Natural ingredients

New in Fi South America!

Food Ingredients South America introduces the Natural ingredients (Ni) Pavilion to its 21st edition. Natural ingredients is an exclusive pavilion that will be the showcase of natural and organic ingredients for visitors to the area of ​​supplements, nutraceuticals and functional foods and beverages.

This pavilion, which has been a tradition at Fi Global for 20 years, has a unique positioning and attracts a worldwide audience of highly qualified industry leaders.

Fi South America - Natural ingredients
Fi South America - Natural Ingredients

Why Natural ingredients?

The global ingredient market grew by 2% in volume in 2015 (excluding commodities), according to Euromonitor International. That means 587 million tons of ingredients have been consumed. Of this market, 84% of the ingredients are in the packaged food industry. 

One of the strongest trends in food is the preference for natural products. As the consumer becomes more conscious about the products they consume, the demand for products considered natural has increased in recent years. Results from a survey conducted in 20 countries by Euromonitor International in 2016 revealed that 50% of the people interviewed look for food and beverage labels for '100% natural' products.

The Rise Of Natural Ingredients

But after all, what is a natural product? 

In the same survey, Euromonitor International asked respondents how they understood the 'natural' concept and 32% of them credit those products as a healthier product. Without a clear definition, consumers associate natural products with organic, without artificial ingredients, GMO-free (not genetically modified) and even with minimal production. The lack of defined criteria and regulatory bodies allow producers to decide for themselves how to use that description in their products.  

The reaction of manufacturers 

The increase in demand for natural products has challenged ingredient suppliers  to find alternatives to ingredients considered more natural. According to Euromonitor International, the sale of products with claims of '100% natural' moved a global market of $ 40 billion in 2015.  

The inclusion of Natural ingredients , however, is not so simple. In addition to reducing the use of ingredients already established in the market for a long time, the use of natural alternatives is technically complicated since these ingredients have different properties and can not be simply incorporated. In addition, in general, including natural ingredients generates higher costs to the manufacturers since ingredients in nature tend to be more expensive than those synthesized.   

Another challenge faced by manufacturers is maintaining quality as interest in more natural products has not diminished the consumer's demand for the taste of the product. Thus, the alternatives of ingredients must be economically viable, but without dramatically altering the product.  

The future of natural products 

The future of natural products is still uncertain. The excessive amount of products that declare themselves to be natural has been causing consumer confusion and skewing the products that use this concept in packaging. In addition, the dilution of the term 'natural' may open doors to other products that are more regulated, such as organic, especially among those consumers who seek greater safety in relation to the ingredients consumed.  

 Euromonitor International projects that the volume, in tonnes, of sales in the world of naturally healthy products will grow at a fixed average rate (ie not considering inflation) per year of 3.9% per year until 2021. Organic products should Year growth rate of 4.5% per year over the next five years. 

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