Fresh Food Market

Global Fresh Food Market Size (2024 to 2029)

The global fresh food market size is estimated to be worth USD 3,536.62 Billion in 2024 and is anticipated to reach USD 4,535.26 Billion by 2029 with a CAGR of 5.1% during the forecast period.

Current Scenario of the Global Fresh Food Market

Fresh foods are food products that are not processed, including fresh fruits and vegetables, meat, milk products, and dairy products. Fresh foods are expected to have high nutritional value compared to processed food products. Most consumers have chosen fresh foods in the recent period due to increasing lifestyle-related disorders, majorly obesity. For Instance, the total milk production in the U.S. increased from 189.9 billion pounds to 226.5 billion pounds in 2022, which refers to the increased demand for dairy products. The global fresh foods market has witnessed notable growth in the past years and is projected to grow significantly during the forecast period. Significant innovations in fresh food are creating growth opportunities for market expansion. The fresh food market offers notable benefits to small-scale farmers and producers.    

MARKET DRIVERS

The rising prevalence of lifestyle-related disorders such as obesity, hypertension, and diabetes are majorly influencing people to seek healthy and nutritious foods, contributing primarily to the global fresh foods market growth.

The busy lifestyles of people are encouraging them to choose unbalanced diets and ready-to-eat processed foods, which are inducing various chronic lifestyle-related disorders in which obesity ranks top. More people are adopting healthy eating habits to reduce the risk of these diseases, which drives the global market rate. Consumers are increasingly aware of the health benefits of fresh food, such as fresh fruits, which are rich in antioxidants, minerals, and vitamins essential for human health. The growing knowledge among consumers leads them to choose healthy and nutritious foods, boosting the global market expansion. The presence of an enlarged food industry in various regions, the continuous change in consumer preferences, and the escalating demand for fresh foods such as milk products, dairy products, fruits and vegetables, meat, and poultry are promoting global market growth. The increasing consumption of meat worldwide, the rising demand for meat products among consumers due to high protein content and health benefits, and the growing population are accelerating the demand for fresh food, leading to market revenue growth.

The growing e-commerce sector, due to the high penetration of digital technology and the proliferation of smart devices, is expected to increase the growth opportunities in the market in the coming years. Online retailers sell almost 40% less than the traditional local vendors, and the availability of various exotic fruits and vegetables and the special discounts and offers encourage people to shop online, increasing international scale sales. The increasing demand for organically produced foods due to their high health benefits and lower pesticide exposure may multiply the global fresh foods market growth rate. The evolving developments in technology in the agricultural industry enhance the efficiency and quality of the food produced with increments in yield value and augment market growth.      

MARKET RESTRAINTS

The presence of stringent regulations regarding the safety of food products is initiated at the agricultural level.

The increasing usage of various agrochemicals, such as pesticides and chemical fertilizers, will negatively impact human health and hamper the market growth. The presence of Good Agricultural Practices (GAPs) by the regulatory authorities, which involves the safe management of pests and diseases and routine monitoring of the production procedures, will be challenging for the producers as these regulations are complex and time-consuming, creating fluctuations in the price ranges of the food products. The high costs associated with organic and fresh foods, such as organically grown fruits and vegetables, may restrict access to low and middle-income consumers, limiting the global market growth rate. To maintain accurate characteristics of the crop, most of the producers utilize certain chemicals, which results in over-fertilization, leading to high-level soil salts and excess nitrogen, affecting the plant health, and the over-fertilizing plants outside leads to run-off chemicals polluting the water bodies. This environmental effect is estimated to hinder market growth.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Fresh Food Market Analysis By Type

Due to high demand, the fruits and vegetables segment held the dominant share in the global fresh foods market revenue. The increasing health consciousness among the people and awareness regarding the need for nutritious and healthy food is accelerating the consumption of fresh fruits and vegetables, leading to segment growth. Multiple vitamins, minerals, and fiber in these foods provide numerous health benefits, like aiding digestion, boosting the immune system, and fueling the segment growth rate. Fruits and vegetables are the correct choice for consumers seeking a balanced diet and support good health by preventing cancer, chronic diseases, and other lifestyle-related disorders, which drives the segment size expansion.

The meat and poultry segment is estimated to grow prominently during the forecast period. The increased consumption of meat and meat products worldwide due to their high protein content and other nutritional value is boosting the demand for meat and poultry products, leading to segment growth. According to a few data reports, the average consumption of meat is approximately 86%, as the consumption of meat remains almost normal everywhere in the world.

