Global Frozen Food Industry
The global frozen food industry recorded close to 4% growth in 2010 to exceed $192 billion, reports MarketLine. The market is expected to see 19% expansion over five years to exceed $228 billion in 2015. In terms of volume the market is expected to exceed 14% growth in the same period to reach almost 43.5 billion kilograms. Frozen meat represents the leading segment, accounting for more than 41% of the overall market in terms of value.
Growing consumer awareness concerning the benefits of a fresh foods diet has proven an obstacle to growth in the frozen food production industry, reports IbisWorld. Over coming years, frozen food manufacturers will concentrate on product innovation to offer a wider range of products and market their goods to emphasize nutrition and convenience.
- The global frozen prepared food market is expected to break the $186 billion mark by 2015 reports Global Industry Analysts. Consumers are opting for frozen prepared food as an alternative to fresh cooked food due to convenience, time constraints and freshness. Consumers’ limited time for cooking continues to push manufacturers to avail of advancements in technology to offer new frozen food products. Marketing campaigns focus on the freshness of frozen food and product innovation. Other factors fuelling growth in this market include rising levels of disposable income, a growing consumer base of both nuclear families and singles ill equipped to tackle the kitchen, increasing demand for ethnic foods, and higher consumer awareness of the benefits of healthy eating.
- Frozen pizza represents the leading segment in the prepared frozen foods market, reports Global Industry Analysts. Product innovation has proved key, with new products like pizza strudel and pizza-on-a-stick proving popular. The economic recession fuelled market growth as consumers looked for more convenient, cheaper meals as an alternative to eating out or buying take-out. Pizza chains are encroaching on the frozen pizza market through promotional offers. The frozen pizza segment is still recording growth and rising sales thanks to new product offerings, promotional efforts and enhanced ingredients.
- In the frozen desserts market segment, sales have been growing in part due to the popularity of new ice cream products geared toward adults, reports Global Industry Analysts. Consumers are buying ice cream as a weekend treat, for after dinner and for eating while watching TV or movies at home. Ice cream manufacturers are catering to consumer demand for healthier products by offering a range of low-fat ice creams.
- In 2007 the ice cream market exceeded $49 billion, according to figures from Business Insights. The market is expected to reach almost $66 billion in 2014. Ice cream manufacturers are focusing their marketing and product innovation efforts on catering to more health-conscious consumers. There is an increasing trend toward ice creams with reduced fat content, limited preservatives and less artificial ingredients. Manufacturers are including healthier ingredients to appeal to a wider-range of consumers.
- The frozen fruit and vegetable market segment has been benefiting from advanced freezing technologies, which allow manufacturers to preserve fruit and vegetable nutritional values for longer, reports BizAcumen. Product innovation continues to prove vital for manufacturers to remain competitive. Frozen food companies are concentrating on promoting nutritionally fortified products with better taste and reduced preparation times. Demand will also be fuelled by increased emphasis on fruit and vegetable consumption, coupled with the fact that consumers have less and less time for shopping and cooking but remain aware of the importance of including fruit and vegetables in their daily diets.
Brasil Foods is the leading player in the frozen food market, reports MarketLine. The company generates 5% of the market in terms of value.
Regional Market Share
The EU represents close to 38% of the global frozen food market in terms of value, according to industry research from MarketLine.
Frozen prepared food manufacturers will continue concentrating their efforts on product innovation and packaging to appeal to consumers over the coming years. Convenience is key, with consumer demand reflecting today’s hectic lifestyles and limited time for food preparation. To this end, manufacturers will focus on cutting down on preparation time by offering products in special formats such as microwavable meals. The industry will also continue to benefit from technological advancements in refrigeration and freezing.
Leading Industry Associations
- National Frozen and Refrigerated Foods Association www.nfraweb.org
- American Frozen Food Institute www.affi.org
- British Frozen Food Federation www.bfff.co.uk
- Thai Frozen Food Association www.thai-frozen.or.th
- Bangladesh Frozen Food Exporters Association www.bffea.net
- Japanese Frozen Food Association www.reishokukyo.or.jp