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€2 Billion European Flavouring Market is Full of Opportunities

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€2 Billion European Flavouring Market is Full of Opportunities

€2 Billion European Flavouring Market is Full of Opportunities
August 26
13:51 2016

Valued in excess of €2 billion, the European flavouring market has been stable for the past five years, but demand is expected to grow in the future. Of course, the flavour industry is a key supplier to the European food industry, since a large proportion of processed food products contain flavourings.

“It’s a business full of opportunities, always expanding and on the lookout for what’s next. The industry at large invests approximately 10% of its turnover in R&D and innovation,” points out Jean Robello, President of the European Flavour Association (EFFA) and Vice President of Flavours in Southern Europe for Firmenich.

EFFA is the European umbrella of the flavour industry and comprises many SMEs and leading international companies in the EU. It has 21 members – the nine largest flavour companies in Europe and 12 national associations. They represent the flavour companies in their countries, including small and medium business (there are approximately 300 flavour SMEs in Europe).

Jean Robello continues: “The European flavour industry is constantly investing in R&D to provide consumers with healthier and tastier food and beverage products. The industry has also developed a broad range of natural and sustainable flavouring solutions to sustain market and consumer trends. Many of those key developments were made in close collaboration with food and beverage companies.”

Regulation

Since 2011, the industry works within a new legal regulatory framework within the EU, which established a positive list of flavourings. Only flavourings included in the positive list can be used. EFFA welcomed the review and update of the flavourings legislation and has drafted a Guidance Document (available at http://www.effa.eu/library/guidance-documents) summarising the major changes introduced in the new Regulation.

The high level of investment in R&D has allowed EFFA members to respond to changing consumer demands.

Consumer Demands

“One of the key trends is the desire for health and wellness and for products that have reduced levels of fat, sugar and salt,” he explains. “Flavourings enable consumers to enjoy these kinds of products without compromising on taste, contributing to healthier and more balanced eating habits,” he explains.

EFFALogoHe elaborates: “Consumers are also concerned about sustainability, which is also a priority for the flavour industry. Our companies are running ongoing sustainable sourcing initiatives, are looking for new raw materials from renewable sources, and are working on increasing efficiency within their supply chains.”

The European flavour industry is very diverse, with global players and SMEs, and has a very long history of being innovation-driven. “It is also an industry that provides pleasure, so it is connected with emotions and memories. Last but not least, it’s a very responsible industry, with a strong regulatory background and a reputation of scientific excellence,” says Jean Robello.

More Communication

Because it operates on a business to business basis, the European flavour industry sees big potential in successfully communicating the benefits of flavourings and the added value of its products to the end consumers.

“There is a lack of knowledge among the general public of what flavourings are. We have to communicate better by explaining the important role of flavourings in the food chain and how they benefit consumers – which is by providing pleasure to their food experience,” he comments.

EFFA has made communication a key strategic objective. Jean Robello adds: “We have just launched a new website that we invite you to discover at www.effa.eu, and we are coordinating our efforts at national, regional and global level to successfully tell the flavouring story, which is a fascinating one.”

With the demand for flavourings expected to increase during the next five years, the industry is well placed to meet the challenges ahead. “As it is a very innovative industry, I see it continuing to provide solutions for the different consumer demands – sustainability, healthy eating, pleasure, etc,” concludes the EFFA President.

CAPTION:

The European Flavour Association (EFFA) team (left to right): Jean Robello, President of the EFFA; Jimena Gómez de la Flor, Communications director; and Jan Demyttenaere, Director of Scientific and Regulatory affairs.

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