Create Flavours has experienced increasing demand from its customers for new products to be of natural ingredients, and old products to be reformulated.
As a result, it has invested in the creation of a natural flavours division that will have R&D facilities to support the demand.
The new division is intended to identify future flavours based on the latest market trends as well as identifying voids in current natural collection.
It will also source new raw material, upgrade the natural flavours collection and track existing and future legislative detail regarding natural flavours.
The company supplies flavours to a wide range of sweet and savoury markets, such as cereals, beverages and confectionery.
It has been trading since 2001 and provides products mainly to the UK and Ireland, but also to Europe, and exporting some products to Africa.
Commercial director, Damian Bellusci: " We feel that by creating a separate division with its own set of strategic objectives geared solely around the development and growth of the natural flavour market, we will create a unique competitive advantage over our main competitors within this market place."
This is not the first time a company has developed its activities to suit the current market trends, dedicating sectors to the production of natural flavourings.
Mastertaste has a strong natural flavourings department and, earlier this year, Symrise completed a new plant in Germany to meet the demand for natural flavourings for beverages.
Meanwhile, Germany-based Wild only produces flavours made from natural ingredients.
The number of briefs received from Create's customers for flavours containing natural ingredients so far this financial year is up 55 per cent compared to 2005/2006.
Two years ago, about a quarter of briefs were for natural products.
Now the demand is closer to a third.
Recent research conducted by the company, analysing the growing trend for natural products, concluded that the demand for natural flavours will increase by over 35 per cent in the next three years, growing to represent almost half the briefs in 2008/2009.
Create Flavours managing director Jon Jones said: "We always listen carefully to what our customers are telling us.
Today's consumers are more aware than ever of the authenticity of food."
Bellusci told FoodNavigator.com: "Obviously the restructuring requires some investment, but we will hopefully earn it back in the first two years of it operations."
The demand for natural flavours has been spurred by a growing well being trend and consumer preference for healthy foods that contribute to a healthy lifestyle.
This is coupled with increasing mistrust of artificial additives and E numbers, fuelled by recent studies suggesting their side effects.