Accelerating spending on healthy, yet tasty and convenient food is the key driver of the global food encapsulation market. Other prominent applications of food encapsulation include confectionary items such as candies and chewing gums. In a report, titled “Food Encapsulation Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2013 – 2019,” Transparency Market Research (TMR) presents insights into the growth drivers and restraints influencing the market’s trajectory.

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Changing lifestyle has led to diversification in food items, which has translated into opportunities for the companies in the food encapsulation industry to launch functional foods. Functional foods and processed variants of fresh foods come with special disease prevention properties. The demand for functional foods has considerably increased in the past few years as they provide essential nutrients hence, their demand is significantly high among the health conscious population. This in turn is creating growth opportunities for the global food encapsulation market.

The market is also expected to gain from the demand for preservation techniques such as hybrid, nanoencapsulation and microencapsulation, which have seemingly altered the food encapsulation industry. Owing to the flexibility, versatility, and cost-effectiveness it offers, the microencapsulation is largely preferred over other techniques.

On the flip side, maintaining stability of encapsulated food during packaging and processing poses significant challenge to the market. Besides this, the high cost of the process is also hindering its widespread uptake across the food and beverages industry. Nevertheless, the rising demand for fresh and flavor food with longer shelf-life will create opportunities for the market. The global food encapsulation market is also expected to gain from the rising demand for fresh and convenient food across emerging economies.

North America currently holds the leading share in the global food encapsulation market, followed by Europe. The U.S. has emerged as a highly lucrative market for food encapsulation in North America. Besides this, the market is also expected to witness rising demand from emerging economies such as India and China.

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These developing countries exhibit attractive prospects for the leading players in the global food encapsulation market. The companies are currently aiming to expand their footprint by establishing their facilities across emerging nations. The market in developing nations is also gaining from favorable government initiatives aimed at increasing the consumption of functional food in their countries in order to eradicate malnutrition.

Some of the key players operating in the market are Advanced BioNutrition Corporation, ABCO Laboratories Inc, Balchem Corporation, Aveka Group, Microencapsulation, Cargill Inc, Encapsys Coating Place Inc, Blue California, Firmenich Inc, FrieslandCampina Kievit, and GAT Food Essentials GmbH.