Food Inclusions Market Size, Growth, and Trends 2025 to 2034

Food Inclusions Market Size, Share and Demand

The global food inclusions market size reached at USD 14.82 billion in 2024 and is anticipated to increase from USD 15.61 billion in 2025 to an estimated USD 24.84 billion by 2034, witnessing a CAGR of 5.3% during the forecast period from 2025 to 2034. The food inclusions market is driven by the increasing consumer demand for premium products with new textures and flavors.

Key Highlights

• By region, North America dominated the global food inclusions market revenue of 40% in 2024.
• By region, Asia Pacific is expected to grow an 8% CAGR during the forecast period.
• By region, Europe is expected to grow at a notable rate during the forecast period.
• By type, the chocolate inclusions segment held a major market share of 48.5% in 2024.
• By type, the fruit & nut inclusions segment is projected to grow at a 7% CAGR between 2025 and 2034.
• By form, the solid form segment held a major market revenue of 68.9% in 2024.
• By form, the liquid form segment is projected to grow at a 7% CAGR between 2025 and 2034.
• By application, the bakery and confectionery segment held a major market share of 43.3% in 2024.
• By application, the dairy and frozen desserts segment is projected to grow at a steady growth rate of 7.2% between 2025 and 2034.
• By distribution channel, the B2B segment held a major market share of 72.3% in 2024.
• By distribution channel, the B2C segment is projected to grow steadily at a 7.3% CAGR between 2025 and 2034.

Industry Coverage

What is the Food Inclusions Market?

The food inclusions market refers to ingredients added to food and beverage products to enhance flavor, texture, color, and appearance. These inclusions include chocolate chips, fruit pieces, nuts, candies, and cereals used in bakery, dairy, confectionery, snacks, and beverages. They improve sensory appeal, nutritional value, and product differentiation. The market’s growth is driven by rising demand for premium, customized, and clean label products, alongside innovation in natural and functional inclusions for health-conscious consumers worldwide.

The food inclusions market growth is driven by the rising innovation in the dairy, bakery and confectionery, increasing consumer awareness of nutritional and functional benefits, and increasing demand for value-added and convenience products. In addition, rising technological advancements in food processing, rising popularity of clean-label and healthy options and increasing consumer demand for artisanal and premium products are further expected to drive the market growth during the forecast period.

Industrial Sugar Market Outlook

• Industry Growth Overview: Between 2025 and 2030, the food inclusions industry is expected to see rapid growth due to the increasing demand for diverse flavors and textures in processed foods, especially dairy, confectionery, and bakery products, technological advancements in food processing and increasing consumer preference towards clean-label, premium and artisanal products. In addition, the market growth for food inclusions is also driven by the increasing consumer preference towards organic and natural food products, increasing demand for ready-to-eat foods and on-the-go snacks and the expansion of the food and beverage industry, especially in Asia-Pacific, Europe, and North America.
• Increasing consumer preference towards sustainability: The preference towards sustainability in the food inclusions industry is driven by increasing consumer demand for natural and healthy products and includes factors such as reduced environmental impact, clean-label production and ethically sourced ingredients. Various companies are focusing on waste reduction, supply chain transparency and using food inclusions that provide nutritional advantages, includes nuts and seeds. In addition, there is also increasing preference for products with natural and sustainable ingredients, motivating manufacturers to provide more clean-label food inclusions with no chemical or artificial components, which expected to increase the preference towards sustainability.
• Startup Ecosystem: Startup ecosystems' preferences in the global food inclusions market is driven by the increasing consumer preference towards sustainability, increasing consumer demand for processed and plant-based food and beverages due to urbanization and rapid industrialization. The rise of health awareness, increasing demand for alternative proteins, supply chain optimization and precision agriculture and increasing focus on personalized nutrition and functional ingredients of advanced technologies such as IoT and AI in the supply chain, which further expected to drive the market growth.

