Spices “The demand for spices is set for further growth, even if they have been traded for centuries. The prices of many spices have also increased. This creates an attractive market, but it is only accessible if you can manage the increasing food safety requirements”- Freek Jan Koekoek, CBI Sector Expert Spices and Herbs.
A few leading players operating in the dried spices market include: Symrise AG, McCormick & Company, Inc.; Sensient Technologies Corporation; Naturex S.A.; Synthite Industries Ltd.; Olam International; Doehler GmbH; Kancor Ingredients Limited; Kalsec Inc.; Takasago Corporation; Frutarom Industries Ltd.; Foodchem International Corporation; International Taste Solutions Ltd.; Robertet SA; Ajinomoto Co. Inc.; Firmenich SA; Dohler GmbH; Archer Daniels Midland Company; Givaudan S.A and Kerry Group Plc.
Prospering food and beverages industry and medicinal benefits of dried spices are few pivotal factors shaping the demand curve of the market. Surging cuisine trend and rising popularity of ready-to-use mixtures such as oregano, are likely to bolster demand for dried spices market, in both developed as well as emerging economies.
Key stakeholders in the market of dried spices products can bank on potential opportunities in regions such as North America, Europe and Asia Pacific. These regions represent lucrative opportunities owing to the rapidly growing industry of food and beverages. Companies in the global dried spices market can tap on major significant opportunities through collaboration with end-users, i.e., manufacturers of food and beverages and pharmaceuticals. Companies might also have to come up with steam-sterilised spices as these products meet the strict requirements for microbiological contamination.
How are Altering Consumption Patterns Impacting Demand for Dried Spices?
As the need for fortification of flavours in food products is on the rise, manufacturers in the food industry increasingly prefer dried spices as a pivotal ingredient. The global dried spices market is poised to register an impressive growth at a CAGR of 3.2 percent from 2017 to 2026. This growth is primarily bound to extensive macroeconomic and microeconomic factors. Owing to various beneficial properties, consumption of dried spices is envisioned to prosper in the food industry. Other attributes such as being sodium and calorie-free, spice consumption has set benchmarks in curing heart diseases, diabetes and obesity issues. Consumption of spices is likely to aid in prevention of cancer, which is one of the primary drivers of the market.
Widely known for various properties, dried spices will continue to be sought across various industries. Amid various factors limiting the demand trajectory of dried spices, it is still likely to gather noticeable momentum in the coming years in the light of its numerous benefits.
The insights presented here are from a research study on Dried Spices Market by FactMR.