Pasta Market

The global pasta market has witnessed significant growth over the last few years and is projected to register a 5.28% CAGR during the forecast period. The key drivers fueling the growth of the global pasta market are consumer’s demand for healthy food & beverages: fortification of pasta, increasing demand for convenience food, the rapid growth of the foodservice industry, and ready product availability and easy production. However, consumer acceptance, regulatory framework, negative branding, and high competition are set to restrict market growth. Nevertheless, the growing consumer demand for certified products, growing demand for clean label products, and the growing retail sector are expected to present lucrative opportunities for players operating in the global market during the forecast period.

Fortification of pasta is done to ensure that the most vulnerable groups of the population benefit from food fortification. Here the fortified food must be consumed on a regular basis and in regular amounts throughout the year. Additionally, it should be centrally manufactured by a smaller number of plants so that micronutrients can be added in controlled conditions and monitored effectively. The choice of micronutrients and amounts to be added should be based on the consumption patterns of the food and micronutrient needs of the population while remaining within the safe upper limits of micronutrient intake. In the case of pasta, a non-staple food, a micronutrient fortification level of 10–30% of the RDA per serving (usually, about one package of 55 grams) can complement any existing fortification of staple foods. Furthermore, the bioavailability of the fortificant must be considered while determining the amount of the fortificant added.

Pasta can be fortified either by fortifying the flour used to make the different kinds of pasta or by fortifying the seasoning mixture consumed along with the portions of pasta. Micronutrients such as vitamin A, B1, B2, niacin, folic acid, iron, and iodine are added. However, the micronutrients and their overages will vary with each approach. The new products launched by various key players are pasta fortified with iron, in which dried ferrous sulfate is the preferred form of iron used to fortify wheat flour that is used within 1-2 months of production, electrolytic iron, ferrous fumarate are better suited for wheat flour that is stored for a longer time before being used in pasta production. Electrolytic iron can also be an appropriate form of fortificant for pasta seasoning to minimize sensory problems. Thus, the increasing consumer demand for healthy food & beverages, including fortified pasta, is expected to drive the growth of the global pasta market during the forecast period.

Quality assurance and control ensure that the manufactured food is safe, unadulterated, properly labeled, and meets all company quality specifications and government regulations. The quality control procedures for the fortification step can be easily incorporated into the existing quality assurance system for manufacturing pasta. Micronutrient premixes must be tested against the reference standards. Additionally, periodic testing must be conducted to ensure that the desired amounts of micronutrients are present in the final product, especially the most unstable ones, including vitamin A. The quality criteria must be established for all key characteristics of a product, including fortification levels. Therefore, facilities, procedures, and properly trained staff are highly essential. The determination of niacin, vitamins A, B1, B2, and B6, and folic acid is done using quantitative methods that engage the usage of an HPLC or a spectrophotometer. Mineral content (such as iron) can be determined using atomic absorption or spectrophotometric methods. When pasta is fortified with more than one micronutrient using vitamin-mineral premixes, one micronutrient (such as iron) can be chosen as a reference nutrient, and its level is determined during routine quality control procedures. However, all micronutrients should be determined occasionally to ensure adequate fortification with all micronutrients intended to be present in the food product. Certified pasta by the authorities has created a huge opportunity for the key players. The key players have shifted their primary focus area and have started to invest in the certification of the products, such as gluten-free, organic, and vegan. Hence, certification is expected to fuel the demand for certified pasta, creating a growth opportunity for the players operating in the global pasta market during the forecast period.

Consumers lack confidence in pasta consumption and often believe that it contains refined flour, high gluten content, and other chemical preservatives. Additionally, pasta are often cheaper than fresh produce due to lower production costs, which eventually affects a consumer’s perception of product quality. Currently, with growing consumer indulgence and their increasing awareness, it becomes imperative to understand or identify their attributes and behaviours to be efficient in catering to their needs. Contemporary consumer culture involves consumers going for experience instead of things. Pasta has an image problem as consumers perceive it to be processed food loaded with synthetic preservatives being inferior in quality. Their buying behaviour is also indirectly affected by lower prices. For instance, the recent incident regarding Maggi Pasta negatively impacted the sales of pasta in India and other countries. Food safety reports stated high lead content in the Maggi Noodles, which indirectly affected the sales of RTE pasta as well. As a result, many key players ensure strict monitoring and quality checks of all the raw materials used, including water quality checks. Thus, customer reluctance is expected to restrict the growth of the global pasta market during the forecast period.

When it comes to food, it is such an emotional topic as consumers’ spending behavior is determined by consumers' loyalty towards certain brands. Consumers opt for brands that are recognizable and can connect with their emotions. The pasta industry is highly fragmented, and consumers majorly prefer branded pasta over non-branded ones, which poses a challenge for new market players to establish themselves. For instance, in India, Nestle Maggi is the most preferred brand. With the increasing number of government authorities relaxing custom and excise duties on machinery and transport equipment associated with processed food production, reducing the costs associated with supply chain operations will invite more national and international brands to enter various product categories. However, new players need capital investment to set up the business and brand & position their product to attract consumer attention and questions their locality towards other brands.