Food Certification Market Driven by Consumers are now Demanding Organic Food, Fresh Food & Poultry

Food certification is not restricted to finished products – it can also apply to any stage within the manufacturing process. This includes certification requirements from early stages in production down to food sales. This ensures the use of ingredients and chemicals that are allowed by government agencies. Failure to be certified with the necessary food certification could result in the curtailment of the sale of the food product. Even at a sales level, the absence of certain certificates could be used by consumers to avoid these products. On the other hand, the presence of valid certification allows products to hold a positive image in the consumers’ minds, thereby increasing its sales. Therefore, the food and beverage industry needs to maintain its pace with the given certification standards in order to retain and improve its level of sales.

Demand for food certification will increase in response to the rising demand for quality and safer food products. The increasing incidence of food contamination around the world has emerged as a major concern for consumers. Since their lifestyle preferences have changed drastically over the years, consumers are now demanding organic food, fresh food, poultry, and meat products. This is a primary factor driving the global food certification market. Additionally, food certifications are of utmost importance for food manufacturers, which is in turn fuelling demand from the global food certification market.

Another major factor that is promoting the global food certification market is the increasing disposable income of consumers. As a greater number of consumers are moving towards higher quality of foods, manufacturers are reaching for higher certifications in order to attract more consumers.

Despite witnessing strong demand, the high cost of international certifications has deterred some food manufacturers and processing units from looking at food certification as a high-value proposition. While established companies may be willing to allocate large sums for obtaining certification logos such as Organic or Halal, not many small companies regard this as a necessity to doing business. This is acting as a major hindrance for the global food certification market.Nevertheless, stringent regulations mandating certification of food products across emerging economies will fuel growth opportunities for the market in the forthcoming years.

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Increasing brand consciousness and awareness among consumers are fuelling demand from this segment. Regionally, Europe dominated the food certification market in 2014. The increasing health consciousness and rising living standard have had a positive impact on the Europe food certification market. It is expected to reach US$5.77 bn by the end of 2021.

This review is based on a report published by TMR, titled “Food Certification Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2015 - 2021.”

Key Takeaways:

• Demand for effective food control standards to translate to 5.3% CAGR for food certification market.
• Increasing brand consciousness to fuel demand for food certification from others packaged food segment.
• Europe market for food certification to reach US$5.77 bn by 2021, rising living standards to boost growth.

The report segments the global food certification market as:

Global Food Certification Market, by Type:

• International Organization for Standardization
• International Food Standard (IFS)
• Safe Quality Food (SQF)
• British Retail Consortium (BRC) standard
• Kosher Certification
• Halal Certification
• Food Safety and Standards Authority of India (FSSAI)
• China Food and Drug Administration (CFDA)
• U.S. Department of Agriculture (USDA)
• U.S. Food and Drug Administration (FDA)
• European Food Safety Authority (EFSA)
• Ministry of Food and Drug Safety (MFDS)
• Others

Global Food Certification Market, by Application:

• Processed Meat and Poultry Products
• Dairy Products
• Infant Food Products
• Organic Food
• Beverages
• Others Packaged Food

Global Food Certification Market, by Geography:

• North America
• Europe
• Asia Pacific
• Rest of the World (RoW)

Need for Protecting Consumers Safety Bolsters Demand for Food Certifications among Food Chains

The drive for better quality and safer food products by consumers in several emerging and established nations and the push for boosting consumer confidence among several food brands have boosted the demand for food certifications. Coupled with this, the rising incidence of food contamination has intensified the need for food certifications for a number of restaurants, food brands, and food-service companies. These standards, usually comprehensive in nature, offers information on a variety of operational, nutritional, and environmental standards and covers the entire supply chain. Not only quality, consumers world over are become increasingly concerned about what exactly goes into their palates, including the source of food, especially for poultry and meat products.

The rapidly rising consumption of convenience food has generated huge interest among several restaurant chains in developing and developed regions in obtaining food certifications. Witnessing abundant burgeoning opportunities, the market for food certification is expected to rise at a CAGR of 5.3% from 2015 to 2021.

