Asia-pacific Fruits And Vegetables Ingredients Market Size & Share Analysis - Growth Trends And Forecast (2025 - 2030)

Asia-Pacific Fruits And Vegetables Ingredients Market Trends and Insights

Rising Demand for Clean-Label and Natural Ingredients in Packaged Foods

Regulatory pressure and rising consumer awareness are driving packaged-food makers to replace synthetic additives with fruit- and vegetable-based ingredients. Indonesia’s 2024 draft Nutri-Level labeling requires front-of-pack warnings for high sugar, salt, or saturated fat, prompting reformulation with natural sweeteners and colorants, such as dragon fruit and beetroot, according to BPOM^{[1]Source: Indonesia BPOM, “Nutri-Level Draft Regulation,” pom.go.id}. Thailand’s Phase 4 sugar tax (effective April 2025) and Singapore’s 2024 Nutri-Grade labeling similarly encourage manufacturers to shift toward fruit concentrates and monk fruit extracts, while Vietnam introduces a new tax on sweetened beverages^{[2]Source: Thai FDA, “Sugar-Tax Phase 4 Implementation,” fda.moph.go.th} . Consumer trends support this shift: Cargill’s 2025 APAC survey reveals that 58% are willing to pay more for recognizable, natural ingredients, and over 70% actively check labels. Global influences, such as the U.S. FDA’s updated “healthy” claim rules, effective as of 2028, are also shaping Asia-Pacific ingredient strategies and increasing the value of clean-label offerings.

Growing Adoption of Fruit-Based Sugar-Replacers by Beverage Formulators

Beverage makers are increasingly replacing refined sucrose with fruit-derived sweeteners to meet sugar tax regulations and tap into the premiumization trend, thereby boosting demand for concentrates, NFC juices, and powdered fruit extracts. Thailand’s April 2025 sugar tax hike targets drinks with more than 10 g/100 ml. The 2018–2023 reformulations saw producers reduce the average sugar content by 18% using blends of cane sugar, monk fruit, stevia, and fruit concentrates, according to the Thai FDA. Innovations like NutraEx Food’s July 2024 BI-Sugar, which combines L-arabinose with sucrose and stevia to reduce glycemic response while maintaining sweetness, exemplify technical advances. Meanwhile, Samyang Corporation’s September 2024 KRW 140 billion specialty plant in Ulsan, South Korea, now produces 13,000 tons per year of allulose, a rare low-calorie sugar gaining traction in APAC beverages. Rising fiscal penalties and consumer demand for “no artificial sweeteners” labels are expected to expand the fruit-based sugar-replacer market by roughly 1.5 percentage points of CAGR through 2030.

Functional-Food Launches Featuring Super-Fruit Phytonutrients

Functional-food brands in the Asia-Pacific region are increasingly utilizing exotic fruit extracts, rich in polyphenols, anthocyanins, and carotenoids, to support immunity, gut health, and cognitive performance, driving demand for freeze-dried powders and concentrated phytonutrients. Thailand’s FDA updated its health-claim guidelines in July 2024, streamlining approval for botanicals like butterfly pea, dragon fruit, and mangosteen. Meanwhile, the WHO’s 2024 safety evaluation of butterfly pea flower extract bolsters cross-border trade and regulatory acceptance in markets such as Japan, South Korea, and Australia^{[3]Source: WHO JECFA, “Safety Evaluation of Butterfly-Pea Extract,” who.int}. Nurasa opened its 3,840 m² Food Tech Innovation Centre in Singapore in April 2024, featuring precision-fermentation labs and bioreactors. The centre collaborates with A*STAR and ScaleUpBio to develop low-sugar, gut-friendly products that leverage fruit-derived prebiotics and polyphenols. Similarly, Kagome’s January 2025 strategy shift from a “tomato company” to a “vegetable company” highlights the move toward functional products using diverse fruit and vegetable phytonutrients. According to the Asian Food and Beverage Alliance, the APAC fortification market is growing at over 18% CAGR (2022–2027), with super-fruit ingredients serving as both functional actives and clean-label marketing assets.

Growth of Plant-Based and Vegan Foods

The plant-based meat, dairy, and snack sectors are growing rapidly across urban Asia, with fruit and vegetable ingredients being used to enhance texture, flavor, and nutrition. In November 2024, Nourish Ingredients partnered with China’s Cabio Biotech to produce Tastilux, a precision-fermentation fat derived from Mortierella alpina, upcycling fruit and vegetable by-products to achieve a meaty aroma at a sub-1% inclusion rate, targeting China’s plant-based meat market in 2025. Similarly, Kinoko-Tech’s October 2024 agreement with Metaphor Foods will scale up fungi-mycelium protein production in Australia, with plans to expand to Malaysia, Singapore, Indonesia, and New Zealand, utilizing legumes and grains to enhance protein and fiber content while maintaining taste. Other launches, including Thammasat University’s GreenTein mung-bean protein drink and Yeo’s immunity-focused soy milk, demonstrate that plant-based formats are going mainstream. Rising health awareness, environmental concerns, and improved taste profiles are adding approximately 1.4 percentage points to the market's CAGR, with long-term growth expected as distribution and pricing approach parity with animal-based products.

