Global Organic Fruits and Vegetables Market to grow to around USD 72,102 million by 2030

24-Dec-2022 | Zion Market Research

The global organic fruits and vegetables market size was worth around USD 30,700 million in 2021 and is predicted to grow to around USD 72,102 million by 2030 with a compound annual growth rate (CAGR) of roughly 8.25 % between 2022 and 2030.

The word ‘organic’ determines the way a fruit or a vegetable is grown using different agricultural and processing methods. In the United States, an organic fruit product should be free of any form of chemical fertilizers or pesticides. This definition may change from one country to another but generally speaking, organic farming involves responsible farming by keeping in view ecological sustainability and providing maximum naturally sourced nutrition to the consumers without the help of synthetically created agents. There are various benefits associated with the consumption of organic fruits and vegetables. For instance, they contain fewer pesticides that are otherwise widely used in conventional forms of agriculture.

Organic food products are known to be fresher as there is the absence of preservatives which means that once the product loses its quality it has to be discarded which does not happen in the case of inorganic products. Since preservatives are externally added, the food product is, in a way, forced to outlive its real shelf life. Organic farming is known to be more environmentally friendly since there is minimum to no use of chemical substances which translated to lesser chemicals seeping into the soil and destroying its natural texture. Organic fruits and vegetables are free of genetically modified organisms (GMOs) in which the genetics of the plants are artificially modified which makes them more resistant to pesticides.

The global organic fruits and vegetables market is projected to grow owing to the increasing demand for food products marked as organic. This can be attributed to the growing product awareness as a result of mass undertakings by market players to educate consumers about the benefits of consuming organically produced vegetables and fruits. Businesses have increasingly become more aggressive with their marketing and sales strategy.

This is further supported by government agencies to promote local producers of organic food products. Providing subsidies, opening different farmer's markets, and other such steps are a way for governments to encourage the sales of organic fruits and vegetables. The global market may also benefit from the increasing availability of consumables through online and offline sales channels. E-commerce companies have upgraded their supply chain to provide quick and easy delivery of perishable items allowing consumers to order from anywhere instead of visiting physical stores for purchase.

The global market may face growth restrictions due to the relatively shorter lifespan of organic fruits and vegetables. Due to the lack of external preservatives, organic food products are known to lose their nutritional co-efficient quirky as compared to inorganic counterparts. Hence it becomes necessary to upgrade supply chain operations as any delay can lead to heavy losses in terms of revenue. Lesser investments in the global market are also projected to become a roadblock during the projection period.

The growing awareness about the impact of inorganic farming may provide growth opportunities while stringent government regulations are expected to challenge the market expansion.

The global organic fruits and vegetables market is segmented based on form, product type, distribution channel, end-user, and region.

Based on product type, the global market is divided into organic vegetable and organic fruit. In 2021, the global market witnessed the highest return in the organic fruit segment owing to the high demand for the product. The segmental growth was also driven by the presence of a large number of players in the fruit segment as compared to the vegetable segment since currently, there is a lack of space available to produce large amounts of organic vegetables. Whereas producing organic fruits is relatively easier and also has a dedicated consumer group. However, the high cost is a restricting factor as organic fruits can cost 7% to 80% more than inorganic fruits.

Based on the end-user, the global market divisions are commercial and personal. In 2021, the latter dominated the global market and more than USD 37000 million are expected from the personal segment, in terms of revenue, by the end of 2030. Direct consumption is a major contributing factor as not all commercial spaces serving vegetables and fruits and their respective derivatives may use only organic products.

North America is anticipated to lead the global organic fruits and vegetable market owing to a higher product awareness rate and adoption rate as well as due to the presence of large areas to cultivate organic vegetables and fruits. Europe is anticipated to contribute heavily to the global market growth as there is a rapidly changing consumer preference toward organically sourced food items. It is currently the second largest consumer of organic food with Switzerland and Denmark showing the most number of pro-organic buyers. In 2020, an average citizen of Switzerland was estimated to have spent 417.9 euros on organic food purchases.

This review is based on a report by Zion Market Research, titled Organic Fruits and Vegetables Market By Form (Fresh, and Frozen), By Product Type (Organic Vegetable, and Organic Fruit), By Distribution Channel (Supermarkets, Online, Retail Stores, and Others), By End-User (Commercial, and Personal), and By Region - Global and Regional Industry Overview, Market Intelligence, Comprehensive Analysis, Historical Data, and Forecasts 2022 – 2030.”- Report at https://www.zionmarketresearch.com/report/organic-fruits-vegetables-market

Recent Developments:

  • In November 2022, Marico and Onegreen entered a collaboration to promote the sales of organic food products
  • In August 2022, the U.S. Department of Agriculture announced its intention to spend USD 300 on a new project called Organic Transition Initiative

Players that lead the global organic fruits and vegetables market include:

  • CSC Brands LP (Campbell Soup Company)
  • Whitewave Foods Company
  • Activz
  • DMH Ingredients
  • Juices International Pty. Ltd.
  • H.J. Heinz Company
  • Iceland Foods Ltd.

The global organic fruits and vegetables market is segmented as follows:

By Form

  • Fresh
  • Frozen

By Product Type

  • Organic Vegetable
  • Organic Fruit

By Distribution Channel

  • Supermarkets
  • Online
  • Retail Stores
  • Others

By End-User

  • Commercial
  • Personal

By Region

  • North America
    • The U.S.
    • Canada
  • Europe
    • France
    • The UK
    • Spain
    • Germany
    • Italy
    • Rest of Europe
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • Southeast Asia
    • Rest of Asia Pacific
  • Latin America
    • Brazil
    • Mexico
    • Rest of Latin America
  • Middle East & Africa
    • GCC
    • South Africa
    • Rest of Middle East & Africa

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