Global Dehydrated Onion Market Overview
Dehydrated Onion Market Size was estimated at 9.28 (USD Billion) in 2022. The Dehydrated Onion Industry is expected to grow from 9.8(USD Billion) in 2023 to 15.9 (USD Billion) by 2032. The Dehydrated Onion Market CAGR (growth rate) is expected to be around 5.53% during the forecast period (2024 - 2032).
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
Key Dehydrated Onion Market Trends Highlighted
The growing demand for convenience foods, urbanization, and consumer health concerns are the main factors driving the market for dehydrated onions. The prolonged shelf life, simplicity of storage and transportation, and consistent flavor of dehydrated onions are just a few benefits. In soups, sauces, marinades, and other culinary applications, they are frequently utilized. Growing food processing industries present significant market prospects, especially in developing nations. Onions' anti-inflammatory and antioxidant qualities are among the health advantages that are driving market expansion.
Dehydrated onions are a good alternative because consumers are looking for foods that are both tasty and healthier. The market for dehydrated onions witnesses developments in dehydration technologies, packaging options, and the use of organic and sustainable farming methods. The increased acceptance of dried onions in foodservice facilities, the growing demand for convenience food products, and the growing appeal of ethnic cuisines are important market drivers.
Dehydrated Onion Market Drivers
Rising Demand for Convenience Foods
The dehydrated onion market is being motivated by the rising preference for convenience foods. The demand for such products is being fuelled by the rising number of people who are looking to consume foods that are convenient and save time. Dehydrated onions serve as a great option because they can be added to ambrosia without any effort required to chop and prepare them. The increased demand for convenience foods from both developed and developing countries will serve as a key driver of growth for dehydrated onions in the future.
Expansion of the Food Processing Industry
The expansion of the food processing industry is one of the major market drivers that is leading to market growth. Dehydrated onions are used on a large scale in the food processing industry for various food products such as soups, sauces, snacks, and ready-to-eat food. Hence, the increasing demand for processed foods may drive the demand for dehydrated onions.
Health and Nutritional Benefits
Minerals, vitamins, and antioxidants can all be found in abundance in dehydrated onions. They're a good option for any diet because they're minimal in fat and calories. In the upcoming years, the worldwide dehydrated onion market is anticipated to rise at a rapid pace due to growing awareness of the health benefits of dehydrated onions.
Dehydrated Onion Market Segment Insights
Dehydrated Onion Market Application Insights
The largest share in the 2023 Dehydrated Onion Market has been taken by the Food and Beverages segment, and it is anticipated to keep dominating throughout the projected period. Correspondingly, the share of the sector reaches almost 45% in 2023 and anticipates experiencing a slight increase by the end of 2032. The demand for dehydrated onions has been increasing due to their use in a variety of processed foods, snacks, and beverages. There are several benefits of using dehydrated onion instead of their fresh counterparts. This includes increased shelf life, reduced transportation and storage costs, and uniform flavor and texture that attract both consumers and producers.The Pharmaceuticals segment is the second-largest market for the use of dehydrated onions. The applications of the product include the development of various pharmaceuticals, such as tablets, capsules, and powders containing decomposed onions. The substance is mainly used as a source of quercetin, a type of flavonoid. It is a pigment that does not dissolve well in water but does in ethanol. The substance is known to have a variety of possession advantages and can help to lower the risk of cancer, cardiovascular disease, and Alzheimer’s disease. The Cosmetics segment is another rapidly growing field of application for the product.Dehydrated onions find their use in a variety of cosmetics, such as skin care creams, lotions, and hair care agents, to act as antioxidants, reduce the sight of wrinkles, and trigger anti-inflammatory effects. The other sector is largely focused on pet food, animal feed, and industrial products that use dehydrated onions to flavor and provide nutrition.
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
Dehydrated Onion Market Form Insights
The dehydrated onion market is segmented based on its form into powder, flakes, granules, and other ingredients. Among these, the powder segment held the largest market share in 2023 and is projected to maintain its dominance throughout the forecast period. The powder form is widely used in various culinary applications, including soups, sauces, dips, and seasonings. It offers a convenient and shelf-stable option for food manufacturers and consumers alike. The flakes segment is another significant segment in the dehydrated onion market. Dehydrated onion flakes are larger in size than powder and have a more pronounced texture.
They are commonly used as a topping on salads, pizzas, and other dishes. The granules segment is also gaining traction, particularly in the food service industry. Dehydrated onion granules are larger than flakes and offer a crunchy texture, making them a popular choice for use in breadings, coatings, and stuffings. The 'others' segment includes various other forms of dehydrated onions, such as chopped, diced, and minced. These forms are typically used in specific culinary applications and cater to niche markets.
