Dried Processed Food Market Size to Grow at a CAGR of 4.6% During the Forecast Period 2020–2025

Dried Processed Food Market size was valued at $271.8 billion in 2019 and is poised to grow at a CAGR of 4.6% during the forecast period 2020-2025. Drying is an ancient process in which humidity of food/ crop removal happens. This help in extending shelf life of food along with preserving nutrients and flavors. Besides, the drying process of foodstuffs helps to prevent growth of the microorganism. In the ancient times water used to be removed through evaporation, whereas now electric food dehydrators or freeze-driers are used to speed up the drying process. Dried foods consumption is more owing to their high sugar content, sweet taste and a longer shelf life. The dried processed food is set to grow for the forecast period (2020-2025), owing to the increase in demand for convenience food, mostly among the working population of developing countries.

Key Takeaways

  • Geographically, North America’s Dried Processed Food market accounted for the highest market share in 2019.
  • The increasing preference for gluten-free foods and organic processed food owing to the health concerns is set to drive the market for the dried processed food market.
  • By distribution channel, the supermarkets/hypermarkets segment is projected to grow with a CAGR of 3.8% during the forecast period 2020-2025, owing to the convenience offered and ease of availability of processed dried foods here.
  • The sedentary lifestyle and the increase in working females are the key components for boosting the interest for simple to-cook, and ease meals.

By Type – Segment Analysis

The global Dried Processed Food Market based on product has Pasta and noodles, Ready meals, Soup, Baby food, Dessert Mix, and others. The pasta and noodles segment was the largest product segment by revenue share in 2019. The demand for pasta and noodles is increasing owing to the benefits such as easy to cook and take less time to prepare. Hectic lifestyles of consumers all over the world and the need for leisure has attracted the growth of convenient food products like ready meals, dried pasta and noodles, and other dried processed food products, this is set to drive the demand for the market over the forecast period (2020-2025).

By Distribution Channel – Segment Analysis

The application segment of Dried Processed Food Market has Supermarkets/ hypermarkets, Convenience stores, Independent Retailers, Specialist Retailers, online, and others. Supermarket/ hypermarket segment registered for the highest market share in 2019. It is set to continue the growth in the forecast period (2020-2025) owing to the availability of processed dried foods in a wide variety, attractive merchandising, and strong networks of distributors. The online segment is set to grow in the forecast period (2020-2025) with the rising trends of e-commerce.

By Geography – Segment Analysis

The global Dried Processed Food Market by geography had the dominant share in North America, with 41% of the share in terms of revenue in 2019. It is set to continue the growth owing to increase in consumption of processed food. The Asia-Pacific is set to register highest CAGR, owing to the strong presence of food manufacturing companies focusing on ready-to-eat food. Besides, rapid urbanization, industrialization, changing food consumption preferences, along with increase in disposable income are some factors estimated to fuel growth of the target market in this region.

Drivers – Dried Processed Food Market

Inclination towards Healthy Processed Food

Drying helps to remove all the microorganisms present in food and makes the food suitable for people of every age. Owing to the growing health awareness, among people around the globe, all the food manufacturers and industries of dried processed food are concentrating on using natural food additives and ingredients that are organic, functional, low toxicity, and high effectiveness in these dried food products. This is set to drive the market over the forecast period (2020-2025).

Challenges – Dried Processed Food Market

Strong Presence of Local Players

With the strong presence of local manufacturers across every country, there is a chance of fragmentation of the market is more, this is a challenge to look after which estimate to resist and hamper the growth. Besides, concern and awareness among buyers for the advantages of gluten-free food items are pushing the key players to work upon their portfolio, which is a challenge to look after in the industry.

Dried Processed Food Industry Outlook:

Product launches, mergers and acquisitions, joint ventures, and geographical expansions are key strategies adopted by players in the Dried Processed Food Market. Key companies of this market are Ajinomoto, Kraft Heinz, Nestlé, Nissin Foods, Unilever, Acecook Vietnam, BandG Foods, Campbell, CJ Group, ConAgra Foods, General Mills, Hain Celestial, House Foods Group, ITC, Masan Consumer, Ottogi Foods, Symington’s, Ting Hsin International Group, Toyo Suisan.

Acquisitions/Product Launches:

  • In 2016, Kraft Foods has announced, its boxed noodles products to color, with natural ingredients, such as annatto, paprika, and turmeric.
  • In 2019, Nestle India introduces Maggi Fusian noodles range, a range of Asian flavour inspired noodles. According to the company, this range reflects Maggi’s strong food and cuisine expertise and our deep understanding of Indian consumer preferences