APAC, Middle East consumers are demanding natural ingredients in fragrances

According to Euromonitor, natural fragrances have been particularly successful over 2016.

Maria Coronado, Ingredients Associate Analyst at Euromonitor comments, “Multicultural consumers seek natural ingredients and fragrances are not an exception. Natural fragrances are gaining popularity and its use in the beauty and personal care industry is increasing globally, especially in Asia Pacific and the Middle East.” 

Euromonitor International has found that between 2015 and 2020, essential oils are expected to growth in beauty and personal care products at 5% CAGR in Asia-Pacific and 6% in the Middle East.

Consumer trend towards greener and healthier lifestyles is influencing the ingredients market. Big players such as Firmenich, Givaudan and Symrise are finding inspiration in nature and expanding their natural ingredients portfolio. Demand for these ingredients is expected to continue driven by demand from multicultural consumers, the global trend towards greener lifestyles, as well as the trend toward simpler formulations with fewer chemicals (freefrom claims and clean labelling) and towards multifunctional ingredients that can provide additional benefits besides aroma such as being antioxidants, anti-inflammatories, anti-pollutants, anti-stress, conditioning or emollients.

Coronado explains, “Although the demand for natural fragrances is increasing, the volumes of essential oils used in beauty and personal care are still far lower than volumes of synthetic fragrances. Naturals are no doubt on the rise, however, a key factor that can limit the growth of essential oils in certain applications is price volatility due to the high manufacturing cost of natural fragrances compared to synthetic ingredients and the insecure supply of ingredients derived from plants which is affected by uncontrollable and unpredictable factors such as weather and climate. 

"Production of these ingredients is also concentrated in some specific areas in Asia, Africa or Latin America with high biodiversity and this usually implies long-distance travel from these areas to the manufacturing point which has implications in prices and sustainability (transport emissions). In addition, properties such as product shelf life, aroma stability, and some of the organoleptic* properties of natural ingredients such as colour, aroma intensity or transparency might also limit its potential use.”

*Influencing the organs of sight, sound, smell etc.

Thomson Reuters launches Islamic Agribusiness Index for Asia Pacific excluding Japan

Thomson Reuters has launched the Islamic Asia Pacific Ex-Japan Islamic Agribusiness Index, covering 30 shari'ah compliant companies in the Asia Pacific region with revenues derived directly from agricultural products. It is the first index of its kind in the Asia Pacific region, the company said.

The Thomson Reuters Islamic Asia Pacific Ex-Japan Agribusiness Index combines Thomson Reuters transparent rules-based methodology with IdealRatings' expertise and research-based approach to shari'ah-compliant screening.

In addition, the index uses Thomson Reuters Business Classification (TRBC) to select companies engaged in upstream agricultural activities. TRBC has five levels of classification enabling a more accurate and granular selection of companies. This allows Thomson Reuters to systematically include industries and business activities which derive revenue from agricultural produce such as dairy producers or fertiliser while excluding activities related to agricultural product manufacturing which are not considered to be part of the agribusiness sector.

Thomson Reuters has supported Islamic finance for over 30 years, offering shari'ah compliant investment and trading solutions for financial professionals. Said Stephan Flagel, Head of Indices at Thomson Reuters: “The index provides rules-based, liquid and transparent exposure to companies within the fast growing Asian agribusiness sector. Bringing the efficiency and transparency expected in advanced financial markets to the rapidly growing Islamic finance industry requires the provision of deep and reliable market indicators, benchmarks and terms and conditions.”

The index will be tracked by an exchange-traded fund (ETF) provided by i-VCAP Management which was launched on the same day and is named MyETF Thomson Reuters Asia Pacific ex-Japan Islamic Agribusiness. The newly-launched ETF will offer investors exposure to the performance of the index and is the first agricultural-related Islamic ETF available globally and the first Islamic sector ETF available in the region, adding to ETFs worth US$2 billion based on Thomson Reuters indices globally.

The Thomson Reuters Islamic Asia Pacific Ex-Japan Agribusiness Index is calculated in real time and will be available through Thomson Reuters Eikon.

Halal cosmetics market in Asia Pacific to enjoy nearly 10% CAGR through to 2020

Increasing awareness about halal-certified products has boosted the demand for halal cosmetics, according to Halal Cosmetics Market: Asia Pacific Industry Analysis and Opportunity Assessment 2015 - 2020 from Future Market Insights (FMI). 

FMI forecasts that the halal cosmetics market in Asia Pacific will witness a 9.9% CAGR from 2015 to 2020. “As more consumers in Asia Pacific gain awareness about the ingredients used in conventional cosmetics and their transdermal nature, demand for halal cosmetics will increase. This will prompt manufacturers to diversify their product offerings and introduce halal-certified products in the market,”, says a spokesperson from FMI.

