Table Of Contents
Roshan Deshmukh
Koyel Ghosh
A Detailed Analysis of the Top 5 Emerging Markets in the Food and Beverages Domain in Q4 2024
Over the last few decades, the global standard of living has improved remarkably. The rise in disposable incomes and the penetration of Internet services have changed the lifestyles and dietary habits of consumers worldwide. Several e-commerce companies have emerged which offer a wide range of food and beverage products, thus developing new investment opportunities. Additionally, the increased awareness regarding the importance of nutrition and the growing prevalence of chronic ailments have changed customer preferences and spending patterns. All these factors have impacted the food and beverages domain positively. Allied Market Research, with the help of its ‘Title Matrix Tool’ has identified five such markets that are expected to witness exponential growth in the fourth quarter of 2024.
Food Ingredients Market
Food ingredients are additives added to different food items to enhance their taste, texture, color, gloss, pH, and other parameters. As per the report published by Allied Market Research, the food ingredients market is expected to gather a revenue of $475.4 billion by 2031. The industry accounted for $270.2 billion in 2021 and is projected to rise at a CAGR of 5.8% during 2022-2031. Over the years, various types of food additives have been developed, including stabilizers, emulsifiers, sweeteners, and thickeners. The increasing use of such ingredients in food processing industries is estimated to accelerate the industry’s growth and success. Furthermore, the rising demand for packaged and processed foods from people across the globe has helped the landscape flourish.
The AMR report classifies the industry into various segments based on type and application to aid companies in focusing on the key investment areas. By application, the beverages segment held a dominant position in 2021 and is expected to gather the highest revenue share in the coming period. The usage and demand for different food ingredients have increased in the past few years as beverage companies are trying to enhance the quality and shelf life of their products. Moreover, people living in metropolitan cities and industrial towns are increasingly opting for packaged beverages due to their busy schedules and lifestyles. This has led to a surge in the use of food ingredients, thus broadening the scope of the landscape.
Energy Bar Market
The popularity of energy bars as a convenient on-the-go snack has increased exponentially in the past few years. They contain various nutritious food ingredients such as nuts, granola, seeds, oats, etc., which offer instant energy during short workouts and exercise sessions. The overall rise in awareness regarding the importance of healthy diets has played an important role in the growth of the energy bar market. Furthermore, the ease of consumption and disposable packaging of these nutrient-dense snacks have also contributed to the expansion of the sector. The AMR report on the energy bar industry highlights that the rising purchasing power of people in developed and developing countries has strengthened its foothold globally. The landscape, which accounted for $696.3 million in 2022, is predicted to reach $1.3 billion by 2032, citing a CAGR of 6.3% during 2023-2032.
The report provides a detailed segmental analysis of the industry based on type, nature, and distribution channel. By type, the protein bar segment was the most profitable in 2022 and held around one-third of the total revenue share. An overall transition in the socio-economic conditions and needs of people living in different parts of the world has helped the industry flourish. Additionally, the growing demand for nutritious food products has opened new investment avenues in the landscape. Moreover, as the prevalence of lifestyle diseases such as obesity has increased, the consumption of such weight management products has surged, thus expanding the footprint of the market.
Cheese Sauce Market
Recently, Allied Market Research published a report on the cheese sauce market highlighting its important growth drivers and investment opportunities. The study states that the industry accounted for $5.4 billion in 2022 and is predicted to reach $7.1 billion by 2032, rising at a CAGR of 2.9% in the 2023-2032 period. In the post-globalization period, there has been a significant shift in consumer preferences and consumption patterns of people around the world. This has resulted in a rise in demand for products such as cheese sauces, thereby boosting the growth rate of the landscape. Along with this, food processing companies have come up with different cheese sauce flavors. The availability of a wide range of alternatives has generated numerous growth opportunities in the industry.
Along with the factors influencing the market, the AMR report also classifies the landscape into various segments based on cheese type, source, end user, and distribution channel. By cheese type, the cheddar segment held a dominant position in 2022 and is expected to witness huge growth in the years to come. Compared to other cheese types, cheddar is widely popular due to its creamy taste, harder texture, and higher shelf life. As a result, it is often used in manufacturing different bakery products and fast-food items, thus augmenting the growth rate of the industry. Also, the affordability of cheddar cheese products has made them a preferred choice among the middle-class population in the US.
UK Bubble Tea Market
Bubble tea is a popular Taiwanese drink that was invented in the Tainan and Taichung cities in the 1980s. Prepared from boba, a cassava root extract, the beverage has become quite popular in Western nations, especially in the UK. The increased demand for non-alcoholic drinks among Gen Z and millennials in the country has led to the expansion of the industry in the country. Furthermore, social media apps such as TikTok and Instagram have played a huge role in promoting bubble tea as a unique product among youngsters. Additionally, compared to sodas and other sugary drinks, this beverage has become a preferred choice for the UK’s health-conscious populations. According to a report by AMR, the UK bubble tea market is anticipated to reach $243 million by 2033. The industry was valued at $167.2 million in 2023 and is estimated to rise at a CAGR of 4.0% from 2024 to 2033.
The study divides the landscape of UK bubble tea into different segments based on flavor, base ingredient, and component. By flavor, the original segment is expected to witness significant growth in the near future. The increased popularity of Asian cuisine in the UK has led to a surge in demand for original bubble tea. Furthermore, there is a growing trend among consumers to mix this drink with healthy variants such as green or black tea. Also, the availability of original boba tea in different grocery and retail outlets has played a major role in the growth of the segment.
India Branded Food Staple Market
Recently, Allied Market Research published a report on the India branded food staple market which highlights that the industry accounted for INR 27, 507.94 crore in 2017. The landscape is predicted to gather a revenue of INR 105,123.34 crore by 2031, registering a CAGR of 10.1% during 2022-2031. Branded food staples include different items such as grains, pulses, nuts, spices, etc., which are sold under a specific company label or brand. In the last few decades, the pace of urbanization and industrialization has increased exponentially in India, leading to a surge in demand for branded staples. The rising penetration of e-commerce companies has also contributed to the growth of the landscape.
The AMR report provides a comprehensive segmental analysis of the market and classifies the industry on the basis of product type and distribution channel. By product type, the value-added segment held the largest revenue share in 2017 and is anticipated to create lucrative opportunities in the near future. The rising demand for processed grains is expected to contribute to the growth of the segment in the coming period.
The essence
In summary, the fourth quarter of 2024 has been quite beneficial for the food and beverages domain. The increased preference for packaged foods and the growing proportion of the health-conscious population across the globe have created new investment opportunities in the sector. The AMR reports on the top 5 emerging markets highlight the evolving dynamics of this domain to help businesses formulate holistic growth strategies in the long run.
Contact our experts for an in-depth understanding of the latest trends and advancements in the food and beverages industry.
