Frozen Processed Food Market Is Estimated To Witness High Growth...

Frozen Processed Food Market Is Estimated To Witness High Growth Owing To Increased Consumption And Rapid Urbanization

Posted 2023-10-23 08:48:02

Market Overview:
Frozen processed food includes ready-to-eat meals, pizza, meat products and other food items that undergo processing and are frozen for preservation. These products offer convenience as they can be cooked and consumed in a short span of time. Rising number of working individuals and dual income households have increased the demand for convenient food options.

Market Dynamics:
Rapid urbanization and increasing disposable income in developing countries has boosted the consumption of frozen processed foods. According to the World Bank, the global urban population is projected to reach 68% by 2050. As more people move to cities, preference for ready-to-eat meals is growing due to busy lifestyles. Additionally, rising health consciousness has spurred the demand for frozen vegetables which can be cooked and consumed on a daily basis. Frozen processed foods offer high nutrient retention compared to fresh products as the freezing process prevents loss of essential vitamins and minerals. This is encouraging consumers to opt for frozen variants of meat, seafood and fruits.

SWOT Analysis

Strength: The Frozen Processed Food Market Demand possesses several strengths. It offers convenience to consumers by providing ready-to-eat meals with long shelf life. The various product offerings help meet the diverse nutrition needs of customers. Additionally, frozen foods have minimal food wastage compared to perishable alternatives.

Weakness: High packaging and production costs associated with frozen processed foods make them more expensive than standard meals. Additionally, heavy reliance on freezing equipment for production and cold storage for distribution increases operational expenses.

Opportunity: Rising health awareness is driving demand for frozen meals with natural ingredients and fewer preservatives. Additionally, growing working population with rising disposable income levels provide an opportunity to new product launches targeted towards convenience seekers.

Threats: Stringent government regulations related to food safety and nutritional labeling are increasing compliance costs. Additionally, shifting consumer preferences towards fresher home cooked meals pose a threat to sales of frozen processed foods.

Key Takeaways

The global frozen processed food market is expected to witness high growth, exhibiting CAGR of 4.84% over the forecast period, due to increasing demand for convenience food amid rising number of working individuals and dual income households. Advancements in freezing technologies are further aiding manufacturers in providing more innovative product offerings.

The US dominates the regional landscape due to strong consumption base along with presence of major frozen food manufacturers. Moreover, increasing demand for organic frozen meals also supports market growth in the region. However, Asia Pacific is expected to witness fastest growth owing to rising disposable incomes, western influence on diets, and expanding retail infrastructure in developing countries.

Key players operating in the frozen processed food market are Nestle S.A., ConAgra Foods, Inc., Kraft Foods Group, Inc., Mother Dairy Fruit & Vegetable Pvt Ltd, BRF S.A., General Mills, Inc., Maple Leaf Foods Inc., Tyson Foods, Inc., and Unilever Plc. Leading companies are focusing on strategic acquisitions and new product launches with healthy and clean label claims to strengthen their presence and cater to shifting consumer preferences.