Clean Label Ingredients Market Outlook from 2023 to 2033

The Clean Label Ingredients Market size is projected to be worth USD 44,080.0 million in 2023. The market is likely to reach USD 169,024.9 million by 2033. The market is further expected to surge at a CAGR of 16.2% during the forecast period 2023 to 2033.

Attributes Key Insights
Clean Label Ingredients Market Estimated Size in 2023 USD 44,080.0 million
Projected Market Value in 2033 USD 169,024.9 million
Value-based CAGR from 2023 to 2033 16.2%

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Key Market Trends and Highlights

  • The rise of plant-based diets has led to increased demand for clean label plant-based ingredients, such as plant-based proteins and dairy alternatives.
  • Replacing artificial sweeteners with natural sweeteners like stevia, monk fruit, and honey is a growing trend in clean label products.
  • Clean label alternatives to synthetic preservatives, such as rosemary extract and high-pressure processing, are becoming more common in food preservation.
  • Consumers are seeking clean label options in meat and dairy products, leading to the use of clean label processing and ingredients in these categories.

2018 to 2022 Historical Analysis vs. 2023 to 2033 Market Forecast Projections

The scope for clean label ingredients rose at a 20.7% CAGR between 2018 and 2022. The global market for clean label ingredients is anticipated to grow at a moderate CAGR of 16.2% over the forecast period 2023 to 2033.

Report Attributes Details
Market Value in 2018 USD 17,904.3 million
Market Value in 2022 USD 38,000.0 million
CAGR from 2018 to 2022 20.7%

The clean label ingredients market has witnessed significant changes in the transition from 2018 to 2022 to the forecast period from 2023 to 2033. During 2018 to 2022, the market likely saw steady growth during this period due to factors such as increasing consumer awareness of clean label products, health-consciousness, and a desire for transparency in food and beverage ingredients.

Clean label ingredients were widely adopted in various food and beverage categories, including snacks, dairy, bakery, beverages, and convenience foods. Market penetration expanded as manufacturers reformulated products to meet clean label criteria.

The market saw the emergence of startups and smaller players specializing in clean label ingredients. The companies offered innovative solutions to meet the demand for natural, organic, and non-GMO ingredients.

During 2023 to 2033, the market is expected to continue growing, attributed to factors such as continued growth, clean label beyond food, as well as innovation in ingredients.

Clean label trends will extend beyond food and beverages into other industries, including personal care, cosmetics, and household products, creating new opportunities for clean label ingredient manufacturers. Manufacturers will focus on innovation in clean label ingredients, developing novel solutions to meet clean label criteria while maintaining functionality, shelf life, and taste.

The adoption of clean label certification programs and logos will increase, allowing consumers to easily identify products that meet clean label standards. E-commerce will continue to play a dominant role in the distribution of clean label products, allowing consumers to access a wide range of options

Nandini Roy Choudhury
Nandini Roy Choudhury

Principal Consultant

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Clean Label Ingredients Market Key Drivers

  • Increasing consumer awareness and demand for transparency in food and beverage products have led to a preference for clean label ingredients. Consumers want to know what they are consuming and are wary of artificial additives and unfamiliar chemicals.
  • The growing focus on health and wellness, including a desire for healthier eating habits, has driven the demand for clean label ingredients. Consumers associate clean labels with healthier and more natural products.
  • The clean eating movement promotes whole, unprocessed foods, aligning with clean label ingredients' principles. The movement encourages consumers to seek out products with minimal and recognizable ingredients.
  • Regulatory bodies in various countries are encouraging the use of clean label ingredients by implementing labeling regulations that require clear and accurate ingredient declarations. The support ensures market compliance and consumer trust.

Challenges in the Clean Label Ingredients Market

  • Clean label ingredients, particularly organic and non-GMO options, can be more expensive than their conventional counterparts. The higher cost can deter some consumers and food manufacturers from adopting clean label ingredients.
  • Sourcing consistent and high-quality clean label ingredients can be challenging, especially for smaller food manufacturers. Seasonal variations and limited availability of certain ingredients may impact production.
  • Some clean label ingredients may have shorter shelf lives or may be less stable than synthetic additives, which can lead to challenges in maintaining product quality and extending product shelf life.
  • Replacing synthetic additives with clean label alternatives can be technically challenging. Formulators may need to adjust recipes and processes to achieve the desired taste, texture, and shelf stability, which can increase production costs.