Raw-Material Price Volatility Due to Climate and Pests

Extreme weather and pest outbreaks are disrupting fruit and vegetable harvests across the Asia-Pacific region, resulting in supply shortages, price spikes, and increased processing costs. In 2024, typhoons and heavy rains in the Philippines damaged leafy greens, tomatoes, and root crops, driving up local prices by 30–50%. Meanwhile, droughts in northern Thailand reduced mango and longan yields, forcing processors to source from India and Pakistan at higher costs, according to the FAO. China’s apple regions in Shaanxi and Shandong also faced lower-than-expected harvests due to temperature extremes and irregular rainfall. Pest pressures, including fruit flies and aphids, further reduce yields and increase post-harvest sorting costs by 12–18%. The FAO Food Price Index showed month-to-month swings of over 10% for tropical fruits and 8% for processed vegetables, complicating long-term contracts. This volatility is expected to reduce short-term market CAGR by 0.8 percentage points, with relief anticipated as climate-resilient crops and better irrigation systems are introduced.

Competition from Synthetic Substitutes

Synthetic flavors, colors, and sweeteners remain popular in price-sensitive markets, such as confectionery, bakery, and mass-market beverages, due to their lower costs and stable supply. For instance, synthetic vanillin costs about 10% of natural vanilla, while synthetic beta-carotene offers a more stable color under heat, extending shelf life. Despite rising demand for clean labels, manufacturers in India, Indonesia, and the Philippines continue to use synthetics to keep retail prices below USD 1, which is crucial for high-volume traditional trade. APAC regulations generally permit GRAS-status synthetics, and inconsistent enforcement results in reduced penalties. With natural ingredient prices expected to remain volatile in 2024–2025, synthetic substitutes are likely to remain attractive, limiting market CAGR by around 0.6 percentage points. However, tighter labeling and sugar tax rules in Thailand, Indonesia, and Singapore are gradually encouraging the use of natural alternatives.

Segment Analysis

By Ingredient Type: Vegetables Outpace Fruits Despite Smaller Base

Vegetable ingredients are projected to grow at the fastest rate, with a 9.28% CAGR from 2025 to 2030, despite fruits holding a 62.84% share in 2024. The rise of plant-based and functional foods is driving demand for vegetable-derived proteins, fibers, and phytonutrients in meat alternatives, dairy substitutes, and fortified snacks. Kagome’s January 2025 pivot from a “tomato company” to a “vegetable company” highlights opportunities to expand beyond pastes and purees into freeze-dried powders, concentrated extracts, and fermented derivatives. Carrots, beets, and tomatoes dominate volumes, with beetroot powder replacing synthetic Red 40 and carmine in plant-based burgers and dairy-free yogurts. Meanwhile, pumpkins and butternuts add natural texture and mild sweetness to bakery and confectionery applications.

Fruits remain the largest ingredient segment due to their entrenched use in beverages, confectionery, and bakery products, with apples, oranges, pineapples, mangoes, and bananas providing both flavor and functional benefits, such as pectin and natural acidity. Berries, including strawberries, blueberries, and raspberries, are the fastest-growing fruit segment, driven by the health benefits of anthocyanins and their positioning as superfoods in functional beverages and dairy products. Exotic fruits like kiwi cater to premium niches in Japan, South Korea, and urban China. Regional launches, such as I.P. Natural Products’ May 2024 Ivy-brand tamarind and plum juices in Thailand packaged in SIG XSlimBloc cartons, showcase on-the-go commercialization of local flavors. Vegetable ingredients also benefit from simpler regulatory approval under FSSAI and ASEAN frameworks, while novel fruit extracts often require toxicology dossiers, influencing innovation and market strategy.

By Form: NFC Juices Surge on Premiumization

NFC (not-from-concentrate) juices are expected to grow at the fastest rate among form segments, with a 10.35% CAGR from 2025 to 2030, despite concentrates holding a 41.26% share in 2024. Premiumization is driving this trend, with consumers in Japan, South Korea, Australia, and urban China willing to pay 30–50% more for minimally processed juices that preserve delicate aromatics and heat-sensitive vitamins. NFC production relies on cold-chain logistics, and subsidies for refrigerated transport in India, China, and Vietnam are reducing costs that previously limited adoption to luxury brands. Concentrates remain key for cost-sensitive beverages, confectionery fillings, and bakery glazes, while pastes and purees, led by tomato and mango, serve the dairy, ready-to-eat meals, and sauce markets.

