Encapsulated Flavors and Fragrances Market Size By Product (Flavor blends, Fragrance blends, Essential oils & natural extracts, Aroma chemicals), By Technology (Physical process[ Atomization{Spray drying, Spray chilling, Spray disk}, Extrusion, Fluid b

Encapsulated Flavors and Fragrances Market Size By Product (Flavor blends, Fragrance blends, Essential oils & natural extracts, Aroma chemicals), By Technology (Physical process[ Atomization{Spray drying, Spray chilling, Spray disk}, Extrusion, Fluid bed technique, Others], Chemical & Physicochemical Process), By Encapsulation process (Micro Encapsulation, Nano Encapsulation, Hybrid Technology, Macro Encapsulation), By End-use (Food & beverages [Beverages{Hot drinks, Powder soft drinks, Others}, Pressed tablet, Chewing gum, Bake mixes, Others], Toiletries & cleaners), COVID-19 Impact Analysis, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2023 - 2032

Global Encapsulated Flavors and Fragrances Market is set to witness substantial growth between 2023 and 2032, primarily owing to the rapid expansion of the food and beverage industry. As per reports, in 2021, the food and beverages sector featured as one of the top three industries in the USA and nearly half the states reported the launch of new production facilities.

Key market providers are also seeking to gain a better position in the marketplace by expanding their portfolios and entering valuable mergers and acquisitions. Citing an instance, in December 2021, Givaudan launched PlanetCaps, a new type of fragrance encapsulation technique. As per the firm, PlanetCaps adheres to the ECHA’s proposed level of microplastics and is sustainable.

Overall, the encapsulated flavors and fragrances market has been segmented in terms of product, technology, encapsulation process, end use, and region.

Based on the product, the fragrance blends segment will grow at 4% CAGR between 2023-2032. The segmental growth will be characterized by the increasing consumer expenditure for products such as toiletries and cleaners. For instance, in India the consumption of toilet cleaners has substantially increased in the last couple of years, primarily driven by the recent COVID-19 pandemic.

In terms of technology, the atomization segment is set to witness massive growth through 2032. This segmental share will expand owing to the cost-effectiveness, feedstock variability, and scalability of the atomization technique.

In the context of end use, the beverage mixes segment will experience sturdy growth within the next decade due to constant improvement in taste, flavor, and color in the tea and coffee manufacturing sections. For example, in January 2023, The Coffee Bean & Tea Leaf, a leading roaster and specialty coffee and tea retailer, launched the new Sea Salted Caramel Macchiato and Sea Salted Caramel Latte.

On the basis of the encapsulation process, the market is likely to be characterized by the hybrid encapsulation segment. This expansion will result from the rising usage of biologically active compounds in fragrances and flavors, and controlled release and targeted delivery offered by the product.

In the regional context, the Europe encapsulated flavors and fragrances market will grow at 4% CAGR during the next ten years. The regional market growth can be accredited to the increasing health concerns about nutrient-rich diets among the general populace. According to the World Health Organization, in Europe, there is a rising recognition of the importance of maternal nutrition, both before and during pregnancy for probable chances of NCDS and obesity among children.