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Country-wise Insights

The below table showcases revenues in terms of the top 5 leading countries, spearheaded by the United States and China. These two countries are expected to lead the market through 2033.

Market Share in 2022:

The United States 17.7%
China 11.0%
India 4.9%
Japan 3.2%
Germany 7.0%

Forecast CAGRs from 2023 to 2033:

The United States 16.1%
China 16.0%
India 16.0%
Japan 15.8%
Germany 15.6%

Health-Conscious Lifestyles Driving the United States’ Market

The clean label ingredients market in the United States is expected to expand at a CAGR of 16.1% through 2033. The country held a market share of 17.7% in 2022. American consumers are increasingly seeking transparency in food and beverage products. They are looking for clean label ingredients that they can easily understand and trust. The demand is fueled by a desire for healthier and more natural options.

Health-conscious lifestyles are prevalent in the United States. Consumers are focused on making better dietary choices, which includes avoiding artificial additives and favoring clean label products that align with their wellness goals.

Regulatory agencies in the United States, such as the Food and Drug Administration (FDA), have implemented labeling regulations that require clear and accurate ingredient declarations. The regulatory support reinforces the adoption of clean label practices by food manufacturers.

Robust eCommerce Ecosystem to Accelerate Market Growth in China

The China’s clean label ingredients market is anticipated to expand at a CAGR of 16.0% through 2033. Chinese consumers are becoming increasingly health-conscious and are seeking safer and healthier food and beverage options. Clean label ingredients align with these changing preferences.

China's robust e-commerce ecosystem allows consumers to access a wide range of clean label products, including imports, with ease, expanding market reach. The Chinese government has implemented various regulations and initiatives to improve food safety and quality, which indirectly supports the clean label movement.

Major retail chains in China are increasingly stocking clean label products, making them more accessible to consumers. The natural and organic food sector is growing in China, and clean label ingredients are a natural fit for these products. The country held a market share of 11.0% in 2022.

Stricter Food Safety Regulations Fueling the Market in India

The clean label ingredients market in India is poised to expand at a CAGR of 16.0% through 2033. Indian consumers are becoming more health-conscious and are looking for clean label ingredients as they seek healthier and more natural food and beverage options. India's population is increasingly focused on health and wellness, which includes a preference for clean label ingredients perceived as healthier and more natural.

The Indian government has been implementing stricter food safety regulations and quality standards, indirectly promoting the adoption of clean label practices. Efforts by food manufacturers and consumer advocacy groups to educate consumers about the benefits of clean label ingredients have raised awareness and demand.

The Indian snack market is witnessing a surge in clean label snack products, including healthier chips, nuts, and traditional snacks made with natural ingredients. Clean label ingredients are being incorporated into traditional Indian cuisine, catering to consumers' desire for authentic and clean eating experiences. The country held a market share of 4.9% in 2022.

Natural & Traditional Food Culture Spearheads the Market in Japan

Clean label ingredients trends in Japan are taking a turn for the better. A 15.8% CAGR is forecast for the country from 2023 to 2033. The country held a market share of 3.2% in 2022.

Japan has a rich tradition of natural and minimally processed foods. Clean label ingredients resonate with this cultural preference for simplicity and authenticity. The Japanese government has been implementing food safety regulations and quality standards, indirectly promoting clean label practices and transparency in food production.

Clean label ingredients are being used in dairy products and dairy alternatives, as well as plant-based products, aligning with the trend toward dairy-free and plant-based diets. The clean label trend extends to the Japanese beverage industry, with consumers seeking natural sweeteners, flavors, and additives in beverages like tea, fruit juices, and functional drinks.

Personal Care & Cosmetics Driving the Sales in Germany

The clean label ingredients market in Germany is anticipated to expand at a CAGR of 15.6% through 2033. High-profile food safety incidents and scandals have made United Kingdom consumers more conscious of food safety. Clean label ingredients are associated with safer and more trustworthy products.

