Processed Fruits and Vegetables Market size to exceed $425bn by 2026
Published Date: January 6, 2021 Authors: Kunal Ahuja, Amit Rawat
Processed fruits and vegetables market size is set to exceed USD 425 Billion by 2026, according to a new research report by Global Market Insights, Inc
Processed fruits & vegetables industry is anticipated to grow due to increasing technological advancement and usage of several processing equipment. Pre-processing equipment permits faster cooling of fresh fruits & vegetables after the harvesting stage, thereby restricting the deterioration and preservation of fresh produce in a condition suitable for the processing of fruits and vegetables. Vegetables, such as corn, peas, and tomatoes, require rigidly scheduled harvesting and processing for capturing their peak quality. Tropical fruits including guava and mango are processed by the destoning/pulper unit while the juice from citrus fruits can be extracted without removing the peel. New pre-processing technologies including pulsed electric fields, ohmic heating, radio frequency, microwave, and application of high pressure are currently being adopted by the fruit & vegetable processors.
Advanced packaging solutions along with attractive packaging designs offered by key industry participants to increase their product sales will help to proliferate processed fruits and vegetables market growth. Further, emergence of advent of packaging technique such as antimicrobial packaging which helps to produce fresh vegetables and fruits as well as facilitating the development of products in their natural form. In addition, innovations in packaging have facilitated the development of products with smaller quantities, thereby contributing to a variety of options for consumers.
Surging demand for ready-to-use food products should propel canned product growth
Processed fruits and vegetables market from canned segment is projected to register over 7% CAGR between 2020 and 2026. The canning of processed fruit and vegetable products mainly utilizes a combination of storing and heating procedure in air-tight containers to extend the shelf-life of foods. As per research studies, any food product that is processed or harvested can undergo the canning process. According to a recent study carried out by the Can Manufacturers Institute (CMI), most of the canned fruits and vegetables costed lower compared to fresh and frozen produce and contained the same quantity of nutrients. For instance, as per the Can Manufacturers Institute (CMI), in the U.S., canned foods costed almost half the cost compared to frozen foods and 20% lower cost compared to fresh foods.
Canned fruits, such as canned pineapple, cherries, and berries, actually contain higher nutrients, minerals, and vitamins compared to a few fresh fruit options. Major factors including easy availability and higher shelf-life compared to fresh fruits have boosted the requirement of canned fruits and vegetables. Canned food provides a convenient option in the form of ready-to-eat and easy-to-use option for the preparation of meals.
Browse key industry insights spread across 300 pages with 411 market data tables and 11 figures & charts from the report, “Processed Fruits and Vegetables Market Size By Type (Fruits, Vegetables), By Product (Fresh, Fresh-Cut, Canned, Frozen, Drying & Dehydration), By Processing Equipment (Pre-processing, Processing, Washing, Filling, Seasoning, Packaging), Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2020 – 2026” in detail along with the table of contents:
Intensifying demand among health enthusiast to spur the requirement of dried & dehydrated product
Dried and dehydrated processed fruits and vegetables market is projected to be the fastest growing product segment with a CAGR of 7.5 % by the end of the predicted period. Considerable growth in this segment can be attributed to exceptional taste along with high nutritional benefits. Dried fruits & vegetables possess better ability to retain vitamins and minerals compared to canned products. They are also easy to store and are light in weight. Dried & dehydrated fruits & vegetables are increasingly used as a healthy snacking option supported by the rise in per capita incomes and product innovations. Further, dried fruits are increasingly used in breakfast cereals, confectionery, dairy, snacks, desserts, and bakery applications. These listed reasons are attributing towards growth of processed fruits and vegetables.
“Processed fruits and vegetables market from dried & dehydrated product is stipulated to exceed USD 195 Billion by 2026, pertaining to increasing purchasing power of individuals along with increasing product penetration.”
Populations in both developed and emerging countries are increasingly amenable to food options owing to busy lifestyles and convenience offered by ready meals. The growing popularity of on-the-go trend among millennials and the young populace have further gained traction. For instance, millennials in the U.S. spend over USD 2,500 contributing to around 45% of their food spending on eating out. Quick-serve eateries have achieved notable growth by expanding their menus and shifting focus on price and convenience. The urban dual-income households are interestingly opting for easy food options to fit their lifestyles. In the past few years, ready meals have observed healthy growth rates globally with the emerging markets witnessing faster growth.
Asia Pacific Market Is Gaining Traction Owing to Rise in Consumption of Packaged Food Products
Asia Pacific processed fruits and vegetables market is anticipated to exceed USD 115 billion by 2026 pertaining to rise in the consumption of processed food along with increasing product penetration. Strong economic growth has enhanced disposable incomes, thus improving consumer expenditure on food & beverages. Increasing competition in the food & beverage industry owing to favorable FDI policies results in the penetration of multinational corporations, propelling the industry share. Countries including China, India, and Japan held around 85% revenue share in the regional processed fruits & vegetable market in 2018.
“Asia Pacific processed fruits and vegetables market is likely to register over 7.5% CAGR through 2026 owing to increasing demand for organic and processed food by millennials.”
Global processed fruits and vegetables market from processed vegetables type is projected to grow with the CAGR of 7% owing to its nutrition value and long shelf life. Vegetables are subjected to processing to extend the shelf-life of product and meet the shifting consumer preferences and tastes. Changing consumer lifestyles and eating habits resulted in an upsurge in the consumption of ready-to-eat and convenience food among millennials. The increasing demand for processed vegetables products owing to rise in the adoption of flexitarian lifestyle by consumers coupled with high antioxidants and nutrient content in vegetables, such as potassium, dietary fiber, vitamin C, and folate, will promulgate the industry outlook.
Prominent players operating in processed fruits and vegetables market are also investing in research and development activities as it has exponential demand for convinced food owing change in eating habits of individuals and hectic lifestyle. Some of the industry players operating in the market are Agrana, Dole Food Company Inc., Archer Daniels Midland Company, Pinnacle Foods, Nestle, B&G Foods, Conagra Foods, Albertsons Companies Inc., Kraft Heinz Company, Greencore Group Plc, SVZ International, Kroger, OLAM International, Sysco Corporation, J R Simplot Company, U.S. Foods Inc., and Total Produce PLC.