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According to the latest market study on “Southeast Asia Spices and Herbs Market Forecast to 2031 – Regional Share, Trend, and Growth Opportunity Analysis – by Type, Category, and End Use,” the market was valued at US$ 2.35 billion in 2023 and is projected to reach US$ 3.51 billion by 2031; it is anticipated to record a CAGR of 5.1% from 2023 to 2031. The Southeast Asia spices and herbs market report highlights key factors contributing to the market size and prominent players along with their developments in the market.
Spices and herbs are essential components of culinary arts, lending depth and character to a wide array of dishes. Their role in enhancing flavor and aroma is unparalleled, and they have been valued for their health benefits and healing properties for centuries. As consumers increasingly prioritize natural and healthy ingredients, the demand for spices and herbs is surging. This shift is driven by a growing awareness of the harmful impact of synthetic additives and a desire for more natural food products. As a result, the food & beverages industry is innovating to meet this demand, reflecting the increasing importance of spices and herbs in modern cuisine.
Southeast Asia Spices and Herbs Market Breakdown – by Region
Southeast Asia Spices and Herbs Market Size and Forecast (2021 - 2031), Global and Regional Share, Trend, and Growth Opportunity Analysis Report Coverage: By Type (Chilies, Turmeric, Ginger, Garlic, Cumin, Oregano, Basil, Parsley, Bay Leaves, and Others), Category (Conventional and Organic), and End Use (Food Processing, Food Retail, and Food Service)
Southeast Asia Spices and Herbs Market Report 2031
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In recent years, health awareness has increased significantly among Southeast Asian people. Due to increasing disposable income, consumers are willing to spend extra on healthy products. Bioactive compounds present in spices and herbs are responsible for improving health when they function for antioxidant, anti-inflammatory, anticancer, antimicrobial, and antiviral activities. National Foundation for Cancer Research mentions that certain herbs and spices have proven to prevent cancer, lower cholesterol-level, and improve overall human health. In folk medicine, turmeric is used for stomach, gynecological, liver, and blood diseases. It has also been suggested for treating proinflammatory diseases, cancer, diabetes, obesity, and atherosclerosis.
Turmeric, native to India and Southeast Asia, is commonly used as food coloring in Asian dishes and is gaining popularity in the food industry as an immune-boosting ingredient. Ginger and garlic aid in reducing stomachache and nausea. Similarly, lemongrass has anti-fungal and antibacterial properties. Lemongrass contains inflammation-fighting compounds isoorientin, chlorogenic acid, and swertiajaponin. Moreover, consumers in the region are significantly consuming chamomile herbal tea. It aids in muscle spasms, menstrual disorders, insomnia, and ulcers. Thus, the health benefits associated with spices and herbs bolster the Southeast Asia spices and herbs market size. Also, various Southeast Asia spices and herbs market trends support the market growth in the region.
Over the past few years, sustainability has become an important aspect of the food industry. Consumers increasingly seek products that reflect ethical treatment and fair compensation for farmers and workers. Moreover, they are looking for products with a low environmental impact. Manufacturers also focus on biodegradable or recyclable packaging, low carbon emissions throughout the process, and raw material procurement from local farmers. Traders that purchase these products on fairtrade terms must pay producers a premium of 15% on top of the commercial sales price. In Southeast Asia, Indonesia and Vietnam are top fairtrade premium-generating countries. According to Fairtrade International, Indonesia generated US$ 4,068,635.1 fairtrade premium, and Vietnam generated US$ 837,408.8. As per the same source, Indonesia sold 848 metric tons of herbs, herbal tea, and spices on fairtrade terms in 2021, which is the highest in Asian countries,
Moreover, awareness about fairtrade is low in other Southeast Asian countries such as Thailand, Vietnam, Malaysia, and the Philippines. Many traders and buyers are looking into new markets and product possibilities for both international and domestic markets, but they have limited knowledge of fairtrade products. Thus, various organizations are creating awareness about fairtrade. Fairtrade Network of Asia & Pacific Producer (NAPP), with the co-funding support of Fairtrade Germany and the European Union, organized the event—THAIFEX-Anuga 2022 from May 24–28, 2022, in Bangkok (Thailand)—to promote the local fairtrade-certified products to potential buyers and traders.
