Latin America Starter Culture Market

Latin America Starter Culture Market Research Analysis 2022 - 2027:

The Latin America Starter Culture Market was expected at USD x.xx billion in 2021 and is anticipated to reach USD x.xx billion, recording a CAGR of x.xx% throughout the foreseen period (2022 - 2027).

The starter culture is considered as the presence of microorganisms in activated or deactivated mode that can be in the forms of dry and liquid. It is used to improve the chemical and physical properties of the product that will undergo the fermentation processes. Bio-preservation is the most cost-effective and popular food preservation and processing process. Starter cultures improve the texture, color and taste of alcoholic and non-alcoholic drinks. Starter culture is widely used in a number of beverage preservation techniques, such as fermentation process, drying, high or low temperature processing, salting and other advanced and sophisticated preservation techniques, including high pressure radiation process and pulsed electric field technology.

Recent Developments

Danisco is an international producer of food ingredients that is based in Denmark that develops and produces food ingredients, sweeteners and sugar and is present in about 40 countries.

Royal DSM, based in the Netherlands, has signed an agreement to acquire a 100% stake in specialty dairy solutions provider Koninklijke CSK Food Enrichment (CSK) for a cash consideration of approximately € 150 million.

DuPont Nutrition & Health will invest $ 60 million in the expansion of dairy production plants in France and Germany. The investment responds to a growing demand for frozen and frozen starter cultures from global freshly fermented yogurt and cheese markets said today in a statement. The factories are located in Sassenage in the south-east of France, in Epernon in the north of France and in Niebüll in Germany located near the Danish border.

Market Drivers and Restraints:

The Market for starter culture in Latin America is expected to show appreciable growth during the forecast period due to increasing demand for alcoholic and non-alcoholic beverages. Increased health awareness regarding the benefits of starter cultivation is expected to help the market grow rapidly. Alcoholic beverages have dominated the starter culture market in recent years. Soft drinks are expected to offer the highest growth rate during the forecast period. Starter yeast culture dominates the alcoholic beverage segment, while bacteria are widely used for non-alcoholic beverages such as dairy products. Additionally, technological advancements in the starter culture industry, such as genetically modified starter crops, are expected to complement the growth of the Latin American market. Strict regulations on microorganisms and their growing conditions are expected to challenge the local market during the forecast period. Volatility in commodity prices is also expected to further slow market growth. The growing demand for functional beverages together with premium nutritional and ready-to-drink beverages provide the necessary opportunities for the market. Improvements in production processes, as well as technological advances, should provide opportunities for market players.

Market Segmentation:

The Latin America starter culture market is segmented based on application, product type, and geography. The application segment of the market is classified into non-alcoholic beverages and alcoholic beverages. Alcoholic beverages have the largest market share, while non-alcoholic beverages show considerable growth in the market. Based on product type, the market is divided into mold, yeast, and bacteria.

Impact of COVID-19 on Latin America Starter Culture Market:

COVID-19 will continue to impact the food industry and its supply chains. Meeting short-term demands shouldn't be a major challenge for most companies in the food industry, but industry experts and analysts have expressed a lack of clarity on the degree and extent of the impact sprouts. Due to this uncertainty, the F&B sector experienced delays in the supply of products. Many companies have launched contingency plans to build in-depth supply chain facilities across the country. Food retailers remain committed to preserving local supplies to combat the danger of interregional transportation bans. Food manufacturers with services in other countries have begun working with local suppliers to keep products moving and overcome potential ingredient shortages. There will surely be lasting changes in the way we live, work, and eat after we overcome the Corona virus pandemic. The F&B culture will face new challenges, such as recovering from losses and a preference for ordering food online. Additionally, condensed traffic to hotels will have an understandable cascading effect on returns to the food and beverage industry, affecting the entire hotel ecosystem.

Regional Analysis:

The Latin America Starter Culture market has been divided by region into Mexico, Brazil, Peru, Chile, and the rest of the Latin America. The developing nations in Latin America, such as Mexico, are contributing majorly to the growth of this market. Key companies involved in the starter crop market are continually investing in new technologies for the production of starter crops in order to increase efficiency and reduce the time required. Soda makers are drawn to startup culture because of its benefits, so they focus on entering and investing in this market.

Leading Company

SK Food Enrichment B.V had the largest share of the Latin America Starter Culture Market in terms of sales revenue in 2019.

Key Players

Key players in the Latin America Starter Culture Market include Chr. Hansen A/S., CSK Food Enrichment B.V., Lesaffre Group, Lallemand Inc, LB Bulgaricum Plc, Wyeast Laboratories Inc., Danisco A/S, Lactina Ltd., and Angel Yeast Co. Ltd.