Global Organic Food and Beverages Market: Rising Consumer Preference for Healthy Food Products to Create Promising Opportunities for Players

The organic food and beverages market is extremely fragmented and competitive in nature with a high number of players operating in it, states a research study by Transparency Market Research (TMR). The leading players operating in the global organic food and beverages, including Starbucks, Hain Celestial Group Inc., Organic Valley, and Amy's Kitchen Inc. are collectively dominating the market. These players are focusing on expanding their product portfolio in order to enhance their penetration across the globe and boost sales. In addition, the improvement of distribution network and channels are projected to contribute significantly towards the overall growth of the market throughout the forecast period.

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As per the research study by Transparency Market Research, in 2015, the global market for organic food and beverages was worth US$102.0 bn and is projected to reach a value of US$187.85 bn by the end of 2019. The market is estimated to register a progressive growth rate throughout the forecast period.

Rising Inclinations towards Healthy Lifestyle to Bolster Asia Pacific Organic Food and Beverages Market

From a geographical perspective, North America led the global organic food and beverages market and is expected to account for a massive share in the next few years. The rapid growth can be attributed to the presence of a large number of players operating in this region. In addition, the growing awareness among consumers concerning the healthy lifestyle is anticipated to encourage the growth of the market in the coming years. However, Asia Pacific is projected to grow at a robust pace, thanks to the increasing health conscious populations and their rising disposable income.

On the basis of product type, the organic fruits and vegetables segment led the global organic food market and is projected to continue its dominance in the coming years. On the other hand, the organic coffee and tea and non-diary beverages segments collectively held a massive share of the global organic beverages market in the last few years. The rising awareness regarding the benefits of consuming organic products and the easy availability are some of the primary factors estimated to encourage the growth of these leading segments in the overall market.

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Improved Distribution Network to Augment Global Organic Food and Beverages Market

The changing perception of consumers towards organic food for a healthy lifestyle is leading to a high demand for these products across the globe. In addition, the focus of key players on enhancing their distribution network in order to provide easy availability of products is anticipated to supplement the growth of the market in the coming years. The strict government regulations and initiatives supporting the organic way of life is likely to generate promising opportunities for leading players in the market.

Furthermore, the high amount being spent by players on advertising campaigns and marketing activities and the rising disposable income of consumers, especially in emerging economies are expected to fuel the growth of the global organic food and beverages market in the forecast period.

High Cost of Organic Products to Curtail Growth of Global Market

The global market for organic food and beverages, on the other hand, is estimated to observe several challenges, such as high cost of products in comparison with other conventional food. This factor is likely to restrict the growth of the market in the coming years, says a TMR analyst. Nonetheless, the rising focus on research and development activities in order to introduce new products is predicted to contribute towards the development of the overall market.

This information is based on the findings of a research report published by Transparency Market Research (TMR), titled “Organic Food (Product Type - Fruits and Vegetables, Meat, Fish and Poultry products, Dairy products, Frozen and Processed foods) and Organic Beverages Market (Product Types - Non-dairy beverages, Coffee and Tea, Beer and Wine) - Global Industry Analysis, Size, Share, Growth, Trends and Forecast, 2013 - 2019.”

The global organic food and beverages market has been segmented as below:

Global Organic Food Market, by Product Type

Organic Fruits & Vegetables
Organic Meat, Fish & Poultry Products
Organic Dairy Products
Organic Frozen & Processed Food
Others

Global Organic Beverages Market, by Product Type

Organic Non - dairy Beverages
Organic Coffee & Tea
Organic Beer & Wine
Others

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