Asia Pacific Cereals Market

Asia Pacific Cereals Market Value And Growth Rate:

The Asia Pacific Cereals Market was worth US$ 182 million in 2022 and is anticipated to reach the valuation of US$ 257 million by 2027 and is predicted to grow at a CAGR of 5.92% during 2022-2027.

Asia Pacific Cereals Market Scenario:

Breakfast cereals, as the name implies, are foods that are only taken for breakfast. This means that breakfast cereals should not be consumed during the lunch or dinner hours. The components used in the breakfast cereals are diverse. They are processed seed grains that are popular in western countries. Breakfast cereals should be mixed with milk or curd for the best results. Breakfast cereals are generally healthful and low in fat. Cereal ingredients are high in fibre and nutrients, containing vitamins, minerals, carbohydrates, fats, and proteins, making it a popular morning choice. Cereal crops are grown for their edible component, which provides humans with a lot of energy. Cereal ingredients such as rice, corn, and wheat are a daily source of nutrition in Asia-Pacific developing countries. Cereals are also commonly utilised in kitchens due to their prolific development and abundant manufacturing, resulting in a fast-rising market for cereal components in the Asia-Pacific area.

Asia Pacific Cereals Market Drivers:

Packaged breakfast cereals have become increasingly popular in developing economies, since consumers choose packaged, healthier food options over traditional, traditional breakfast foods. These cereals are widely regarded as a great breakfast option due to their lower caloric value and increased nutritious content.

Breakfast cereal demand is predicted to increase significantly as people become more aware of the advantages of eating a nutritious breakfast. Physical activity, lower risk of chronic diseases, balanced insulin and cholesterol levels, enhanced cognition, and many other health benefits are all reasons to have a nutritious breakfast. Breakfast cereals are a big part of the packaged food industry, and they'll keep growing as long as the parent market does. Gluten-free cereals are really popular right now. Furthermore, whole grain cereals are a popular trend that has a favorable impact on market growth. Breakfast cereals' market growth is expected to be accelerated by a huge variety of innovative and delicious options, particularly in developing economies. Consumers and governments are continually scrutinizing gluten content in cereals, forcing companies to expand their gluten-free product lines.

Asia Pacific Cereals Market Restraints:

The availability of market alternatives such as smoothies, frozen waffles, yogurt, sausage, and other breakfast items, as well as a preference for traditional breakfast meals, will provide a significant threat to the expansion of the breakfast cereals market. The scope of growth for the breakfast cereals sector will be further limited as production costs rise. Price fluctuations in cereal packaging materials, as well as a lack of a regulated supply chain across vendors in developing nations, have harmed demand and supply for breakfast cereals. Producers confront a number of challenges when it comes to obtaining raw materials. This is projected to continue throughout the projection period, providing a significant threat to market expansion. Despite an increase in the number of convenience stores in developing nations, rising commodity and energy prices will continue to be long-term constraints.

Recent Developments in the Asia Pacific Cereals Market:

• In March 2019, Thandai Badam, Rose Badam, and Kesar Pista Badam are three culturally themed corn flakes flavours introduced by Kellogg's India.

• In May 2018, Nestle S.A. and General Mills have formed a joint venture to market a wide range of products in India. Corn flakes are one of the company's many breakfast cereal items. This partnership is expected to help Nestle increase its sales in India.

Asia Pacific Cereals Market Segmentation: 

By Type:

• Wheat

• Rice

• Corn

• Barley

• Others

The Asia Pacific Cereals Market has been divided by type into, wheat, rice, corn, barley, and another type of cereals. The one which took the bigger cereal market size was the corn flakes segment of product. This dominance was observed as it is quite the popular product with a market size of slightly over 30%. As oats is seeing increased demand, the others segment is also forecasted to increase over the period as the consumers are being driven by the rising need of healthy food options. It is because of these reasons that we see the corn-type product of cereals taking the bigger Asia Pacific Cereals Market share.

By Application:

• Hot Breakfast Cereal

• Ready To Eat Cereals

The Asia Pacific Cereals Market has been divided by application into, hot breakfast cereal and Ready To Eat Cereals. The one which took the bigger cereal market size was the hot breakfast cereal segment of application. Hot cereals accounted for 41% of value sales in breakfast cereals in 2020, while they provided 52% of absolute value growth from 2020 to 2025, outpacing RTE cereals. However, development was mostly due to India and South Korea, with other nations losing value share to RTE cereals. In addition to porridge, Indian customers have turned to hot cereals to produce traditional dishes like poha and idli. Most of the Asian countries prefer a hot breakfast which is traditional to their country over a ready to eat breakfast. This is the influence of their ancestors and of which to this day we see a similar trend. Meanwhile, having only been introduced to South Korea in 2020, hot cereals benefited from novelty and a growing oat boom. It is because of these reasons that we see the hot breakfast cereals taking the bigger Asia Pacific Cereals Market share when segmented by application.

By Distribution Channel:

• Supermarkets And Hypermarkets

• Independent Retailers

• Specialist Retailers

• Convenience Stores

• Others

The Asia Pacific Cereals Market has been divided by distribution channels into, supermarkets and hypermarkets, independent retailers, specialist retailers, convenience stores and others. The one which took the bigger cereal market size was the supermarkets and hypermarkets as the consumers found it quite convenient to purchase products from these outlets. Also as the FMCG sector is booming in developing countries like India, more brands are pushing their products via supermarkets. It is because of these reasons that we see the corn type product of cereals taking the bigger Asia Pacific Cereals Market share.

Asia Pacific Cereals Market Regional Analysis: 

The Asia Pacific Cereals Market Report includes a segmentation of the following countries:

• India

• China

• Japan

• Australia

• Vietnam

• New Zealand

• South Korea

• Thailand

• Malaysia

• Philipines

• Indonesia

• Rest of APAC

Asia Pacific, a less developed region with rising disposable incomes and internet penetration, has the highest CAGR for breakfast cereals among all worldwide regions from 2022 to 2027. As they are exposed to more Western influences online, consumers in Asia Pacific are preferring Western morning cereals to traditional breakfast fare. Manufacturers of breakfast cereals have also advanced their invention, releasing flavours that reflect local tastes in each nation and improving the nutritional and functional benefits of their products. Growth has also been aided by expanding distribution networks to underserved target groups and cities.

Due to their rapidly growing populations, Asian countries such as India and China will have the biggest market growth potential. Breakfast cereal manufacturers may anticipate China to continue to offer numerous growth prospects.

Future growth in less-developed regions like Bangladesh, the Philippines, and Pakistan is likely to come from expanding channels within current cities and accessing tier 2 cities. Flavor and texture innovations will better appeal to local tastes while maintaining price points affordable for mass-market urban customers. Innovation in highly developed economies like Japan and South Korea will focus on new consumption occasions to boost demand from existing target groups.

Asia Pacific Cereals Market Key Players:

1. General Mills

2. Marico

3. Kellogg NA Co.

4. PepsiCo Inc.

5. Bob’s Red Mill Natural Foods

6. Kerry Group

7. Ricebran Technologies Associated

8. British Food Plc

9. Archer Daniels Midland Company

10. Bunge Limited