Key Technological Shift in Food Inclusions Market

The rise of technological advancements in the food inclusions industry is focusing on improving functionality, stability and quality, driven by innovations such as 3D printing, microencapsulation, and freeze-drying. These technologies enable customization to address consumer demands for plant-based, natural and healthier options and help create products with enhanced shelf-life, flavor and texture. In addition, IoT integration, advanced sensors, and AI-based tools are ensuring food safety and quality and streamlining product development throughout the supply chain, which further expected to further revolutionize the growth of the food inclusions market in the coming years.

Trade Analysis of Food Inclusions Market: Import & Export Statistics

• International trade in processed food and agri-food products is substantial: for example, the United Nations Conference on Trade and Development (UNCTAD) reports that world merchandise exports reached about USD 24.9 trillion in 2022. 
• The trade-statistics resource from the International Trade Centre (ITC) provides databases for trade flows by product group and country, which means that with additional effort one could extract proxy HS-codes for food inclusions.
• Exporters in countries with large processed-food or confectionery manufacturing (e.g., Europe or North America) are likely to account for a significant share of global food inclusion trade, although country-specific values are hard to isolate.
• Importers include countries with growing bakery, snack and confectionery sectors in Asia-Pacific, Latin America and Africa, which suggests strong potential trade growth in those regions. The underlying global market size growth supports that direction.

Value Chain Analysis of the Food Inclusions Market

Raw Material Procurement

• Raw material procurement involves purchasing, evaluating and preparing natural, plant-based and processed ingredients such as fruit pieces, nuts, chocolate, grains, cereals and clean-label additives. This stage requires strict quality control, allergen management and consistency in flavour, colour and texture to meet food industry standards. Suppliers often perform pre-processing steps such as drying, cutting, roasting or stabilising to ensure the ingredients can be efficiently incorporated into bakery, confectionery, dairy, and snack products.
• Key Players: Olam Group, Barry Callebaut, Archer Daniels Midland (ADM), Kerry Group, Tate & Lyle, AGRANA.

Packaging and Branding

• Packaging and branding focus on using food-grade, protective materials that maintain product freshness and stability by shielding inclusions from moisture, oxygen and light. Manufacturers often use laminated films, sealed pouches, nitrogen-flushed bags and rigid containers to preserve sensitive textures and prevent contamination. Clear branding and regulatory-compliant labels help communicate quality claims, clean-label attributes, allergen warnings and traceability, which are increasingly important to industrial buyers.
• Key Players: Amcor, Berry Global, Sealed Air, Huhtamaki, Sonoco Products Company.

Waste Management and Recycling

• Waste management involves handling rejected batches, leftover raw materials, and byproducts such as sweeteners, flavours, and nutrient mixes that arise during production. Many producers recycle usable components into secondary products or convert organic residues into animal feed or energy, thereby reducing waste. Improved recycling systems and resource efficiency contribute to cost savings and support sustainability commitments across the value chain.
• Key Players: Veolia, Suez, Waste Management Inc., Covanta, Clean Harbors.

Food Inclusions Industry’s Regulatory Landscape: Global Regulations

Food Inclusions Market Regional Insights

Why is North America Dominating the Food Inclusions Market?

North America dominated the global market revenue in 2024. The market growth in the region is witnessing rapid growth, driven by the demand for plant-based, clean-label and sustainable food products in the food and beverage industry. Major factors such as the increasing applications in alternative baked goods, snacks and convenience foods and increasing demand for frozen food and increasing consumer demand for dairy products. The U.S. and Canada are the major drivers of market growth.

The U.S. Food Inclusions Market Trends

The U.S. dominated to global market revenue, with demand driven by the popularity of frozen and processed goods, clean-label products, increasing use of dairy alternatives, increasing consumer focus on health and wellness, and increasing demand for sustainable and plant-based products such as dairy and bakery and snacks.

