Bulk foods are offered in huge quantities, which can be bought in large, bulk quantities or transferred from a bulk container into a smaller container for purchase. Bulk foods may be valued less than packaged foods as they are generally packaged in large containers and packaging for grocery outlets, employing lesser natural resources. Food components used in packed food, processed food, and ready-to-eat food come into the bulk food ingredients category. Foods like chocolates, biscuits, beverages, confectionery items used bulk food ingredients as raw material. Bulk food ingredients include food items like chocolates, nuts, drinks, spices, grocery items, etc., and bulk food ingredients available in processed and non-processed forms. Bulk food ingredients are also known as whole-food ingredients.
The global bulk food ingredients market size was growing at a CAGR of 4.11% during the forecast period, 2020-2027. The major factors are the growing consumption of processed food coupled with the rapidly increasing world population. Additionally, the growing packaged food & beverage industry, rise in end-use applications, and changing lifestyle patterns of the majority population will spur the global bulk food ingredients industry in the future periods. Furthermore, the increasing disposable incomes, rapid urbanization, and environmental & economic benefits such as low packaging cost is expected to witness remarkable growth of bulk food ingredients. Furthermore, the growing demand for innovative breaded products combined with more flavors and delicious taste is expected to propel bulk food ingredients’ demand over the coming years.
Moreover, the surge in demand for packaged convenience and ready-to-eat foods like biscuits, beverages, chocolates, confectionery items, etc., is positively impacting the market for bulk food ingredients. Furthermore, the rapid growth in foodservice retail chains, coupled with an increase in the number of cafes and eateries, fuel the demand for bulk food ingredients market. In addition, the growing health-conscious & awareness among consumers and increasing demand for healthy food with low sugar, cholesterol & fat will bolster the growth of global bulk food ingredients market share. In addition, the growing trend for western eating habits across the developing economies propelling the growth of the bulk food ingredients market across the globe.
Changing consumer preference and varying lifestyles leads to the growing demand for convenience food such as snacks, beverages, baked goods, yogurt, ice cream, and other ready meals. Consumers have been witnessed an increasing trend due to the benefits of easy handling and lesser preparation time that offers an advantage to the consumers in their busy life schedule. In addition, the increase in disposable income and urbanization encouraged the growth of the packaged food market globally. Packaged food products that can be consumed on the go are a major trend that companies are gaining on by identifying the needs and tastes of consumers in different regions. Moreover, the major part of convenience foods is the bulk food ingredients expected to drive the bulk food ingredients market.
The global bulk food ingredients market is classified into primary processed bulk food ingredients and secondary processed bulk food ingredients based on the type. Furthermore, the primary processed bulk food ingredients segment is bifurcated into grains, pulses, and cereals; tea, coffee, and cocoa; nuts; herbs & spices; oilseeds; sugar; salt; and other types. The secondary processed bulk food ingredients segment is divided into processed grains, pulses, and cereals; vegetable oil; tea, coffee, and cocoa; dry fruits & processed nuts; flours; sugar & sweeteners; processed herbs & spices; sea salt; and other types.
The primary processed bulk food ingredients segment is estimated to witness the highest growth over the analysis timeframe due to the increased consumption of these food ingredients in various products—from beverages to frozen foods and meat products. In addition, the growing demand for herbs & spices in spiced snacks and baked products drives the market growth.
The secondary processed bulk food ingredients will grow significantly due to the growing consumer demand for these ingredients attributed to the health benefits associated with them.
Based on the application, the global bulk food ingredients market is classified into food and beverages. Furthermore, the food segment includes bakery products, snacks & spreads, ready meals, confectionery products, and other food applications. The beverage segment includes alcoholic beverages, non-alcoholic beverages, hot beverages, and cold beverages.
The food segment is expected to be the highest revenue share for bulk food ingredients during the forecast period. The segment’s growth is attributed to the increasing consumer inclination towards ready meals or convenience food products. In addition, the increase in population and rise in disposable incomes is expected to contribute to the segment’s growth.
The beverages will witness a lucrative growth rate in the estimated period due to easy availability. In addition, the rapid increase in alcoholic beverages and non-alcoholic beverages in the region also offers growth opportunities to beverage manufacturers.
The global bulk food ingredients market is segmented into North America, Europe, Asia Pacific, South America, and Middle East & Africa by geography. However, the Asia Pacific is estimated to project considerable growth over 2020-2026. It is owing to the growing urbanization, improved standard of living, and increased spending on convenient & ready-to-eat processed foods. In addition, the increase in demand for high-priced fortified nutritional food & beverage products in countries like China, India, Malaysia, and Australia drives the market growth.
North America will have a prominent share of the bulk food ingredients market by 2027. Due to the heavy consumption of convenience food & beverage products attributed to busy lifestyles.
Companies such as Cargill, Incorporated, DuPont, Tate & Lyle PLC, Archer Daniels Midland Company, DMH Ingredients Inc., Olam International, Ingredion Incorporated, Associated British Foods plc, EHL Ingredients, Community Foods Limited, McCormick & Company Inc., The Source Bulk Foods, Essex Food Ingredients, The Green Labs LLC, Ingredients Inc., GCL Food Ingredients, Organic Partners International LLC and Pure Ingredients are the key players in the global bulk food ingredients market.