Condiments certified as organic and non-G.M.O. are trending.
The size of the prize
The market for condiments and sauces, just one component of the market for flavors perceived as natural, reached $24 billion in 2016 and is projected to grow 1.5% annually through 2021, according to a report from the market research company Packaged Facts, Rockville, Md., titled “Condiments and sauces: U.S. retail market trends and opportunities.”
“The trend toward healthy eating has created challenges for marketers of sauces and condiments, as the perception that sauces and condiments are an unnecessary and unhealthy addition to many foods has made some consumers cut back on consumption,” said David Sprinkle, research director for Packaged Facts. “As a result, sauces and condiments are increasingly marketed as organic and healthy, with new options such as low-sodium or low-sugar varieties supporting restrictive diets.”
Sauce and condiment makers have developed more products that meet organic and non-G.M.O. requirements.
The macro trend driving the demand for natural flavors will be consumer demand for organic and non-G.M.O. ingredients and an increased focus on transparency, according to Packaged Facts. The report said that as consumers continue to avoid the artificial and opt for organic and non-G.M.O. options, sauce and condiment makers have developed more products that meet organic and non-G.M.O. requirements.
“Consumer fears about possible health risks of consuming artificial additives and genetically modified organisms have driven growth for sauces and condiments labeled as ‘natural,’ ‘organic,’ and ‘non-G.M.O.,” Packaged Facts said. “Food companies looking to satisfy this skeptical demographic have submitted products to certification groups such as the Non-GMO Project in record numbers.”