Dramatic growth currently experienced by the nutraceuticals market is forecast to be the biggest driver in the development of the flavonoids and isoflavones markets in Europe in the next six years. New research from market analysts Frost and Sullivan reveals that the combined market, valued at $94million(€106.4m) in 2000 will grow to be worth $144million by 2008.
According to the study the revenue growth does not directly correlate to their increased usage. In volume terms, over the same period, the market is forecast to more than double, from 276 tonnes to 570 tonnes.
Anna Ibbotson, Frost & Sullivan Food Programme Manager commented: "We forecast that the demand for these products in Europe will rise dramatically. If we look at what is happening in the United States where isoflavones and flavonoids are currently used extensively in functional foods we would expect to see this pattern mirrored in Europe. However their use remains marginal at present. Isoflavones and flavonoids producers should be looking for an early positioning in breakfast cereals, beverages, bakery and dairy products."
However, improvements in extraction techniques, the lower cost of raw materials and the increasing availability of cheaper Asian supplies are driving the increasing price erosion of flavonoids. Competition with soy fractions on price will continue to restrain the expansion of soy isoflavones.
The report, The European Phytonutrients is an analysis of the phytonutrients market across Europe and is segmented by the five most common phytonutrients groups: Vitamin E, carotenoids, flavonoids, isoflavones and phytosterols.