Organic Food And Beverages Market To Reach US$328 Million By 2022

Tuesday, February 7th, 2017 | 470 Views

Comprising organic beverages, fruit, vegetables, coffee and tea sub segments, the market is expected to grow at a CAGR of 16.4 percent between 2016 to 2022, reports Allied Market Research.

According to the research firm’s data, the global organic food and beverages market was valued at US$116 million in 2015. The organic beverages segment occupied a dominant share—about 60 percent—and it is expected to maintain this trend during the forecast period. The organic food segment in contrast is projected to grow at a CAGR of 16.6 percent during the forecast period.

The market is predicted to witness significant growth from 2016-2022 due to several factors: increasing affluence and consequently disposable income of consumers; rising awareness of health and wellness by consumers so as to lead them to select the foods and beverages they consume carefully; and advancements in organic farming techniques.

In fact, the demand for products under this section is expected to increase by three times by 2022, as compared to that seen in 2015.

Consumers are also drawn to organic foods and beverages because of the health benefits these provide. For example, they are grown free from pesticides and other chemicals—providing safer eating and also presenting less fat and cholesterol in the case of organic meat, fish and poultry. Parents are also more inclined to purchasing organic baby food so as to ensure that their children’s food is guaranteed to be of quality and safe.

These trends are not only seen in the West; in fact the highest growth is expected to be seen in the Asia Pacific region. The Asia Pacific organic food and beverages market is projected to grow at a CAGR of 23 percent between 2016 and 2022.