[159 pages report] The release agents market stood at USD 888.9 million in 2017; it is projected to grow at a CAGR of 4.1% from 2018, to reach USD 1,131.3 million by 2023. The global demand for release agents is on the rise, particularly in the bakery & confectionery industries. The demand is governed by the performance quality and functionality of the products. Increasing demand for release agents in the bakery & confectionery industries is one of the factors supporting the market development significantly.

See how this study impacted revenues for other players in Release Agents Market Client�s Problem Statement Our client, a food ingredients manufacturer from Asia, wanted to expand its product portfolio and enter a new market. The client wanted to identify the regional and global trends in the market and understand the emerging sub-applications for release agents in the overall food industry. MnM Approach MNM provided the overall market analysis for release agents, along with an in-depth analysis of various application areas and the major types of release agents preferred by end-use industries. Consumer trends, industry trends, and the regulatory scenario of the industry were also identified for a better understanding of the market�s inclination.

Competitive analysis and market information related to recent developments, and the key strategic moves of companies and their product portfolios were also presented to provide a broader view of the competitive scenario in the industry. Revenue Impact (RI) MNM�s findings allowed the client to come up with a comprehensive product portfolio to serve various end-use industries. The study also helped the client understand the different types of release agents in the key end-use industries at the regional level and target new revenue pockets, projected at ~USD 10�20 million in five years. Consult our Analyst now

The bakery segment dominated the release agents market.

On the basis of application, the bakery segment dominated the market, this segment accounted for the largest share in 2017, due to the increase in demand for baked goods. Baked products are classified into three broad segments: bread, biscuits, and cakes; they witness high demand, mainly due to their low price, ease of production, and increasing popularity (due to their taste, nutritional value, varieties, and ease of availability), making them a vital part of several meals.

Carbon dioxide segment has the highest share in the food grade gases market.

The use of liquid release agents for bakery and confectionery applications, along with processed meat and convenience food, is constantly growing. Many specific liquid release agents have been introduced, which are available in spray cans to enable ease of application.

Rising demand for non-hydrogenated vegetable oils

On the basis of ingredients, the market is segmented into emulsifiers, vegetable oils, wax & wax esters, and antioxidants. Different ingredients and a specific manufacturing process are chosen, depending on the properties of the ingredients and the desired end application. Recently, the demand for non-hydrogenated vegetable oils has been on the rise, as it helps increase the shelf-life of the final product.

North America and Europe are dominant regions in the release agents market in 2017.

Europe and North America are the dominant regions in this market in 2017, owing to the high demand for baked goods, the presence of major players in these regions, and awareness about the benefits of using release agents. However, Asia Pacific is projected to be the fastest-growing market during the forecast period, due to greater awareness and increase in production of processed food in the region. Asian countries, especially China, have also emerged as leading destinations, thereby facilitating the market shift from developed economies to developing economies. In relatively saturated markets such as the US and Europe, value-based pricing and raw material sourcing have emerged as major strategies for companies looking to establish a strong foothold in these markets.

Market Dynamics

Growth in demand for natural sources of ingredients is driving market growth.

Ingredient labeling has become mandatory in developed economies due to increase in consumer awareness. This has brought about a change in the use of ingredients for production by the manufacturers, with several manufacturers preferring natural and organic food additives over synthetic alternatives. The demand for natural ingredients is on the rise, with manufacturers launching various products with these ingredients that can provide an added advantage to drive the consumption among health-conscious consumers. As some of the release agents, such as lecithin and vegetable oils, are of a natural origin, they are poised to observe the growing adoption by the industry that drives its market growth. Vegetable oils are used for various industrial applications such as shortening, lubrication, oiling, releasing, and as surfactants. In the baking industry, vegetable oils are used as natural sources of release agents; however, they did not provide the required texture for most applications. Hence, a chemical process called hydrogenation to convert unsaturated liquid oils into a semi-solid trans-fat was developed. Recently, several new fats & oils have emerged as alternatives to semi-solid, partially hydrogenated vegetable oils. Palm oil offers a long shelf-life without the need for chemical processes due to the presence of natural antioxidants and a low level of unstable polyunsaturated fat.

