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Peanut Butter Market Size & Share Estimated to Reach USD 4.8 Billion By 2026: Facts and Factors
The global peanut butter market in 2019 was approximately USD 3.5 billion. The market is expected to grow at a CAGR of 4.6% and is anticipated to reach around USD 4.8 billion by 2026.Peanut butter is one of the most consumed food spread made from processing peanuts. It a low calorie and high protein and fiber product that is consumed on a large scale globally due to its good taste and nutritional properties. It is used during the preparation of various food items such as brownies, chocolates, cornbreads, salads, cakes, rolls, and different types of desserts.
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The nutritional benefits associated with the consumption of peanut butter are driving the global peanut butter market. The peanut butter is rich with vitamin E. Vitamin E is a powerful source of antioxidants and provides cell protection by boosting the immune system. It aids to protect the eyesight and in muscle orientation. Consumers are focusing on healthy products along with good taste, and this will boost the peanut butter market in the upcoming years. Peanut butter is convenience food and can be used for direct consumption or while preparing different food items in a very short time. Globally the lifestyle of people has become more hectic and fast pace. Hence people are focusing on foods that can provide instant energy along with convenience. Peanut butter satisfies these demands and hence an increase in global consumption of peanut butter is anticipated. However, a recent trend highlights that there is an increase in the prices of peanut butter. The growing peanut butter prices will restrain market growth to some extent. Nevertheless, the globally shifting of consumers towards healthy snacks and breakfast options will maintain a constant demand for the peanut butter.
The global peanut butter market is segmented based on the product type, distribution channel, and region. The smooth peanut butter category under the product type segment had a major market share in 2019 due to its application as a spread on sandwiches and other snacks. Major sales of peanut butter can be tracked through the supermarkets and hypermarkets, and convenience stores. However, an increasing distribution through online sales channels can also be tracked due to the growth in the e-commerce platforms and convenience of ordering the product form home.
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North America region dominated the peanut butter market in 2019 and is anticipated to maintain its dominance in the upcoming years. This can be associated with the consumer’s high disposable income in the region and the abundance of raw materials. The U.S. had a major share in the North America region for the consumption of peanut butter. This can be attributed to the increasing obesity rate and hence increasing demand for nutritional food.
Some of the key players in the global peanut butter market are Hormel Foods Corporation, Kraft Canada Inc., The Hershey Company, Unilever, ConAgra Foods Inc., Algood Food Company Inc., Dr. Oetker India Pvt Ltd, Procter & Gamble, Boulder Brands Inc., and The J.M. Smucker Company.
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