Global Organic Snack Market to Witness Potential Growth in the Coming Years – Projected to Reach Worth USD 18.3 Billion in 2027
Published | 13 August 2021
A recent study conducted by the strategic consulting and market research firm BlueWeave Consulting revealed that the global organic snack market was worth USD 8.75 billionin the year 2020. It is forecast to grow at the CAGR of 11.8% during 2021-2027 (forecast period), earning revenue of around USD USD 18.3 billionby the end of 2027.Organic snacks are healthy foods made from organic ingredients without the use of harmful artificial additives.In recent years, consumer awareness about health and nutrition has led to a greater demand for organic snacks and foods.Additionally, the growth of the organic snack market is driven by an increase in disposable income, increasing consumer spending, the desire for environmentally friendly products, and the trend of buying and exploring new products.However, due to expensive fertilizers, organic certification, and after-harvest handling costs, the high cost of production is a significant restraint for the global organic snack market.
Health Awareness Among Consumers
Health-conscious consumers are seeking out foods that are healthy, nutritious, and free of genetically modified organisms (GMO). According to the Organisation for Economic Co-operation and Development, obesity levels are particularly high in the U.S., Mexico, and the U.K., with 47%, 39%, and 35% of the population, respectively, expected to be obese by 2030, according to the Organisation for Economic Co-operation and Development.Such patterns have also led to a rapid shift in consumer buying trends. Many are opting to buy organic snacks over conventional snacks which have high calorie and low nutrition intake. The environment-friendly production of organic snacks is also appealing to consumers, which in turn is driving the demand for such products.
Advancements in Organic Flavors
A framework regarding certified organic flavors was published in 2019 by the Natural Organic Program (NOP), the national regulatory body of the U.S.Additionally, according to Organic Trade Association, there exist about 4,500 certified organic flavors available in the U.S. This new regulation would lead to organic food product innovation because it will be more flavor-friendly.These developments would, in turn, drive the growth of the global organic snack market. In 2018, 11 fast-food chains, including Taco Bell, Pizza Hut, Subway, and others, removed the usage of artificial flavors. Also, the U.S. Food and Drug Administration (FDA) has banned the use of artificial ingredients like ethyl acrylate, pyridine, and others in food products,resulting in a significant increase in organic ingredients used in food production.In response, many of such food chains have been promoting organic ingredients as ingredients for healthy meals and snacks. These advancements in the food industry are expected to boost sales of the global snack market in the forecast period.
Impact of COVID-19
The sudden outbreak of the pandemic has turned profitable for the global organic snack market.Finn Cottle, a trade consultant for Soil Association Certification, stated that organic product sales had remained brisk despite the COVID-19 pandemic.During the COVID-19 outbreak, organic snacks have sold better than conventional alternatives due to a greater awareness of health among the population.In response, consumers nowadays demand more food products that provide high nutrition, a low-calorie count, increase immunity, and have environmentally friendly processing.Thus,the pandemic has increased the demand for organic snacks, thereby propelling the market growth.
However,COVID-19-related public transportation and aviation restrictions have had a negative impact on the supply chain management of raw ingredients across countries. A large portion of organic food ingredients necessary for production comes from Asia, Latin America, and Africa.Transport restrictions in these regions have severely affected the production and availability of organic snacks for retail. Moreover, there has been a gap between the increased demand and reduced production of organic products during the pandemic. As a solution, many corporations are working on strengthening their distribution channels and investing in organic production plants.
Download Free Sample Report @ https://www.blueweaveconsulting.com/report/global-organic-snack-market/report-sample
North America Dominates the Global Organic Snack Market.
The global organic snack market is categorized region-wise into North America, Europe, the Asia-Pacific, Latin America, and Middle-East & Africa. North America, consisting of the U.S. and Canada, accounts for the largest share in the market. Consumers in North America are shifting their focus to organic snacks due to their desire to consumeon-the-go snackswhich have low-calorie intake and natural additives. Additionally, the rise in demand for healthy convenience foods, the growing urban population, and the health-conscious population are some of the key factors driving growth in North America for organic snacks.
Moreover, the Asia-Pacific is forecast to grow at the fastest rate during the forecast period. There has been a rise in the consumption of organic foods in the region. This change can be attributed to the growth in disposable income, increased consumer spending, new buying trends by millennials, and dietary preference changes. The improvement in retail infrastructure in this region has also resulted in a better supply of organic snacks.Additionally, advancements in market strategies of organic snack food companies in China and India have also led to the growth of this market in the Asia-Pacific Region.
The global organic snack market is fragmented in nature with the presence of both international and regional players. The key players in the market include PRANA, Pure Organic, Kadac Pty Ltd, Made in Nature, Hormel Foods, Navitas Naturals, Conagra Brands, Hain Celestial, Woodstock Farms Manufacturing, Simply Naturals LLC, Yummy Earth Inc., Annies Homegrown Inc., General Mills, Frito-Lay Inc., Danone, and other prominent players. The key market strategies adopted by companies can be product launches, investment/expansion, joint ventures, and research & development activities. For instance, in March 2020, Mahindra Agri Solution invested in Mera Kisan, an organic food manufacturing start-up.Additionally, the companies are consistently focusing on product innovations and providing customized solutions to the customers to stay competitive in the market.
The in-depth analysis of the report provides information about growth potential, upcoming trends, and statistics of the global organic snack market. It also highlights the factors driving forecasts of total market size. The report promises to provide recent technology trends in the global organic snack market along with industry insights to help decision-makers make sound strategic decisions. Furthermore, the report also analyses the growth drivers, challenges, and competitive dynamics of the market.
BlueWeave Consulting provides all-inclusive Market Intelligence (MI) Solutions to businesses regarding various products and services online & offline. We offer comprehensive market research reports by analyzing both qualitative and quantitative data to boost up the performance of your business solution. BWC has built its reputation from the scratches by delivering quality inputs and nourishing long-lasting relationships with its clients. We are one of the promising digital MI solutions companies providing agile assistance to make your business endeavors successful.
BlueWeave Consulting & Research Pvt. Ltd
+1 866 658 6826 | +1 425 320 4776 | +44 1865 60 0662
Recent Press Releases
- India Spices Market to Embark Upon a Double Digit CAGR of 10.8% by 2027
- Global Industrial Enzymes Market to Cross USD 10.5 Billion by 2028
- Global Seafood Processing Equipment Market to Grow at a CAGR of 6.7% during Forecast Period
- India Food Enzymes Market to Grow at a CAGR of 5.7% during Forecast Period
- Vietnam Online Food Delivery Market Growing at a Lightning speed: Projected to Grow at the CAGR of 23.4% by 2027
- India Bottled Water Market on a Steady Growth Path: Forecast to Grow at a CAGR of 6.4% by 2027