Consumer Trends: Demand Grows for Frozen Food
ALBANY, New York (PRNewswire) — Transparency Market Research has launched a new market report titled "Frozen Food Market ( Vegetables & Fruits, Potatoes, Ready-to-eat Meals, Meat, Fish/Seafood and Soups) - Global Industry Analysis, Size, Share, Growth, Trends and Forecast, 2013 - 2019 , " according to the which the demand for frozen food was valued at USD 224.74 billion in 2012 is expected to reach USD 293.75 billion by 2019, growing at a CAGR of 3.9% from 2013 to 2019.
The global market for frozen food witnessed growth due to the growing demand for faster-to-prepare foods and new product launches in the market. In addition, strong demand from emerging economies is another factor contributing to the market growth. The government intervention and regulations are major restraints for the market growth. However, frozen food made with natural and organic ingredients provides huge market opportunity for the manufactures.
The global market for frozen food by products was dominated by frozen ready meals due to its wide range of products which includes frozen pizza, desserts, snacks, entrees and others and accounted for more than 30% of the total market revenue in 2012 and expected to grow at a CAGR of 3.9% from 2013 to 2019. The frozen fruits and vegetables segment is experiencing a surge in demand due to advancements in freezing technologies which allows the manufacturers to preserve the nutritional value of the vegetables and fruits for a longer time period. The market is expected to grow at a CAGR of 4.3% from 2013 to 2019. The frozen potatoes market is expected to witness the highest growth rate in the future and is estimated to grow at a CAGR of 4.3% from 2013 to 2019.
In 2012, Europe and North America had the largest share of 39.5% and 26.3% respectively in the global frozen food market. This dominance is driven by increased preference towards convenience foods, food safety concerns, and the busy lifestyle. Row is estimated to be the fastest growing region over the next six years, due to emergence of Brazil and Argentina as the new markets for frozen food. The RoW market is expected to grow at a CAGR of 4.3% from 2013 to 2019. The Asia Pacific market is estimated to be another attractive market for frozen food because of the healthy growth rate and increasing consumer preference towards frozen food.
At the country level, the U.S. was the largest market in 2012 and accounted for more than 80% share in the frozen food market followed by Japan and Germany. Brazil is the most attractive market for frozen food due to availability of raw materials in abundance quantity which makes frozen food products more accessible and affordable for consumer. The Brazil market is expected to grow at a CAGR of 4.7% from 2013 to 2019. Countries such as China, India, and Mexico offers huge market opportunities for frozen food.
There are several brands available in the market for frozen food; however, very few have a significant market share. The market for frozen food is highly fragmented as the top six companies have less than 20% of the market share in 2012, along with the presence of a number of small and medium sized participants. Key market participants include Nestle, ConAgra, H.J. Heinz, McCain and others.