Emerging Industry Trends for Walnut Market
Some of the prominent players operating in the global walnut market are Alpine Pacific Nut, Poindexter Nut Company, Guerra Nut Shelling Company, and Grower Direct Nut Co. Inc. To stay ahead of the competition companies are likely to make investments to improve their product grading facilities to meet international standards and consumer demands. Companies are also expected launch innovative walnut-based products to lure in a wider consumer base. Expanding businesses to international markets through various distribution channels will be a key expansion strategy of the companies.
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According to the research report, the global walnuts market was valued at US$6,197.1 mn in 2017 and is expected to reach a valuation of US$8,534.5 mn by the end of 2025. During the forecast years of 2017 and 2025, the global market is expected to rise at a CAGR of 4.1%. Out of the two categories, the shelled walnuts are expected to lead the global market as the segment is slated to exhibit a CAGR of 4.4% during the forecast period. Geographically, Asia Pacific held a share of 54.7% in the global walnut market in 2017 and is expected to dominate the global market in the forthcoming years.
Widening Application of Walnuts and Rising Disposable Income of Middle Class to Spike Demand
Walnuts are being exhaustively used as an ingredient in the food industry, pharmaceutical industry, personal care and cosmetics industry which is supporting the market growth in the near future. Due to an increasing lactose intolerant population across the globe, consumer demand is shifting more from cow’s milk to nut based milk, leading to a substantial increase in the consumption of walnut milk, owing to its lactose-free characteristics.
Increasing consumer inclination towards maintaining a healthy lifestyle has led to the higher consumption of healthy food products and food ingredients. Off late, consumers have become more conscious about their food intake and diet. There has been a significant rise in the consumption of tree nuts, which include almonds, pistachios, hazelnuts, walnuts, cashew nuts, etc., over the past few years, primarily supported by a shift towards healthier eating habits and preferences among the fast-growing middle-class section of consumers, especially in developing countries.
Furthermore, government bodies and various private companies are creating more and more awareness among consumers regarding the health benefits of edible nuts, including walnuts, almonds, pistachios, and hazelnuts, which thereby, is resulting in further growth of the market. Moreover, increasing walnut demand and usage in various industrial sectors like food, pharmaceuticals, personal care and cosmetics as an ingredient are some of the important factors that are expected to drive the growth of global walnut market over the forecast period.
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Poor Vertical Integration Amongst Manufacturers to Hamper Market Growth
Some of the restraints that are lack of vertical integration in the manufacturers of the walnut and products plagued the industry’s development over the years. This has also led to an increase in the prices of the walnuts reaching after different processing destinations to the consumers. Furthermore, another prospective restraint of Walnuts market is the cultivation of walnuts is surrounded by specifications required for flourishing of the plant.
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