Dehydrated Onion Market Organic vs Conventional Insights
The Organic segment of the Dehydrated Onion Market is projected to witness substantial growth over the forecast period, driven by rising consumer demand for healthier and more sustainable food products. Organic dehydrated onions are produced without the use of synthetic pesticides or fertilizers, meeting the growing demand for clean-label ingredients. Conventional dehydrated onions are widely used in various food applications due to their cost-effectiveness and availability. Despite the growing preference for organic products, the conventional segment is expected to maintain a significant market share, particularly in price-sensitive markets.
Dehydrated Onion Market End-Use Industry Insights
The Dehydrated Onion Market is segmented into various end-use industries, including food processing, pharmaceutical industry, cosmetic industry, and others. Among these, the food processing industry holds a significant share of the market, driven by the increasing demand for dehydrated onions as a flavoring and seasoning agent in various food products. The pharmaceutical industry is another major end-use segment, where dehydrated onions are utilized for their medicinal properties, such as antibacterial and antifungal activities. The cosmetic industry also utilizes dehydrated onions for their antioxidant and anti-inflammatory properties, which are beneficial for skin health.The 'others' segment includes applications in various sectors, such as animal feed and pet food. The Dehydrated Onion Market is expected to witness robust growth in the coming years, with a projected revenue of approximately USD 10.45 billion by 2024, expanding at a steady CAGR.
Dehydrated Onion Market Distribution Channel Insights
The Dehydrated Onion Market is segmented into distribution channels such as online, offline, and others. Among these, the online segment is anticipated to experience significant growth in the coming years. The growth of the online segment can be attributed to the increasing popularity of e-commerce platforms, which offer convenience, a wide variety of products, and competitive prices.
The offline segment, which includes supermarkets, hypermarkets, and grocery stores, is expected to remain dominant in the Dehydrated Onion Market. However, its growth is likely to be slower compared to the online segment. The 'Others' segment includes distributors, wholesalers, and food service providers, and it is expected to grow at a moderate pace in the coming years.
Dehydrated Onion Market Regional Insights
The regional segmentation of the Dehydrated Onion Market offers insights into the diverse market dynamics across different regions. The market growth is primarily driven by factors such as rising demand for convenience food products, increasing health consciousness, and growing disposable income. North America holds a significant share of the market, driven by the presence of major dehydrated onion producers and high consumption of processed foods. Europe follows closely, with well-established food processing industries and a growing preference for healthier ingredients.
APAC is anticipated to witness substantial growth over the forecast period, fueled by the increasing adoption of dehydrated onions in various cuisines and rising demand from emerging economies like China and India. South America and MEA represent emerging markets with potential for growth, as the demand for dehydrated onions is expected to rise with changing dietary habits and growing awareness of health benefits.
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
Dehydrated Onion Market Key Players and Competitive Insights
The prime Dehydrated Onion Market players are investing in research and development activities for innovative products that will help enhance the market position and expand product consciousness among consumers. Moreover, the prime Dehydrated Onion Market companies are adopting partnerships and developing new products. The Dehydrated Onion Market industry is concentrated with several major players which are continuously focusing on enhancing the new product offerings. It will further result in the market presence of the business organizations. Moreover, several major players that are working in the Dehydrated Onion Market industry are Sensient Technologies Corporation, Blue Pacific Flavors, and Industries Inc.
Sensient Technologies Corporation is one of the prime players in the Dehydrated Onion Market industry which produces dehydrated onion products. The company is developing a broad spectrum of dehydrated onion ingredients, such as flakes, granules, and powders, to serve the needs of the customers. Major industries which are serviced by the company are food processing, flavoring, and seasoning manufacturing. Moreover, Sensient Technologies maintains its stronghold in various regions, such as North America, Europe, and Asia-Pacific. Another premium player in the dehydrated onion and garlic market is Blue Pacific Flavors, which is engaged in the production of dehydrated onion and garlic products. The company offers comprehensive Dehydrated Onion ingredients, which are manufactured at different locations, and their dehydration technologies are well–recognized in the market. Furthermore, the company is involved in servicing a wide customer base in the food and beverage industry.
Key Companies in the Dehydrated Onion Market Include
- Unilever Group Limited
- Arion Naturals
- SensoryEffects
- Takasago International Corporation
- Biospringer SAS
- Kalsec, Inc.
- The Kraft Heinz Company
- Ajinomoto Co., Inc.