Asia Pacific is Expected to Grow at an 8% CAGR During the Forecast Period. 

The global market growth in the region is attributed to the factors such as increasing applications in the food and beverage, increasing awareness of health and environmental benefits, rising technological advancements in protein engineering, increasing consumer demand for plant-based, natural and sustainable ingredients, increasing significant investment in the food industry, increasing demand for alternative food products and increasing demand for dairy alternatives such as cheese, ice cream, snacks and milk. China, India, Japan and South Korea are the fastest-growing countries driving the market growth.

India Food Inclusions Market Trends

India is expected to grow fastest during the forecast period. The global food inclusions industry in India is growing rapidly, driven by increasing demand dairy alternatives and natural products, increasing government supportive initiatives, expansion of food and beverage industry, increasing consumer popularity of sustainable and natural ingredients and increasing demand for frozen desserts, frozen foods and ready-to-eat meals.

Europe is Expected to Grow at a Notable Rate During the Forecast Period.

The global food inclusions market is driven by the increasing demand for natural and healthier products for its nutritional products, increasing growth of the well-developed food and beverage industry, increasing demand for processed and frozen goods, technological advancements, increasing food safety regulations and increasing demand for processed food, bakery and confectionery. The UK, Germany and France are the major countries driving the market growth.

Germany Food Inclusions Market Trends

The food inclusions industry in Germany is driven by growing consumer interest in plant-based, vegan and gluten-free diets, which has increased demand for clean-label and naturally sourced ingredients. Technological progress in protein engineering, extrusion and ingredient processing is enabling manufacturers to create inclusions with improved texture, stability and nutritional value. German consumers also show a strong appetite for new flavour profiles and multisensory eating experiences, which supports the rise of textured inclusions in bakery, confectionery, dairy and snack products. This sustained focus on natural, functional and texture-rich ingredients continues to shape innovation and market expansion across the country.

Latin America Food Inclusions Market Trends

The market growth in the region is driven by the increasing large consumer base, growing rapid urbanization, growing food and beverage, increasing use of protein in alternative ingredients, increasing consumer preference in sustainable food ingredient and confectionery, expanding food and beverage industry, increasing consumer preference towards vegan and gluten-free options, increasing need for greater regulatory support and increasing consumer preference for natural, plant-based and healthier options. Brazil, Mexico and Argentina are the major countries driving the market growth.

Mexico Food Inclusions Market Trends

The market growth in the country is driven by increasing demand for sustainable and alternative food options and expanding food and beverage industries, especially convenience and frozen foods. Other factors such as the growing fermentation applications in food and beverages and growing strong food processing industry, rising technological advancements in inclusions and increasing demand for baked goods and snacks.

Middle East and Africa Is a Significant Region in the Market in 2024

The food inclusions market growth in the region is driven by factors such as increasing support from private and government initiatives, increasing investment in efficiency improvements and food processing industry, increasing use of fermentation in various industries, increasing need to improve cold chain logistics for foods, increasing disposable incomes, growing food and beverage industry and rising rapid urbanization. South Africa, UAE, Saudi Arabia and Kuwait are the major countries driving the market growth.

South Africa Food Inclusions Market Trends

The food and beverage industry is the largest consumer in the country, driven by increasing consumer demand for premium and healthier options such as confectioneries, dairy and bakery items, increasing consumer trend towards nutrient-rich additions such as nuts and fruits, rising investment in research and development activities, increasing versatility in baking and sweets and increasing demand for plant-based protein in food and beverages.

Segmental Insights

Type Insights

Why is the Chocolate Inclusions Segment Dominating the Food Inclusions Market?

The chocolate inclusions segment dominated the global market, accounting for 48.5% of revenue in 2024. Chocolate inclusions play an important role in the food inclusions industry as they drive demand for high-quality products by improving visual appeal, adding rich texture and enhancing flavor. Their versatility enables them to be used across a huge range of products across the globe, such as desserts, snacks and baked products. In addition, chocolate inclusions offer intense, creamy and rich flavors and improve the overall texture and taste of food products that enhance consumer satisfaction.