Colour cosmetics (cosmetics to add colour to the skin) accounted for 37.4% share of the halal cosmetics market in 2014. FMI estimates that this segment will witness a 10.3% CAGR during the forecast period. Lipcare and facecare collectively accounted for over 65% of the market share for colour cosmetics in 2014, with the remainder comprising eyecare and nailcare. FMI estimates the lipcare segment to grow at a 10.5% CAGR through to 2020, with a valuation of US$400.6 million that year.


FMI also revealed that skincare is the next-most lucrative segment after colour cosmetics, accounting for over 30% share of the market in 2014. FMI predicts that it will grow at a 10% CAGR by 2020.

FMI’s analysis further found that Southeast Asia is the most lucrative market for halal cosmetics in Asia Pacific. It was valued at US$863.7 million in 2014, and FMI estimates that it will expand at a 10.2% CAGR to be worth US$1.5 billion by 2020. On the other hand, the halal cosmetics market in South Asia was worth US$342.9 million in 2014. FMI predicts the halal cosmetics market in South Asia will see a CAGR of 9.9% through 2020, reaching a valuation of US$599.6 million by 2020.

Key players in the Asia Pacific halal cosmetics market include INIKA, Martha Tilaar, Wipro Unza, Clara International, the Brataco group of companies, Ivy Beauty Corporation, and Paragon Technology and Innovation.

Interested?

Browse the Halal Cosmetics Market: Asia Pacific Industry Analysis and Opportunity Assessment 2015 - 2020 report 

Muslims to be largest religious group in Asia Pacific by 2050

Muslim populations are expected to grow in absolute number in all regions of the world between 2010 and 2050, says the Future of World Religions project from Pew Research. In the Asia-Pacific region, for instance, the Muslim population is expected to reach nearly 1.5 billion by 2050, up from roughly 1 billion in 2010. The number of Muslims in the Middle East-North Africa region is expected to increase from about 300 million in 2010 to more than 550 million in 2050.

The Asia-Pacific region is expected to remain the home of a majority of the world’s Muslims. However, the share of the global Muslim population living in several Asian countries with large Muslim populations (such as Indonesia, Pakistan and Bangladesh) is anticipated to decline between 2010 and 2050. While 62% of the world’s Muslims lived in Asia and the Pacific in 2010, 53% are projected to live in the region in 2050. Although a smaller share of the world’s Muslims are projected to live in the Asia-Pacific region in 2050 compared with 2010, the share of the region’s population that is Muslim is expected to grow from 24% in 2010 to nearly 30% in 2050. In fact, Muslims are projected to surpass Hindus and become the largest religious group in the Asia-Pacific region by 2050.

The Middle East-North Africa region is predominantly Muslim, but as of 2010, only one-in-five Muslims lived in that part of the world. By 2050, about the same share of the global Muslim population is expected to live in the Middle East and North Africa (20%). With the bulk of the Middle East-North Africa region’s population being Muslim, the overall growth for Muslims there (74%) is expected to be about the same as the region overall (73%).

Muslims made up 14% of India’s population in 2010; they are expected to rise to 18% in 2050. Less than half of Nigeria’s population (49%) was Muslim in 2010, but Muslims are expected to make up a majority of the population (59%) in 2050.

As of 2010, Indonesia had the largest number of Muslims (about 209 million Muslims, or about 13% of the world’s Muslims), followed by India (176 million, or about 11%), Pakistan (167 million, 10%) and Bangladesh (134 million, 8%). Nigeria, Egypt, Iran and Turkey each also had more than 70 million Muslims in 2010.

With the exception of India, where Muslims are a minority religious group, and Nigeria, where Muslims made up nearly half the population, the other eight countries on the list each had a large Muslim majority in 2010.

India is projected to have the world’s largest Muslim population in 2050 (311 million), while Pakistan is expected to have the second-most Muslims (273 million). Indonesia – the country with the largest number of Muslims in 2010 – is expected to fall to third place by 2050, with 257 million Muslims. Nigeria is forecast to rank fourth, with about 231 million Muslims at mid-century.

By 2050, Iraq and Afghanistan are expected to join the list of countries with the 10 largest Muslim populations. All told, more than six-in-ten of the world’s Muslims (62%) are projected to live in the 10 countries with the most Muslims in 2050, slightly smaller than the share of the world’s Muslims that lived in the top 10 countries in 2010 (66%).

posted from Bloggeroid

PCR-based food testing to grow at a CAGR of 11% through to 2016

During the past three decades since its invention, the polymerase chain reaction method (PCR) has become a fundamental method for analysis in life sciences. While developed countries still dominate the PCR market, emerging markets are showing strong growth trends. 

A September study from Acubiz Consulting titled The Asia Pacific Markets for PCR Technologies identifies market dynamics in various countries in the Asia Pacific (APAC) region and forecasts the potential of the market related to product segments, technology segments, and end-use segments. 

The global demand for PCR was around US$10.6 billion in 2013. Even though North America had the highest market share in 2013, the Asia Pacific region is forecast to grow at a CAGR of over 11% between 2013 and 2018.