The country’s snack market is experiencing growth in clean label snack products, including healthier versions of traditional snacks and innovative clean label options. Clean label trends also extend to personal care and cosmetic products in the country, where consumers are looking for natural and safe ingredients for their skincare and grooming routines.

Parents in the United Kingdom are increasingly looking for clean label snacks and foods for their children, emphasizing nutrition and safety. The country’s engagement with global health and wellness trends, including clean eating and organic living, contributes to the growth of clean label products and ingredients in the market. The country held a market share of 7.0% in 2022.

Category-wise Insights

The below table highlights how natural flavor segment is projected to lead the market in terms of type, and held a market share of 20.0% in 2022.

The dry segment of form is likely to spearhead sales, and held a market share of 62.0% in 2022.

Category Market Share in 2022
Natural Flavors 20.0%
Dry 62.0%

Natural Flavor Segment Claims High Demand for Clean Label Ingredients

Based on type, the natural flavor segment is expected to continue dominating the clean label ingredients industry. The segment held a market share of 20.0% in 2022. Consumers are increasingly seeking natural and recognizable ingredients in their food and beverages. Natural flavors are derived from real sources like fruits, herbs, and spices, aligning with consumer preferences for cleaner and more natural labels.

The global focus on health and wellness has led consumers to prioritize products that are perceived as healthier. Natural flavors are often associated with healthiness and are preferred over artificial alternatives.

The clean label movement, characterized by a demand for transparency and simplicity in product formulations, has fueled the popularity of natural flavors. They are seen as a clean and trustworthy ingredient.

Natural flavors offer a wide variety of flavor options, allowing manufacturers to create unique and authentic taste profiles in their products. The diversity appeals to consumers looking for interesting and enjoyable food experiences.

Dry to Hold High Demand for Clean Label Ingredients Industry

Based on form, the dry segment is expected to continue dominating the clean label ingredients industry. The segment held a market share of 62.0% in 2022. Dry form clean label ingredients often have a longer shelf life compared to their liquid counterparts, which appeals to both consumers and manufacturers as it reduces the risk of spoilage and allows for extended product storage.

Dry forms of clean label ingredients are less prone to degradation and flavor loss compared to their liquid or wet counterparts, which makes them a preferred choice for manufacturers looking to maintain ingredient stability throughout a product's shelf life.

Dry ingredients are easier to handle, transport, and store, making them a practical choice for food and beverage manufacturers. They are less prone to spillage and contamination during production processes.

Dry ingredients have lower water content, reducing their weight and volume, which can result in lower transportation costs for manufacturers, especially for long-distance shipments.

Competitive Landscape

The key strategies chosen by large companies include several growth strategies such as technology development, expansion as well and mergers and acquisitions to surge market share, reach and revenue.

  • In 2023, Ingredion announced the launch of its new line of clean label ingredients, Ingredion NOVATION®. Ingredion NOVATION® ingredients are designed to help food and beverage manufacturers produce clean label products that meet the needs of their consumers.
  • In the same year, ADM announced the acquisition of WILD Flavors & Specialty Ingredients, a leading producer of natural flavors and ingredients. The acquisition gives ADM access to WILD Flavors & Specialty Ingredients' portfolio of clean label ingredients, which will allow ADM to expand its clean label ingredient offerings.
  • In 2022, DuPont Nutrition & Biosciences announced the launch of its new line of clean label ingredients, DuPont Danisco Clean Label Solutions. DuPont Danisco Clean Label Solutions ingredients are designed to help food and beverage manufacturers produce clean label products that meet the needs of their consumers.
  • In the same year, Archer Daniels Midland Company (ADM) announced the launch of its new line of clean label ingredients, ADM Naturally Simple. ADM Naturally Simple ingredients are designed to help food and beverage manufacturers produce clean label products that are also delicious and nutritious.

