According to Kerry, Sweegen and DSM, consumers in APAC are increasingly demanding beverages that taste good and support a healthy lifestyle, but are also sustainable and environmentally friendly. The COVID-19 pandemic has also accelerated these trends.
FoodNavigator-Asia spoke to these companies to better understand the trends and solutions that are being offered to their customers.
Trend 1: dairy-free and vegetable
The plant-based food industry is growing exponentially, including in the dairy-free beverage sector.
In the APAC and MENA regions, this trend is being driven by a growing number of flexitarians, the large number of lactose intolerant consumers in the region and younger consumers, according to Jie Ying Lee, Senior Strategic Marketing Manager (Beverages) at Kerry APMEA.
The region accounts for around 60% of global sales of dairy-free beverages, with China, Thailand and Australia taking the lead.
Markets like Japan and Saudi Arabia are also gaining traction, especially with alternatives like oat milk, which Japan did not have a few years ago.
According to the latest Kerry proprietary study, 10% of Japanese people now drink oat milk two to three times a week.
DSM’s Vice President for Human Nutrition and Health, Anand Sundaresan, added that plant-based milks like oat milk and almond milk are growing exponentially, overtaking soy milk, which has traditionally been the more popular dairy-free alternative in the region.
“As the demand for more plant-based milk increases, we expect companies to adapt these products to the taste profile of Asian consumers and make them taste and feel similar to their dairy products,” said Sundaresan.
According to Szu Lyn Ng, RD&A Director at Kerry APMEA, around 30% of consumers in the region say that current dairy alternatives lack the taste and texture that they associate with regular animal milk.
“We also recently launched the Radicle Solution Finder, a web-based tool designed for food and beverage manufacturers to quickly find and access solutions to some common plant-based product development challenges.”
Trend 2: Little sugar
Concerns about diabetes from over-consumption of sugar and other lifestyle diseases have driven innovation in beverages with little or no sugar and added nutritional value.
Approximately 60% of all diabetics live in Asia, and consumers are demanding drinks with reduced artificial sweeteners and switching to clean and natural solutions such as natural plant-based sweeteners.
“We’re seeing an innovation trend for healthier carbonated soft drinks with a focus on sugar reduction and functional benefits in the introduction of premium beverages in APAC,” said Luca Giannone, Sweegen senior vice president of sales.
Sweegen’s no-calorie stevia sweeteners, Rebaudioside M, D and E, were recently approved by the Malaysian Ministry of Health for use as an ingredient in food and beverages.
Malaysia joins many other countries in the world, including APAC countries like Thailand, the Philippines, and Brunei, where governments enforce sugar or soft drink taxes.
In mid-July 2019, a tax on prepackaged sugar-sweetened beverages came into effect and all ready-to-drink sugar-sweetened beverages, whether imported or manufactured within Malaysia, became subject to duty.
Sweegen’s Rebaudioside M, D, and E have also been approved in Singapore, Australia and New Zealand and hopes to get 80-90% of the approvals in APAC by this year.
SweeGen planned to open a food and beverage application center in Singapore last year to partner with brands and develop products that suit local tastes, but has been postponed due to COVID-19 conditions.
Trend 3: More functionality
In addition to low-sugar beverages, APAC consumers are also looking for beverages that are better for them, with functions that range from digestion, energy, and stress.
For DSM’s Sundaresan, the company has found consumers are more interested in foods and beverages that benefit their immune health, which is being accelerated by the COVID-19 pandemic.
“The pandemic has caused a profound change in human behaviors and needs. It has led consumers to look at wellbeing in a broader context and to question the notion of healthy living now and in the future, ”added Lee from Kerry.
Beverage manufacturers have developed fortified juices with added micronutrients and milk-based beverages with added ingredients like fiber and prebiotics to improve immune system health.
In India, DSM has developed Nu-Shakti, a range of fortified food powders for flours and beverages that are available to consumers.
Trend 4: sustainability
As consumers in APAC become more health conscious, they also become more aware of the environmental footprint of the food they consume.
“Ethically made food and beverage products with a commitment to helping communities and protecting the planet are also coming to the fore. Ultimately, brands need to incorporate their purpose into their products to meet consumer needs, ”said Lee.
“The growing Millennial and Generation Z population are deeply concerned about social change and entrepreneurship. We believe these trends were both a by-product and accelerated due to the pandemic, “Sundaresan said.
For DSM, an increasing upcycling of unused, unexpired food for the production of beverages has been observed.
As part of its Bright Science & Innovation Hub initiative, DSM has partnered with several food startups like Crust Group to create beverage products that are not only environmentally sustainable but also tailored to local flavor profiles.
The Singapore-based Crust Group uses excess bread to make beer, though the company also makes a range of non-alcoholic beverages made from discarded fruit peels.
source https://dailyhealthynews.ca/suppliers-take-on-the-four-trends-driving-apacs-beverage-innovation/
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