As per our analysis report, the global fresh fruits and vegetables market is expected to reach USD 194.52 billion by 2029 from USD 151.40 billion in 2024, growing at a compound annual growth rate (CAGR) of 5.14 % during the forecast timeline.
Fresh fruits and vegetables are indeed an important element of a healthy, well-balanced diet. Fresh fruits and vegetables are abundant in essential vitamins and minerals that can help with a range of ailments and deficits. There are two types of these: raw and processed. Fresh fruits and vegetables are used in every cuisine across the world, in both domestic and commercial settings. Vitamins, minerals, fiber, and antioxidants found in vegetables and fruits have been demonstrated to defend against chronic illnesses, including cancer and heart disease. As a result, fruit and vegetable consumption must be included in guidelines for a balanced diet. Due to increased health awareness, consumers in developing nations have grown more concerned about nutritional qualities and the safety of the food they consume. Fresh produce, which is made up of fresh fruits and vegetables, is a nutritional powerhouse in most balanced diets. They effectively safeguard against illnesses since they are high in vitamins, minerals, fiber, and phytochemicals. The best approach to ensure that no chemicals, preservatives, or colors have been added to food is to buy and consume freshly grown fruits and vegetables. Fresh produce is also rich in vitamins and minerals, minerals, proteins, and carbs, all of which are important components of human nutrition. These are known as protective foods, and they have become increasingly important in terms of people's nutritional security.
The growing middle-class population, rising disposable income, rapid urbanization, changing consumer habits, and the development of veganism are primarily propelling the growth of the fresh fruits and vegetables market.
Steadily increasing share of the fresh sector, growth of branding, technical developments, and introduction of online shopping for groceries are some of the significant trends identified in this industry. Customers, especially the younger generation, are becoming more health conscious and are focusing on enhancing overall health and well-being. Furthermore, rising levels of obesity, as well as other linked disorders, are prompting consumers to choose a healthier diet. According to polls, individuals are becoming more proactive than they were previously when it comes to health complications. Whereas medical experts in healthcare have always been typically provided in reaction to sickness, a growing interest in preventative interventions demonstrates a shift in understanding and behavior, especially among young people. As a result, the demand for fresh fruits and vegetables is increasing. Furthermore, the worldwide fresh fruits and vegetables market may benefit from the trend of moving from conventional to online buying platforms. Penetration of the e-commerce platform in the food and beverages industry is ascribed to leverage the growth rate of the market. The online platforms shall deliver fresh fruit and vegetables sustainably according to the order of the user through smartphones or any other devices to increase the share of the market, especially in developed and emerging countries. Countries like India, China, and Japan are investing huge amounts in promoting various applications in favor of the users, which will eventually propel the growth rate of the fresh fruits and vegetables market. For instance, in India, the demand for Swiggy and Zomato is reaching beyond the boundaries, and the government's launch of the Open Network for Digital Commerce is set to create challenges for the already existing commerce platforms. ONDC is a government-launched platform to deliver food, groceries, fruits, vegetables, and other essential products at lower prices. This platform shall create a chance for the sellers and customers to enter this platform without any restrictions that promote the business strategies. Therefore, the government's strategy to support food delivery applications is solely to leverage the market size up to that extent.
Price volatility is restraining the growth of the fresh fruits and vegetables market.
Fluctuations in the availability of fruits and vegetables due to changes in climatic conditions may vary the prices frequently. The production rate of fresh fruits and vegetables varies with climatic conditions like extreme heatwaves, rainfall, floods, and droughts. The lower production rate will increase the prices of the fruits and vegetables, whereas the increased production rate will decrease the rate extremely, which is a loss for the farmers. Therefore, the variations in the cost of fruits and vegetables may hinder the growth rate of the market.
Also, the lack of proper support from the government in undeveloped countries through investments certainly impedes the market share. In a few countries, the demand for fresh fruits and vegetables is gradually decreasing due to a lack of proper support from government authorities. On the other hand, stringent rules and regulations by the government for the use of harmful pesticides and insecticides are impeding the market's growth rate. Rising concern over the safety of the environment is majorly limiting the use of pesticides where government authorities are taking strict actions to prohibit the limit of usage. This is posing a negative effect on the growth rate of the fresh fruits and vegetables market.
Nowadays, people are more inclined to adopt healthy lifestyle changes. Leading a healthy and balanced lifestyle is so important these days. The rising number of chronic diseases like heart-related issues, cancer, diabetes, and others is posing a threat to humans to lead a longer life. Nowadays, people are more prone to adopt a sedentary lifestyle where there is a lack of physical activities, which is why there is a rising number of deaths due to heart attacks among young people who are aged below 45. Adding fruits and vegetables to the regular diet can help in preventing these diseases and extend the quality of life. Companies focus on implementing various strategies to expand their portfolio by merely creating awareness of the benefits of consuming fruits and vegetables, which will certainly fuel the growth rate of the market in the future at a higher rate. In addition, the launch of innovative technological developments that produce high-quality products is elevating the growth rate of the market.
