The canned food market is anticipated to grow at CAGR 2.86% and reach a market size worth US$91.394 billion by the end of the year 2026. The market was valued at US$75.002 billion in the year 2019. The prime region driving the growth in this market is the surging working population and fast pacing life. The growing popularity of ready-to-eat food and increasing disposable income also play a crucial role in increasing the market size. Technological advancement has facilitated nutrient-rich food in the cans, making them fit to eat.
Canned food portability and convenience have also led to increased consumption. Growing hotel, restaurants, and cafeteria (HoReCa) industry will also drive market size during the forecasted period. However, limitation and region-specific bans may constraint market growth. Dependence on raw material for the packaging purpose may also constrain the market.
Growing Work Culture and Fast Pacing Life Will Drive the Market Growth
One of the prime reasons leading to the surging popularity of canned food is the growing work culture that results in a fast pacing and hectic life. Increasing workload and time constraints have led to the adoption of ready-to-eat packed and canned food consumption to save time and energy. The rising trend of a busy eventful life, especially among the millennium population, has prompted the market to a significant level. Moreover, canned food is more convenient and does not require activities such as chopping, peeling, or cooking, saving time and energy.
Furthermore, canned food is sealed in an airtight aluminum can and is convenient to carry from one place to another. Growing health consciousness also drives the market growth. Surging awareness regarding health and fitness along with cheap and availability of fitness alternatives such as Zumba, Aerobics, and Yoga requires a balanced diet, rich in nutrients like fibers, proteins, vitamins, minerals, and others. Canned food has the ability to store and provide these nutrients to the consumers, making their meals healthier and safe.
Ongoing food and travel enthusiasm trends along with quick customer services are leading to the inculcation of canned food in the menus of the Hotels, Restaurants, and Cafeterias, significantly raising the market size of canned food. The HoReCa industry has faced a surge in demand and the need for better and faster customer services. food safety and nutrients also concern the industry as customers demand quality products for better health. This would further drive the market for canned food. Also, the growing digitalization has resulted in the popularity of cooking videos and recipes that uses canned food as they have global availability, leading to increasing adoption.
Canned Meat, Fish, Seafood Are Anticipated to Grow at an Exponential Rate During the Forecasted Period
Based on product type, the canned food market is segmented as Canned meat, canned fish and seafood, canned vegetables and fruits, canned beans and legumes, and others. during the forecasted period, canned meat, fish, and seafood are anticipated to grow at an exponential rate owing to surging consumption of meat and fish for protein requirements. In the past decade, a shift in consumption patterns has been observed from a carbohydrate-rich diet to a protein-rich diet for better strength and stamina.
Moreover, surging fitness enthusiasm along with gym culture has resulted in consumption and attention towards body protein requirements. Protein is quite crucial for muscle development and strength. Hence, consumers, particularly the young population, are bending towards the consumption of meat and related products. Canned meat and fish restore the nutrient content while saving the task of cutting, cleaning, cooking, and others. therefore, canned meat and fish are expected to outstand the market of canned food.
By distribution channel, the market has been segmented as supermarket/ hypermarket, convenience stores, online retail channels, and others. the online retail channels have huge growth potential, with rising internet penetration and emerging virtual grocery markets. Several virtual grocery stores have come up which provide doorstep grocery services along with educating the consumers about the products.
Limitation and Regional-Specific Bans May Constrain the Market Growth
Canned food market growth is constrained by limitations imposed by regulatory authorities due to health concerns or certain regional-specific bans owing to the presence of certain ingredients. Th Saudi Arabia, for instance, the Saudi Food and Drug Authority has restricted the consumption of ready-to-eat and canned food, aiming to prevent potential cause or future cause of diseases. The authority has instructed the food and beverage industry to reduce the amount of salt, sugar, and other ingredients for better consumer health. however, ingredients such as salt, act as a preservative and helps keep the food fresh for a longer period. Restriction on salts and sugar hinders canned food life and longevity as they are prime preservatives.
Moreover, aluminum cans used to store food, pollute the environment, if are not discarded properly. This has resulted in restrictions on packaging in some countries, hindering the canned food market.
The global canned food market is distributed in North America, South America, Europe, the Middle East and Africa, and the Asia Pacific region. The North American segment of the market is predicted to hold a dominating share of the canned food industry owing to growth opportunities and fast pacing life. The region has one of the fastest-growing working populations and easier adaptability of new products. A large consumer base also attracts market players. Moreover, America is a meat-consuming country has canned meat products have huge growth potential. Growing HoReCa and the dining industry also promote market growth.
The Asia Pacific region is anticipated to grow at the fastest pace during the forecasted period owing to the growing population and surging disposable income. The increasing female labor force also plays a vital role in the market for canned food.
The coronavirus pandemic has a two-sided impact on the canned food market. While nationwide lockdown resulted in stock-piling by retail households, the shutdown of the HoReCa industry decreased the market demand. Disturbed supply-chain also affected the market.