The Fruit & Nut Inclusions Segment is Expected to Grow Fastest 7% CAGR During the Forecast Period. 

Segment growth in the food inclusions market is driven by the increasing popularity of functional and plant-based foods, technological advancements, the growth of processed foods such as baked goods and snacks, the focus on clean label ingredients, and consumer demand for premium, convenient, and healthy products.

The cereal inclusions segment is expected to grow at a notable rate during the forecast period. The segment growth in the global market is attributed to the increasing demand for convenience food, such as bakery products, snack bars and breakfast cereals, rising innovation in textures and flavors, increasing demand for functional, health and convenience foods and increasing consumer preference towards artisanal and premium products.

Form Insights

How is Solid Form Segment Dominating the Food Inclusions Market?

The solid form segment dominated the global market, accounting for 68.9% of revenue in 2024. The solid form plays an important role in the food inclusions industry as it provides visual appeal, flavor and texture to a huge variety of products. Solid inclusions such as pieces, flakes, chips and nuts are necessary for adding sensory qualities, catering to consumer demand for indulgent and premium foods and offering stability during food processing.

The Liquid Form Segment is Expected to Grow Fastest During the Forecast Period.

The liquid form of food inclusions expanded application versatility compared to solid forms and offers unique functional properties. Its primary presence lies in providing essential smooth texture, flavor distribution and essential moisture in various food products. Liquid inclusions, including flavor extracts, chocolate drizzles, syrups and fruit juices, are crucial in products such as beverages, yogurt and ice-cream, where seamless integration and flow are needed, which further drives the segment growth.

Application Insights

What Factors Help Bakery and Confectionery Segment to Grow in 2024?

The bakery and confectionery segment dominated the global food inclusions market by having 43.3% of revenue in 2024. The segment growth in the global market is driven by the increasing demand for consumer desire for enhanced visual appeal, texture and flavor. Inclusions such as fruits, nuts and chocolate chips are necessary for creating functional, premium and unique products, and they a major segment for product innovation and market growth. Manufacturers are rapidly adopting inclusions to deliver functional benefits, such as fiber-packed grains or protein-enriched crisps, further driving segment growth.

The Dairy and Frozen Desserts Segment is Expected to Grow at a 7.2% CAGR During the Forecast Period. 

The segment growth in the food inclusions market is driven by the rising innovation in inclusions such as nuts, fruit and cookie dough, increasing consumer trend towards plant-based, clean-label and healthier options, increasing demand for innovative and premium products, enhance texture and flavor. Dairy and frozen dessert help create a more engaging eating experience and add flavor and texture complexity that enhance the product from basic to premium indulgence.

The beverages segment is expected to grow at a notable rate during the forecast period. The segment growth in the food inclusions market is driven by the increasing demand for convenient and new products, rising urbanization, increasing disposable incomes, increasing demand for clean-label, plant-based and natural ingredients and increasing consumer awareness towards health and wellness.

Distribution Channel Insights

Why is B2B Segment is Dominating the Food Inclusions Market?

The B2B segment dominated the global market, accounting for 72.3% of revenue in 2024. The B2B distribution channel offers major benefits in the food inclusions industry by providing valuable data-driven insights, expanding market reach, reducing operational costs, and increasing efficiency. This approach enhances the supply chains and helps meet the demands of digitally native and modern buyers. In addition, B2B platforms automate the inventory, invoicing, and ordering management processes, which minimizes administrative burdens and manual errors.

The B2C Segment is Expected to Grow at a 7.3% CAGR During the Forecast Period. 

The B2C channel offers major benefits in the food inclusions market by allowing for greater control over the sales process and data, fostering brand loyalty and enabling direct customer engagement. The B2C channel also increased market accessibility, improved flexibility, enhanced brand building, and strengthened direct customer relationships and insights, which are expected to further drive market growth.

