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Sep 12, 2006

Spices and Seasonings to Grow as Consumers Seek Ethnic

PrintSpices and Seasonings to Grow as Consumers Seek Ethnic  

By Other
Spices and seasonings are slowly gaining popularity in the US, as once finicky consumers are warming to the increased ethnic diversity of foods and flavors, reveals a new report by Packaged Facts.

The report, entitled Spices and Seasonings in the US, and seen on FoodNavigatorUSA.com, examines four primary categories including spices; salts or salt substitutes; extracts, flavorings or food coloring; and pepper.

The movement towards more global flavor trends has resulted in market growth of 1.3 percent since 2004, to reach a total value of $2.9 billion in 2005. And the market is expected to grow at a steady pace, according to Packaged Facts.

But although the market is not expected to experience lightening growth, it is forecast to cross the $3 billion mark in 2009, and climb to $3.8 billion in 2010, fueled by increased home cooking and a growing number of more adventurous consumers.

However, in 2005, the only category to experience growth was the spice sector, which tracked sales reaching $1.1 billion. Spices currently account for the largest share of the market, with an almost two-thirds share in 2005.

Salt, seasoned salt, and salt substitutes come in as the next largest category, holding 14.3 percent of the market. Extracts, flavorings and food colorings have an 11.5 percent market share, while pepper holds 8.2 percent of the market. All three categories saw a “slight decline” in 2005, said the report.

And as consumers indulge in flavor experimentation, they are more likely to be willing to pay premium prices for premium products. According to the report, of the 236 products introduced in 2005, 136 were tagged ‘upscale’ and 46 were tagged ‘gourmet’.

A general interest in natural and organic products has also spread to this market, with 90 new products labeled ‘natural’ and 31 claiming they were made with ‘organic’ ingredients.

According to a Simmons Market Research Bureau survey in 2005, around 87 percent of the U.S. population currently uses spices. And Packaged Facts revealed that young males are the most likely to warm to spices, while African-Americans and people from the Southwest also indicated a preference for spicier food. And because spices evoke images of buffalo wings and beer, college students also weigh in high, said the report.







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