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Innovation and Strategic Alliances Come to the Rescue of Participants in Mature Brazilian Market for Food Emulsifiers, Finds Frost & Sullivan
Date:4/16/2009

ent, it is imperative for raw material producers to remain alert to these trends and adapt their production models effectively to maintain market competitiveness. Dietary food options have been proliferating across all market segments, particularly in the bakery, confectionary, and dairy sectors. Advances in research have made available new knowledge to circumvent the challenges associated with texture quality besides masking the lack of taste.

"The dietary food markets have been boosting the growth of the food industry and the increasing need for functionally diverse emulsifiers, and competitive market share retention strategies among the major participants have propelled the trend of innovation," says Frost & Sullivan Research Analyst Johanna Duenas.

The economic crisis has also reined in market development and companies do not expect high growth rates. In such a scenario, innovation holds the key to new opportunities. Participants must design adequate strategies to access new markets and determine the right combination of technology, cost minimization, and strategic alliances to ensure strong business momentum.

Novel technologies, which improve the application of emulsifiers, along with new product development, are regularly announced in the market. Consumers are also gravitating toward ready-to-eat food, which is tasty, easy to cook, and healthy in content. Emulsifiers are the ideal food additive that guarantees product texture and quality and are responsible for making these foods succeed. The manufacture of products such as ready-to-eat and functional yogurts will assist market growth.

"Although the market is experiencing low growth, niche segments such as special products, diets, and kosher are gaining popularity, and this should be leveraged by companies," explains Duenas. "The steady growth of the traditional food sectors, the compounded growth of the contemporary foods market, a
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SOURCE Frost & Sullivan
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