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Flavors & Fragrances US outlook for Flavors & Fragrances with forecasts to 2005 and 2010 New study finds: • Demand for flavors and fragrances in the US is forecast to grow 4.6 percent per annum (including price increases) to $5 billion in 2005 • Essential oils will record the fastest growth, with increases spurred by customer preferences for natural ingredients in food, beverage and personal care products • Six companies -- International Flavors & Fragrances, Givauden, Quest (Imperial Chemical Industries), Haarmann & Reimer (Bayer), Firmenich and Sensient -- controlled more than half of the total US market in 2000 Freedonia Industry Study #1481 Study Publication Date: October 2001 Price: $3,700 Flavors & Fragrances Pages: 237 Flavors & Fragrances, a new study from The Freedonia Group, provides you with an in-depth analysis of major trends in the industry and the outlook for product seg- ments and major markets -- critical information to help you with strategic planning. This brochure gives you an indication of the scope, depth and value of Freedonia's new study, Flavors & Fragrances. Ordering information is included on the back page of the brochure. Brochure Table of Contents Study Highlights ............................................................................... 2 Table of Contents and List of Tables and Charts ............................. 4 Sample Pages and Sample Tables from: Market Environment .................................................... 6 Products ....................................................................... 7 Markets........................................................................ 8 Industry Structure ........................................................ 9 Company Profiles ...................................................... 10 List of Companies Profiled ........................................ 11 Forecasting Methodology ............................................................... 12 About the Company ....................................................................... 13 Advantages of Freedonia Reports ................................................... 13 About Our Customers .................................................................... 14 Other Titles From Freedonia ......................................................... 15 Ordering Information..................................................................... 16 Study Highlights • Demand for flavors and fragrances in the US is forecast to grow 4.6 percent per annum (including price increases) to $5 billion in 2005. • Flavor blends will remain the largest segment of the flavors and fragrances market, with 36 percent of total demand in 2005. Fragrance blends are expected to post faster gains and nearly overtake flavor blends by 2005 due to strong growth in skin care cosmeceuticals and other cosmetic and toiletry applications. • Essential oils will record the fastest growth, with increases spurred by customer preferences for natural ingredients in food, beverage and personal care products. • Alternative beverages, including soy-based, nutraceutical, energy and other New Age drinks, represent the fastest growth market for flavors, spurred by the constant quest for new and innovative flavors, and the need for elevated flavor levels to mask the unpleasant taste of botanical and other additives. • Six companies -- International Flavors & Fragrances, Givauden, Quest (Imperial Chemical Industries), Haarmann & Reimer (Bayer), Firmenich and Sensient -- controlled more than half of the total US market in 2000. * Flavor enhancers, artificial and natural sweeteners and spices are not included in the scope of this study. Flavors & Fragrances #1481 Freedonia Industry Study 2 Study Highlights US Flavors & Fragrances Demand, 2000 Flavor Blends 36.4% Fragrance Blends Essential Oils 34.5% 13.6% Aroma Chemicals 15.5% US Flavors & Fragrances Demand (million dollars) % Annual Growth Item 1995 2000 2005 2010 00/95 05/00 US Resident Population (mil) 266.2 282.3 298.8 315.4 1.2 1.1 lbs F&F/capita 1.01 1.13 1.22 1.30 -- -- SUMMARY TABLE Flavors & Fragrances (mil lb) 270 320 365 410 3.5 2.7 $/lb 11.34 12.44 13.68 15.17 1.9 1.9 Flavors & Fragrances Demand 3063 3980 4995 6220 5.4 4.6 Flavor Blends 1170 1450 1775 2160 4.4 4.1 Fragrance Blends 980 1375 1765 2225 7.0 5.1 Aroma Chemicals 495 615 755 925 4.4 4.2 Essential Oils 418 540 700 910 5.3 5.3 © Copyright by The Freedonia Group, Inc. Flavors & Fragrances #1481 Order form on last page 3 List of Contents, Industry Overview ...................................................... 30 Table - Food Shipments ........................................... 32 Tables and Charts Flavor Demand ........................................................... 33 Table - Food: Flavor Demand .................................. 34 Processed Foods ....................................................... 35 Table - Processed Foods: Flavor Demand ............... 37 Bakery Products ....................................................... 37 I. EXECUTIVE SUMMARY Table - Bakery Products: Flavor Demand .............. 39 Summary Table ..............................................................3 Dairy Products ......................................................... 39 Table - Dairy Products: Flavor Demand ................ 41 II. MARKET ENVIRONMENT Candy & Confectionery .......................................... 41 General ..............................................................................4 Table - Candy & Confectionery Products: Macroeconomic Outlook ....................................................4 Flavor Demand .................................................. 43 Table - Macroeconomic Indicators ...................................7 Other Foods ............................................................ 43 Consumer Spending Outlook .............................................7 Table - Other Foods: Flavor Demand .................... 45 Table - Consumer Expenditures & Income .....................9 Cosmetics & Toiletries .................................................... 46 Demographics ....................................................................9 Industry Overview ...................................................... 46 Table - Population & Households ................................ 11 Table - Cosmetics & Toiletries Shipments ................. 48 Pricing Issues .................................................................. 11 Flavor & Fragrance Demand ........................................ 49 Table - Flavors & Fragrances Pricing Trends ................. 13 Table - Cosmetics & Toiletries: Environmental & Regulatory Considerations ................... 14 Flavor & Fragrance Demand .................................. 50 Technology .................................................................... 16 Perfumes & Colognes .............................................. 50 International Activity ...................................................... 19 Table - Perfume & Cologne: Fragrance Demand ... 52 Foreign Trade ................................................................. 20 Skin Care Products ................................................... 53 Table - US Flavor & Fragrance Supply & Demand ...... 22 Table - Skin Care Products: Fragrance Demand ..... 55 Exports ....................................................................... 22 Other ...................................................................... 55 Chart - US Flavor & Fragrance Exports Table - Other Cosmetics & Toiletries: by Destination, 2000 ............................................. 23 Flavor & Fragrance Demand ............................... 57 Imports ....................................................................... 23 Soaps & Detergents ......................................................... 57 Chart - US Flavor & Fragrance Imports Industry Overview ...................................................... 58 by Origin, 2000 .................................................... 25 Table - Soaps & Detergents Shipments ..................... 60 Fragrance Demand ...................................................... 61 III FLAVORS & FRAGRANCES BY MARKET Table - Soaps & Detergents: Fragrance Demand ....... 62 General ........................................................................... 26 Laundry Detergents ................................................. 63 Table - Flavor & Fragrance Demand by Market ............ 28 Table - Laundry Detergents: Fragrance Demand ... 65 Chart - Flavor & Fragrance Demand by Market, 2000 ... 28 Personal Soaps ......................................................... 65 Food ........................................................................... 29 Table - Personal Soaps: Fragrance Demand ............ 67 Flavors & Fragrances #1481 Freedonia Industry Study 4 Dishwashing Detergents & Other Cleaners ............... 68 Table - Fragrance Blends Demand ............................. 106 Table - Dishwashing Detergents & Other Cleaners: Aroma Chemicals .......................................................... 106 Fragrance Demand ............................................. 70 Table - Aroma Chemicals Demand by Class & Type .. 110 Beverages ........................................................................ 70 Terpenoids ................................................................ 110 Industry Overview ...................................................... 71 Benzenoids ................................................................ 112 Table - Beverage Shipments ....................................
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