Which application segments are expected to witness substantial uptake of food certifications?

The major application segments of food certifications are organic food, dairy products, infant food products, poultry products and processed meat, beverages, and other packaged food segments, mainly consisting of bakery products. Of these, there is a substantial uptake of food certifications for other packaged food segments. Meanwhile, there is expected to be substantial demand for food certifications among players in the beverages segment, including carbonated and non-carbonated drinks.

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The substantial uptake of food certifications in the beverages segment is driven by the rapidly growing hospitality sector. ISO 22000 Certification, is one of the prominent food certifications in food and beverages industry, which mainly seeks to address various biological, chemical and physical hazards in the processing and packaging stages.

Researchers at the University of Milan conducting a survey of 131 Italian food firms have revealed that voluntarily implemented food traceability schemes are increasingly driven by the motivation for enhancing information, safety, and quality management in their supply chains. The study explored the link between the motivations nudging firms to adopt various food certifications related to quality and traceability compliance in major segments such as fruit and vegetable, confectionary, bakery, processed seafood and processed meat, and dairy. In addition, the urge to implement compliance requirements to manage the level of complexity in traceability is negatively correlated by profitability-related motivations, confirms the results. The study covered the period during January 2015 - June 2015 and researchers had prepared ad hoc questionnaire focusing on Italian certification organizations. These motivations to adopt food certifications bode well for the market.

Which are the prominent regional exhibiting significant demand for food certifications?

Geographically, Europe is the major market for food certifications and is expected to grow at an impressive pace over the forecast period. The substantial demand for food certification among food chains and food service companies is attributed to the elevated consciousness levels of the food consumed by the population, with a focus on sustainable foods.

The burgeoning standard of living is a key factor propelling the demand for food certifications in Europe. The growing demand for healthy and safe food products among consumers is bolstering the uptake of food certification programs in the region. Market players are currently witnessing lucrative opportunities in country such as France, the U.K, and Germany.

Food Certification Market Driven by Greater number of Consumers are Moving towards Higher Qality of Foods

The global food certification market is driven by rules, standards, and regulations in different food application segments. Increase in consumer health consciousness and change in eating patterns are primarily boosting the popularity of certified food products globally. However, rising awareness about improving food quality coupled with increasing government regulations are stimulating the food certification market globally. Furthermore, improved standard of living is driving consumers to opt for certified food products as they perceive them to be safe for consumption.

Food certification is a process that can be applied to any stage of the food supply chain, right from primary production level to sales. Rising incidences of foodborne illness due to ingestion of contaminated food products is one of the key factors responsible for growing popularity of food certification. Food manufacturers are keen to obtain certification in order to attract consumers toward their products. Manufacturers also emphasize on certification to cope with rising competition globally. Furthermore, certified food products are perceived to be safe and secure as they pass through various verification processes. Consumers prefer to opt for certified food products to avoid unwanted health hazards caused due to consumption of contaminated food products.

Rise in number of food trade practices and food export is fueling the food certification market. Food products without proper certification are not considered for sale in certain countries. Food manufacturers aggressively focus on proper certification through audit and quality check to aid business expansion. Furthermore, audit and follow-up processes through various certification bodies ensure that the company has proper safety management systems.

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By geography, the global food certification market is categorized into North America, Europe, Asia Pacific, and Rest of the World (RoW). The scope of the report offers an insight into food certifications in these regions based on revenue (USD billion). In addition, current and future trends in the food certification market are covered in the report.

Currently, Germany is dominating the market for food certification in Europe followed by the U.K. Furthermore, the U.S. dominates the market for food certification in North America. Increasing health consciousness coupled with consumer awareness regarding side effects of contaminated food products is driving the food certification market. China dominates the food certification market in Asia Pacific followed by India. Factors such as increased standard of living and rising preference for quality food products are positively influencing the food certification market.

Key global certification bodies include ISO 22000, International Food Standard, British Retail Consortium, Safe Quality Food Standard, Kosher certification, Halal certification and Food Safety and Standard Authority of India, China Food and Drug Administration, Ministry of Food and Drug Safety, U.S. Department of Agriculture among others. These certification bodies through audit and follow-up ensure that companies who are involved in food production have proper food safety management systems in place. Furthermore, they ensure that food products are safe for consumption.

Based on application, the market is segmented into processed meat and poultry products, dairy products, infant food products, organic food, beverages, and other packaged food products. Consumers prefer certified food products due to growing awareness about food safety. Organic food products are gaining momentum due to rising health concern among consumers.

Demand for safe food products is increasing considerably. Furthermore, food safety management authorities along with consumers are increasingly concerned about the quality and safety of food products. Demand for certified food products is expected to significantly increase as these products are certified after meeting required standards of any authorized certification body. Changing consumer perception about safety and quality of food products coupled with growing preference for convenience food products are fueling demand for food certification globally.

Key players in the food certification market in North America, Europe, Asia Pacific, and RoW include Dekra SE, Bureau Veritas, AsureQuality Limited, Underwriters Laboratories Inc, SGS SA, Intertek Group plc, Lloyd's Register Group Limited, TÜV SÜD AG, DNV GL Group AS, and ALS Limited.

Global Food Certification Market: Increasing Consciousness for Importance of Quality-tested Food Drives Growth, reports TMR

The global food certification market showcases an increasing degree of competition, notes a recent market study by Transparency Market Research. The stringent verification process for foods to receive quality certification is leading to the higher adoption of certified foods for health considerations. This trend has forced food manufacturers to receive certification, thereby intensifying the competition in the global food certification market.

Dekra SE, AsureQuality Limited, SGS SA, Bureau Veritas, Underwriters Laboratories Inc., and Intertek Group plc are some of the prominent players in the global food certification market. Key players in the market are focused on mergers and acquisitions for strengthening their position in the market. Large companies are also making investments for new laboratories to enhance their technological capabilities to stay competitive in the market.

The global food certification market was valued at US$11.25 bn in 2015. The market is expected to reach a valuation of US$16.09 bn by 2021 displaying a CAGR of 5.3% between 2015 and 2021.

Presence of Large Educated Population Benefits Europe Food Certification Market

In terms of application, processed meat and poultry products, dairy products, organic food, beverages, and other packaged food are the segments of the market. Amongst these, the segment of other packaged food stood as the leading segment accounting for a share of 23.4% in the global market in 2014. Increasing adoption of branded foods and rising awareness about the importance of food safety certification are the major factors fuelling growth of the other packaged food application segment. Processed meat and poultry products and dairy products are also expected to emerge as significant application segments of the food certification market.

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Beverages is expected to emerge as a significant application segment in the forthcoming years. Quality certification on carbonated drinks provide a considerable degree of assurance to consumers regarding the health risks associated with these beverages.

Geography-wise, Europe stood as the leading regional market for food certification in 2014 followed by North America. High consciousness among consumers about the quality of food that they consume combined with the rising living standards are driving the food certification market in Europe. Moreover, the increasing inclination of consumers for health-benefitting foods is expected to hold promise for the regional market of Europe. France, the U.K., and Germany contribute significantly to the Europe food certification market due to a large educated population.

Asia Pacific is expected to display the fastest growth over the forecast period. The rising awareness about the importance of food certification among the urban population and the increasing purchasing power for branded foods is driving the growth of the food certification market in the region. The recent occurrences of food contamination that led to casualties and fatalities in large numbers have raised alertness among consumers about consuming certified foods.

High Cost to Receive International Certification Challenges Growth

The demand for food certification is being driven in response to the increasing demand for quality-tested and safe foods for health considerations. With changing lifestyle and increasing purchasing power in several parts of the world, consumers are spending generously on quality-tested foods for longer years of good health.

Despite strong demand for quality-tested foods, the high cost of obtaining international certifications has dissuaded some manufacturers to look at long term business profits. This is challenging the market’s growth.

The review presented is based on the findings of the Transparency Market Research report, titled “Food Certification Market (Type - International Organization for Standardization, International Food Standard (IFS), Safe Quality Food (SQF), British Retail Consortium (BRC) standard, Kosher Certification, Halal Certification, Food Safety and Standards Authority of India (FSSAI), China Food and Drug Administration (CFDA), U.S. Department of Agriculture (USDA), U.S. Food and Drug Administration (FDA), European Food Safety Authority (EFSA), Ministry of Food and Drug Safety (MFDS); Application - Processed Meat and Poultry Products, Dairy Products, Infant Food Products, Organic Food, Beverages, Other Packaged Food) - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2015 - 2021.”

The global food certification market is segmented as follows:

Global Food Certification Market, by Type:

• International Organization for Standardization
• International Food Standard (IFS)
• Safe Quality Food (SQF)
• British Retail Consortium (BRC) standard
• Kosher Certification
• Halal Certification
• Food Safety and Standards Authority of India (FSSAI)
• China Food and Drug Administration (CFDA)
• S. Department of Agriculture (USDA)
• S. Food and Drug Administration (FDA)
• European Food Safety Authority (EFSA)
• Ministry of Food and Drug Safety (MFDS)
• Others

Global Food Certification Market, by Application:

• Processed Meat and Poultry Products
• Dairy Products
• Infant Food Products
• Organic Food
• Beverages
• Others Packaged Food

Global Food Certification Market, by Geography:

• North America
• Europe
• Asia Pacific
• Rest of the World (RoW)

Quality and Safety Requirements to Bring Food Certification under Spotlight

Owing to the rising cases of food-borne diseases, the need for proper food certification is growing significantly. Recent incidences regarding food contamination in several developing countries have compelled government bodies to impose mandatory food certifications. At present, the prime organizations for food certification across the world are Kosher Certification, Halal Certification, British Consortium Standard, International Food Standard, Safe Quality Food Certification, and International Organization for Standardization (ISO 22000). With the rise in food trade among emerging economies, the implementation of these certifications is anticipated to rise.

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According to a research report by Transparency Market Research, the global food certification market is likely to exhibit a 5.3% CAGR from 2015 to 2021. In 2014, the market was valued at US$11.25 bn and is likely to escalate to US$16.09 bn by 2021, owing to the change in food consumption patterns across the globe.

How will the increasing incidence of food contamination boost the adoption of food certifications?

In terms of application, the global food certification comprises beverages, infant food products, dairy products, organic food, bakery products, and processed meat and poultry products. All these food products are prone to food contamination. As consumers are becoming more aware of the risks related to food contamination, the demand for laboratory food testing and food certification is increasing extensively.

For instance, owing to recent controversies related to Nestle India Ltd’s Maggi, and keeping in mind several safety concerns, Food Safety and Standards Authority of India (FSSAI) has recently announced an investment of INR 482 crore to upgrade food testing laboratories. It has planned to improve 14 referral food testing laboratories and 45 prime laboratories across the country.

What are the factors likely to challenge the growth of the market?

Although the global market for food certification is witnessing promising growth, the high costs incurred during the certification process is expected to deter food companies and processing outlets to look at food certification from an asset point of view. Established companies are investing heavily to attain logos such as Halal or Organic; on the other hand, smaller companies are refraining from this process. However, strict regulations imposed by governments across the world to ensure food safety are likely to propel the adoption of food certifications.

Which region is expected to pave the way for growth opportunities for manufacturers?

Region-wise, Europe emerged dominant in 2014 in the global food certification market, closely trailed by North America. The growth of the market in these regions can be attributed to the high consciousness among consumers regarding the quality and safety of the food consumed by them. Additionally, the growth in the living standards and the rising inclination towards the consumption of healthy food products are expected to stir the demand for food certifications. Nevertheless, it is expected that Asia Pacific will report strong growth due to the rise in food-borne diseases across the region.

Food Certification Market is Expected to Reach USD 16.09 bn by 2021, Expanding at a CAGR of 5.3% from 2015 to 2021

The demand for food certification is increasing in response to the rising prevalence of food-borne diseases. The recent instances of food contamination reported across emerging economies have compelled governments to mandate food certifications. Currently, International Organization for Standardization (ISO 22000), Safe Quality Food Certification, International Food Standard, British Consortium Standard, Halal Certification, and Kosher Certification are the most popular certifications in the international market, states Transparency Market Research (TMR). The demand for these certifications is expected to increase in the forthcoming years as food trade across developing nations rises.

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Besides this, the changing consumption pattern and the subsequent demand for convenience food will fuel the demand for food certifications. However, the high cost of a majority of these certifications will inhibit their proliferation in small businesses. Nevertheless, TMR expects the market to report a CAGR of 5.3% between 2015 and 2021.

The global food certification market stood at US$11.25 bn in 2014 and is expected to reach US$16.09 bn by the end of 2021.

Rising Awareness about Food Contamination to Fuel Demand for Food Certifications

Based on application, poultry products and processed meat, organic food, dairy products, infant food products, beverages, and others packaged food segment (comprising bakery products) constitute the key segments in the global food certification market. Of these, the others packaged food segment held the dominant share of 23.4% in the market in 2014. Increasing brand consciousness among consumers and the rising awareness about food hazards are the key factors fuelling the demand for food certification in this segment.

The market is also expected to witness increased demand from the processed meat and poultry and dairy products segments. However, TMR projects that their market share will decline over the course of the forecast period.

In the forthcoming years, food certification in the beverage segment is expected to increase considerably. Beverages include both carbonated and non-carbonated drinks. Certified manufacturers of beverages provide quality assurance, which is the key factor fuelling the demand for food certification in this segment.

Changing Consumption Patterns to Boost Demand for Food Certification in Europe

Regionally, Europe led the global food certification market in 2014, followed by North America. Consumers in the region exhibit high consciousness about the food they eat. This, combined with the rising standards of living, is fuelling the demand for food certification in Europe. Furthermore, the region is witnessing a growing inclination of consumers towards healthy food products, which is expected to give significant impetus to the regional market. Germany, France, and the U.K. are currently demonstrating the most lucrative opportunities in the market. According to TMR, the Europe food certification market is expected to reach US$5.77 bn by the end of 2021.

North America is also a significant market for food certification. However, TMR expects Asia Pacific to report the fastest growth during the course of the forecast period. The rising standards of living and recent incidences of food contamination across emerging economies will fuel the demand for food certification in Asia Pacific. The prevalence of food-borne diseases has significantly increased in Asia Pacific and such concerns will also drive the need for food certification in the region.

Some of the players operating in the food certification market are ALS Limited, Underwriters Laboratories Inc., Dekra SE, Bureau Veritas, SGS SA, AsureQuality Limited, Lloyd's Register Group Limited, Intertek Group plc., TÜV SÜD AG, and DNV GL Group AS.

Rising Cases of Food Contamination to Fuel Demand for Adequate Food Certification, Reports TMR

Competition prevailing in the global food certification market is gradually rising, finds Transparency Market Research (TMR) in a new report. Since certified foods are perceived safer as they pass through stringent verification process, more consumers are opting for certified products to avoid health hazards. This trend has compelled manufacturers to emphasize on certification, which is intensifying the competition prevalent in the global food certification market.

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The global food certification market stood at US$11.25 bn in 2015. Exhibiting a CAGR of 5.3%, the market is expected to reach US$16.09 bn by the end of 2023.The others packaged food segment led the global food certification market with a share of 23.4% in 2014.

Dekra SE, Bureau Veritas, AsureQuality Limited, Underwriters Laboratories Inc, SGS SA, and Intertek Group plc are some of the key players in the global food certification market. The majority of these companies are focusing on mergers and acquisitions to strengthen their position in the market. Besides, this larger companies are also investing in new laboratories and technological advancements to sustain their growth in the market.

Changing Lifestyle and Consumption Patterns Fuel Demand for Food Certification

Demand for food certification will increase in response to the rising demand for quality and safer food products. The increasing incidence of food contamination around the world has emerged as a major concern for consumers. Since their lifestyle preferences have changed drastically over the years, consumers are now demanding organic food, fresh food, poultry, and meat products. This is a primary factor driving the global food certification market. Additionally, food certifications are of utmost importance for food manufacturers, which is in turn fuelling demand from the global food certification market.

The market is also expected to gain impetus from the increasing prevalence of food borne diseases. The increasing changes in consumption patterns due to hectic lifestyle and the consequent inclination towards convenience food have proven quite lucrative for the food certification market. In Europe, the changing lifestyle and rising aging population have been augmenting demand for food certification. The increasing reports of food contamination are fuelling demand for food certification in Asia Pacific. The increasing food trade across emerging economies will also fuel demand for food certification from Asia Pacific.

High Cost of International Certifications Inhibits Market Growth

Despite witnessing strong demand, the high cost of international certifications has deterred some food manufacturers and processing units from looking at food certification as a high-value proposition. While established companies may be willing to allocate large sums for obtaining certification logos such as Organic or Halal, not many small companies regard this as a necessity to doing business. This is acting as a major hindrance for the global food certification market.Nevertheless, stringent regulations mandating certification of food products across emerging economies will fuel growth opportunities for the market in the forthcoming years.

Increasing brand consciousness and awareness among consumers are fuelling demand from this segment. Regionally, Europe dominated the food certification market in 2014. The increasing health consciousness and rising living standard have had a positive impact on the Europe food certification market. It is expected to reach US$5.77 bn by the end of 2021.

This review is based on a report published by TMR, titled “Food Certification Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2015 - 2021.”

Key Takeaways:

• Demand for effective food control standards to translate to 5.3% CAGR for food certification market.
• Increasing brand consciousness to fuel demand for food certification from others packaged food segment.
• Europe market for food certification to reach US$5.77 bn by 2021, rising living standards to boost growth.

The report segments the global food certification market as:

Global Food Certification Market, by Type:

• International Organization for Standardization
• International Food Standard (IFS)
• Safe Quality Food (SQF)
• British Retail Consortium (BRC) standard
• Kosher Certification
• Halal Certification
• Food Safety and Standards Authority of India (FSSAI)
• China Food and Drug Administration (CFDA)
• U.S. Department of Agriculture (USDA)
• U.S. Food and Drug Administration (FDA)
• European Food Safety Authority (EFSA)
• Ministry of Food and Drug Safety (MFDS)
• Others

Global Food Certification Market, by Application:

• Processed Meat and Poultry Products
• Dairy Products
• Infant Food Products
• Organic Food
• Beverages
• Others Packaged Food

Global Food Certification Market, by Geography:

• North America
• Europe
• Asia Pacific
• Rest of the World (RoW)

Food Certification Market: Are Companies Shying Away from Getting Certified?

With concerns surrounding the authenticity, quality, and safety of food products skyrocketing amid the rising number of food scandals across the globe, the food certification sector is becoming an important stakeholder of the food and beverages industry. The food industry is highly vulnerable to negligent practices in any stage of food chain, right from farming practices to processing and consumption.

Consumers are becoming increasingly aware about food safety, thanks to the rising number of high profile food recalls and frequent media coverage of major food scandals. Thus food products that adhere to national and international safety standards are witnessing more demand across the globe. Subsequently, food safety certifications are becoming a common requirement for operating in the food and beverages industry. Businesses that become certified to reliable food safety schemes are gaining competitive advantage in the marketplace and the ones failing to do so are losing massively on overall gains – in terms of revenues as well as negative publicity.

The global market for food certification was valued at more than US$11 bn in 2014 and is projected to exhibit a healthy 5.3% CAGR through 2015-2021, according to a recent market research report published by Transparency Market Research.

In this blog post, Transparency Market Research analysts uncover some of the core facts and trending aspects of the global market for food certification,

How certifications add value to a brand’s image?

