The global functional flour market is foreseen to witness impressive growth on account of a drastic shift toward health-benefitting foods and ingredients offering nutritional wellness. As per the research study by Fact.MR, global sales of functional flour are estimated to grow at a CAGR of over 6.5% through 2025, notably driven by the evolving dietary patterns across the globe.
According to the Fact.MR report, the functional flour market space can be characterized by hegemony of a few leading companies having global and regional reach. However, the functional flour market structure also demonstrates wide-spread presence of small-sized companies predominantly operating across local markets.
“The leading players of functional flour market, albeit having robust product portfolios and excellent operational efficiencies, will eye on niche categories to expand their reach. Moreover, the leading companies will also continue to focus on strategic collaborations, such as mergers and acquisitions, with the small players to boost their production abilities and gain substantial profits”, says Fact.MR analysis.
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Wheat will continue to be the highly-preferred raw material over all other types and the status quo is unlikely to change over the forecast timeline, opines the Fact.MR study. The buoyancy of wheat in the functional flour market can be accredited to its thiamin, niacin, iron, and vitamin B6 richness. According to the report, consumers will continue to show noticeable preferences for genetically modified functional flour over the forecast period, driven by positive perceptions of genetically-modified foods and associated health benefits.
As per the Fact.MR analysis, North America is likely to emerge as a highly profitable region for the participants of functional flour market, with the US and Canada spearheading demand. Increasing adherence to healthy diets remains a key aspect boosting lucrativeness of these regions, with consumers willing to pay more for health-benefitting and functional foods and ingredients.
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Evolving Dietary Preferences to Create Untapped Potential for Manufacturers
Spurring demand for bakery delicacies, such as buns, breads, and cakes, is one among the key factors boosting adoption of functional flour. Bakery products, especially breads and buns, remain staple across majority of developed regions, such as North America and Europe, supporting sales of functional flour in these regions. Availability of breads and buns in whole wheat & multi-grain variants is attracting consumers to indulge in multiple varieties, creating favorable grounds for growth of functional flour market.
As per the Fact.MR report, evolving dietary preferences and rising consumer willingness to spend on healthy foods are among the key aspects amplifying growth of functional flour market across emerging economies. Moreover, consumers actively embracing food habits of the Western cultures seek high-quality breads with enriched ingredients, including functional flour. Rising preferences for multiple varieties of functional flour, such as rye flour, soy flour, and oat flour, over the conventional variants remains a key trend having deep-rooted impact on growth of functional flour market, finds the Fact.MR research study.
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The upward trend of preference for gluten-free or low-gluten foods will continue to fuel investments in functional flour. However, volatility in prices of grains resulting in lower profit margins for millers is dissuading their zeal for producing larger volumes of specialty flour. Moreover, decline in demand for flour, on account of health reasons, and rapid switch to value based processed food items are foreseen to collectively challenge growth of functional flour market
The Fact.MR study offers an all-inclusive analysis of the global functional flour market for the forecast period of 2017- 2025.
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