Baby Food Market Set for Rapid Growth and Trend by 2026
Date: 2020-04-03   Author: Rahul Sankrityayan  Category: #market

Baby Food Market Set for Rapid Growth and Trend by 2026

Rising infant population coupled with increasing consumer awareness about feeding babies with organic and nutrition-rich food products will be primarily driving baby food market over the forecast timeframe. Baby food and care products segments has overall grown significantly over the past decade. This has caught attention of food manufacturing companies to venture into baby food business. Thus, each region has presence of several local companies selling baby food as per the regional culture and demand.

Prepared baby food accounted for the largest share in 2018, in terms of volume. The segment has high demand in European and North American countries. Prepared food gives the convenience to working mothers to take care of their baby's nutrition well in time. However, prepared baby food has limited shelf time and demands immediate consumption, once opened the jar/pouch for feeding baby.

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Hence, the segment will experience moderate CAGR during the forecast timeframe. Dried baby food will be experiencing the highest CAGR of 13.4% over the next few years, owing to its longer shelf life and easy to serve mixes.

Catering to a very sensitive age group of population, baby food market is subjected to several stringent regulations across different regions. The agencies such as European Food Safety Authority and U.S. Food and Drug Administration have laid down some strict regulations regarding content and ingredients that go in baby food. Additionally, there are regulations regarding packaging of baby food, it governs the type of packaging suitable as per product, its safety to be used in food packaging, etc.

Supermarkets segment will be the fastest growing baby food distribution channel in the coming years. The segment will witness CAGR close to 13.2% during 2019 to 2025. The exponentially growing retail business across the globe, will be beneficial for supermarket formats, as they have wide variety of baby food and offer products at affordable prices.

Europe is one of the prominent regions in baby food market. It held 34% market share in 2018. Europe has presence of several baby food producing companies. Nestle, DMK GmbH, HiPP, Danone and Danalac are the major players functional in this regional market.

Asia Pacific is one promising region in terms of increasing consumption of baby food market volume. The region will be growing substantially during the forecast period. Growing infant population in India, Pakistan, Vietnam, Thailand, Indonesia will be augmenting product demand in the coming years. Moreover, governments in these nations are also improving their infant mortality rate, for which they have began running several schemes for baby nutrition.

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Additionally, there is growing awareness among parents about the right choice of food products for their babies, which has led intense competition among companies about maintaining the quality of their baby food.

The baby food market is highly competitive with companies including Mead Johnson Nutrition (Acquired by Reckitt Benckiser in 2018), Nestle, Danone, Hero Group, Abbott and Asahi Group having extensive presence across the globe. The companies are experienced in their respective domain of products and have extensive distribution networks across continents. In addition, the multi-national companies have entered into strategic alliances with small and medium sized players to expand their penetration in local market and to have a better understanding of parents and their choice of food for their babies.

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Rahul Sankrityayan

Rahul Sankrityayan

Fortified with a post-graduate degree in Computer Applications, Rahul Sankrityan writes for algosonline, where he pens down news and articles spanning across segments of technology industry that excite him on a day-to-day basis. Rahul comes with a rich experience in t...

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