Strict international regulations governing the use of release agents in food is restraining growth of the market.

International bodies such as the National Food Safety and Quality Service (SENASA), Canadian Food Inspection Agency (CFIA), US Food and Drug Administration (FDA), and Committee on the Environment, Public Health and Food Safety (EU) are associated with food safety regulations. These organizations have control over the usage of different chemicals and materials used in food processing, directly or indirectly. As release agents that are used for bakery applications come in indirect contact with the food product surface, they have to adhere to food safety regulations. The USFDA has published the list of substances and their quantity allowed to be used in food processing.

Emerging markets are illustrating high potential for food release agents.

The demand for food release agents is high in developed markets such as the US and Europe. Developing countries, namely, China and India, in the coming years, will experience a strong upsurge in demand for release agents. This demand is driven by an increase in the production of processed and convenience foods. The market for release agents in developed economies such as the US and Europe is saturated, as their penetration and adoption are quite high. Emerging economies such as India and China, in the Asia Pacific region, are exhibiting high growth. The Asia Pacific region also provides the cost advantage in terms of production and processing. High demand, coupled with low cost of production, is a key feature, which will aid release agents suppliers and manufacturers target this market. The trend of consumer�s preference for low-fat products is rapidly rising, and marketing campaigns are planned around highlighting their use and health benefit claims. ADM produces lecithin, which functions as a low-fat dressing, attracting market attention specifically from those who aspire to produce low-fat food products. The demand for low-fat products may be driven by the increase in processed foods production and innovation in almost all segments, such as meat products, dairy, and bakery & confectionery products. However, the demand for the usage of release agents is expected to grow continually in early adopting countries such as Japan and exponential growth is projected in new and emerging markets such as Australia and other Asia Pacific countries

Rise in price of raw materials such as vegetable oils poses a major challenge for manufacturers.

Manufacturers of release agents for food applications have to rely on the supply of raw materials such as vegetable oils, emulsifiers, waxes, and antioxidants, of which vegetable oils have always demonstrated upward growth trends in terms of prices. Vegetable oils are the base used for the production of release agents; hence the prices of the release agent products depend on the market price of vegetable oils. The ever-increasing prices of vegetable oils pose a challenge to the release agent manufacturers and by extension, the market. The prices of raw materials for release agent production have been fluctuating, resulting in uncertainty in the market as the price of raw materials affects the price of the release agents, which in turn impacts the price of the end products. Changes in climatic conditions have resulted in the shortage of raw materials, which in turn has increased their prices. Another factor affecting the prices of raw materials is the fluctuating prices of crude oils in the global market

Scope of the Report

Report Metric Details Market size available for years 2015�2022 Base year considered 2016 Forecast period 2017�2022 Forecast units Value (USD Million), Volume (KT) Segments covered Form, Ingredient, Application, and Region Geographies covered North America, Europe, Asia Pacific, and ROW Companies covered Archer Daniels Midland Company (US), AAK AB (Sweden), Cargill (US), Dowdupont (US), Avatar Corporation (US), Par-Way Tryson Company (US), Associated British Foods PLC (UK), Mallet & Company, Inc. (US), Lecico GmbH (Germany), Lallemand (Canada)

On the basis of form, the market for release agents has been segmented as follows:

Solid

Liquid

On the basis of ingredient, the market for release agents has been segmented as follows:

Vegetable oils

Emulsifiers

Wax & wax esters

Antioxidants

On the basis of application, the market for release agents has been segmented as follows:

Bakery products

Confectionery products

Processed meat

On the basis of region, the market for release agents has been segmented as follows:

North America

Europe

Asia-Pacific

ROW

Break-up of Primaries:

By Company Type: Tier 1 - 35 %, Tier 2 - 45%, and Tier 3 - 20%

Tier 1 - 35 %, Tier 2 - 45%, and Tier 3 - 20% By Designation: C-level - 35%, D-level - 25%, and Others* - 40%

C-level - 35%, D-level - 25%, and Others* - 40% By Region: North America - 20%, Europe - 25%, Asia Pacific - 40%, ROW**- 15%

*Others include sales managers, marketing managers, and product managers.

**ROW includes South America and the Middle East & Africa