Sustainability, Premiumization, and Convenience Are Key Determinants of the Current Beverage Market

With consumers becoming incrementally concerned with the plausible ramifications that have waste has on the environment there has been an increased inclination towards more eco-friendly packing offerings. The aspect of sustainability has become a now or never matter for the beverage industry and not something that can be ensconced in the 5-year agenda of the company. The aspect of sustainability has further gained credence particularly because of regulations that address the increase in single-use plastic use. Glass bottles, cardboard cartons, and aluminum cans were earlier replaced by polyethylene terephthalate (PET), and currently, there has been a renewed interest in the former. Thus, packing innovation is altering how consumers have been engaging with their go-to products.

beverage market

Brand differentiation is at the forefront of any business strategy. Thus, coupled with the absence of a one-size-fits-all packaging option, manufacturers who are engaged in the packaging market are increasingly investing in the current profit margins, client demographics, and how it is consumed, and assessment of characteristics of the beverage, to find the right solution for their products. For instance, in November 2020, Smurfit Kappa (OTCMKTS: SMFTF) has teamed with one of the world’s leading manufacturers of filling and packaging systems for the beverage and liquid food industries known as KHS Group, to launch a sustainable TopClip multipack product for bundling canned beverages. The partnership has resulted in an end-to-end solution for beverage companies.  While the aforesaid was from the purview of packaging manufacturer, in December 2020 it was reported that Coca-Cola European Partners was inclined to invest in Lavit which is a US-based company that has created a compact countertop system that has been innovated with the rationale to minimize packaging waste and carbon footprints.

This partnership with Lavit will advance the former's ambition to explore and test new dispensed delivery solutions, which act as a strategic route that would aid in extending consumers the choice (through customizable options for flavor and carbonation) and conveniences and the company the means of eliminating waste and minimize its carbon footprint. Developing products in line with the consumers’ desire for quality has emerged as the fundamental driver of the current global beverage market trend. As consumers around the world are trading up to premium brands and letting go of more traditional categories, they have embraced the proverbial less is more. This has led to niche categories that comprise a variety of beverages like craft beer, premium cocktails, and origin coffee. Consumers in both developed and developing economies are comfortable to shell out more for beverages that are made produced with high-quality sustainably sourced ingredients.

This leaves ample room for innovation within the premium beverage space. Craft beer is an example that has rapidly spread across every corner of the world. For instance, Indian Craft beer brand Bira 91 has reportedly secured investment from Japanese integrated beverages company Kirin Holdings (TYO: 2503) which was in the order of $30 million. This the Japanese beverage company’s first in India enabling it to acquire a stake in B9 Beverages which is Bira 91 parent company.  Besides beer, the increase in interest has also resulted in craft mezcal, nonalcoholic mixers, and tequila around the world. Additionally, premiumization has been the main facilitator of M&A which decreases the sole reliance on in-house capabilities of product development. For instance, in February 2019 Anheuser-Busch has reportedly acquired Cutwater Spirits a US-based company that would enable Cutwater to join Anheuser-Busch’s Beyond Beer portfolio that comprises Spiked Seltzer, HiBall, and Babe Rose brands. This marks a shift in the company’s strategy which is predominantly known as the beer brand seeking growth in the spirit’s segment. Moreover, there has been a surge in the blurring of category lines as traditional beverages are being developed to create premium options.

For instance, in January 2021, a new player in the dynamic ready-to-drink (RTD) market has announced that its innovative sparkling tea has been developed using a trifecta of clean ingredients that comprise proprietary tea concentrate brewed from vitamin-rich citrus, sparkling water,  and organic coffee fruit, would mad commercially available le in flavors like lemon, orange, and grapefruit over its website drinkhusky.com Earlier in February 2019 a multi-year partnership with beverage incubator LA Libations was announced by Molson Coors (NYSE: TAP ). This partnership comprises a substantial minority equity investment made by the latter into the beverage company based in California since it aims to strengthen its position in the non-alcoholic space.

New routes to the market providing consumers access to the market at their consumer is another trend that is governing the current food and beverage industry trend. With consumers’ inclination to alter their ways to purchase beverage companies are present with new avenues to place their product in a variety of channels to remain market relevant. This in part due to new players who are providing enhanced convenience as far as the purchasing experience is concerned. While off liquor shops and convenience stores have been the go-to source of alcoholic beverages there has been a rise in eCommerce platforms are becoming the preferred means of buying alcoholic beverages. For instance, Rémy Cointreau (EPA: RCO) recognizing the growing interest in at-home cocktail-making, a partnership was announced in October 2020 between the alcohol eCommerce platform operating in over 100 markets across Canada and the United States called Drizly and Rémy Cointreau Americas. Under this agreement, a new virtual cocktail studio would be made available which would include The Botanist Islay Dry Gin, Mount Gay Rum, and Cointreau, which are three of Rémy Cointreau’s home bar essential spirits.

Further, this is the first-to-market concept would be enlisting industry experts to educate cocktail connoisseurs and beginners alike on the basics of at-home cocktail making. Whereas last year the same month Amazon.com, Inc. (NASDAQ: AMZN) made a major investment in the spirits category with the launch of Tovess Gin (41.5% ABV) which is being marketed as premium dry gin that has been crafted. In line with highest standards of quality it has been made through a single batch distillation with the infusion of distilled lime and grapefruit peels.

Marine Algae a New Opportunity for Global Ethanol Market

Globally, industrial activities and the quality of human lives are inextricably linked and both rely on the use of fossil energy sources, such as coal, natural gas, or oil.  Unfortunately, this fossil fuel dependence of modern societies has several noteworthy ramifications, which are inclusive of but not limited to acid rain, deterioration of air quality, global warming, and oil spills, which have direct and severe consequences on human health and the quality of the environment.  For example, the modes of transports are almost entirely dependent on fossil fuels and use more the half of the global fossil fuels produced and are responsible for the emission of a high proportion of carbon monoxide and occupy a significant share of CO2 in the atmosphere. Additional concerns related to fossil fuel is that of the continuous depletion of fossil fuel resources. Further, if consumption is to remain at the current levels, it has been estimated that in Europe the oil resources Europe will be exhausted in 40 years, the gas resources will be completely depleted in 60 years, and the coal resources will be exhausted in 200 years.

ethanol market

As a result, a quite few nations would be compelled to import fossil fuels, which will lead to a significant increase in sales prices. Such negative outcomes related to the consumption of fossil fuels have determined the orientation of scientific research towards finding new sources of clean energy, through the use of renewable resources which would be in tandem with sustainable development principles, and this trend is also supported by the international political regulations. One particular path that can lead to the fruition of minimizing the consumption of fossil fuels is the use of biofuels derived from renewable resources. It is widely accepted that biofuels are an excellent alternative to traditional fossil fuels, mainly because they can be obtained from large available and renewable feedstock, as biomass, and their utilization generates relatively low levels of greenhouse gas and other pollutants.  

Out of all the available biofuels, bioethanol has received significant attention, because it is the most widely used liquid biofuel for motor vehicles and production of green energy, and these numerous utilizations have determined the rapid growth of the market for this kind of biofuel. This recognition also necessitates renewed investments to identify a suitable raw material for the production of bioethanol, which must be efficient both economically and technologically. This because it is impractical for the price of bioethanol to be more than the price of conventional fuels. Further, the selection of adequate biomass for bioethanol manufacturing must take into account factors such as bioethanol yield, conversion technologies, environmental impact, use of land for cultivation, as well as advantages and disadvantages of each category of biomass. These are an important determinant for the biofuel to be accessible in the market due to its comparatively low final price. Further, the production should not encroach upon the available land for cultivating food crops thus ensuring food security. Thus, arises the need for using a new kind of raw material for the production of bioethanol which can potentially extricate the global energy market from the Scylla of global environmental deterioration and the Charybdis of complete energy resource depletion.

The chemicals and materials industry is currently challenged with identifying the appropriate biomass which can be used as raw material for the production of bioethanol. Further, the ideal properties of the raw ingredient are that it should be carbohydrate-rich and should be widespread. Additionally, such biomass should not need agricultural inputs like fertilizers, land, and water, and most importantly should not be a part of the food chain both animals and human. Marine algae can potentially be the type o biomass that fits the aforesaid criteria. Marine algae (usually called seaweeds) are pluri-cellular biological organisms whose size may vary ranging from a small microscopic size (3–10μm) to large microscopic shapes (less than 70 m). From a biological perspective, unlike plants, the roots of marine algae are essentially thallus leaf, albeit sharing certain features of plants like leaves and stems. Arguments that are in favor of utilizing marine algae as raw materials for bioethanol are inclusive of but not limited to their high availability in many regions of the world and low cost of preparation. Nevertheless, with regards to the collection of marine algae naturally occurring in the sea certain considerations are required to be taken into account which is, among others, the number of marine algae that is harvested is heavily reliant on the season and climatic conditions which may impact the continuity of production.

However, cultivation of marine algae in specialized farms using open-pound technology, and the naturally grown marine algae to be used additionally, when they meet the qualifying conditions required for the raw material, is a prospective solution to the above.  In August 2020, a company called Ocean Rainforest has reportedly raised US$1.5 million in an investment round led by the World Wildlife Fund (WWF), which contributed $850,000. This investment would enable Ocean Rainforest to deploy new farms at a scale equipping the organization to meet the growing need for seaweeds. Earlier in June the same year, the company had signed a contract with the ARPA-E (Advanced Research Projects Agency-Energy) to conduct the 2nd phase of its pioneering seaweed cultivation project called “MacroSystems” in California.  

Also, in December 2020, a biologist at the University of Wisconsin-Milwaukee’s College of Letters and Science has reportedly received substantial federal funding to unlock the potential of giant kelp which are usually widespread in Milwaukee and is known to be fast-growing seaweed in the Pacific Ocean to be used as the source for biofuel. Besides, suitable cultivation systems too must be designed for the efficient harvesting from wild stocks to make marine algae a feasible raw material for the production of bioethanol. These factors have necessitated the increase in the economic viability of technological processes used to produce bioethanol, which involves the solving of technological particularities, the minimizing of energy consumption, and the time required to manufacture resulting in a competitive bioethanol cost. Thus, the natural segment is expected to increase its share in the global ethanol market resulting in the latter’s growth during the forecast.

Global Calcium Carbonate Market – Enabling a Wide Range of Industrial Applications

The uses of minerals are an integral part of our daily lives. Since time preceding the medieval ages, various areas required the use of comminuted minerals and a broad variety of rocks. Further, presently the extent of production and consumption of nonmetallic raw materials is synonymous with nations’ progress and growth. Industrial minerals are representative of wealth and there are no such mineral materials that are as significant as calcium carbonate and no other industrial mineral has such a broad range of application as the latter. From sculptures, through construction, chemistry, paints, and papers as well as agriculture, pharmaceutical, and food products calcium carbonates can be found. The immense economic significance of calcium carbonate minerals is further discerned when the production volumes of some lime, chalk, and marble stone are glossed over. An instance of lime, which has a wide industrial application and includes the manufacture of precipitated calcium carbonate, the global production volume was estimated by U.S. Geological Survey (USGS) to be in the order of 430,000 thousand metric tons in 2019 which was an approx. increase of 22.8 % from the estimates of 2016 which was in the order of 350,000 thousand metric tons.

calcium carbonate market

Application wise, as briefly touched upon earlier, despite a global initiative towards the digital economy the size of the paper industry is still to be reckoned with. Once the application of paper (among many) is that of the paper packaging. To this end, Knowledge Sourcing Intelligence has forecasted the paper packaging market to attain a market value of US$278.222 billion in 2023 after growing at a CAGR of 3.12% from the US$231.452 billion that has been estimated for 2017. The mention of paper is contextual to the global calcium carbonate market which is estimated to grow at a remarkable CAGR of during the forecast period from a market value of USD3.583 billion that has been estimated for 2019 by Knowledge Sourcing Intelligence, is because since the 1970s calcium carbonate has been integral to papermaking. This is due to properties such as high whiteness and solubility, along with alkaline pH value, as well as the rhombohedral pigment form of calcium carbonate has led to the development of numerous process such as finally leading the inclusion of precipitated calcium carbonate (PCC) that has supplemented the use of naturally derived ground calcium carbonate. With regards to PCC, in July 2020, it was reported that Austria based euroMinerals GmbH which is specialized in developing and micronizing industrial minerals has opened a new plant for PCC in Bad Ischl, Austria which is scheduled to be operationalized in 2021.

Besides the paper industry, calcium carbonate is integral to the construction industry both as cement and as building materials. The contribution of calcium carbonates ranges from making of concrete blocks, the mortar used in bonding bricks, roofing shingles, rubber compounds, stones, and tiles. It is also used as a multi-purpose filler/anti-strip agent when added to hot rolled asphalts with a variety of sands and gravels. It imparts sand modification to enhance the resistance for the mixture and provided a consistent material for ease of work. With regards to construction, a country level over alone is contextual in substantiating the growth forecasts. For instance, The U.S. Census Bureau and the U.S. Department of Housing and Urban Development have jointly announced that as of November 2020, privately-owned housing starts of were approx. 8.6% higher than that of the preceding month. Single-family housing starts in November were approx. 7.9 % above the revised figure of the preceding month.

Equally important is food security which is guaranteed by agriculture to which the chemicals and materials industry has been a key determinant. Calcium carbonate is one such substance that has been elemental in agriculture application and thus the market of paramount importance. Its key contribution is to use as an amendment to neutralize soil acidity that is beneficial for better us of water, recovery of nutrient and plant performance with a healthier root system, enhanced nitrogen (n) fixation by legumes, greater availability of phosphorus (p) and improved n mineralization and nitrification and to supply calcium (Ca) for plant nutrition. With respect to plant nutrition, the demand for calcium surges particularly when kernels or grain start to develop. To this end, in January 2019 Oro Agri had announced the launch of a liquid, soil-applied product designed to supply crops with readily available calcium during periods of high demand called ENCOURAGE NANOCAL. The product was launched with the rationale of improving the ready availability of calcium for uptake by the crops’ roots because the particle size may be often comparatively large (3 to 20 micron-size) as far as the standard nutrient program is concerned. The calcium carbonate particles of this product have been milled to an average size of 0.7 microns which is significantly small to be taken up by the meristematic region of adventitious roots concomitantly doing away with additional mineralization like gypsum, limestone, or products with larger particle sizes.

Another important area of application of carbonate is that of dental care. Despite the first mention of products pertaining to dental care were in Chinese and Indian scripts which are more than 4000 years old, tooth care is the product of present times. For instance, in February 2020 Wellness a company that creates high quality, responsibly sourced, and safe products with the objective of increasing the economic, environmental, and social value for consumers, communities, and the planet, had launched Wellness Whitening Toothpaste in Fresh Mint made commercially available in environmentally-friendly compostable sugar cane packaging and reportedly uses calcium carbonate. Again, during the same month, Dr. Bronner's Magic Soaps reportedly launched a new variety of All-One Toothpaste called the Dr. Bronner’s Spearmint All-One Toothpaste which has calcium carbonate, among others that acts as a gentle abrasive along with other ingredients. These developments underscore the integral nature of calcium carbonate in personal care products which would further facilitate the growth of the market.

Global Travel Insurance Market – Stimulating Air Travel During Uncertain Times

travel insurance market

A languorous increase in disposable income particularly in developing countries during the current downward draft because of the COVID 19 pandemic has potentially influenced the avoidance of travel insurance purchase. Also, the dearth of consumer awareness about the practical details of the policies appropriate to one’s individual needs is certain challenges that need ironing out to effectuate the anticipated growth of the global travel insurance market. Nevertheless, the growing concerns over the likelihood of losses pertaining to cancellations of flights and rescheduling of flights are anticipated to lead to an increase in travel insurance purchase. While this can be a surmised the main market drivers and challenges it is important to gloss over the market conditions. In order to gain a perspective, the comprehension of several factors that have stemmed from the progression of the global economy, trade liberalization, among others is pertinent.

International Tourist Arrivals

In Million

Source: UNWTO

By Type of Travel, the Leisure Segment Is Anticipated to Witness Significant Growth During the Forecast Period

According to UNWTO (The World Tourism Organization) as of January 2020, the international tourist arrivals as far as global overnight visitors increased by 4% in 2019 attaining 1.5 billion, approx. 54 million more than that of the previous year. The same year also marked a robust growth albeit Europe registering slower growth. 2019 also featured several incertitudes that revolved around Brexit, the collapse of Thomas Cook and of several low-cost airlines trade and geopolitical tensions, that impacted the global tourism market. Despite the aforementioned, the international tourist arrivals (+3.8%) overtook the global economy (+3.0%). Further, an increase in arrivals was registered by all the regions. To this end, it is pertinent to note the growth was led by the Middle East that registered a growth of 8%. It was followed by the APAC which registered a growth of 5%. The regions of Europe and Africa both registered a growth by 4% that reportedly increased in tandem with the global average, whereas the Americas registered a growth by 2%.

Concerning sub-regions, the growth was led by North America that registered a growth of 9%, followed by South-East Asia and South Asia both registering growth by 8%. Moreover, the Caribbean and the Southern as well as Meditation Europe registered a growth of 5%. Concerning the major source markets, the most robust growth was reported by France among the top 10 markets as far as the international tourism expenditure is concerned. Also, the international air passenger traffic that was measured in RPK (revenue passenger kilometers) experienced a similar trend to that of international arrivals that registered an increase of 4% through November 2019. Considering the impact of COVID 19, there is a weak consumer confidence despite repressed demand for leisure travel and visiting relatives and friends which has brought about a downward draft in international travel that can influence the growth prospects of the global travel insurance market. Nevertheless, the announcement of vaccine roll-out is anticipated to increase consumer confidence. Further, in certain large markets particularly that of China and Russia the domestic air travel demand has reverted to pre-COVID levels due to a surge in domestic air tourism. 

Air Transport, Registered Carrier Departures Worldwide

travel insurance market

Source: WORLD BANK

Now considering RPK, 2019 was the year that registered the weakest growth since 2009 registering an increase of 4.2%. However, it significantly overtook the global GDP (gross domestic product) which is considered a noteworthy feat since the growth of transportation is typically subsequent to the global economy. The year also marked an increase in airline passenger capacity registering a growth of 3.4%. This led to an increase in load factor by 0.7% to an all-time high of 82.6%. Regionally, leading all regions, Africa registered a robust growth rate of 4.9% and followed by the APAC registering a growth rate of 4.8%. Whereas Latin America and the Middle East experienced both experienced growth rates by 4.2% and from a subregional perspective, North America registered a growth rate of 4.1%.

COVID 19 Has Emerged as a Boon to the Global Travel Insurance Market

While essentially a bane to international air travel, due to the advent of COVID 19 several countries have made travel insurance mandatory positively impacting the medical insurance segment that has can potentially drive the growth of the global travel insurance market. Further airlines around the world are making an effort to stimulate the demand for air travel which was estimated to fall 55% in 2020 compared to 2019 according to (IATA) International Air Transport Association. For instance, in October 2020, it was reported that the Ethiopian Airlines Group will cover the medical insurance in partnership with AXA Partners and Awash Insurance Company.  Etihad Airways had announced in September 2020 that it would cover the medical cost (of up to 150,000 euros) and quarantine costs (of up to 100 euros) for 14 days in case passengers contract COVID 19 after traveling on one of its flights. This facility is included in the airfare of tickets till the year-end and is being offered in partnership with insurance firm AXA (EPA: CS). In August 2020, Virgin Atlantic announced the introduction of Virgin Atlantic COVID-19 Cover that would apply to all existing and new bookings from 24 August 2020 till 31 March 2021.

This policy is fulfilled by Allianz Assistance and reportedly covers that offers comprehensive cover encompassing emergency medical costs, associated expenses such as transport and accommodation, and repatriation up to £500,000 for passengers in case they contract the virus while traveling. It also covers costs pertaining to boarding denial at either departure or at the destination and quarantine of up to £3,000. Earlier in July 2020, it was reported that the low-cost carrier SpiceJet Limited (NSE: SPICEJET) had partnered with Go Digit General Insurance through its Digit Illness Group Insurance Policy to offer insurance cover for COVID 19 hospitalization comprising all pre-and post-hospitalization expenses for 30 and 60 days, respectively. This facility included are tests, medication, and consultations upon testing positive for Covid-19. Further passengers are given the option to opt for insurance coverage that varies between Rs 50,000 and Rs 3,00,000 at a premium for as low as Rs 443 to Rs 1,564 a year (including GST).

Global Ethanol Market Growth – Enabling Sustainable Decarbonization of Environment

The application range of ethanol is extensive and covers fuel ethanol towards which 73% of the global ethanol production is utilized, followed by beverage alcohol which occupies takes up 17% of the global ethanol production, and then by various industrial applications which are taken contributed by 10% of global ethanol production. Further, there have been an increasing degree of investments and eagerness towards R&D due to the unchecked depletion of fossil fuel reserves and stringent environmental legislation which necessitates identifying new alternative energy sources. To this end, it is important to note that one such promising alternative to nonrenewable fossil fuels are biofuels. In view of above ethanol has been deemed to be of great potential as an environmentally clean and sustainable transportation fuel to replace petroleum fuel.

ethanol market

Energy is fundamental to socio-economic development and instrumental in the achievement of various milestones in every walks of life.  Transport is integral to economic and social development that brings about newer opportunities and empowers economies around the world to be more competitive and plays an important role in poverty reductions and aid progression towards sustainable goals.  According to the World Bank transport accounts for approx. 64% world oil consumption, 27% of all energy utilization, 23% of CO2 emissions that are related to energy, among others. Air pollution that stems from motorized road transport has been linked to a broad range of health conditions, constituting cardiovascular and pulmonary diseases. Every year, about 185,000 deaths can be directly ascribed to pollution from automobiles. Furthermore, with the advent of rapid urbanization will come unprecedented rates of motorization which would lead to an estimated number of 2 billion vehicles on the road by 2050.

By Application, the fuel segment is anticipated to hold a significant market share which is expected to augment the growth of the global ethanol market

Considering the aforementioned scenario, the need for developing renewable sources has been felt more than ever.  One particular means of minimizing fossil fuel consumption is by utilizing biofuels that are derived from renewable resources. It is widely accepted that biofuels are an excellent alternative to traditional fossil fuels, mainly because they can be obtained from large available and renewable feedstock, as biomass, and their utilization aid in the emission of relatively lower levels or negligible levels of greenhouse gas and other pollutants.  In the transportation sector, bioethanol can be used as a substitute for gasoline since it was the ethanol in an automobile engine as a pioneering fuel. Earlier, during 1970, when there was an oil crisis, bioethanol was considered a potential fuel. Ethanol has a highly oxygenated molecule that has the potential to reduce the emission of dangerous gasses such as carbon monoxide and unburnt organic compounds. Apart from environmental advantages, bioethanol is an effective source of powerful employment generation.

The farming of sugarcane is a source of income for people living in rural areas. Bioethanol is an attractive substitute for the traditional transport fuel due to its high number of octane and elevated heat of vaporization. Moreover, its combination along with gasoline elevates the octane number without the aid of any undesirable constituents. As an example of a recent government initiative that underscores the degree of cognizance of ethanol as a potential transport fuel, India’s National Biofuel Policy, 2018 had forecasted a 20% national average ethanol-gasoline blend by 2030. Further the Government of India, to reduce vehicular emissions and thus minimize air pollution had reportedly proposed to further the blend mandate by 2025. Consequently, in December 2020, the Ministry of Road Transport and Highways published a Draft Automotive Industry Standard (AIS) with the purpose to introduce E-85 and E-100 vehicles in the regions that have ethanol surplus.

World Ethanol Projections (Consumption)

ethanol market

In bln L

Source: OECD-FAO Agricultural Outlook

By Source the natural segment is projected to hold a substantial market thereby propelling the growth of the global ethanol market

Out of all biofuels, bioethanol has received special attention, because it is the most widely used liquid biofuel for motor vehicles and for the production of “green” energy, and such a growing number of uses have been key determinants for the rapid biofuel market growth. Presently, the raw biomass materials that can be used for bioethanol production are divided into three categories, which are namely (a) oleaginous biomass that comprises sugar cane, sugar beet, potato, corn, etc., (b) lignino-cellulosic biomass that constitutes lignino-cellulosic waste, wood waste, etc. and (c) non-food crop biomass that consists marine algae biomass. The initial driving factors which are at the core driving the biofuel production is to mitigate the greenhouse gas as far as the developed economies are concerned and with regards to the less developed low and middle countries the preliminary driving forces were reducing energy scarcity, foreign energy dependence, earn foreign exchange achieved by exporting biofuels and generating employment to the local communities. In this regard certain estimates by the OECD-FAO AGRICULTURAL OUTLOOK 2020-2029 are relevant. For instance, the global sugarcane use in biofuel is expected to increase to approx. 25% in 2029 from 23% estimated for 2020.

This stems from the RenovaBio program of Brazil and its expansion that aims to minimize GHG emissions from transportation fuel by 2028. The fuel ethanol consumed in Brazil is either in the form of pure anhydrous ethanol fuel or in the form of a blend with gasoline. The lower taxes incentivize higher uses of ethanol which renders ethanol a more competitive alternative than fossil fuel. As far as the Asian nations are concerned, sugarcane molasses is the preferred feedstock in ethanol production as opposed to sugar cane because increasing sugar cane production has the potential to affect cereal production for food consumption due to the need for additional lands thus threaten food security. The APAC region is forecasted to account for 33% of the global growth in ethanol use. With regards to North America, the production of ethanol is forecasted to attain volumes of 65.5 Billion liters (bln L) which is an increase by approx. 6% by 2029 and the consumption of ethanol is projected to increase to 59.8 bln L by 2029 from 55.4 bln L. The world ethanol production is forecasted to attain a volume of 140 bln L by 2029.

Global Bicycle Market – Sustaining Sound Health & Promoting Green Mobility

The increasing cognizance of the benefits of a healthy lifestyle is fundamental to the growth of the global bicycle market. Bicycling is also increasingly perceived as a form of leisure activity in both developed and developing economies.  Further, the need to remedy, maintain a sound functioning health as well as prevent cardio-vascular-diseases (CVD), diabetes and obesity that are increasingly prevalent are also factors that are anticipated to augment the growth of the global bicycle market. Additionally, the lockdown measures due to the COVID 19 pandemic have brought about a renewed interest in bicycles which has resulted in a spike in bicycle sales are factors which are also expected to contribute to the projected growth of the global bicycle market. Moreover, with the introduction of electric bicycles and the emergence of dockless bike-sharing services which has revolutionized bike-sharing markets during recent years and the growth in shared bike fleets in China, as well as their rapid expansion throughout the world, is anticipated to lead to the global bicycle market growth that is projected to grow at a CAGR of 6.98% to attain a market value of US$76.845 billion by 2025 from the market value of US$51.262 billion that was estimated for 2019.

 

bicycle market

 

The Emergence of Dockless Bike-Sharing Systems to Augment the Growth of the Global Bicycle Market

The dockless design of bike-sharing systems has been recognized for substantiality enhancing the experience of the users at the end of the trip. Since it comes devoid of the responsibility of returning it to a designated dock, this system offers and an unparalleled degree of convenience that makes it comparatively more attractive. Moreover, the high degree of flexibility and efficiency of this kind of system makes it an ideal option for integration with public transit offering a competent option for first/last-mile trips. Also, the embedded GPS tracking in every dockless shared bike allows for an unexampled degree of data collection which facilitates new means of people's travel behavior analysis. Further being essentially a sharing system, it is known to incentivize the use of bikes for running errands, leisure trips, and commutes, which also helps in minimizing the fuel usage and emissions, traffic congestion alleviation as well as meeting the needs for recommended exercise by incorporating physical activity into daily life. Additionally, the use of mobile applications for locating, unlocking, and making payments made it possible to overcome the barriers which prevent the adoption of station-based bike-sharing services. After experiencing growth in China, this kind of system has been widely adopted in the United Kingdom, the USA, the Netherlands, and Singapore as well as in India.

For instance, in India, where bicycling has emerged synonymous with lifestyle, a Gurugram-based startup called Mobycy that was founded in 2017 has been reportedly endeavoring towards creating a sustainable means of mobility. Further, a comprehensive Public Bicycle Sharing (PBS) system with 3,000 bicycles was launched by the former Chief Minister of Karnataka, India, HD Kumaraswamy called “Trin Trin” in March 2019. The project has been led by The Directorate of Urban Land Transport of the state which is responsible for issuing licenses, among others. Also, an Ahmadabad based sustainable mobility solutions provider called MYBYK was reportedly keen on aggressively expand across the entire city that has received permits under the 'Amdabike' project of SCADL (Smart City Ahmedabad Development Limited) to provide its fully automated IoT enabled dockless bicycle sharing service. Further, in August 2020, it was reported that LTA (the Land Transport Authority) Singapore has opened its bike-sharing license application cycle which normally is made accessible every January and July. There is also an option for applying for a sandbox license to start bike-sharing operations on a small scale of up to 1,000 bicycles in Singapore. Additionally, in November 2019, SG Bike which is a startup formed by bicycle rental firm Park Cosco Recreation and estate upgrading company ISOTeam Ltd (SGX: 5WF), which is a majority shareholder, in 2017 had announced that it has completed the acquisition of Mobike's license, thus the Singapore operations for about S$2.54 million, enabling the former to operate a fleet of 25,000 bicycles in Singapore.

Prevalence of Diabetes in Adults (Age: 20–79 Years) (Projection)

bicycle market

In %

Raw diabetes prevalence

Source: International Diabetes Federation

The Rising Incidences of Chronic and Non-Communicable Diseases Are Expected to Augment the Global Bicycle Market Growth

Health has been inextricably linked with the automotive industry and the bicycle market is no exemption. To this end, it is important to note that the prevalence of non-communicable diseases such as CVDs, diabetes, and obesity has led to a growth in demand for bicycles globally. This is because bicycling aids in the fulfillment of physical fitness needs and facilitate sustaining healthy lifestyles. According to the U.S Department of Health and Human Services, the prevalence of obesity has grown to 42.4% by the year 2017 from 30.55 % registered in 1999. Also, according to the department crude estimates for both diagnosed and undiagnosed diabetes prevalence in 2018 comprised 34.2 million people of all ages or 10.5% of the US population with diabetes, 34.1 million adults aged 18 years or older i.e., 13.0% of all US adults with regards to undiagnosed diabetes.  7.3 million adults aged 18 years or older who corresponded to laboratory benchmarks for diabetes either did not report the diseases or were either never aware of the condition.

Additionally, as per the International Diabetes Federations as of 2019, about 116 million adults in China were estimated to be living with diabetes, SEA (South-East Asia) region constitutes a total of 7 countries and territories had registered a total of 87,611300 individuals, the same year. This research shows that cycling reduces blood sugar levels which in turn results in the reduction of the risk of diabetes. Further, according to the Department of Health & Human Services, State Government of Victoria, Australia, CVDs include the risk of stroke, high blood pressure, and heart attack and can be mitigated by the stimulation provided by regular cycling. Further cycling reduced blood fat levels, minimizes resting pulse, and strengthens hurt muscles. The aforesaid comprehension and the global acknowledgment of the instrumentality of bicycles to manage such non-communicable diseases are expected to propel the global bicycle growth.

Global Marine Fuel Market Trends – Sustaining the Key Enabler of Maritime Trade

Shipping is one of the principal facilitators of global economic growth and supports international trade. Thus, a birds-eye view of the global maritime trade is adequately capable of presenting the integral nature of marine fuel thus partly responsible for sustaining the marine fuel market. Due to the global economic and trade slowdown, the international maritime trade came to a standstill during 2018 in comparison to its performance during the preceding years and was at its nadir since the financial crisis of 2008–2009. Moreover, trade volumes marginally expanded at the rate of 0.5% registered in 2018 after a moderate increase that was registered in the order of 2.8% during 2018. Such maritime trade performance has been a result of the following:  low oil demand growth, sanctions, supply-side disruptions, Viz.  Cyclone Veronica in Australia, the collapse of Vale dam in Brazil, trade policy tensions, and unfavorable economic conditions and social unrest in a few nations. However as depicted by the second illustration below, the total maritime trade volume during 2019 has been estimated in the order of 11.08 billion tons by UNCTAD (The United Nations Conference on Trade and Development).

marine fuel market

The global GDP during 2019 diminished to 2.5 %, which was 3.1 % which was registered in 2018 and 1.1 % point below the historical average in 2001–2008. Further, both developing and developed economies were affected which demonstrated the persistent trade tensions between China and the United States and the overall deterioration of the economy. Besides, despite the gradual maturation and diversification of the Chinese economy, trade tensions have been a key determinant to its poor GDP expansion in 2019. Besides, with the outbreak of COVID 19 pandemic that was initially localized in China, and evolved rapidly during the early 2020 and its consequences on the consumption patterns, mobility trends, production volume, and the global economies as well as the world supply chains have led to a global recession. Despite the black swan events like COVID 19 that is extremely rare and unpredictable, with potentially severe consequences like supply-chain disruptions, falling global demand and global economic uncertainty, and stagnant outlook mentioned above some countries gained export market share as companies looked for new suppliers from countries that were not directly affected by the rising tariffs, which had otherwise e heightened policy uncertainty, undermined investment and adversely affected global trade. Additionally, during 2019, the biggest slice of the global maritime trade pie was constituted by developing economies with cargo being unloaded accounting for 65% and cargo being loaded accounting for 58% around the world. 42% of the global merchandise exports carried out by sea were generated by transitioning and developed economies collectively and the imports generated via the same means were in the order of 35% of the global trade of the same nature.

International Maritime Trade – ALL CARGO

marine fuel market

In Million Tons Loaded

Source: UNCTAD

Marine fuel market conditions that are anticipated influence the market growth

Global bunker fuelaka marine fuel demand is anticipated to substantially reduce as a result of the COVID 19. Further, a market that was already facing the effects of a global economic downturn and which earlier had to undergo a transition to the IMO’s (the International Maritime Organization) low sulfur mandate w.e.f.  January 2020 has experienced the amplification of credit risks.  However, the demand for marine fuels was resilient in major ports whereas in certain ports it varied, resulting in the steep drop in marine fuel sales volumes during June this year.  But at ports, where suppliers who have been known to provide the best quality services and guaranteed the quality of the fuel experienced strong demand.  On the other hand, fuel costs generally represent 50% of the total operating cost of a ship and are progressively prioritized for facilitating market advantage.  To date, residual/heavy fuel oil (HFO) which is the residue of the distillation process of crude oil, occupies a substantial share of the global marine fuel market with MGO (distillate marine gas oil) occupying a relatively smaller share. Additionally, MGO is one of the highest grades of marine fuel and is relatively more expensive because of its lighter fraction and better quality than diesel fuel. Further, it has 0.1 % sulfur content. The aforesaid is also the reason why MGO is made commercially available at a premium in relation to HFO which is of the lowest price.

Besides post sulfur regulation implementations, the vessels that would be permitted to continue employing HFO will be those that are equipped with exhaust scrubber. This is because post the IMO’s 2020 0.5% Sulphur cap on marine fuel, ships that are not fitted with scrubber systems a carriage ban was implemented March 2020 onwards. To this extent, it should be noted that in March 2020, 9,784 TEU post-panamax MSC Joanna (IMO: 9304435) has been prohibited from operating in UAE waters for 1 year. Its master has been banned indefinitely and is facing legal action from the Federal Transport Authority (FTA) of UAE after allegedly failing to comply with an order to debunker 700 tons of HFO before entering Dubai port of Jebel Ali. Conversely, all those without scrubbers are required to transition to MGO or other compliant variants. Major oil corporations are already moving towards producing the new sulfur blend which is in compliance with the new IMO directive.  However, the initial lack of shop equipped with scrubbers and the possible apprehension regarding compatibility issues pertaining to very low Sulphur fuel oil (VLSFO) does have the potential of the majority of the ship turning to MGO increasing its demand. On the other hand, the global collapse of marine fuel prices has significantly narrowed the price gap between VLSFO and HFO, this means that ship operators will take a longer time to recover the investment cost of scrubbers and have to withstand the reduction of charter rate premium for scrubber-fitted ships. This brings into question the economics of scrubber which is also a key determinant of the global marine fuel market.

Global Prefabricated Modular Data Center Market – An Outlook

The stratospheric integration that spans over a diverse range of industries which are inclusive of but not limited to BFSI, healthcare, ITC, among others has hastened the profusion of Bid Data. Along with the advent of Big Data, there has been a felt need to minimize the expenses pertaining to efficacious control and effective management as well as data storage which is incremented by increased internet penetration. On the other hand, there exists a growing inclination of turning towards modular facilities as a preferred choice over the complicated conventional facilities which is facilitating prefabricated modular data centers’ demand enabling a hassle-free, cost-competitive and effective means of data storage. The market growth also stems from the need for convenient and energy-efficient IT infrastructure and also the organizational policies of integrating such means which would in turn update and systematize the IT operations. Additionally, in contrast with large scale facilities, the prefabricated modular data centers provide a more efficient cooling facility. The value of the global prefabricated modular data center market was estimated at US$2.723 billion for 2019 by Knowledge Sourcing Intelligence.

prefabricated modular data center market

For instance in June 2020 Delta which is known for its thriving portfolio of smart energy-saving systems and solutions in the fields of building automation, data center infrastructure, energy storage, and display, EV charging, industrial automation, renewable energy, telecom power, to foster smart manufacturing and sustainable cities as well as and for being the global leader in switching power supplies had announced the launch of SmartNode, making them commercially available in five different capacities ranging from 33kW to 90kW. It is a new line of modularized data center infrastructure solutions, which offers flexible power system and cooling designs, quick deployment, and scalable capacity for versatile implementation in Europe, the Middle East, and Africa (EMEA). The essentially Tier II-rated data center infrastructure can be employed by cloud services, colocation providers, data center planners, enterprises, and telecommunications operators to rapidly scale edge computing capacity and provide the infrastructure needed for applications pertaining to IoT as well as low latency. Additionally, the features of the product comprise a reliable power system that reduced the TCO of the data center. It also features a sturdy module structure that allows consumers to fill complete racks and enable fuller utilization of full rack loads. The range of ambient temperature that is standard of this equipment is between -15? and +48?, and sans derating, it is up to +39?.  Further, the implementation of this system in a broad range of ambient conditions is made possible by its EI60 fire resistance and robust construction.

Along with the rationale that is governing the preferences of companies that are incentivizing them to integrate prefab modular systems mentioned above, location also sometimes is another governing factor that resonates with the cost-efficient, safe, and faster installation capabilities of this kind of data centers. In this sense, it is more convenient and logical to mobilize a modular data center as opposed to relocating highly complex mechanical projects from the construction site to a controlled production environment, thereby giving rise to the need for collaborating with such prefab modular systems manufacturers who specialize in utilizing all the white-space available for rack capacity and followed by a collaboration with precision cooling experts. Additionally, the factors of the development of the 5G and the increasing 4G penetration are motivating telecom vendors to invest in the modular data center market. Moreover, the trend of build-to-suit modular solutions alters a substantial proportion of the scope of the project to the factory environment concomitantly enabling the execution of site construction. Further the needs of installation and design of the precision cooling which are normally featured at the front line of the business cycle which further underscores the instrumentality of players who can extend build-to-suit solutions with speed to market, making speed to market another important consideration that has the potential to drive the future market growth.

Besides aspects of speed to market other incentives for installing prefab modular data centers are standardization, scalability, IT equipment lifecycles, flexibility in design/capacity, and the business imperative of staying ahead of the exponential technological developments.  Whenever the need arises prefabricated and modular solutions can be scaled up in size that empowers the operators to stage Capex investment over time simultaneously averting the risk associate with construction projects related to live-data centers. From the aspect of standardization, a lot of operators are keen on streamlining and enhancing the operational efficiency of their data center portfolios. Also, a common platform across the portfolios is offered by the prefabricated modular data center. Further from the perspective of adaptability, it is a fact that for technologies that have not been commercialized or invented for that matter, it is tricky to build mission-critical facilities. Therefore, a prefabricated modular data center offers room for further customization making it adaptable. Supplementarily, the meteoric rise in connected devices, internet traffic, AI, cloud service, among others which are being increasingly used by a plethora of industry are leading to a surge in the demand for smaller data centers at the edge, whereby the prefabricated modular data center are the go-to solutions

Besides, the players in the market space have been known to invest in eco-friendly solutions as a response to the business imperative of adhering to the bottom-line of the planet other that people and profit. To shed light on the aforesaid, a partnership has been announced between Huawei Technologies Co., Ltd., and ADM in October 2020 to construct an uptime Tier- IV certified Municipal Disaster Recovery Data Centre. To this end, it is important to note that The Huawei FusionModule2000 Smart Modular Data Centre is reportedly the first-of-a-kind of the world to have received an Uptime Tier-Ready IV certification. And since its prefabricated in the factory, the local engineers are only required to execute a simple on-site installation making it live in no time. With a flexible capacity expansion applicable for a variety of subsystems, that are inclusive of but not limited to power-supply, cooling, and IT cabinets, this product has been built based on a completely modular design addressing the need for sustainable development of the municipal service.

Global Wood Pellet Market Trend – A Regional Outlook

One of the prime characteristics of forest products in general, that sets them apart is that they are intrinsically unaltered, in the way that even though the processes pertaining to manufacturing have evolved and mechanization has taken place the so-called relatively new forest products Viz. wood pellets which have become integral to the energy and power industry are in reality not so new at all. The first production of wood pellets, monikered as wood pellets occurred during the 1970s. Besides, before this event, another product called the presto logs was prevalent which dates as far back as the 1930s. On the other hand, the availability of wood is also critical to sustain the market of the myriad of forest products that are made commercially available today. Thus, another distinguishing feature of the forest product market is their consistency despite the ramifications of events that are otherwise considered force majeure for other industries. To this end, it is pertinent to note that most of the forest sector was comparatively less affected due to the recognition of forestry and forest products as essential industries by many national governments as results both continued to operate during lockdowns, despite the short-lived impacts that stemmed from reduced incomes and worker availability.

wood pellet market

Form a regional perspective it is worthwhile to note that wood energy plays a crucial role as the principal sources of renewable energy in an area of 47 million square kilometers which comprises the regions of  Western Asia (Israel), North America (the United States and Canada),  as well as Central Asia (Uzbekistan, Turkmenistan, Tajikistan, Kyrgyzstan, and Kazakhstan) also known as the region pertaining to  United Nations Economic Commission for Europe or UNECE which constitutes 56 member States at present. Nevertheless, the region where wood fuel is often traded in informal markets had reportedly witnessed a slight decrease in wood fuel production and consumption by approx. 3 million m3 in 2019. From the perspective of wood pellets, the consumption of wood pellets has been reported to grow steadily due to its increased use by the industrial sector for electricity and heat purposes as well as private household heating use. It is also estimated by UNECE that 80% of the global production of wood pellets is carried out in the aforementioned region which also contributes to 90% of the global exports, partly responsible for sustaining the global wood pellet market. Moreover, during 2019, the region registered a value of production that was in the order of 33 million tons which was an increase by 7.6% from that of 2018. Out of all the subregions of Europe was the highest producer and consumer and North America was the topmost exporter of wood pellets globally. The Belarus and Russian Federation registered an increase in wood pellets production by 48% and 14%.  Besides, policies pertaining to renewable energy that seek to minimize the share of fossil fuels in national energy balance are the principal factors that are propelling demand for international trade of wood pellets. After the USA and Canada and outside the aforesaid regions, Vietnam is the 3rd most noteworthy exporter of wood pellets. And Malaysia had reported an export volume of 61500 tones in 2019.

Wood Pellets Production

wood pellet market

In 1,000 m.t

Source: UNECE/FAO TIMBER database, 2020

Europe Is the Leading Producer of Wood Pellets Around the World

The production of wood pellets in Europe was in the order of 18.8 million m3 in 2019 which was an increase by 8%. The imports of wood pellets by Europe also increased by 5.3% (in comparison with the import volumes registered during 2018.) surpassing 19 million tons. Within Europe, the Netherlands was reportedly increased its import of wood pellets to twice its previously registered volume to 1.22 million tons sourced primarily from the Baltic states, followed by Belgium, the Russian Federation, and the US.  Also, the US-based export of wood pellets to the Netherlands was hindered by the dearth of certification at the forest level which is required for the stimulus funds related to Sustainable Energy Production. Additionally, winter temperatures in 2019 which were milder than the average and adequate supply resulted in a decline in traded wood fuels unit values which encompassed wood pellet. As far as the production of wood pellets in the Western Balkans are concerned it increased by 22% to 1.5 million tons out of which more than half which was in the order of 781,000 tons were exported. Nevertheless, the production of wood pellets fell by approx. 20% during the 1st quarter of 2020 in comparison with that of the first quarter of 2019. Whereas the consumption in that region increased by 21.3% during 2019 potentially resulting from the national policies in Bosnia and Herzegovina as well as Serbia to substitute obsolete coal- and heating-oil-fired heaters in public buildings to replace obsolete coal- and heating-oil-fired heaters with wood-based systems.

