Food Contract Manufacturing Market Size, Share, Growth Analysis, By Product(Frozen Food, Canned Food, Bakery Product, Beverages), By Service Outlook(Manufacturing, Packaging, Custom Formulation and R & D), By Region - Industry Forecast 2024-2031

Global Food Contract Manufacturing Market size was valued at USD 132.45 Billion in 2022 and is poised to grow from USD 145.03 Billion in 2023 to USD 299.76 Billion by 2031, at a CAGR of 9.5% during the forecast period (2024-2031).

Contract manufacturing for food is a form of outsourcing where one business hires another to produce its goods. This aids the client organization in concentrating more on marketing and branding. For instance, fresh bread demand climbed by 76% and frozen vegetable demand increased by 52% across Europe, according to Oxford Press, a UK-based Oxford University Press. 

Moreover, the intake of nutritious foods and drinks grew, with vegetables increasing by 33%, fruit by 29%, legumes by 26.5%, and extra virgin olive oil increasing by 21.5%. As a result, the pandemic's heightened demand for food is what will continue to fuel the market. Because OEMs and emerging food producers have limited production capabilities, contract manufacturing is becoming more popular. Moreover, food contract manufacturers have begun to provide a range of value-added services like packaging, research, advising, and warehousing, which has allowed the food industry to expand quickly.

US Food Contract Manufacturing Market is poised to grow at a sustainable CAGR for the next forecast year.