Global Food Safety Products Market Forecast to Reach $18 Billion in 2016

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World demand to rise 8.1% annually through 2016

World demand for food safety products is forecast to rise 8.1 percent per year to $18 billion in 2016. High profile international food borne illness outbreaks, in addition to large product recalls due to food safety concerns, will continue to fuel demand as the prevention, identification, and traceability of food contaminants will remain key issues for consumers, food industry participants, and legislators. Demand for food safety products will also be boosted by the adoption of more stringent food safety regulations in both developed and developing countries. Advances will further be supported by growth in food and beverage production and expansion in the food service industry, as food processing plants and food service establishments constitute the largest markets for food safety products.

Food processing plants to remain largest market

The food processing segment will continue to account for the majority of the overall market for food safety products. The largest share of demand will stem from the meat, dairy, and beverage industries. Raw meat is easily contaminated during slaughter and subsequent processing, necessitating extensive food safety measures. Dairy product manufacturers will use food safety advances to extend dairy product shelf life. Above average growth is expected in the organic dairy product industry. Gains in beverage applications will be fueled by continued investment in disinfection equipment to purify water supplies, particularly filtration, ultraviolet, and ozone equipment. Demand for food safety products in food service establishments will be supported by growth in the food service industry, especially the limited service segment, as consumers seek convenient and inexpensive food options.

Disinfection products to be largest segment

Disinfection products will remain the largest food safety product segment, representing about half of all demand through 2016. Demand for diagnostic testing products will benefit from an upsurge in the frequency of food plant inspections, in no small part due to increasingly strict food safety regulations worldwide. Demand for disposable gloves is also expected to advance rapidly, boosted by gains in food service applications, especially the fast growing quick service restaurant segment. Good opportunities will exist for smart labels and tags, driven by the rapid adoption of new smart label technology in food packaging and heightened emphasis on traceability in the food supply chain.

China to offer some of the best growth opportunities

The US will remain the world’s largest national user of food safety products by far, accounting for over one-fourth of the world market through the forecast period. However, the most rapid advances will occur in developing regions. Gains in Asia, the Africa/Mideast region, Eastern Europe, and Central and South America will all outpace the global average. China will continue to see some of the fastest growth in demand, due to mounting pressure to ensure the safety of the food supply following a number of food safety incidents. In the coming years, China will surpass Japan to become the world’s second largest food safety product market. Other countries such as India, Brazil, Russia, and Mexico will also see rapid increases in food safety product demand through 2016, but gains will stem from a much smaller base.

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Additional Information

This study analyzes the global market for food safety products. The topic is evaluated from the standpoint of product type (e.g., disinfection products, diagnostic products, and others including disposable gloves, smart labels and tags, and software and tracking systems) and market application (e.g., food processing plants; food service establishments; and others including farms; retail, wholesale, and distribution operations; and the government). Disinfection products include disinfectants and sanitizers, as well as disinfection equipment. Diagnostic products include test kits and reagents, as well as sensors and detectors, but not analytical instruments. Disposable gloves include plastic and rubber types. Smart label and tag demand is restricted to the labels and tags only; printing equipment and readers are not included. Likewise, software demand does not include computer equipment or other data input and output devices. Other products such as food additives and preservatives, hand soap, dish detergent, general purpose cleaners, dish washing equipment, refrigeration equipment, color coded utensils, and storage containers have all been excluded to better focus on the food safety products being covered.

For the purposes of this study, food safety product demand arising from milk and dairy product processing done on the farm is counted in the farm market. Similarly, testing done at grain silos has been counted at the farm level, rather than in distribution. In the food service market, disinfection equipment such as ovens and dishwashers are not included as they are considered integral to the business even from a non-food safety standpoint. The same is true of hand soap and dish washing detergents.

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