USD 3.53 billion
Report ID:
SQMIG30I2146 |
Region:
Global |
Published Date: February, 2024
Pages:
242
|Tables:
64
|Figures:
77
Global Organic Baby Food Market size was valued at USD 3.8 billion in 2022 and is poised to grow from USD 4.2 billion in 2023 to USD 8.1 billion by 2031, growing at a CAGR of 8.7% in the forecast period (2024-2031).
Pesticides, growth hormones, antibiotics, and other potentially dangerous substances are not used in the production of organic baby food. It consists of dry fruit powder, sprouting porridge mixes, soups, juices, multigrain cereals, and milk powder. It supports the brain development and general growth of infants by being enriched with naturally occurring nutrients. It aids in lowering the likelihood of attention deficit disorder (ADD) and other issues involving concentration. As demand for organic baby food products like milk formulae and cereals rises, this sector is steadily expanding. In the upcoming years, it is anticipated that demand for these commodities would rise. For instance, in 2021 Neptune Wellness Solutions purchased a 50.1% stake in the plant-based infant food producer Sprout Foods. The transaction consists of a cash payment of USD 6 million and the issuance of about 6.7 million Neptune common shares, each worth USD 12 million. The business reported net revenues of USD 28 million annually. According to China customs data, the overall import of new born milk powder between January and March 2021 was close to 4,30,000 metric tonnes, a 5.4% decrease. High-end infant formula series, including Organic Zhizhi, from Feihe saw sales growth of 16.99% (Y-o-Y) in 2021 as a result of the rising sales of infant food products in China via Mum-and-Baby-food Store's for special medical uses. Sales of its normal equivalent, on the other hand, decreased by 25.94%. The industry is being driven by consumer knowledge of the advantages of organic products and the need to reduce the exposure of infants to the hazardous chemicals used in traditional food manufacturing. The growth of the prepared organic baby food market, one of the key expanding categories, was also significantly influenced by the increase in the number of working women globally.
Global Market Size
USD 3.53 billion
Largest Segment
Infant Milk Formula
Fastest Growth
Infant Milk Formula
Growth Rate
8.7% CAGR
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Global Organic Baby Food Market is segmented by Product, by Distribution Channels, and by Region. Based on Product, the market is segmented into Infant Milk Formula, Prepared Baby Food, Dried Baby Food. Based on Distribution Channels, the market is segmented into Supermarket, Convenience Stores, Online Retails, Others. Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & and Africa.
Analysis by Product
In 2021, the baby milk formula segment dominated the global market. Market expansion is anticipated during the forecast period as a result of the growing demand for packaged organic food items that are chemical-free and healthful. Innovative organic products are increasingly popular since they are easy and rapid sources of nourishment and energy for infants.
The second-highest growth rate, is predicted for the dried infant food segment. The industry is expanding as a result of the availability of convenient, healthy food like dried baby food to customers through retail channels. Additionally, the market is expected to develop as a result of the rising popularity and demand for packaged organic foods as well as rising consumer disposable income.
Analysis by Distribution Channels
In 2022, supermarkets and hypermarkets segment dominated the global market. Customers prefer to buy consumer goods, grocery items, and infant care items at hypermarkets and supermarkets where they can see the products in person and determine their quality. Due to improved global distribution channel networks, hypermarket and supermarket channels are anticipated to continue to dominate during the forecast period.
The online retail segment is anticipated to grow at the fastest CAGR. The percentage of people who use the internet has increased significantly in recent years, and the market development is being further accelerated by the expanding e-commerce industry worldwide.
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The Asia Pacific region dominated the global market. The need for packaged organic food items will be driven by the large customer bases in China, India, and Japan. The market size for organic packaged food and beverage in Japan was estimated by the Global Organic Trade to be around USD 597.4 million, with a per capita income of USD 4.71. This market size, along with the increasing use of pre-cooked foods per baby, had an adverse effect on market growth.
The fastest-growing market, Europe, is anticipated to see a CAGR of 9.1% from 2022 to 2030. Due to their high nutritional value and environmental friendliness, consumers are predicted to increase their intake of packaged organic foods.
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Drivers
Customers are Motivated to Buy Organic Food Items by Child Health Concerns
Using Mainstream Media for Promotion and Marketing
Restraints
Intense Competition
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In order to compete in the organic baby food market, businesses are concentrating on creating new marketing strategies and launching new products based on value-added ingredients. Abbott Laboratories, Nestle SA, The Hein Celestial Group, and Danone SA are a few of the market's major players in organic baby food. Private-label brands are widely available, with supermarket and hypermarket chains dominating developed markets, while traditional grocers, convenience stores, specialty retailers, and health stores dominate developing nations. As consumer demand for natural and organic products continues to grow, it is likely that more companies will enter the market and the competition will intensify.
Top Player’s Company Profiles
Recent Developments
Strategically increasing spending on organic baby food
SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Co-relates and Analyzes the Data collected by means of Primary Exploratory Research backed by the robust Secondary Desk research.
According to our global organic baby food market analysis, the global market is driven by increasing consumer demand for healthy, natural, and organic food products for infants and young children. This demand has been fuelled by growing awareness of the potential health risks associated with traditional baby food products, as well as a desire by many parents to provide their children with the best possible nutrition. The market is highly competitive, with a number of major players dominating the industry. In developing regions such as Asia Pacific, where rising incomes and increasing awareness of the benefits of organic food are driving market growth. The global market is expected to continue to grow in the coming years, driven by increasing consumer demand for natural and organic food products, as well as ongoing innovation and product development by major players and niche companies alike.
Report Metric | Details |
---|---|
Market size value in 2022 | USD 3.8 billion |
Market size value in Food | USD 8.1 billion |
Growth Rate | 8.7% |
Base year | 2023 |
Forecast period | 2024-2031 |
Forecast Unit (Value) | USD Billion |
Segments covered |
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Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
Companies covered |
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Customization scope | Free report customization with purchase. Customization includes:-
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Executive Summary
Market overview
Parent Market Analysis
Market overview
Market size
KEY MARKET INSIGHTS
COVID IMPACT
MARKET DYNAMICS & OUTLOOK
Market Size by Region
KEY COMPANY PROFILES
For the Organic Baby Food Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Organic Baby Food Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Organic Baby Food Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Organic Baby Food Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
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Report ID: SQMIG30I2146
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