As encapsulation of different flavors and fragrances is gaining immense popularity across  various sectors such as food & beverages, textile, perfumes, toiletries, etc., the global encapsulated flavors and fragrances market is set to witness meritorious growth over the forthcoming years. Encapsulation technique which involves coating of a material with another material for maintaining the integrity of core materials is applied to several substances including compounds, active polymers, heat and oxidation sensitive molecules, etc.

In addition, key industry players operating in the market such as FONA International Inc., Aveka Group, National Enzyme Company, Sensient Technologies, Balchem Corporation, Surfachem, Lycored, Symrise, Royal DSM, Cargill, etc. are focusing on developing technologically advanced solutions in the field of encapsulation which will open new growth avenues for the industry in the upcoming years. For instance, in 2020, FONA International announced the launch of its liquid-to-powder conversion technology named TrueTaste made available for healthcare, food and beverage product developers. According to the company, this technology can take microencapsulation to next level through proprietary approach and gentler processing.

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Following are some of the prominent trends that are anticipated to drive the growth of encapsulated flavors and fragrances market over the span of 2018 to 2024:

Growing popularity of microencapsulation process

Microencapsulation is the highly adopted encapsulation process owing to its ability to produce small sized essence materials. Other advantages offered by this process are manipulation of product at desired time and space along with controlled liberation of perfume. Further, increasing application of microencapsulation can be attributed to its ability to provide protection against moisture and evaporation which can ruin the food essence as it creates physical barrier between environment and the flavor. This property helps in incorporating active ingredients available in tablets through direct compression. Considering the merits of the process, microencapsulation segment across encapsulated flavors and fragrance market secured more than 42% share and is estimated to grow exponentially over time.

Rising application in food & beverages segment

As encapsulation of flavors is extensively used in food products such as ice-cream, cereals, biscuits, cookies and powdered drink mix, food & beverages segment across the overall encapsulated flavors and fragrance market is expected to register an appreciable CAGR of 56% through 2024. Further, constantly evolving food industry to serve changing consumer tastes has positively influenced the business space. Encapsulated flavors used in food products are sensitive and provide uniform coloring, taste and higher shelf life; these are some of the major factors that are  likely to fuel the product adoption in following years.

Burgeoning demand across textile industry

As the textile industry is expanding worldwide, the demand for encapsulated fragrance has increased to a great extent for manufacturing perfumed suits. Further, perfume encapsulation helps in enhancing fabric texture and reducing washing damage by adhering to textile fibers. In addition, it offers controlled release of perfume and provides long lasting fragrance.

Heightened adoption of physical processing

When it comes to the most popular technological process, physical process is touted to gain massive traction across the overall encapsulated flavors and fragrance industry while accounting for around 86% of market share. This can be credited to the numerous advantages associated with this technique such as high productivity, coating thickness and better size control.

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Increasing consumption of packaged food in Asia Pacific

With increasing health consciousness and inclination towards functional foods, encapsulated flavors and fragrance market in the Asia Pacific region is estimated to observe a notable growth over the coming years. Besides, increasing attraction for packaged food due to growing disposable income coupled with rising need for higher shell life in the region are further supporting the business growth.

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