Powders are gaining traction in functional foods and dietary supplements, delivering concentrated phytonutrients and fiber in compact sachets, capsules, and ready-to-mix beverages. Ingredion’s September 2024 APAC launch of FIBERTEX CF 500 and CF 100 citrus fiber, derived from upcycled peel, highlights advances in powder functionality, providing texturizing, gelling, and viscosifying properties that can replace starches, hydrocolloids, and eggs across multiple applications. Consumer research shows 87% of APAC buyers accept citrus fiber on labels, while 79% globally prefer recognizable ingredients, supporting clean-label positioning. Pieces and slices target premium bakery, confectionery, and ready-to-eat meals for visual and textural appeal. Processing innovations such as aseptic packaging and freeze-drying are shaping form segmentation, enabling broader NFC distribution and new powder applications in e-commerce and export markets.

By Application: RTE Products Lead Growth

Ready-to-eat (RTE) products are projected to grow at the fastest rate among applications, with a 10.64% CAGR from 2025 to 2030, despite beverages accounting for 48.17% of 2024 sales. Urban Asia’s rising dual-income households, e-commerce growth, and demand for convenient, nutritious options are driving RTE meals, snack bars, and meal kits. Fruit and vegetable ingredients provide flavor, texture, and nutrition, with freeze-dried vegetables, fruit purees, and concentrated extracts enabling the creation of shelf-stable, clean-label products. Examples include Wantian’s October 2024 partnership with Hin Sang to open 100 health soup chain stores and co-develop premium herbal-green ingredient gift sets, and Cremer Sustainable Foods and Lim Kee’s April 2024 launches of plant-based RTE items like chilli crab pau, black pepper chicken, and laksa in Singapore.

Beverages remain the largest segment, with fruit concentrates, NFC juices, and vegetable extracts used in soft drinks, functional beverages, dairy products, and plant-based milks. Soups and sauces rely on tomato paste, carrot puree, and beetroot concentrate for color, viscosity, and umami. Meanwhile, dairy products incorporate fruit purees and vegetable fibers to enhance texture and support clean-label claims, such as in yogurt, ice cream, and cheese analogs. Confectionery and bakery use fruit pieces, pastes, and powders for fillings and toppings, with berries and tropical fruits driving premium innovation. Distribution channels increasingly shape application trends: e-commerce and modern trade favor convenient, transparent RTE formats, whereas traditional trade emphasizes beverages and confectionery with longer shelf life and lower price points.

Note: Segment shares of all individual segments available upon report purchase

Geography Analysis

China dominated the Asia-Pacific fruit and vegetable ingredient market in 2024, accounting for 53.62% of regional revenue, supported by vertically integrated processing clusters in Shandong and Shaanxi that supplied apple concentrate, tomato paste, and vegetable powders for both domestic and export markets. Scale advantages, such as Haisheng Juice’s large apple concentrate facility, and government-backed export zones under the RCEP, underpin this dominance. Strategic investments highlight the importance of local production. Samyang Foods’ December 2024 KRW 64.7 billion (USD 45.18 million) China plant will serve Southeast Asia and Malaysia to address projected domestic shortfalls. Meanwhile, Thai Wah’s April 2025 joint venture with Fuji Nihon in Thailand leverages ASEAN trade benefits and Japanese starch expertise. China’s updated 2024 cold-chain logistics plan further strengthens temperature-controlled warehousing and last-mile delivery, enabling processors to source from remote regions like Xinjiang, Gansu, and Yunnan.

India is expected to grow at the fastest rate, with a 9.79% CAGR from 2025 to 2030, driven by the Ministry of Food Processing Industries’ Production Linked Incentive scheme and cold-chain subsidies under the Pradhan Mantri Kisan Sampada Yojana. Key expansions include Jain Irrigation Systems’ mango puree and concentrate capacity, OB Holdings’ RM 30.5 million (USD 7 million) Serendah factory in Malaysia for fortified foods (production starting H1 2026), and Yenher Holdings’ September 2024 joint venture with Denmark’s Fermentationexperts to produce 25,000 t/year of plant proteins via fermentation for Vietnam, Indonesia, the Philippines, and Taiwan starting Q4 2025.

High-value markets like Japan, South Korea, and Australia emphasize clean-label, traceability, and functional benefits, supporting premium pricing. Kagome’s January 2024 acquisition of a 70% stake in California’s Ingomar Packing strengthens tomato processing for Japan, while Samyang’s September 2024 allulose plant in Ulsan (13,000 t/year) targets Japan, Southeast Asia, and Australia/New Zealand amid growing demand for low-calorie sweeteners. Kinoko-Tech’s October 2024 partnership with Metaphor Foods to produce fungi-based products in Australia, expanding into Malaysia, Singapore, Indonesia, and New Zealand from 2025, illustrates the region’s role as an innovation hub. Rapid urbanization, rising disposable incomes, and modern trade growth across Thailand, Indonesia, Singapore, and the broader APAC region continue to drive demand for fruit and vegetable ingredients in beverages, RTE meals, and functional foods, supported by Corbion’s July 2024 expanded distribution in Thailand and Kalsec’s June 2024 Singapore finishing and distribution center.