Recent Developments in the Food Inclusions Market

The Ministry of Statistics and Program Implementation (MoSPI)

• Launch: In October 2025, The Ministry of Statistics and Program Implementation (MoSPI) has come out with a second discussion paper seeking feedback on the inclusion of food items distributed free of cost through the public distribution system (PDS) in the proposed new consumer price index (CPI) series. (Source: Business Standard)

Top Vendors in Food Inclusions Market & Their Offerings:

• Cargill, Incorporated - Cargill supplies a wide range of food inclusions such as chocolate pieces, fruit particulates, nuts, seeds, and flavored clusters. The company focuses on customizable textures and natural ingredient options for bakery, dairy, snacks, and confectionery applications.
• Barry Callebaut AG - Barry Callebaut manufactures premium chocolate and cocoa based inclusions including chips, chunks, shavings, curls, and customized shapes. Its inclusion solutions are widely used in ice cream, bakery, confectionery, and dessert products.
• Kerry Group plc - Kerry produces a diverse portfolio of inclusions such as flavored crisps, chocolate drops, cookie pieces, and fruit particulates. The company emphasizes clean label, texture focused, and functional inclusion systems for global food manufacturers.
• Archer Daniels Midland Company (ADM) - ADM provides nut and seed inclusions, chocolate ingredients, textured inclusions, and fruit solutions for bakery, snacks, cereal, and dairy. Its offerings focus on flavor enhancement, nutrition, and plant based innovation.
• Tate & Lyle PLC - Tate & Lyle supplies specialty inclusions such as crispy grains, fiber enriched pieces, and customized texture elements for cereals, snacks, and baked goods. Its products support healthier formulations with improved mouthfeel.
• Agrana Beteiligungs-AG - Agrana produces fruit and vegetable based inclusions, chocolate pieces, and crunchy elements for dairy, ice cream, bakery, and confectionery. The company focuses on natural ingredients and clean label solutions.
• Puratos Group - Puratos offers bakery and patisserie inclusions including chocolate pieces, fruit fillings, nuts, and specialty textures. Its products are designed to enhance taste, crunch, and visual appeal in pastries, breads, and desserts.
• Sensient Technologies Corporation - Sensient develops flavored and colored inclusions such as sprinkles, flakes, bits, and crunchy toppings. The company specializes in visual impact, flavor bursts, and customization for snacks, bakery, and confectionery.
• Meadow Foods Ltd - Meadow Foods manufactures dairy derived inclusions such as fudge pieces, caramel chunks, and chocolate coated ingredients for ice cream, desserts, and bakery. Its focus is on premium textures and sweet flavor profiles.
• Georgia Nut Company - Georgia Nut produces nut mixes, clusters, chocolate coated nuts, and crunchy inclusions for snacks, cereal, confectionery, and bakery. The company is known for high quality roasting and custom blending capabilities.
• Chaucer Foods Ltd - Chaucer supplies freeze dried fruit inclusions, baked pieces, and crunchy grains used in cereals, baked goods, beverages, and dairy. Its offerings emphasize stability, light texture, and natural flavor retention.
• Inclusion Technologies LLC - The company develops specialty inclusions such as flavored nuggets, coated particulates, and crunchy bits for bakery, snacks, cereals, and confectionery. Its focus is on tailor made textures and flavor delivery systems.

Segments Covered in the Report

By Type

• Chocolate Inclusions
• Fruit & Nut Inclusions
• Cereal Inclusions
• Flavored Sugar & Caramel Inclusions

By Form

• Solid Form
• Liquid Form

By Application

• Bakery & Confectionery
• Dairy & Frozen Desserts
• Snacks & Bars
• Beverages

By Distribution Channel

• B2B
• B2C

By Region

• North America
• Europe
• Asia Pacific
• MEA
• Latin America