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What key factors are powering the surge in the food inclusions market right now?

The market size for food inclusions has significantly expanded in the past few years. It is predicted to increase from $14.54 billion in 2024 to a whopping $15.72 billion in 2025, recording a compound annual growth rate (CAGR) of 8.1%. The growth during this historical period can be linked to customers’ rising demand for novelty, enhanced taste and texture, the expansion of the snack industry, product premiumization, the surge in the bakery and confectionery sector, along with effective marketing and branding tactics.

How fast Is the food inclusions market expected to grow, and what’s its future value?

The market size of food inclusions is predicted to undergo significant expansion in the ensuing years. With a compound annual growth rate (CAGR) of 7.7%, it is set to rally to $21.17 billion by 2029. Several factors driving this advancement during the forecast period include the clean label movement, the emergence of plant-based and alternative proteins, the globalization of flavors, a surge in e-commerce, a stronger focus on sustainability, and a rise in demand for functional ingredients. Throughout this period, major trends to watch out for include innovative textural developments, customization and personalization in nutrition, the influence of technology on innovation, an increase in partnerships and collaborations, as well as greater investment in research and development.

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What are the leading drivers of growth in the food inclusions market?

The anticipated growth of the food inclusion market is being driven by an increasing consumer demand for processed foods. These foods are any raw agricultural products that have undergone various processes such as washing, cleaning, milling, chopping, heating, pasteurizing, blanching, cooking, canning, freezing, drying, dehydrating, blending, and packing. They also contain various preservatives, flavors, nutrients, food additives, and permissible food ingredients like salt, sugars, and fats. Food inclusions add a distinct flavor, texture, aroma, color, and nutritional value to these processed foods, setting them apart from other food products and attracting consumer interest. Take for example the data released by the National Association of Convenience Stores (NACS) in April 2024, which showed that total industry foodservice sales accounted for 26.9% of in-store sales in 2023, up from 25.6% in 2022. The report also showed prepared food sales rose by 12.2% per store per month, making it the top in-store category. Hence, the upward trend in processed food consumption will spur the demand for the food inclusion market.

What are the key segments defining the food inclusions market?

The food inclusions market covered in this report is segmented –

1) By Type: Chocolate, Fruit And Nut, Cereal, Flavored Sugar And Caramel, Confectionery, Other Types

2) By Form: Pieces, Nuts, Chips, Flakes And Crunches, Powder, Liquid

3) By Application: Cereal Products, Snacks And Bars, Bakery Products, Dairy And Frozen Desserts, Chocolate And Confectionery Products, Other Applications Products

Subsegments:

1) By Chocolate: Chocolate Chips, Chocolate Chunks, Cocoa Nibs

2) By Fruit And Nut: Dried Fruits, Nuts

3) By Cereal: Granola Clusters, Cereal Bits

4) By Flavored Sugar And Caramel: Flavored Sugar Crystals, Caramel Bits

5) By Confectionery: Gummies, Marshmallows

6) By Other Types: Spices And Seasonings, Savory Inclusions

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Who are the key players steering the development of the food inclusions market?

Major companies operating in the food inclusions market include Archer Daniels Midland Company, Agarna Beteiligungs AG, Barry Callebaut AG, Cargill Inc., Georgia Nut Company Inc., Kerry Group PLC, Puratos N.V., Sensient Technologies Corporation, Tate And Lyle Plc., Taura Natural Ingredients Ltd., Nimbus Foods Ltd, Trufoodmfg LLC., Inclusion Technologies LLC, Diana Food SAS, Doehler, Olam International, GEA Group, Pecan Deluxe Candy Company, Sensapure, Kanegrade, PreGel, Skjodt-Barrett, Tree Top, DMH Ingredients, The Scoular Company, Chaucer Foods, Paradiesfrucht, Dawn Foods, Candico

What emerging trends are influencing the growth of the food inclusions market?

Innovations in product development are a pivotal trend in the food inclusion market, attracting significant attention. Major firms in this market are leaning towards the adoption of inventive solutions such as new high-end flavors, organic goods, and other products. For example, UK-based ingredient manufacture Macphie Ltd., in October 2022, introduced five fresh dessert sauces, two fruit-infused options, and three luxurious premium flavors into its o.t.t. dessert toppings range, predominantly used by ice cream parlors, restaurants, and bakeries. The latest offering includes a speculoos flavored product, as well as milk chocolate and white chocolate dessert toppings with a smooth finish, and mixed berry, mango, and passionfruit versions that are lower in caloric content.

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Which regions are most influential in expanding the food inclusions market?

North America was the largest region in the food inclusion market in 2024. The regions covered in the food inclusions market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa

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