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Food in Sealed Packaging: Complete Sector Overview

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Global Packaged Food Industry

The world packaged food industry turns to internal investment during an economic crisis, and the industry is expected to recover slowly, with external investment becoming increasingly prevalent. During the recession, the food industry sought to minimize damage through cost cutting and restructuring. As economic recovery is expected to be gradual, companies in the packaged food industry are likely to look to acquisitions to grow their businesses at a global level.  

US Regional Market Share

US demand for packaged food is expected to grow close to 2.5% yearly through 2014 to almost $8 billion, reports Freedonia. Larger disposable income and growing demand for convenient packaged ready-to-eat food will continue to spur growth.

Flexible foodservice packaging is expected to grow at a faster rate than rigid packaging, at almost 3% yearly growth to exceed $3.5 billion in 2014. Environmental concerns will fuel market expansion as flexible foodservice packaging is less harmful to the environment than rigid packaging. Pouches will lead the flexible foodservice packaging segment, encroaching on the metal cans market.

The rigid foodservice packaging market is predicted to expand at close to 2% yearly to reach almost $4.5 billion in 2014, according to Freedonia. Use of corrugated boxes to ship food products will support market growth. Plastic container demand will be boosted by use of single-serving plastic condiment containers.

Key Market Segments

The world meat, seafood and poultry packaging (muscle food packaging) market is predicted to reach almost $31.5 billion by 2017, according to Global Industry Analysts. The main market drivers include better packaging practices, use of case-ready packaging and developments in production technologies. Rising demand for packaging is being fuelled by greater demand for convenience foods, ethnic foods and microwaveable products. 

The world frozen food market expanded 3.5% in 2010 to exceed $192,000 million, according to MarketLine. The market is predicted to exceed $228,000 million by 2015, a near 19% increase in five years, growing from a volume of around 38,000 million kilograms to almost 43,500 million kilograms in the five-year period. Frozen meat products represent the leading sub segment at over 40% of the overall market. The EU represents almost 38% of the global frozen food market. Brasil Foods is the number one company in operation, holding 5% of the overall market.

The world canned food market is expected to reach almost $92,700 million in 2015, a 15% increase in five years, according to MarketLine. The market’s volume will exceed 23,000 million kilograms in 2015, a 10% increase in the five-year period. Canned meat products represent the leading sub segment, representing over a quarter of the overall canned food market. The EU represents almost 50% the global canned food market; it is lead by Del Monte Foods, which generates over 5% of the market’s value.

The world ready meals market is expected to reach almost $80,000 million in 2014, a 20% increase in five years, reports MarketLine. In volume, the market is predicted to exceed 13,250 million kilograms in 2014, a near 16% increase in the five-year period. Frozen ready meals represent the leading sub segment at over 60% of the overall market. The EU represents almost 40% of the global market, which is lead by Nestle, a company that represents 6.5% of the overall market. Other leading players on the ready meals market include ConAgra Foods and H.J. Heinz.

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