In a recently released financial results analysis paper, T. Hasegawa predicts that the global flavor and fragrance market will reach 300 billion yen in sales this year, and gives an updated ranking of the top 10 flavor and fragrance companies based on publicly available data.
Global Flavors and Fragrances Market Size Growth 2009-2018
According to Hasegawa, the global flavors and fragrances market will grow by nearly 6% this year compared to the previous year, with South America growing at the fastest compound annual growth rate of 8.1% from 2009 to 2018, Asia second at 4.5%, Europe, Africa and the Middle East third at 3.1%, and North America the slowest at 2.9%.
Global sales to reach 3 trillion yen by 2020.
Hasegawa expects the global flavors and fragrances market to reach 300 billion yen ($27.9 billion in contracts) in sales by 2020. The largest market, Europe, Africa and the Middle East, is expected to be about 1.1 trillion yen, and the third largest, North America, about 770 billion yen. In both regions, large companies in Europe and the United States have established a strong business base, as many manufacturers in need of flavor products have adopted a “preferred supplier” system.
The second largest global market for flavors and fragrances is Asia, with sales this year estimated at ¥890 billion. The most critical growth market is China, where many large flavor and fragrance companies have already developed operations.
South America is the smallest market, with sales this year estimated at ¥240 billion. Most flavors and fragrances are imported from North America and Mexico. Currently, the flavor and fragrance market in Brazil, where the economy is growing rapidly, is becoming increasingly competitive.
The latest ranking of the world’s top 10 flavor and fragrance companies
Hasegawa also gives the latest ranking of the top 10 flavor and fragrance companies, based on data released by each company. Swiss giant Chiverton successfully defended its title and ranked first, with sales of $6.156 billion in 2019 and a market share of 24.1%. This is followed by International Flavors and Fragrances (IFF), Finmiyi and others, with Hasegawa itself ranking 10th.
Note: Mann’s sales figures are from 2018.