Food safety testing market is on course to attain a market value of USD 39.8 billion by the end of 2030. A recent study published by Transparency Market Research on the food safety testing market includes global industry analysis and opportunity assessment for 2020-2030. Revenue generated from the global food safety testing market was valued at US$18.2 billion in 2020, which is estimated to rise at a CAGR of 8.1% to reach USD 39.8 billion by 2030.
Globalization of the food sector and food supply chain has been resulting in increased food safety testing practices. European and North American countries are prominent importers of raw materials for food production. Since the regulations of these countries are stringent, exporters from other regions are obliged to test their food products in order to be able to export them. This increase in import/export activities is driving the growth of the food safety testing market.
Improved Food Safety Regulations Boosting Market Growth
Considering the increased rate of urbanization and industrialization in MEA and Asian countries, big firms and companies in the food testing market are penetrating in emerging markets. The increased M&A activities in the food testing market have resulted in expansions, which are subsequently boosting the market growth. Due to increasing demand for safer and cleaner food products in the global market by consumers around the world, many governments and authorities are forced to apply stringent and harsh regulations on food producers, processors, importers, and exporters. In order to avoid any penalty by authorities and to oblige to stringent regulations, many key players in the market are now getting their food products tested by the authorized food testing companies. Seven new seven rules were finalized by FSMA in 2015 and were implemented in 2017 for importing food.
Cost and Time-effective Customized Testing Services Driving Market Growth
Food companies require sample-specific tests and follow requirements, providing performance that is time-effective. The industry has acknowledged the need for tailored research in light of these factors. Several analytical laboratories have acknowledged the need for customized testing services and the provision of testing services for various customer requirements. It helps companies slash testing expenses and save time. It also lets customer obtain reliable data and theoretical insights that establish a long-term partnership between analytical laboratories and businesses.
High Costs of Food Testing Services and Equipment Hindering Growth
The food & beverage industry is highly fragmented with the presence of numerous large-, medium-, and small-scale manufacturers. Since the cost of the few food testing services and instruments is essentially high, some of the small-scale food manufacturers cannot afford these tests. Moreover, food fraud incidents are concentrated at this level due to poor implementation of rules and regulations. The poor governing of rules and regulations, and the lack of funding by governments are likely to hinder the growth of the food testing market. Nonetheless, there is a considerable high demand for food with “free-from” label. For instance, gluten-free beetroot powder is an instant hit in certain sections of consumers. Furthermore, fanning the trend are initiatives such as ServSafe, emphasising the importance of safety and quality of food products.