Rethinking Food Ingredients: Meeting Health, Sustainability and Regulatory Needs

January 2025

With one billion more people globally by 2040 and growing sustainability challenges, diversification in food ingredients has become key. Food businesses need to address deepening nutritional imbalances with more varied, nutrient-dense, plant-based ingredients, and deliver gut-organ health benefits. Upstream, more local, climate-smart crops and food bioengineering must be sought, while working with policymakers. The future is less about meat, corn or cocoa and more about millets, fungi and algae.

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Key findings

Ingredient functionality is pivotal in bridging deepening nutritional imbalances

Health and nutrition traits are close to becoming consumers’ top priority in foods, along with affordability. However, consumers in low-income brackets particularly lack micronutrients, leading to conditions like blindness and anaemia, whilst more mature markets see excessive consumption of sugar, salt, fat and protein, and struggle with rising obesity.

Need states and gut-organ axes will define health positionings

Gut health will take more centre stage, notably through its interactions with the brain and other organs. Probiotics, especially through bacteria and fungi fermented foods, but also algae in the longer term, hold promise in addressing these consumer needs. This must, however, increasingly be targeted to consumers’ gender, life stage and desired health benefits.

Ingredient supply must aim for greater agro-biodiversity

Food insecurity and nutritional gaps are largely caused by dominant agribusiness models, whereby ingredient sourcing is based on a few widely produced, resource-intensive commodities. The future must entail less meat consumption and a greater diversity of plant-based foods to reduce nutritional gaps.

More local, climate-smart crops must be grown

Disruptions to food supply, driven by global warming and related severe weather events, have become much more frequent. A more local and seasonal approach to ingredient sourcing will not only help to boost countries’ self-sufficiency in essential food supply but will also make food production more climate resilient.

Legislation to push greater nutritional balance and commodity sustainability

Beyond reducing sugar, salt and fat, controlling a product’s food matrix will become key amid the ultra-processed food debate. On the sustainability front, the EU’s Deforestation Regulation will be among the most influential laws on food production systems.

 

Why read this report?
Key findings
The need for ingredient diversification: Key statistics in 2024
Food systems will need to work for an extra billion consumers by 2040
Health, sustainability and regulation pressures call for a rethink of ingredient strategies
Consumer priorities: Affordable and nutritional food first; but taste and sustainability matter
Food price increases most damaging in Africa and Southeast Asia
Prevalence of diet-related diseases leads to legislative pressures on food industry
Nutritional imbalances to bridge vary by market development
Addressing nutrient gaps in developing markets: Nutritional density and affordability are key
Micronutrients in focus in developing world; fibre and protein in mature regions
Health benefit messaging will help consumers link ingredients to particular value adds
Gut-organ approach to health to drive much innovation; fibre the most popular nutrient
In the West, appetite supressing drugs call for complementary nutritional solutions
Health segmentation: Seniors, women and new consumption occasions
Regenerative agriculture or food bioengineering? Nuances in how consumers value natural
Food supply and ingredient sourcing forced to evolve under new sustainability pressures
Lack of agro-biodiversity jeopardises ecosystems and hampers good nutrition
Environmental impact weighs on top commodities and call for more crop diversity
China, key to global sustainability, needs a broader, swifter transition to non-animal protein
Greatest need for alt proteins: Tropics, developing markets
Top fruit and wheat among most volatile commodities
In mature markets, look to food upcycling to unlock new, long-term opportunities
Alternatives crops need to be part of the transition to sustainability
Evolving ingredient strategies to meet future consumer and planetary needs
Alternative proteins to remain a feverish space for innovation
Health and nutrition to remain a major axis of regulatory developments globally
Towards stricter labelling and new taxes on critical nutrients and “ultra-processed food”
With sweet snacks, call for reformulation and new recipes comes for savoury processed foods
Governmental policies for crop diversification: India pivots from rice to seeds and pulses
Food bio-engineering has a place in future foods but agro-biodiversity must remain priority
EU Deforestation Law: Traceability and certification will be key
Recommendations in the short/medium/long term
Our expert’s view on the topic
Questions we are asking

Health and Wellness

Health and Wellness encompasses a number of key claims made on a food or drink products that suggest a health and/or wellness positioning. It comprises positionings relating to better for you, dietary and free from, fortified/functional, health benefit, natural and organic. Please note that data is not available at this level or other aggregated claim levels.

See all of our definitions
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