Consumer awareness about healthy diet, increase in purchasing power, and changes in lifestyle and food habits fuel the growth of the global organic fruits and vegetables market.
The global Organic Fruits and Vegetables Market was estimated at $30.77 billion in 2019, and is anticipated to hit $55.86 billion by 2027, registering a CAGR of 7.9% from 2020 to 2027.
Most of the organic agri-inputs are used for cultivation of the organic fruits and vegetables. Organic agri-input includes organic manure, fertilizer, agro-chemicals, and seeds. And these agri-inputs are generally made and cultured organically. For instance, organic fertilizers are derived from animal matter, animal excreta, human excreta, and vegetable matter. Naturally occurring organic fertilizers include animal wastes from meat processing, peat, manure, slurry, and guano. Increasing awareness regarding the benefits of the organic food products and growing disposable income of the people are majorly influencing the growth of the organic fruits and vegetables market during the forecast period 2020-2027. Furthermore, consumers are now more informed and concerns about the food quality issues and want to be get informed with ingredients content and how fruits and vegetables were cultivated.
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Key players in the industry-
- The Whitewave Foods Company
- H.J. Heinz Company
- CSC Brands LP (Campbell Soup Company)
- General Mills, Inc.
- Juices International Pty. Ltd.
- Activz
- Z Natural Foods, LLC.
- Organic Valley Family of Farms
- Iceland Foods Ltd.
- Green Organic Vegetable Inc.
- DMH Ingredients
Covid-19 scenario-
- Scarcity of labors at the manufacturing units and disrupted transportation due to frequent lookdown practices impacted the production of organic fruits and vegetables negatively.
- Also, the supply of organic fertilizers and agrochemicals was hugely distorted during the first phase of the lockdown.
- However, government bodies across the world are coming up with relaxations on the existing regulations and the market is projected to recoup its position really soon.
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The organic fruit segment to dominate by 2027-
Based on product type, the organic fruit segment contributed to around three-fourths of the global organic fruits and vegetables market share in 2019, and is expected to rule the roost by 2027, owing to growing awareness about the health benefits that are exhibited by the consumption of organic fruits. The organic vegetable segment, on the other hand, would register the fastest CAGR of 9.4% during the forecast period. People are gradually getting well acquainted with the immense health benefits associated with organic vegetables in the form of breakfast cereals, soups, syrups and so on. This factor drives the growth of the segment.
The frozen segment to maintain the dominant share-
Based on form, the frozen segment contributed to nearly three-fourths of the global organic fruits and vegetables market revenue in 2019, and is expected to lead the trail by 2027. The increasing consumer preference toward convenience foods propels the segment growth. Simultaneously, the fresh segment would portray the fastest CAGR of 8.8% from 2020 to 2027. Growing food processing industries where fresh organic fruits and vegetables are used as flavor & additives and extensive use of fresh organic vegetables for household purposes drive the growth of the segment.
North America garnered the major share in 2019–
Based on geography, North America garnered the major share in 2019, holding more than two-fifths of the global organic fruits and vegetables market. Increasing adoption of healthy life style fuels the market growth in this province. At the same time, Asia-Pacific would manifest the fastest CAGR of 14.0% from 2020 to 2027, due to growing disposable income, high standard of life and high expenditure for healthy life style among individuals in the region.
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