To meet the untapped requirements in the marketplace, companies need to focus on improving the infrastructure for the manufacturers. The lack of proper infrastructure facilities to manufacture fruits and vegetable ingredients is a big challenge for market players. Lack of proper knowledge of the effective supply chain may also pose a negative influence on the growth rate of the market. Fresh fruits and vegetables need proper logistic conditions to maintain freshness where. Lack of these conditions will damage the quality of the products. Therefore, the need to maintain a proper supply chain and logistics with proper infrastructure is becoming crucial, especially in emerging countries like India, China, Japan, and others.
The emergence of the new coronavirus SARSCoV2 (and COVID-19 illness) had a substantial impact on the fresh fruit and vegetable market. Producers and distributors were compelled to transfer nearly totally from food service to the retail business as a result of the closing of restaurants, taverns, and schools. Shippers said the move was difficult due to manpower and logistical issues, but the fresh product supply chain remained stable. We foresee long-term changes in customers' online food purchase patterns, increased labor market limits for immigrants, and a high proportion of local produce distribution and possibly retailing.
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REPORT METRIC |
DETAILS |
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Market Size Available |
2023 to 2029 |
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Base Year |
2023 |
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Forecast Period |
2024 to 2029 |
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CAGR |
5.14 % |
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Segments Covered |
By Product Type, End Users, Application, And Region |
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Various Analyses Covered |
Global, Regional and Country Level Analysis; Segment-Level Analysis; DROC; PESTLE Analysis; Porter’s Five Forces Analysis; Competitive Landscape; Analyst Overview of Investment Opportunities |
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Regions Covered |
North America, Europe, APAC, Latin America, Middle East & Africa |
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Market Leaders Profiled |
Dole Food, Keelings, Mirak Group, Driscoll, Fruitable Fresh Sdn Bhd, Goknur Gida, EMONA Co. Ltd., Fresgarrido, Naturipe Farms, and Belorta. |
The Vegetable segment is expected to have the largest global market in terms of product type. Fresh veggies are vibrant, high in vitamins, minerals, and fiber, and are essential for the human body's normal functioning. Fresh fruit is not only good for people, but it's also good for the food chain. Fruits and vegetables help to increase biodiversity, create environmental sustainability, and improve the livelihoods of farmers and others involved in the value chain.
The organic segment is expected to increase at a CAGR of 6.38 percent during the forecast period, with the inorganic sector accounting for the greatest market share. Pesticides are used by inorganic producers to safeguard agricultural crops from insects. The grower utilizes manufactured chemicals and spray insecticides and pesticides as well as on crops that are naturally harmful. GMO seeds can be something other than native kinds, and they are handled with chemical solutions to boost germination. Artificial promoters are administered to ensure sapling development is enhanced.
The commercial segment had the biggest market share, and it is expected to increase at a CAGR of 6.05 percent over the forecast period. Commercial, a sub-segment of the application segment, is a significant player in the fresh fruits and vegetables market, and it is expected to develop quickly in the coming years as the hotel industry expands and the tourist sector expands globally.
North America's fresh fruits and vegetables market is leading with the dominant share with the growing per capita income. The growing economy eventually raises the disposable income of the common people, where they are more inclined to maintain good health by eating healthy food items like fresh fruits and vegetables, which is a common factor for the market to grow in developed countries like the US and Canada. The US is the major country contributing the highest share of the market, whereas Canada is likely to hit the highest CAGR by the end of the year. In addition, the increasing number of health-conscious people who prefer plant-based protein food products is leveling up the demand for fresh fruits and vegetables, which is enhancing the growth rate of the market.
Europe is expected to reach the highest CAGR by the end of the forecast period 2024-2029. Rising awareness of staying fit and healthy by swiftly changing lifestyle habits is inclined to showcase huge growth opportunities for the fresh fruits and vegetables market in Europe. Companies' strategies to attract consumers through innovative packaging styles that enhance the quality of fruits and vegetables for a longer time will greatly influence the market growth rate in the coming years. UK, Germany, France, Spain, and Italy are expected to create huge growth opportunities for the fresh fruits and vegetables market due to the presence of top companies.
Asia Pacific is following North America in leading the dominant share of the market with a significantly growing economy in emerging countries like India, China, Japan, and Australia. The rising focus on creating awareness over the adoption of plant-based food products that boost immunity and reduce the risk of many chronic diseases is likely to gear up the market value in emerging countries in the Asia Pacific region. Also, growing incidences of obesity in these countries are boosting the number of people who adopt eating only healthy food items like fresh fruits and vegetables, which help reduce weight and increase the growth rate of the market.
Companies playing a major role in the global fresh fruits and vegetables market include Dole Food, Keelings, Mirak Group, Driscoll, Fruitable Fresh Sdn Bhd, Goknur Gida, EMONA Co. Ltd., Fresgarrido, Naturipe Farms, and Belorta.
By Product Type
By End Users
By Application
By Region
Frequently Asked Questions
Opportunities exist in value-added products such as pre-cut and pre-packaged fruits and vegetables, functional foods with added health benefits, and innovative packaging solutions that extend shelf life and reduce food waste.
Technological innovations such as precision agriculture, blockchain traceability, and cold chain logistics are improving efficiency, reducing food waste, and enhancing the quality and freshness of produce from farm to table.
The market is experiencing growth driven by increasing consumer awareness of health and wellness, rising demand for organic and locally sourced produce, and a growing preference for convenient, ready-to-eat options.
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