Rising awareness about environmental impact, consumer demand, and international regulations have prompted various application industries to seek sustainably produced and fairtrade-certified ingredients. Thus, manufacturers of spices and herbs adopt fairtrade strategies to expand their product portfolio in order to fulfill the increasing demand for sustainably sourced and fairtrade spices and herbs.
Thus, the rising awareness and preference for fairtrade and sustainably sourced ingredients are expected to provide lucrative opportunities for the Southeast Asia spices and herbs market growth during the forecast period.
The Southeast Asia spices and herbs market analysis is carried out by identifying and evaluating key players in the market across different regions. McCormick & Co Inc, Molinos de la Especia Inc., Badia Spices, Inc., PT. Aroma Maharani Rempah, PT. Sari Bumbu Indonesia, Gyllmarc Ingredients Incorporated, PT. Terra Madia Selaras, PT. Supa Surya Niaga, Natraco Spices Indonesia, and East Java & Co are among the key players operating in the Southeast Asia spices and herbs market.
The report includes the segmentation of the Southeast Asia Spices and Herbs Market as follows:
The market is segmented on the basis of type, category, and end use. Based on type, the market is segmented into chilies, turmeric, ginger, garlic, cumin, oregano, basil, parsley, bay leaves, and others. By category, the market is divided into organic and conventional. In terms of end use, the market is segmented into food processing, food retail, and food service. The scope of the Southeast Asia spices and herbs market report focuses on Indonesia, Singapore, Malaysia, Thailand, the Philippines, Vietnam, and the Rest of Southeast Asia.
Based on type, the chilies subsegment held a significant Southeast Asia spices and herbs market share in 2023. Chilies are used to add flavors, color, and spice in many Southeast Asian cuisines and are considered among the staple ingredients. Birdseye chili is a key ingredient in many Southeast Asian dishes and is often referred to as the Red Thai Chili Pepper due to its role in Thai cuisine. Changing dietary preferences and the influence of globalization have led to an increased consumption of spicy food in Southeast Asia. Further, the versatility of chilies, which can be used in various forms, such as fresh and dried, make them a sought-after ingredient in traditional and modern cooking.
In terms of category, the organic segment held a significant Southeast Asia spices and herbs market share in 2023. Organic spices and herbs are produced without synthetic pesticides, fertilizers, genetically modified organisms, or irradiation. These products adhere to strict organic standards, ensuring they are grown and processed in an environmentally sustainable manner that prioritizes soil health and biodiversity. As consumers become more health conscious and environmentally aware, there is a growing preference for organic products perceived as safer and more sustainable alternatives to conventionally grown produce. The growing popularity of organic diets and lifestyle, influenced by global health and wellness trends, drives the demand for organic spices and herbs as consumers prioritize the quality and purity of their food ingredients.
The market for spices and herbs in Southeast Asia was valued at more than US$ 2,351.64 million in 2023. The presence of a thriving food processing industry in the region has significantly supported the Southeast Asia spices and herbs market growth in the region. The demand for spices and herbs in the food and beverage business has been on the rise, leading to new opportunities for food and ingredient manufacturers. As spices and herbs are versatile food ingredients, finding applications in seasonings, flavorings, salad dressings, and beverage formulas across the food service industry, the market value share of spices is notably high. The adaptability of spices and herbs, coupled with their diverse uses, has contributed to their increasing demand and consumption in Southeast Asia's food market. Furthermore, the economic impact of the food processing industry in Southeast Asia is substantial, with the sector contributing significantly to the region's economic output, job creation, and tax revenues, indirectly supporting the Southeast Asia spices and herbs market. The robust growth and economic impact of the food processing industry, along with supportive policies and the sector's resilience during challenging times, have collectively contributed to the market growth of spices and herbs in Southeast Asia, making it an integral part of the region's economic landscape and a key driver of economic growth and stability.
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