SINGAPORE, July 5, 2022 – Ingredion Incorporated (NYSE: INGR), a leading global provider of ingredient solutions to the food and beverage manufacturing industry, today shared the first-ever research which highlights the profit potential of clean label formulations. In this study, conducted with global product developers across large and mid-sized food companies, 40% of global manufacturers reported taking price increases, and 58% reported an increase in overall revenue after converting to and making clean label claims.

"The new research shows that clean labels can generate increased revenue in addition to creating substantial consumer value," said Daniel Haley, global platform leader for Clean & Simple Ingredients at Ingredion. "Our proprietary ATLAS data shows what percentage consumers are willing to pay extra for clean label formulas at the country and product levels. Now we have an understanding into what food formulators need from us to grow their business and power profits.”

More than half of the respondents shared that offering clean label foods or beverages is a priority within their company’s overall business strategy. Globally, all four regions reported at least half of their portfolios have already converted to clean label formulations and have plans to increase their clean label efforts in the next 2-3 years The Asia Pacific region reports greater than 50% conversion to clean label formulations across its product portfolios. In the next 2-3 years, an additional 15% of product portfolios are projected to convert to clean labels as well. The finding also revealed that partnerships between R&D, procurement and marketing proved to be a key factor to successful conversions to clean label.

Respondents noted three key barriers to clean label development, including:

1. Cost: One-third (34%) of manufacturers globally say the cost of clean label ingredients is a barrier for reformulation.
2. Shelf Life: All product categories and all markets noted reduced shelf life as a challenge to clean label formulation.
3. Lack of Formulation Expertise: Nearly 3 in 10 companies experienced difficulty formulating with clean label ingredients due to inexperience with specialised ingredients.

Surveyed companies said they are planning clean label formulations in all food categories; highest priorities are in the beverages and bakery categories. The Asia Pacific region in particular will grow 10% for clean label sweet bakery products, and 9% for clean label savoury products in the next 2-3 years.

Ingredion, which kickstarted the clean label movement 25 years ago with the introduction of NOVATION^® and has the broadest portfolio of clean label ingredients of any supplier in the world, conducted this latest global clean label study in August 2021. Insights from the study, along with Ingredion’s preeminent ATLAS consumer research, last updated in 2020, on ingredient acceptability and awareness, can be found on the company’s website.

About Ingredion

Ingredion Incorporated (NYSE: INGR) is a leading global ingredient solutions provider with customers in more than 120 countries and has annual net sales of nearly $7 billion. Headquartered outside of Chicago, the company turns grains, fruits, vegetables, and other plant-based materials into ingredient solutions for the food, beverage, animal nutrition, brewing and industrial markets. Ingredion has Idea Labs^® innovation centres around the world and more than 12,000 employees. It also co-creates new products with customers and successfully collaborates with the best people, nature-based ingredients and cutting-edge technology to create ingredient solutions. Visit apac.ingredion.com for more information and to read the latest company news.