Oleoresin Market Size, Share, Growth Analysis, By Product(Paprika, Black Pepper, Capsicum, Turmeric), By Application(Food, Beverages, Fragrances, Pharmaceutical), By Raw Material(Flowers, berries, seeds, leaves), By Region - Industry Forecast 2024-2031

Oleoresin Market size was valued at USD 1.43 billion in 2021 and is poised to grow from USD 1.53 billion in 2022 to USD 2.61 billion by 2030, growing at a CAGR of 6.9% in the forecast period (2023-2030).

The oleoresin market is very competitive in nature and has many players worldwide. The demand from the food, beverage, and pharmaceutical industries dominates the market. The market for raw materials is highly volatile and subject to change. The players have long-term arrangements with the raw material manufacturers to guarantee a steady supply of raw materials. 'Synthite Industries Ltd.', 'Givaudan SA', 'Akay Group Ltd.', 'Plant Lipids', 'Vidya Herbs Pvt Ltd.', 'Kancor Ingredients Ltd.', 'AVT Naturals', 'Ozone Naturals', 'Universal Oleoresins', 'India Essential Oils', 'Shaanxi Jiahe Phytochem Co. Ltd.', 'Ungerer Limited', 'Lionel Hitchen (Essential Oils) Ltd.', 'Cymbio Pharma Pvt Ltd.', 'Kalsec Inc.', 'Dupont de Nemours Inc.', 'K.Patel Phyto Extractions Pvt Ltd.', 'Kuber Impex Ltd.', 'Kancor Ingredients Ltd.', 'Indo World Trading Corporation', 'In 2021, SH Kelkar and Company Ltd (SHK), which is an India-based flavor and fragrance company, announced with its totally owned subsidiary Keva Europe BV the acquisition of a 100% ownership in a subsidiary of Holland Aromatics' BV, in the Netherlands. By doing this, the business will be able to serve the new market and expand its operations.', 'In 2021, Sensient Natural Ingredients LLC announced the acquisition of New Mexico Chili Products Inc., a dehydrated chili production plant in Deming that dehydrates capsicums and a range of specialty chilies for sale to CPG food manufacturers, spice blenders, and foodservice clients. The corporation will be able to boost its sales volume with the help of this acquisition.'

The demand for oleoresins is expanding as a result of consumers' growing rate of health consciousness and their desire for natural ingredients in their food and beverages.

Ethnic foods are growing more and more popular throughout the globe, especially in countries like Italy, the United Kingdom, India, China, Mexico, Spain, and others, due to their distinctive flavors and the use of turmeric oleoresin. This is driving market growth. Oleoresins are often replaced for marinades from flavoring producers by manufacturers, particularly those of meat items like sausages. Some people prepare their own marinades with oleoresins and spices (for example, dried spices). The increased demand for baked products and confectioneries, as well as customers' growing preference for natural and organic ingredients over artificial flavor or color, all add to the company's need for oleoresins. Oleoresins are also used as ingredients by many producers of mayonnaise, sauces, marinades, and pickles in replacement of goods with artificial flavorings. Oleoresins are simple to store and heat-stable, resistant to microbial contamination, and have a far longer shelf life than fresh or dried spices. As a result of the increased demand from food and beverage companies around the world, the oleoresins industry is experiencing higher growth.

Asia Pacific market is projected to emerge as the fastest growing region during the forecast period. Growth of this region is attributed to an increased production rate and the application of trying to cut industrial technologies. Asia Pacific is the leading producer of and exports the majority of goods worldwide. China, India, Malaysia, Vietnam, Indonesia, and China are a few of the region's top spice manufacturers. The large production of paprika oleoresins in the Asia Pacific region has led to price competition. Oleoresins need to go through additional processing, which increases stability, intensifies the color, and lessens lingering pungency. The product's stability and compatibility with pharmaceutical and food & beverage applications are expected to be the primary factors driving its increased demand.