Food certifications convey to consumers and other key stakeholders the fact that a food business meets the set of standards recognized as best practices nationally or internationally. A certification also signifies corporate responsibility and good governance and is invaluable to any business operating in the food and beverages industry.

A food certification is essentially a third-party confirmation that food products, systems, and the processes involved in the overall food supply chain have adhered to consistent policies. In most countries, the government plays a central role in recommending food standards, conducting regular inspections, and ensuring that standards are met.

Every certification imply different aspects of food safety and food quality. Some ensure that the products are safe for consumption, some analyze the qualitative aspect of the product, while others may ascertain that practices in the food chain addressed a set of environmental, social and economic sustainability policies.

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If food certifications are so integral to maintaining a food brand’s public image, why don’t all food producers get certified?

Certifications do not come cheap. Companies who wish their products to have a certification logo such as Halal or Organic, for instance, need to shell out substantial funds for inspections and on the official process to getting certified, which is why many companies may shy away from getting certified.

Consider the case of getting certified as ‘organic’ in the U.S. The U.S. Department of Agriculture (USDA) estimates that the U.S. market for organic foods has a valuation of nearly US$40 bn. Even as organic foods cost more than conventional foods, they are witnessing increased demand as they are not made from genetically modified seeds or are grown devoid the use of pesticides. There are nearly 2 million farms in the country, out of which only about 14,000-15,000 are certified organic. Despite being exhibiting high growth potential market, not all farms in the country opt for the organic certification.

The reluctance of farms is mainly because the process of acquiring organic certification involves a lot of hassle, not to mention lower returns as compared to the funds invested, at least for some time. For granting a farm the organic certificate, the USDA requires that the farm spend three years in transition. During the transition period, the farm has to adhere strictly to organic practices but cannot send the produces under the title of ‘organic’ before the period of probation is over. As conventional food sells for less as compared to organic food, it is obvious that the farmer is spending a lot more to grow that will be sold for less.

Capitalizing on Opportunities in Emerging Countries Key for Global Food Certification Market

Food safety has emerged as a major concern in recent years, with outbreaks of foodborne diseases and scandals involving counterfeit products arising in several parts of the world. Food certification has thus become more important than ever. The effective and organized food monitoring systems put in place through food certification procedures help reduce the prevalence of foodborne diseases and ensure that genuine and safe food is being sold to the consumers. Food certification is also particularly important with regard to imported food, since the production standards in the exporting country may differ from those in the importer.

Global organizations such as the WHO have expressed solid support to food certification systems. This has been a major factor propelling the global food certification market in recent years. The rising awareness among consumers across the world about food certification procedures has also aided the market massively, as many governments have passed laws mandating food certification. According to Transparency Market Research, the global food certification market is expected to exhibit a sturdy 5.30% CAGR from 2015 to 2021, rising in valuation from US$11.2 bn in 2014 to a projected US$16 bn by 2021.

Increasing Purchasing Power, Awareness of Consumers Drives Food Certification Market

As mentioned before, the increasingly aware population, particularly in developed countries, is exhibiting high demand for food certification to ensure they are eating safe and genuine food. The increasing disposable incomes of consumers have also been crucial in driving the global food certification market in recent years. As consumers around the world are focusing on consuming high-quality food, food certification programs are exhibiting high growth prospects in the coming years, as the cost of food certification can be included in the price of the food item knowing that consumers will be able to afford it nevertheless.

The global food certification market includes several certification procedures, intended to examine different aspects of food. The major food certifications sought by food and beverage industry players are ISO 22000, Safe Quality Food, the International Food Standard, Kosher Certification, Halal Certification, the British Retail Consortium Standard, the Food Safety and Standards Authority of India, the U.S. Department of Agriculture, the U.S. Food and Drug Administration, the China Food and Drug Administration, the Ministry of Food and Drug Safety, and the European Food Safety Authority.

