Functional extracts are naturally occurring phytonutrients derived from fruits, vegetables, tea and other plants that can intensify nutritional profile of daily food, drinks, and other nutritional supplements. Functional extracts are composed of different phytonutritional value-added components such as antioxidants, sugars, carotenoids which don't disturb the taste and texture of the food.

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The major factors driving the growth of functional extract market are growing demand for nutritional supplements, increasing awareness in consumers about health and well-being which led to the increase in the use of functional extracts in their daily nutritional supplements intake. While there is a large number of artificial nutritional supplements in the market, but consumers prefer functional extracts from plants which are natural sources of desired nutrients due to its health and dietary benefits. Functional extracts from different plant resources provide different nutrients such as Beta-carotenes of vitamins, thereby make daily diet food more value-riched. In developed countries, the functional extracts market is leading concerning revenue due to increasing awareness and demand among consumers. APEJ market for functional extracts is expected to grow in terms of CAGR over the forecast period.

The functional extract market is segmented into source, application type, form, and geography. Among application type, food and beverages segment is the leading segment of functional extract market attributed to growing concerns for health and wellness among consumers.

Functional extracts can be used in the form of powder and liquid, with the usage in nutritional powder products and beverage manufacturing process respectively. Demand for the healthy food and nutritional supplements enhance the market growth of functional extracts.

Based on geography, the functional extract market is categorized into seven key regions including North America, Japan, Eastern Europe, Western Europe, Asia Pacific excluding Japan, Latin America and The Middle East and Africa. Functional extract market is expected to register healthy growth in upcoming years due to high demand for food and nutritional supplements for health and wellness among consumers across the globe. The Asia Pacific represents the considerably high market share and grows with the relatively high growth rate in the forecast period. North America and Europe are the leading in terms of revenue in the functional extract market.

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Rising awareness among young population is driving the market for functional extract among the regions such as Asia Pacific and North America. Functional extract market is projected to register healthy growth due to rising consumption of the nutritional food and beverages across the globe. Asia Pacific region is expected to witness rapid growth during the forecast primarily attributed to the growth of the nutritional food and supplements, especially in China and India.

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