Frozen Seafood Market Expected to Reach $137.3 Billion by 2032—Allied Market Research

According to a new report published by Allied Market Research, titled, “Frozen Seafood Market," The frozen seafood market was valued at $82.5 billion in 2022, and is estimated to reach $137.3 billion by 2032, growing at a CAGR of 5.3% from 2023 to 2032.

Frozen seafood refers to seafood products that have been subjected to a preservation process in which their temperature is lowered significantly, typically to -18°C or below, and maintained at these low temperatures to extend their shelf life. This process effectively minimizes microbial and enzymatic activities, preserving product quality of various seafood. Thus, to maintain these benefits, the frozen state of these seafood must be protected and maintained within a continuous cold chain. Thawing is a crucial step in handling frozen seafood, as it significantly impacts product quality. In addition, swift thawing at lower temperatures is essential to prevent quality deterioration during import and export of frozen seafood products. Overall, freezing and proper thawing methods are vital in the preservation of frozen seafood for extended periods, which thus ensures delivery of high-quality products to consumers. This is expected to boost the frozen seafood market share and frozen seafood market size in coming years. 

The frozen seafood market is analyzed on the basis of type, form, distribution channel, and region. By type, it is divided into frozen fish, frozen crustaceans, frozen mollusks, and others. Among these, the frozen fish segment occupied the major share of the market in 2022 and is anticipated to maintain its dominance during the forecast period. Health-conscious consumers are increasingly seeking shelf-stable and preservative-free fish products, aligning with the trend towards cleaner and more natural food options. The emergence of gourmet frozen fish caters to those who desire restaurant-quality seafood in the comfort of their homes, which presents huge market potential for this segment. The convenience factor also plays a significant role, with consumers increasingly prioritizing products that fit their busy lifestyles. Advances in freezing technology have contributed significantly in preserving the taste and quality of frozen fish, which has further enhanced its demand in the market. Moreover, the growing consumption of seafood and the attraction of lower prices are additional factors driving the market growth of this segment. Proper packaging techniques, efficient transportation methods, and recommended defrosting processes ensure that frozen fish maintains its dominance as a convenient and high-quality seafood option. As the market evolves, it will continue to adapt to consumer preferences and demands, which thus presents a dynamic landscape of opportunities for both established and emerging players in the frozen fish industry. Overall, the demand for frozen fish is expected to continue growing, offering multiple benefits and opportunities across various sectors.

Depending on form, the market is categorized into raw frozen seafood, pre-cooked seafood, and ready-to-eat seafood. The raw frozen seafood segment was the major share contributor in 2022. The demand for raw frozen seafood has increased owing to its availability in natural state without any processing and ease of availability through various retail channels. Raw seafood has a fresh taste and more delicate texture compared to other cooked seafood alternatives. As a result, it increases the overall dining experience through the natural flavors and textures of the seafood. Raw seafood retains its natural nutrients, including omega-3 fatty acids, vitamins, and minerals, as they are not lost through the cooking process. This may contribute to a more nutritious diet option and help health-conscious consumer to prepare it as per their dietary preferences. In its raw form, seafood typically undergoes minimal processing, which may be a convenient choice to those seeking natural and unadulterated food options. In addition, raw frozen seafood may be used in various culinary preparations, including sushi, sashimi, ceviche, and tartare. It allows for diverse and creative dishes to be prepared, which may add up to the frozen seafood market opportunities. Thus, the raw frozen seafood is expected to maintain its dominance throughout the frozen seafood market forecast period.

As per distribution channel, the frozen seafood market analysis is done on the basis of supermarkets/hypermarkets, departmental stores, B2B, and online sales channel. Among these, the supermarkets/hypermarkets segment occupied the major share of the market in 2022 owing to the easy availability of frozen seafood products along with other benefits such as a wide selection of products, competitive prices, bulk shopping options, fresh produce, promotions, and ample parking facilities, making shopping more efficient and cost-effective. A supermarket can be regarded as a large shopping center focused on a self-service model. Whereas, a hypermarket is a large self-service warehouse and convenience store that combines the characteristics of various retail types, including supermarkets, grocery stores, retail outlets, and specialty shops. Hypermarkets are often seen as one-stop shops that cater to the daily requirements of customers. The frozen seafood has a good opportunity to grow with the help of hypermarkets & supermarkets distribution channel. The reason for this is easy availability of the products. Consumers have access to niche products on the market in these types of stores. Thus, the establishment of hypermarkets/supermarkets at a widespread location gives way to lucrative opportunities for the growth of the global market for frozen seafood. Manufacturers offer special discounts through these hypermarkets and encourage hypermarkets and supermarket chains to mainly sell their own products. For these strategies, manufacturers are making efforts to increase the visibility of the products, which attracts consumers and contributes to the growth of the frozen seafood market.This will help boost the frozen seafood market trends in coming years, resulting in the frozen seafood market growth.

Region wise, Europe dominated the frozen seafood market in 2022 and is anticipated to continue the same trend during the forecast period. The fast-paced lifestyles of European consumers have led them to favor frozen seafood for its ease of use, which thus demands minimal preparation. The surge in demand for convenient and easily prepared meals has propelled frozen seafood as a convenient choice. Consumers are increasingly health-conscious, which has led to increased awareness of the nutritional benefits of seafood. In addition, the increased emphasis on sustainability and responsible sourcing of seafood industry among the consumers has driven the need for certified frozen seafood products that adhere to environmentally friendly practices. Advancements in freezing and packaging technologies has enhanced the quality, texture, and taste of frozen seafood, making it exceptionally attractive to consumers. Frozen seafood, with its extended shelf life compared to fresh alternatives, reduces food waste, and enables bulk purchasing for restaurants and other food outlets. Furthermore, the rise of online sales channels and the widespread availability of frozen seafood in physical stores and digital marketplaces have greatly expanded consumer access to these products. As a result, the frozen seafood market in Europe is expected to experience steady growth. 

However, the outbreak of the pandemic has disrupted the global supply chains, affecting the timely delivery of raw materials and ingredients to manufacturing units, thus hampering the production & distribution of frozen seafood products. In addition, the pandemic has led to changes in consumer behavior, with many people staying at home and preparing food items themselves. This has significantly reduced the demand for certain processed and frozen food including seafood during the COVID-19 pandemic. These changes in consumer behavior have had both positive and negative impacts on the frozen seafood market. The major players analyzed for the frozen seafood industry include Sirena Group A/S, Sykes Seafood, Nueva Pescanova, S.L., Beaver Street Fisheries, Inc., High Liner Foods Incorporated, Leroy Seafood Group ASA, Maruha Nichiro Corporation, Thai Union Group Public Company Limited, Pacific Seafood Group, and Mazzetta Company, LLC.

KEY FINDINGS OF STUDY  

• On the basis of type, the frozen fish segment held the major share in 2022.
• As per form, the raw frozen seafood segment held the major share in 2022. However, the ready-to-eat seafood segment is observed as the fastest growing segment for the frozen seafood market.
• Depending on distribution channel, the supermarkets/hypermarkets segment held the major share in 2022. However, online sales channel is observed as the fastest growing segment for the frozen seafood market.
• According to region, Europe held the major share in 2022. However, Asia-Pacific is expected to be the fastest growing region for the frozen seafood market.