The Comparatively Dynamic EECAA Wood Pellets Market

As far as the wood pellet market of Eastern Europe, the Caucasus and Central Asia (EECCA) is concerned the condition is even more dynamic. The wood pellet production during 2019 increased by 12% in the region in 2019 to 2.5 million tons. Further, the subregions witnessed its production of wood pellets grow almost twice during the past 5 years which was propelled by the demand from areas outside the region because approx. 2/3rd of the production is exported to Asia and Europe. The principal wood pellets producer and consumer in the EECCA is The Russian Federation despite the figures of Belarus which encompasses a higher increase in consumption which is by 102.3% leading to a volume of 46,000 tons as well as production which saw an increase by 48.2% and registered a volume of 412,000 tons. There has been an announcement of the construction of a few new wood pellets plants in the region which comprises two turnkey pellet plants with a combined capacity of 20 tons per hour in Belarus by Engineering company Prodesa. The facilities which have been reported to be built near the cities of Vitebsk and Polotsk, in north-east Belarus are expected to come online in early 2021.

Almond Market – Trade, Genesis & Characteristics

One of the most remarkable characteristics of the global almond market is that almond production keeps increasing year on year and during 2019 – 2020  around 1.36 million metric tons (kernel basis) were added which was an increase of 7% up from the previous season and 26% above the previous 10-year average according to International Nut & Dried Fruit Council. Further, the USA has continued to lead the production of almond which accounts for 77% of the world crop share during 2019-20. Followed by Australia and Spain accounting for a global share of 8% and 6% respectively. Over the last 10 years, the production of almonds has doubled in Australia crossing the 100,000 MT mark. Additionally, the almond crop of Spain has been increasing at a steady pace during 2019 – 20 reaching a production quantity above 78,000 MT.

almond market

The almond shipments across the world were led by the USA whose exports in 2018 was in the order of 534,128 metric tons of shelled almonds mainly to the European Union (49%) and Asia (27%) with China, Germany, Japan, Spain, and the Netherlands being the top destinations. Besides as far as in-shell exports which were in the order of 203,938 MT are concerned India contributed to more than half (53%), followed by China (22%) and Vietnam (12%). As far as shipments from Australia are concerned around 27,781 MT of shelled almond were exported to Asia (43%) with China occupying a substantial share, followed by the EU (36%) wherein Germany occupied a significant share.  A considerable amount of in-shell almond was also exported by Australia which was in the order of 35,064 MT half of which was received by India followed by Vietnam (24%) and China (17%).

That was a brief snapshot of the market and trade conditions during the past year. Now it's pertinent to mention certain historical aspects of this tree nut and the aspects that give credence to the current upswing in its demand. The properties of being a compact nutritious, and comparatively non-perishable food source that is appetizing even when consumed in quantity and/or over a period of time along with being an important constituent among the plants that were domesticated earliest by humans which made almond among the first tree crops to be cultivated, probably during the 3rd millennium BCE.  From the aspect of botany, it should be noted that seed is consumed and not the fruit. This suggests that the propagation source due to its resilience compared to other such sources have aided in expanding plantings and in and of itself as remained a concentrated, desirable, and relatively non-perishable food.

Around 30 species of diverse quality, morphology, and geographic origin represented the diversity of wild almonds traded and consumed by the early human communities. The trade routes of emerging civilizations from central Asia westward to the Mediterranean were among others followed by this genetically diverse commodity facilitating the early dissemination. As far as the prehistoric trade in Asia, North Africa, and Europe is concerned the widespread desirability and portability of almonds have been a major driving factor facilitating the creation of a market that has been evolving as well as a novel species which was the Greek Nut. This has been followed by the rapid reverse dissemination of these nuts towards the orient that comprises China and India from the early Greek and Persian civilizations which effectuated cultivation at a global scale. The propagation of almonds was also accompanied by rich folklore and diverse culinary practices.

The aforementioned was also based on the unparalleled horticultural characteristics of very early flowering and associated traits enabling it to thrive under harsh arid conditions and produced a kernel which is amygdaloidal-shape and sweet. The natural range of these early almond species overlapped comprising north-western China to the northern Indus Valley in the east, to Mesopotamia and southern Europe in the west, which, among others contributed to the transitioning of humans from hunter-gatherers to more permanent settlements. These cradles of civilization were also inherently the cradles of plant cultivation and domestication, which undoubtedly involved selection within the numerous wild almonds. Hence, since ancient times, the edible kernels of the wild almonds and related species were integral to the acknowledged food staples. The harvesting of wild almonds as early as 780,000 years ago in northern Israel by our human ancestors is reportedly supported by the use of stone tools to crack almond shells. The earliest Sumerian culinary texts had featured a list of banquet menu items that had almonds mentioned in them and Biblical references to the almond show it was common in Palestine by at least 1700 BCE. While the aforementioned doesn’t quite outline the length and breadth of the almonds' historical importance, it certainly provides how integral it was to the human culture since time immemorial.

Currently, the versatility of almonds makes it one of the go-to ingredients in bakery, cereal, confectionery, ice cream, nut mixes, and snacks besides being traded in bulk and sold in consumer packs.  Moreover, the global almond market encompasses a myriad of stakeholders which constitutes buyers, sellers, and good information which makes it extremely competitive and highly efficient.  Most markets go through a maturity cycle of almond use, beginning with top quality (Nonpareil Supreme or Extra #1 Grade) for gift and luxury use. This was true for Mexico, India, and China. As the market grows and competition increases, lower-priced varieties, and sizes are offered, thus increasing total demand for all varieties and grades. Ultimately, almonds are used as an ingredient in locally produced products, and a full range of almond products are consumed from top-quality whole almonds to manufactured (sliced, diced, powder, paste) to byproducts (whole and broken).

The majority of almonds are used by food companies as ingredients in their own branded products, especially in the mature markets (the USA, western Europe, Japan). Whereas processor-branded almond packs are a small part of the market. Besides due to commodity demand for ingredients independent handlers can compete with larger companies. This ability is also due to the prioritization of price, quality, and service over brand name by food companies.