The Australia food additives market size is expected to grow at a CAGR of 3.50% between 2026 and 2035.
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Historical Period
Forecast Period
According to data from the Australia Institute of Health and Welfare, around 1.3 million Australians, or 1 in 20, had diabetes in 2021. Studies suggest sucralose has little impact on carbohydrate metabolism and insulin secretion. Regulatory bodies like the FDA and WHO are actively involved in establishing common safety standards for food additives, promoting ingredient trading.
Australia's economy experienced robust 4% real growth in 2021, with an average annual expansion of 2.3% anticipated in the medium term. Inflation is forecasted to remain stable at 2.7% for 2022.
Australia witnessed a substantial 37% increase in merchandise exports and a 21.6% rise in imports, Australia maintained its position as a net goods exporter. However, foreign direct investment witnessed a decline in 2020, resulting in FDI intensity reaching 1.5% of GDP.
Compound Annual Growth Rate
3.5%
2026-2035
*this image is indicative*
The food additives market in Australia is being propelled by the expansion of the processed food sector and the increasing presence of organised retail. With growing incomes, a busy workforce, and hectic lifestyles, consumers are gravitating towards convenience foods. However, heightened awareness regarding the adverse effects of chemical additives is prompting the food and beverage industry to adopt natural alternatives. Additionally, the prevalence of diabetes in Australia has driven the demand for alternative sweeteners like sucralose. Despite concerns, studies indicate limited adverse effects of sucralose on factors like carbohydrate metabolism and insulin secretion, making it a popular choice for food manufacturers and consumers alike. The sucralose market is expected to grow further due to substantial price reductions driven by international supply surges.
Consumers' increasing demand for transparency in product labelling has fuelled the growth of the clean-label ingredient market. Concerns over the long-term health effects and environmental sustainability have shifted preferences towards natural ingredients. Regulatory bodies like the FDA and WHO play a crucial role in establishing safety standards, facilitating international trade.
Preservatives are vital in beverages to maintain taste, colour, and prevent spoilage. The use of chemical preservatives varies based on beverage type and microbial environment. Common additives include flavours, colours, sweeteners like high fructose corn syrup, and enzymes, widely used in brewing for malt separation and beer filtration. Brewers are exploring innovative flavours, while winemakers are introducing new varieties to appeal to consumers.
The rising health consciousness has driven demand for natural sweeteners like Stevia in beverages. Stevia offers numerous benefits such as zero calories, natural origin, tooth-friendly properties, and stability across various conditions. Its rapid adoption in the beverage market underscores its appeal and versatility thus, driving the Australia food additives market development.
"Australia Food Additives Market Report and Forecast 2026-2035" offers a detailed analysis of the market based on the following segments:
Market Breakup by Type
Market Breakup by Source
Market Breakup by Application
Market Breakup by Region
Key players in the food additives in Australia develop, manufacture, and provide products aiding the end-users with higher quality and improved tastes.
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The market is projected to grow at a CAGR of 3.50% between 2026 and 2035.
The market is categorised according to its source, which includes natural and synthetic.
The key market players are ADM Trading Australia Pty Ltd., BASF SE, Corbion NV, Kerry Group plc, Ingredion ANZ Pty Ltd., Cargill Australia Limited, Chr. Hansen Holding A/S, and others.
The market is driven by factors that include increasing investments in the food and beverages industry, rising demand for convenience food, among others.
The market is categorised according to its application, which includes beverages, bakery and confectionery, dairy products, meat products, frozen products, and others.
Common food additives like emulsifiers, flavour enhancers, preservatives, food acids, colourings, and raising agents play vital roles in enhancing taste, appearance, and shelf life, integral to food production and quality.
FSANZ approves food additives permitted in Australian foods. All additives undergo thorough safety assessments, including rigorous testing, before receiving approval, ensuring adherence to stringent standards for consumer protection.
Traditional Australian fare includes chicken parmigiana, barbecued snags (sausages), lamingtons, and burgers with 'the lot'. These iconic dishes reflect a blend of international influences, entrenched in the country's culinary culture.
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| REPORT FEATURES | DETAILS |
| Base Year | 2025 |
| Historical Period | 2019-2025 |
| Forecast Period | 2026-2035 |
| Scope of the Report |
Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment:
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| Breakup by Type |
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| Breakup by Source |
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| Breakup by Application |
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| Breakup by Region |
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