- McCormick Company, Inc.
- Advanced Food Systems, LLC.
- Sensient Technologies Corporation
- Food Ingredient Solutions
- Kerry Group.
Dehydrated Onion Market Industry Developments
The dehydrated onion market is projected to reach USD 15.9 billion by 2032, exhibiting a CAGR of 5.53% during the forecast period. Rising demand for convenience foods, coupled with the growing popularity of ethnic cuisines, is driving the market growth. Additionally, the increasing use of dehydrated onions in various food applications, such as soups, sauces, and seasonings, is contributing to the market expansion.
Recent news developments include the launch of innovative dehydrated onion products, such as organic and gluten-free options, catering to evolving consumer preferences. Key market players are also focusing on strategic partnerships and acquisitions to expand their reach and product portfolio. For instance, in 2023, Sensient Technologies Corporation acquired a leading dehydrated onion and garlic producer, Aromata, to strengthen its position in the dehydrated vegetables market.
Dehydrated Onion Market Segmentation Insights
Dehydrated Onion Market Application Outlook
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- Food and Beverages
- Pharmaceuticals
- Cosmetics
- Others
Dehydrated Onion Market Form Outlook
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- Powder
- Flakes
- Granules
- Others
Dehydrated Onion Market Organic vs Conventional Outlook
Dehydrated Onion Market End-Use Industry Outlook
-
- Food Processing
- Pharmaceutical Industry
- Cosmetic Industry
- Others
Dehydrated Onion Market Distribution Channel Outlook
Dehydrated Onion Market Regional Outlook
-
- North America
- Europe
- South America
- Asia Pacific
- Middle East and Africa
| Report Attribute/Metric |
Details |
| Market Size 2022 |
9.28(USD Billion) |
| Market Size 2023 |
9.8(USD Billion) |
| Market Size 2032 |
15.9(USD Billion) |
| Compound Annual Growth Rate (CAGR) |
5.53% (2024 - 2032) |
| Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year |
2023 |
| Market Forecast Period |
2024 - 2032 |
| Historical Data |
2019 - 2023 |
| Market Forecast Units |
USD Billion |
| Key Companies Profiled |
Unilever Group Limited, Arion Naturals, SensoryEffects, Takasago International Corporation, Biospringer SAS, Kalsec, Inc., The Kraft Heinz Company, Ajinomoto Co., Inc., McCormick Company, Inc., Advanced Food Systems, LLC. Sensient Technologies Corporation, Food Ingredient Solutions, Kerry Group. |
| Segments Covered |
Application, Form, Organic vs Conventional, End-Use Industry, Distribution Channel, Regional |
| Key Market Opportunities |
Rising Demand for Convenience Foods Growing Health Consciousness Expansion in Food Processing Industry Emerging Markets with Untapped Potential Technological Advancements in Dehydration Processes |
| Key Market Dynamics |
1 Growing demand for convenience foods2 Increasing popularity of ethnic cuisines3 Health consciousness and clean label trends4 Favorable regulatory landscape5 Technological advancements |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Dehydrated Onion Market is projected to reach a valuation of approximately USD 9.8 billion in 2023.
The Dehydrated Onion Market is estimated to expand at a CAGR of 5.53% from 2024 to 2032.
The increasing demand for convenience foods, the rising popularity of ethnic cuisines, and the growing awareness of the health benefits associated with onion consumption are some of the key factors propelling the growth of the Dehydrated Onion Market.
North America is anticipated to dominate the Dehydrated Onion Market due to the high consumption of dehydrated onions in countries like India, China, and Japan.
Dehydrated onions are widely used in various food products, including soups, sauces, seasonings, snacks, and ready-to-eat meals.
Some of the prominent players in the Dehydrated Onion Market include Ingredion Incorporated, Koninklijke DSM N.V., Sensient Technologies Corporation, and Ajinomoto Co., Inc.
The Dehydrated Onion Market is projected to reach a valuation of approximately USD 15.9 billion by 2032.
The growing demand for organic and clean-label dehydrated onions, as well as the increasing popularity of dehydrated onion powder in food products, are some of the emerging trends in the Dehydrated Onion Market.
Fluctuations in raw material prices, stringent regulations on food additives, and intense competition from fresh onion suppliers are some of the challenges faced by the Dehydrated Onion Market.
The increasing demand for convenience foods in developing countries, the rising popularity of dehydrated onions in food service applications, and the growing adoption of dehydrated onion powder in various food products present significant opportunities for growth in the Dehydrated Onion Market.
