Market Trends of United Kingdom Food Emulsifier Industry
Rising Demand for Vegan Bakery and Dairy Products Boosting Lecithin Demand
The lecithin industry has been steadily growing in recent years due to rising demand for bio and functional ingredients in bakery and dairy products. Consumers are increasingly concerned about their health and are looking for products that contain natural ingredients. In the food and beverage segment, the rising health concerns have resulted in an increasing demand for lecithin. Growth in the lecithin segment has also been driven by increasing demand for convenience foods and a growing preference for clean labeling and natural products.
The consumption of plant-based emulsifiers is expected to grow with the rising veganism in the country. As of 2023, the United Kingdom accounted for more than 2.5 million vegans. To cater to this growing population, manufacturers are shifting toward plant-based emulsifiers, such as soy lecithin. The demand for organic and sunflower lecithin has witnessed an uptick, with confectioneries emerging as the largest application segment. Furthermore, demand is also boosted by the product properties being natural, safe, allergen-free, and an alternative to soy-based products.
Rising Demand for Healthy Alternatives Boosting the Demand for Emulsifiers in Gluten-free Bakery Products
The European market is at its peak since its consumption of bread and baked products is comparatively high compared to other regional markets worldwide. According to the Federation of Bakers Ltd, in 2023, bread was bought by 99.8% of British households, and the equivalent of nearly 11 million loaves were sold each day. The bakery market in the United Kingdom is more open toward innovation and has been responding positively to consumer demand over the past few years. Consumers seeking out healthier alternatives are propelling manufacturers to improvise added benefits with every product, which is also facilitating new launches under the 'free-from' banner.
The rising consumer interest in devouring gluten-free products across the region on account of the prevailing diet problems is likely to address the shift of emulsifiers toward gluten-free bakery products rather than bakery products in general. In addition, the bakery industry has a high penetration rate in the country, with larger (plant) baking companies producing around 80% of bread sold in the United Kingdom. According to a survey, during the period 2021-2022, an average of over half a kilo of bread was consumed per person per week in UK households.
