Global Fresh Onions And Shallots Market Size, Share, Opportunities, And Trends By Type (Yellow Onions, Red Onions, White Onions, Shallots, Others), By Application (Household Consumption, Food Service, Processing, Others), And By Geography - Forecasts From 2024 To 2029

Fresh onions and shallots are a type of vegetable produce that is cultivated in lands meant for agriculture. Onions are known to be produced in various colours, which include white and purple, and shallots are a variation of onions that are produced in different colours, such as golden, brown, red, or grey. Shallots are known to be a little sweeter when compared to onions and have more allium flavour to them. Shallots are commonly used in raw applications such as vinaigrettes, as shallots are known to provide flavour similar to onions.

Introduction:

The global onions and shallots market is expected to witness growth during the forecasted period due to various growth drivers, such as the increase in demand for fresh produce and the growth of the food service industry worldwide.

Market Drivers:

• Increase in demand for fresh produce: The increase in health-conscious people in the market drives the increase in demand for fresh produce, which further boosts the fresh onions and shallots market growth during the forecasted period. The increase in consumers who are health conscious creates an increase in priority for fresh and minimally processed foods, which drives the demand for fresh vegetables such as onions and shallots. The increase in the production of fresh products also boosts the growth of organic agriculture, encouraging farmers and consumers to produce and consume sustainable and eco-friendly products in the market. For instance, Europe is one of the largest consumers of fresh fruits and vegetables, following Asia Pacific and North America. It was stated by the Ministry of Foreign Affairs that Europe accounts for an estimated import of 55 million tonnes of fruits and vegetables annually.  The total fresh vegetables import displayed a CAGR of 1.5% in 2018-2020, with an estimated import of 25.2 million tonnes in 2020 and 25.6 million tonnes in 2022. The positive trend in the increasing demand for fresh produce in Europe can drive the global fresh onions and shallots production and consumption, further leading to an expected increase in the global onions and shallots market growth during the forecast period.
• Growing food service industry: Onions are one of the major ingredients that are used in the food service industry for the enhancement of flavours and nutrients in recipes. The increase in the food service industry will drive the growth in demand for onions and shallots due to the increase in consumers in the food service industry. This leads to an increase in the consumption of food products from the food service industry, leading to an increase in demand for food ingredients, which include fresh onions and shallots. Restaurant.org states that the food service industry is estimated to increase to reach an estimated $997 billion in sales in 2023, due to the increase in menu pricing and the increase in the number of consumers. The increase in the value of sales can be linked to the increase in the number of consumers in the market, driving the growth of demand for food ingredients such as onions and other vegetables. India Brand Equity Foundation states that the food service market in India is expected to reach an estimated value of US$79.65 billion by 2028, which is an increase from US$41.1 billion in 2022 with a CAGR of 11.19%. This increase can be linked to the increase in consumers in the market, providing the necessary fuel for the fresh onions and shallots market growth during the forecasted period of 2024-2029.

Key Players:

• T&G Global Limited: A global New Zealand-based company known for growing, distributing and exporting fresh fruits and vegetables worldwide.  They are also known for the production of various fresh fruit and vegetable products such as juices and other ingredients for the food and beverage industry.
• River Point Farms: A family-owned grower well known for being the partner and supplier for the well-known food chain Chipotle, and is also known for growing, packing, and shipping onions globally.

Regional Analysis:

The Asia Pacific region is expected to witness significant growth in the fresh onions and shallot market during the forecasted period of 2024-2029. Asia Pacific is known to be the home of the largest population in the world. The increasing population of the region influences the increase in consumption of crops, which includes fruits and vegetables. Onions and shallots are considered to be consumed in high numbers due to the various health benefits and the relevance of onions in various dish recipes. The increase in the Asia Pacific population leads to an increase in demand for food, driving the increase in the production of onions and shallots in agricultural produce. The United Nations Population Fund states that the Asia Pacific is currently home to 60% of the world’s total population, which accounts for an estimated 4.3 billion people. China and India account for the majority of the population, being the largest countries with the largest populations in the region. The increase in said population can lead to an increase in the production and consumption of vegetables in the region. India and China are the largest producers of onions in the region. India accounted for an estimated 26.74 million tonnes in production in 2020, followed by China with an estimated 23.66 million tonnes during the same period, which is an increase from 23.26 million tonnes and 23.60 million tonnes in 2018, respectively. It was also stated by the Ministry of Agriculture of India that the estimated production of onions in India during 2022-23 accounted for an estimated 318 LMT, which is an increase in production from 316.98 LMT in 2021-22. The leading states in the production of onions in India include Maharashtra (43%), Madhya Pradesh (16%), Karnataka & Gujarat (9%) of the national production. It was also estimated by the APEDA AgriXchange that dry onion production accounted for an estimated 26,641.00 thousand MT and 24,163.90 thousand MT by India and China in 2021, respectively. The increase in production and the population of the region will provide the necessary boost for the regional fresh onions and shallots market growth during the forecasted period of 2024-2029.

Segmentation:

• By Type:
  • Yellow Onions
  • Red Onions
  • White Onions
  • Shallots
  • Others
• By Application:
  • Household Consumption
  • Food Service
  • Processing
  • Others
• By Geography:
  • North America
    • United States
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • United Kingdom
    • Germany
    • France
    • Italy
    • Spain
    • Others
  • Middle East and Africa
    • Saudi Arabia
    • UAE
    • Others
  • Asia Pacific
    • Japan
    • China
    • India
    • South Korea
    • Taiwan
    • Thailand
    • Indonesia
    • Others