The application segments of this platform are still expanding, driven by the expiry of key PCR patents. The rising investments in the field of companion diagnostics have also been boosting the demand for PCR. Food safety testing is another significant end-use segment of the technology, driven by both consumer demand and regulatory requirements. Identifying the animal origin of meat products is another application.

Companies featured in this report include Abbott Laboratories,
Arachem, Cepheid, Fisher Biotec, KogeneBiotech and Seegene.

Mobile-based searches for Eid have grown from 2012 to 2014

An overview of summer (Editor's note: roughly June to August) rituals in Asia by Google has seen a large rise in mobile searches about Eid this year compared to last year. 

According to an August 7 blog post by Dušan Farrington, Communications Manager, Google Asia Pacific, mobile searches around 'Eid' in India, Indonesia, Malaysia, the Philippines and Singapore went up substantially from January to June. It appears that roughly 15% of searches for 'Eid' in June 2014 were from mobile phones whereas more than 25% of the searches by June 2014 were mobile-based. The figures as provided do not indicate how many searches were made, or if more searches were made in 2014 compared to 2013.

Ramadhan began in late June and Eid Al-Fitr 2014 was in late July so it is likely that the figures would continue going up all the way to July, and then spike again in early October for Eid Al-Adha. The double spikes seen for 2012 and 2013 indicate when the two Eids occurred. Eid Al-Fitr 2013 was about August 7 while Eid Al-Adha 2013 was around mid-October. Eid Al-Fitr 2012 was around August 18 while Eid Al-Adha 2012 was around 24 October.  

Image source: Google Asia Pacific blog. Mobile Percentage of Eid-related
searches in Indonesia, India, Malaysia, Philippines, and Singapore
Data source: Google Data, 2013–2014

*The Islamic calendar is based on the moon and moves a few days earlier every year.

*The formal start of a month may depend on whether the moon can be physically sighted, so different countries or areas would have months that start and end on different days. The difference would typically be no more than a day.

*There are two Eids every year, slightly over two Islamic months apart.

Bancatakaful has great potential for Asia Pacific insurance markets

As Asia Pacific insurance markets look to grow further, a new frontier will be observing the rules and regulations of Islamic law, or 'bancatakaful', says Jacob Fleming Asia, the organisers of the third annual APAC Bancassurance Forum. The event is to be held 24 and 25 September in Kuala Lumpur, Malaysia at the Prince Hotel & Residence Kuala Lumpur.

Nur Ain Ramli, Vice President and Head of Wealth Management, Bank Muamalat, who is speaking at the event on the topic 'The critical success factors in developing Bancatakaful business in Malaysia', said: "Islamic finance and takaful is in the fast lane of a growing global phenomenon, contributing positively and substantially to the world economy. The main spread of Islamic finance and takaful has been in Malaysia and some parts of Asia, the Middle East, Europe and Africa. 

"In term of takaful premium growth rates in ASEAN, 71% is in Malaysia. With high GDP levels and fast improving affluence of the middle class, I therefore foresee Bancatakaful will definitely be the centre stage not only in Malaysia but the rest of ASEAN countries in the near future too. The reason is simple, it lies on the unique proposition and the values of takaful and Islamic wealth management."Bancassurance, the sale of retail insurance products through banks as mediums, faces challenges such as poor manpower management, lack of call centres, no personal contact with customers, and inadequate incentives to agents. 

Some of the key topics that would be chaired in the 3rd Annual APAC Bancassurance Forum include the ideal bancassurance model, talent management and the concept of open architecture in bancassurance. A discussion on sustaining bancatakaful growth in the region is also planned.

The 3rd Annual APAC Bancassurance Forum is supported by the Malaysian Takaful Association, Asian Bankers Association and International Insurance Society. 

APAC halal cosmetics and personal care market to grow 11% through to 2018

Research and Markets has introduced the Halal Cosmetics and Personal Care Market in the APAC Region 2014-2018 report, which predicts that the halal cosmetics and personal care market in the APAC region will grow at a CAGR of 11% from 2013 to 2018. 
 
One of the emerging trends in the market is the increase in awareness about the transdermal penetration of cosmetics. For instance, lipstick applied on the lips could be ingested and there are a few chemicals in such cosmetics and also in personal care products which can directly enter the blood stream. If such products contain any animal ingredients that are not permissible, then the penetration or ingestion of such products is a major concern for Muslim end-users. 

The growing number of Muslims in Asia Pacific, the primary consumers of halal products, is leading to an increase in the consumption of halal cosmetic and personal care products. The challenge comes with trying to obtain certification of products by credible bodies. 

Key regions covered include Malaysia, Indonesia, Pakistan, India, Bangladesh, Thailand, China, New Zealand and Australia. The major vendors in this space are INIKA Cosmetics, Ivy Beauty Corp., Martha Tilaar Group, and PT Paragon Technology and Innovation. Colgate-Palmolive, INGLOT, Jetaine Corp., Muslimah Manufacturing, Tanamera Tropical Spa and Wipro Unza Holdings are also discussed.