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South America Spice and Herb Extracts Market Analysis

Aug 21, 2017

South America Spice and Herb Extracts Market Analysis

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Only few spice and herb extracts like chili and pepper are exported from the South American region despite having a huge natural diversity of herbs and spices in the region. The main reason is the lack of awareness among consumers about the utilities of lesser known spice and herb extracts. However, in the South American region itself, the market for spice and herb extract is stable due to the strong local demand. North America is one of the key trade destinations for spice and herb extracts from South America, which are used in making nutraceuticals. 
The key drivers that have led to the growth of the spice and herb extract markets are the shifting consumer focus towards natural products and increasing demand for convenience foods. Many companies, are focusing on natural herb & spice extracts as they are becoming popular in every segment of the food and beverage industry and offer plenty of scope for new and attractive taste creations.


The spice and herb extract market is segmented by type, product type, and application. By type, spice and herb extracts are further segmented into celery, cumin, chili, coriander, cardamom, oregano, pepper, basil, ginger, thyme and other types of extracts. By product type, the market is sub-segmented into essential oils, seasonings, blends and others type of spice and herb extract-based products. The major demand is for chilly and pepper extracts, which are mostly used in convenience and street foods. 
Spice and herb extracts have their applications in the food, beverage and pharmaceutical industries. In the food segment, they are used in dairy, dressings and marinades, meat and poultry, snacks and others. In beverages, they are used in soft drinks, tea and herbal drinks, alcoholic beverages, and other applications. For example, herbal extracts are added to lassi, an Indian curd-based drink that is sold worldwide.

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