Forecast for the whole market
The market for fresh fruits suppliers and vegetables is predicate to grow at a CAGR of 7.1% from 2017 to 2022, from an estimate value of USD 265.6 billion in 2017 to USD 373.5 billion by 2022.
Fresh, dry, frozen, and process products are the several product categories that make up the market. An average of 35% of total income comes from the process category, which is predicter to expand at the quickest rate between 2018 and 2023, at a CAGR of 8.3%. The process part was said to consist about 65% fruits. The market will rise as a result of the abundance of vitamins and minerals it contains.
Analysis of Global Growth Opportunities
Due to its high consumption, Europe has the greatest market for fruits and vegetables. Frozen berries and kale, which are frequently use as components in smoothies, chips, and salads, are becoming increasingly popular in this market. The desire for exotic fruits and vegetables, such avocados and mangoes, is rising throughout Europe as well. The European Union imports of mango puree are heavily concentrate, and the UK, one of the top three importers, accounts for about 80% of the whole EU import.
The fruit and vegetable market was predicate to develop at the quickest rate between 2020 and 25 in the Asia-Pacific region, with a CAGR of 4.98%. According to Mordor Intelligence, the market is expanding as a result of rising output in China, Japan, and India. According to reports, China produces 30% of the fruit and more than half of the vegetables that are consume worldwide. Innovative and practical fruit and vegetable powders and bits are in higher demand. In the Asian-Pacific area, busy metropolitan lifestyles discourage people from cooking and alter their tastes to quick and simple meals.
Analysis of exports and imports
According to World’s Richest Countries, the worldwide market produced USD 72.8 billion in total value in 2017. According to reports, China exports 15.3% of the world’s fruit and vegetables, followed by the Netherlands with 10.4% and Spain with 9.3%. China is a significant exporter of apples, grapes, onions, garlic, and other fruits and vegetables to its neighbours, including Vietnam, Thailand, Indonesia, the Philippines, and Hong Kong.
According to reports, the United States imports 13.7% of all fruits and vegetables in the globe, followed by Germany (9.2%) and the United Kingdom (4.2%). Grapes come in at 11.5%, followed by avocados at 16.1% and bananas at 17% of all imports into the United States. Over the past ten years, the United States has become more and more dependent on imported fruit and vegetables, particularly avocados, asparagus, and pumpkins. The top four exporters to the United States are Mexico, Chile, Guatemala, and Canada.
Trend Evaluation
Demand for fruits and vegetables is rising on a global basis. The growing understanding of meat consumption’s health and medicinal benefits is one of the causes. It provides a range of nutrients that help reduce the risk of diabetes, cardiovascular illnesses, and cancer, such as potassium, dietary fibre, folate, vitamins A and C, and vitamin C. In order to address the rising demand for sugar-free foods and beverages, the fruit is also employe as a natural substitute for sugar.
Other elements include rising disposable incomes, evolving lifestyles, and dietary choices of consumers. Another issue is the rise in popularity of vegetarianism. Vegans and vegetarians already consume a lot of fruits and vegetables, but flexitarians who can be persuade to eat more vegetarian meals or less meat in general will probably increase their fruit and vegetable consumption in order to receive the nutrients that would be found in a serving of meat.
The market for fruits and vegetables is now seeing rising costs as a result of the strong demand and limited supply. Supply chains have been disrupt as China battles the coronavirus, and distributors are trying to diversify their networks. A company can reduce the risk that external variables like the coronavirus place on it by having a diverse portfolio.
Market Research in the US
The market for fruits and vegetables in the United States was project to be worth USD 104.7 billion in 2016, and demand is anticipate to increase significantly during the five-year period from 2017 to 25 at a CAGR of 13.7%. The demand for fruit and vegetable export in the United States, especially in the snacking market, will continue to be fuel by changing consumer preferences for food and growing health/medical knowledge of the benefits of meat intake. Along with modern processing technology inputs that may be employee in the end-use sector, the U.S.’s significant investment in technology helps keep fruit and vegetables fresh for extended periods of time.
With a surplus of more than USD 11 billion in imports in 2017, the United States is the top importer of fruit and vegetables worldwide. More than 30% of the fruit and 55% of the vegetables consume in the United States are import from Mexico, Chile, Guatemala, and Canada due to an unfavourable environment for fruit and vegetable farming. Another factor contributing to the increase in imports is the lower cost of fruits and vegetables. It is challenging to fulfil the rising demand for fruits and vegetables despite the fact that the United States’ fruit and vegetable trade deficit is dramatically expanding.