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Major food types subjected to food certification are dairy, poultry, organic food, infant food, and beverages. Ensuring the safety of these products is crucial, as dairy and poultry products can incur several microbial infections. Unhealthy infant food can also have severe consequences, since infants have relatively undeveloped immune systems and thus can’t combat even minor infections as well as adults.

APAC, Latin America to Lead Global Food Certification Market

Asia Pacific and Latin America, housing some of the world’s most dynamic economies, are the major regional segments expected to come to the fore in the global food certification market in the coming years. The rampant rate of urbanization in countries such as China, India, Brazil, and Argentina has propelled the food certification markets in these regions. The increasing demand from these and other emerging countries will ensure steady growth of the global food certification market.

Food Certification Market to surpass USD 16.09 Billion by 2021

Food quality and safety is one of the major global concerns. Effective food control systems are essential to protect safety and health of consumers. Furthermore, food control systems are important for ensuring the quality and standard of food products entering international trade and also to ascertain the quality of imported food for domestic requirements. Rising awareness and growing consumer concern for protection from unwanted hazards occurring at every stage of the food chain from primary production to final consumption is stimulating the market for food certification at a global level.

The World Health Organization (WHO) and Food and Agriculture Organization (FAO) of the United Nations have a strong interest in promoting food safety and quality measures in order to protect the consumer from unwanted health hazards. These organizations are keen on promoting food control systems with scientific guidelines and principles, which addresses all sectors of the food chain. Food safety guidelines are meant to advice national authorities on strategies to strengthen food safety and quality management systems to protect consumer health. Furthermore, these guidelines also facilitate trade, prevent fraud and deception, and avoid food adulteration.

The food products manufacturers are concentrating on strengthening its food safety and quality management system by applying food safety measures at every stage of food chain for better quality products. The certification bodies by doing surveys, audits, GAP analysis ensures the safety of the produced food products and provides certificates. Focusing on the consumers’ demand for safe quality food products in order to avoid health hazards, food producers have upgraded their food safety systems in order to strengthen their foothold in the food industry.

By type, the market can be segmented into ISO 22000, International Food Standard Safe Quality Food certification, The British Retail Consortium, Kosher certification, Halal Certification, Food Safety and Standards Authority of India, The China Food and Drug Administration, The United States Department of Agriculture, The Food and Drug Administration, The European Food Safety Authority, The Ministry of Food and Drug Safety among others. Authorities such as ISO 22000, International Food Standard and Safe Quality Food certification, The British Retail Consortium, Kosher certification, Halal Certification and Food Safety and Standards Authority of India among others provide certification to various companies involved in food industry globally. Primary objective of these standards is to ensure food quality and safety along the food chain, considering the wide array of activities and identifying the degree of risk involved in food production.

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By application type, the market can be segmented into processed meat and poultry products, dairy products, infant food products, organic food, others packaged food, beverages. Due to changing eating patterns, consumers are showing preference for packaged and functional food products, which in turn is fueling the demand for certified packaged food market. Packaged food products, processed meat and poultry products, and certified dairy products are leading the food certification market. Furthermore, with growing consumer awareness demand for organic food and beverages and infant food products are expected to witness positive growth over the forecast period.

Food certification market in the developing nations such as Asia Pacific and Latin America is expected to witness positive growth during the forecast period. Due to increasing disposable income and rising living standard, consumers are showing preference for quality and certified food products in order to avoid unnecessary health hazards caused by contaminated food products.

Due to the changing lifestyle and eating preferences of consumers, manufacturers have been focusing on introducing quality food. Furthermore, they are also taking special food safety measures to avoid any health issues due to consumption of unhealthy food products. Increasing demand for quality food products is driving the market for food certification at the global level.

Some of the major players operating in the food certification market are Dekra SE (Germany), Bureau Veritas (France), AsureQuality Limited (New Zealand), Underwriters Laboratories Inc (U.S.), SGS SA (Switzerland), Intertek Group plc (U.K.), Lloyd's Register Group Limited (U.K.), TÜV SÜD AG (Germany), DNV GL Group AS (Norway), and ALS Limited (Australia) among others.