Report Scope

Attribute Details
Estimated Market Size in 2023 USD 44,080.0 million
Projected Market Valuation in 2033 USD 169,024.9 million
Value-based CAGR 2023 to 2033 16.2%
Forecast Period 2023 to 2033
Historical Data Available for 2018 to 2022
Market Analysis Value in USD million
Key Regions Covered North America; Latin America; Western Europe; Eastern Europe; South Asia and Pacific; East Asia; The Middle East & Africa
Key Market Segments Covered Type, Application, Form, Region
Key Countries Profiled The United States, Canada, Brazil, Mexico, Germany, France, France, Spain, Italy, Russia, Poland, Czech Republic, Romania, India, Bangladesh, Australia, New Zealand, China, Japan, South Korea, GCC countries, South Africa, Israel
Key Companies Profiled Cargill, Ingredion Incorporated; Koninklijke DSM N.V.; E. I. Du Pont De Nemours and Company; Archer Daniels Midland Company; Kerry Group PLC; Tate & Lyle PLC.; Daikin America; Fluoryx; Wilshire Technologies; TCI Chemicals

Segmentation Analysis of the Clean Label Ingredients Market

By Type:

  • Natural Colors
  • Natural Flavors
  • Fruit & Vegetable Ingredients
  • Starch & Sweeteners
  • Flours
  • Malt
  • Natural Preservatives
  • Fermentation Ingredients
  • Oils & Shortenings
  • Emulsifiers

By Application:

  • Dry Form Products
  • Cereals & Snacks
  • Bakery Products
  • Beverages
  • Prepared Food/Ready Meals & Processed Foods
  • Dairy & Frozen Desserts
  • Others

By Form:

  • Dry
  • Liquid

By Region:

  • North America
  • Latin America
  • Western Europe
  • Eastern Europe
  • South Asia & Pacific
  • East Asia
  • The Middle East & Africa

Frequently Asked Questions

What is the expected worth of the Clean Label Ingredients market in 2023?

The clean label ingredients market is expected to reach USD 44,080.0 million in 2023.

What is the expected CAGR for the Clean Label Ingredients market until 2033?

The market for clean label ingredients is set to expand by a CAGR of 16.2% by 2033.

How much valuation is projected for the Clean Label Ingredients market in 2033?

The clean label ingredients industry is forecast to reach USD 169,024.9 million by 2033.

Which country is likely to be at the pinnacle of the Clean Label Ingredients market?

The United States is likely to be the top performing market, and to expand at a CAGR of 16.1% through 2033.

Which is the leading type in the Clean Label Ingredients domain?

Natural Flavor segment is preferred, and held a market share of 20.0% in 2022.

Table of Content
	1. Executive Summary
	2. Market Overview
	3. Market Background
	4. Global Market Analysis 2018 to 2022 and Forecast, 2023 to 2033
	5. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Type
		5.1. Natural colors
		5.2. Natural flavors
		5.3. Fruit & vegetable ingredients
		5.4. Starch & sweeteners
		5.5. Flours
		5.6. Malt
		5.7. Natural preservatives
		5.8. Fermentation ingredients
		5.9. Oils & shortenings
		5.10. Emulsifiers
	6. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Application
		6.1. Dry form products
		6.2. Cereals & snacks
		6.3. Bakery products
		6.4. Beverages
		6.5. Prepared food/ready meals & processed foods
		6.6. Dairy & frozen desserts
		6.7. Others
	7. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Form
		7.1. Dry
		7.2. Liquid
	8. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Region
		8.1. North America
		8.2. Latin America
		8.3. Western Europe
		8.4. Eastern Europe
		8.5. South Asia and Pacific
		8.6. East Asia
		8.7. Middle East and Africa
	9. North America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
	10. Latin America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
	11. Western Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
	12. Eastern Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
	13. South Asia and Pacific Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
	14. East Asia Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
	15. Middle East and Africa Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
	16. Key Countries Market Analysis
	17. Market Structure Analysis
	18. Competition Analysis
		18.1. Cargill, Ingredion Incorporated
		18.2. Koninklijke DSM N.V.
		18.3. E. I. Du Pont De Nemours and Company
		18.4. Archer Daniels Midland Company
		18.5. Kerry Group PLC
		18.6. Tate & Lyle PLC.
		18.7. Daikin America
		18.8. Fluoryx
		18.9. Wilshire Technologies
		18.10. TCI Chemicals
	19. Assumptions & Acronyms Used
	20. Research Methodology
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