Global Fresh Food Market Analysis By Distribution Channel  

The Supermarkets and hypermarkets segment dominated the global fresh food market revenue with a significant market share. Their wide distribution network and integrated supply chain, high volumes of imports, and value-added services like packaging are driving the segment growth. The ease of availability, exploration of diverse brands and food products in bulk volumes, and availability of all types of food products under one roof are gaining traction among people, leading to segment size expansion.

The online segment is expected to have the fastest growth in the coming years due to the enlargement of the e-commerce sector in all industries, especially in the food industry. The pandemic has induced online shopping procedures where people choose to stay indoors and expect door delivery of the required foods, which fuels the segment growth in the coming years. Various benefits like ease of payment, diverse brand availability, and home delivery, as well as most online retailers offering various discounts and coupons, attract consumers and augment the market growth in this segment.  

REGIONAL ANALYSIS

The North American region dominated the global fresh food market due to rising health consciousness among people and adopting healthy lifestyles. The increasing disposable incomes of the people are inducing them to choose convenient and healthy food options, which multiplies the regional market growth rate. The presence of a well-established food industry in the region and the abundant fresh fruits, vegetables, livestock, and seafood across the regional countries drive the market growth. The availability of cutting-edge technologies for farming in the region is maximizing the yield, and most of the crops cultivated in the North American region are estimated to be highly resistant to pests and diseases. The region's abundance of fresh fruits and vegetables fuels the market share growth.

The Asia Pacific region is expected to grow fastest during the forecast period, with China and India holding the major market share. The growing prevalence of lifestyle-related disorders is influencing consumers to adopt healthy food habits, and the growing population pool in the region, the rising demand for organic fresh food, and rapid urbanization are primary factors driving the regional market growth.

The European region is estimated to grow considerably in the coming years due to the rising vegan population, leading to enhanced demand for fresh vegetables and fruits. The growing demand for salads and various traditional European cuisines that involve fresh food products is escalating the growth rate of European countries. Germany and the U.K. are widely known for their tourist places, which boosts the fresh food market revenue due to enhanced demand.

The Latin America, Middle East, and African regions will have moderate CAGR during the forecast period. The growing imports and exports of various food products in the region and the increased demand for meat and seafood are expected to provide growth opportunities in the coming years.

KEY PLAYERS OF THE GLOBAL FRESH FOOD MARKET

Major players of the global fresh food market include Cargill Inc., Dole Food Company Inc., Tyson Foods Inc., Nature Sweet Ltd , Fresh Del Monte Produce Inc. , Sunfed Ltd., Sanderson Farms Inc., Naturipe Farms, Tanimura & Antle Fresh Foods Inc., and D'arrigo Bros. Co.

RECENT HAPPENINGS IN THE MARKET

• In May 2023, iD Fresh Food launched Frozen Fruit Blend in the UAE market. This strategic product launch is expected to enhance the brand's position in the Middle East region after India.
• In 2023, Whole Foods Market announced opening a new store in San Francisco, California, known as "365 by Whole Foods Market." The store aims to provide a cheaper selection of fresh foods than the traditional Whole Foods stores.
• In 2023, Amazon announced that it would acquire Just Eat Takeaway.com for USD 5.4 billion. This acquisition is estimated to grant Amazon access to the online food delivery platform of Just Eat Takeway.com, which will enhance Amazon's expansion in the fresh food market.
• In 2023, Kroger announced the opening of a new "Fresh for You" store in Cincinnati, Ohio. The store primarily aims to provide locally derived, fresh, and healthy foods.
• In 2022, Walmart announced an investment of USD 2.7 billion in its fresh food supply chain to enhance the quality and availability of fresh produce, livestock, and seafood in Walmart stores throughout the United States.
• In 2022, Wayne Farms merged with Sanderson Farms to form Wayne-Sanderson Farms, expanding its presence in the poultry industry.

DETAILED SEGMENTATION OF THE GLOBAL FRESH FOOD MARKET INCLUDED IN THIS REPORT

This research report on the global fresh food market has been segmented and sub-segmented based on type, distribution channel and region.

By Type

• Fruits & Vegetables
• Meat & Poultry
• Seafood
• Eggs
• Others

By Distribution Channel

• Supermarkets & Hypermarkets
• Wet & Open Markets
• Online
• Others

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa