The global biotech flavor market size is expected to reach USD 57.7 billion by 2025, expanding at a CAGR of 7.0% from 2019 to 2025, according to a new report by Grand View Research, Inc. Growing awareness regarding nutritional benefits such as stimulation of appetite and content of citric acid to boost immune and rising health consciousness are expected to drive the market in the next few years.
Growing penetration of natural flavoring due to advancement in various types of beverages has been driving the demand for the global market. Beverages infused with biotech flavors help in boosting energy level, metabolism, and other bodily functions. Flavors such as lemon and cucumber help in stimulating liver functions and strengthening veins. Growing trend of convergence between biotech and nutraceuticals driven by increasing application of ingredients claims to have various health benefits. For instance, Robertet introduced Xtreme Flavors with high impact, true fruit, authentic, and natural flavoring that can be infused in various beverage preparations. Some of the flavors include plum and plum sugar, pear, watermelon, and apple.
The powder form held the largest market share and generated a revenue of USD 17.1 billion in 2018. This segment consists of energy drinks powder, yogurt powder, butter powder, and others with features that are applicable in maintaining health. The liquid form is expected to expand at a CAGR of 7.4% over the forecast period. Growing awareness and popularity of liquid form due to its wide usage in beverages such as fruits and vegetables juices, energy drinks, and sodas with the respective taste preference is the key factor driving the segment demand.
Vanilla flavor accounted for the largest market share with a revenue of USD 17.8 in 2018. This flavoring is mostly used in food products due to its benefits such as powerful antioxidant, antibacterial, anti-inflammatory, and cholesterol stabilizers. Fruity flavor is expected to register a CAGR of 7.3% in the forecast period due to increased application in the form of jams and growing research and development expenditure in the respective market. Consumers are demanding healthier options for food spreads and fillings, which, in turn, has driven the demand for fruity flavors.

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Major market players have been significantly carrying out research and development to make these products available according to the needs of consumers. For instance, IFF Inc. derives natural ingredients from flowers, fruits, and botanical products with the help of specialized drying technology by eliminating water with best taste, nutrition, and color matrix intact in juice drinks, carbonated beverages, candy chewing gum, yogurt, ice cream, and cheese.
North America was the largest regional market with a revenue of USD 14.2 billion in 2018. The region is expected to maintain its lead over the forecast period. Increasing preference for healthy ready to eat and drink products in U.S. is expected to drive the companies to develop more of biotech flavor infused consumables. Growing consumption of packaged food is another driver for the market growth in the region.
Key players in the global market include Givaudan; Firmenich SA; IFF Inc.; Symrise AG; Wild Flavors; Takasago International Corporation; Mane Flavors; Frutarom; Sensient Technology Ltd.; and Roberetet.
Further key findings from the study suggest:
• By type, fruity flavor is expected to register a CAGR of 7.3% from 2019 to 2025
• The powder form segment dominated the global market and accounted for 47.6% share of the overall revenue in 2018
• North America dominated the market in 2018 and generated a revenue of USD 14.2 billion. This trend is projected to continue over the next few years
• Asia pacific is expected to witness a rise in product demand on account of increase in awareness and adaptability to technological advancement that could majorly benefit health by tracking status in prior
• The biotech flavor market is highly competitive in nature due to presence of the main players including Givaudan
• Various manufacturers are concentrating on new product launches and capacity expansion to estimate existing and future demand patterns from upcoming product segments.

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Grand View Research has segmented the global biotech flavor market on the basis of type, application, form, and region:
Biotech FlavorType Outlook (Revenue, USD Billion, 2015 - 2025)
• Vanilla
• Fruity
• others
Biotech FlavorApplication Outlook (Revenue, USD Billion, 2015 - 2025)
• Dairy
• Bakery & Confectionery
• Beverage
• Nutraceuticals
• Others
Biotech FlavorForm Outlook (Revenue, USD Billion, 2015 - 2025)
• Liquid
• Powder
• Paste
Biotech FlavorRegional Outlook (Revenue, USD Billion, 2015 - 2025)
• North America
o U.S.
• Europe
o U.K.
• Asia Pacific
o India
o China
• Central & South America
• Middle East & Africa
o Israel
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About Grand View Research
Grand View Research provides syndicated as well as customized research reports and consulting services on 46 industries across 25 major countries worldwide. This U.S.-based market research and consulting company is registered in California and headquartered in San Francisco. Comprising over 425 analysts and consultants, the company adds 1200+ market research reports to its extensive database each year. Supported by an interactive market intelligence platform, the team at Grand View Research guides Fortune 500 companies and prominent academic institutes in comprehending the global and regional business environment and carefully identifying future opportunities.