Market Trends of Organic Acids Industry
This section covers the major market trends shaping the Organic Acids Market according to our research experts:
Rising Demand of Citric Acid in Food and Beverage Industries
Citric acid is one of the most widely used additives in the food and beverage industry, both as an acidulate and preservative to enhance the shelf life of convenience foods, due to its low toxicity, when compared with other acidulates. It is found in non-alcoholic beverages and in jams, gelatin-based desserts, and tinned vegetables and fruit. It also plays a huge role in enhancing flavors, particularly in the drinks industry, as it provides a sour and refreshing flavor, which offsets the sweetness of many drinks. Also, regulatory bodies, such as the US Food and Drug Administration considers citric acid a safe natural acid in the diet, thus favoring the market growth. The FDA reports that consuming 500 milligrams of citric acid per day has no harmful effects. In addition, the use of citric acid in processed frozen foods and as an additive in some fats and oils enhances the action of antioxidants, which effectively reduces the deterioration rate of these products.Also,regulationof the European Union specifies that citric acids are permitted additives for beer and malt beverages. Thus, an increase in demand for malt beverages will further fuel the market growth.
Asia Pacific to Drive the Organic Acid Market
Asia-Pacific accounts for the largest market share in the global market of organic acids owing to the increasing consumption of processed food and growing disposable income in the region. Also, according to a survey conducted by Associated Chambers of Commerce and Industry of India (ASSOCHAM), due to the steep rise in the prices of vegetables, people are turning to other alternatives by purchasing processed ginger-garlic pastes, tomato purees, and ketchup. Therefore, the rise in 20-225% sales of these products in November 2015 has resulted in fueling the food organic acids market in the region.
