by Monosodium glutamate, commonly known as MSG, is a food additive and flavor enhancer used in various food products to enhance savory taste. MSG is an amino acid salt that enhances savory and meaty flavors in foods like soups, rice dishes, sauces, snacks, etc. It is used as a seasoning in Chinese, Japanese and Southeast Asian cuisine, and increasingly finding applications in Western processed foods as well.
The global Monosodium Glutamate market is estimated to be valued at US$ 5.91 Bn in 2023 and is expected to exhibit a CAGR of 4.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
Rising demand for savory flavors from packaged food industry is one of the key drivers for growth of the monosodium glutamate market over the forecast period. Manufacturers are increasingly using MSG in soups, sauces, snacks and other packaged foods to enhance their taste with minimum salt and fat. In addition, growing Asian cuisine restaurants globally has also driven the demand for MSG. It is an essential ingredient in Chinese and Japanese cuisine dishes. However, lack of awareness about safety of MSG consumption and misconceptions around its negative health effects can restrain the market growth. Nevertheless, manufacturers are conducting safety studies to prove its GRAS (generally recognized as safe) status, which can help overcome this restraint.
SWOT Analysis
Strength: Monosodium glutamate has a savory taste that enhances the flavors of food. MSG is very affordable and cost-effective compared to other flavor enhancers. The production process of MSG is relatively straightforward with raw materials widely available.
Weakness: Some consumers and health advocates argue that MSG can cause headaches and other adverse reactions in certain individuals. There are ongoing debates around the health effects of excessive MSG consumption. Producing MSG requires large amounts of energy and raw materials.
Opportunity: Growing demand for convenience food and ready meals presents an opportunity for MSG producers to expand sales. The rising health-conscious population also leads to increased demand for products labeled as “no added MSG”. Emerging markets in Asia Pacific and Central/South America represent new growth markets.
Threats: Growing popularity of clean label trends prompt some food companies to reduce MSG content or remove it altogether. Strict regulations can be imposed on food additive usage and daily intake limits. Economic downturns may negatively impact discretionary consumer spending on processed food.
Key Takeaways
The Global Monosodium Glutamate Market Size is expected to witness high growth. The Asia Pacific region currently dominates the MSG market with the largest production and consumption. China is the leading producer and exporter of MSG globally due to abundant raw material supplies and large processing facilities. Key players operating in the monosodium glutamate market are Ningxia Eppen Biotech Co., Ltd, Fufeng Group, Meihua Holdings Group Co., Ltd, Gremount International Co.,Ltd and Cargill Inc.
The Asia Pacific region represents over 60% of the global MSG market share and the dominance is expected to continue going forward. China, Japan, South Korea and Southeast Asian nations are major consumers and producers. North America and Europe are relatively mature MSG markets while Central/South America and the Middle East & Africa are emerging as high potential regions.
Key players operating in the monosodium glutamate market are focusing on capacity expansions and new product innovations to meet rising demand. Ningxia Eppen Biotech Co., Ltd is one of the largest MSG producers in China. Fufeng Group is another major Chinese company active in fermentation-based food ingredients production. Meihua Holdings Group Co., Ltd is a leading MSG exporter from China. Gremount International Co.,Ltd produces MSG through various manufacturing facilities globally. Cargill Inc. markets seasonings and food solutions to foodservice and retail channels worldwide.
Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
