The multi-billion-dollar market for organic baby food will continue to witness an uptrend over the next couple of years. Market Research Future (MRFR) in its latest report reveals that the global market for organic baby food will reach a valuation of more than USD 17 Bn by the end of 2027, projected at a CAGR of 11.73% between 2017 and 2027. Changing consumer preference and growing consumer interest in health food and beverage items is influencing the global demand for organic baby food. At the same time, stricter quality requirements has prompted manufacturers to refrain from using low-grade ingredients in their products.
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This is one of the most important trends influencing the global organic baby food market. Meanwhile, innovative packaging, use of specific organic ingredients that have significant health benefits primarily focused towards cognitive and physical development are some of other key trends noticed in the organic baby food market. Today, demand for products that suit the busy lifestyle of parent has increased exponentially. Realizing the opportunities, manufacturers are investing heavily in convenient “on-the-go” packaging with clean labelling. Global sales of organic baby food are also increasing due to the rising level of awareness about feeding healthier food to their babies. In advanced countries, organic baby food is becoming a top choice among parent as they can help address several health issues commonly found in babies.
Key Players Analysis
Some of premium companies profiled in MRFR’s report include
- Hain Celestial Group (U.S.),
- Danone S.A. (France),
- Nestle S.A. (Switzerland)
- Kraft Heinz Foods Company (U.S.),
- Hero Group (Switzerland),
- Abbott Laboratories (U.S.),
- Bellamy’s Australia (Australia)
MRFR’s report offers a detailed segmental analysis of the market based on product type, ingredients, and distribution channel. Based on product type, the ready-to-eat segment is expected to remain highly lucrative over the forecast period. By ingredients, the grains & cereals segment currently accounts for a significant share of the market and trend is likely to continue in 2018 and beyond. Stores are expected to remain a leading distribution channel for organic baby food. Increasing internet penetration and the ongoing boom in e-commerce is creating growth opportunities for online stores that sell organic baby food.
Latest Industry Highlights
Happy Family, a leading organic food brand has recently launched two USDA approved whole milk yogurt variants with probiotic contents. The products are focused towards babies over six months.
Clif Bar and Chobani are reportedly entering an innovative partnership. The former is funding an organic grain-breeding research program at Washington State University while the later has initiated third round funding of start-up food companies.
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Global Organic Baby Food Market is segmented into Asia Pacific (APAC), North America, Europe and Rest of the world. The market in Asia Pacific is expected to stay at the forefront of the global market for organic baby food throughout the review period. Factors such as rapid urbanization, growth of the economy, increasing number of working women and an expanding middle class population are driving the market in APAC region. APAC led by China is estimated to witness an impressive CAGR during the assessment period. Moreover, increased consumption of organic labelled food is auguring well for market players. Countries such as China and India present lucrative growth opportunities for Organic baby food manufactures. Many of companies operating in the region are stepping up efforts to consolidate their market position and strengthen their distribution channel. Meanwhile, sales of organic baby food is also expected to remain strong in North America and Europe.