Processed Fruits and Vegetables Market Trends

Growth Drivers

• Growing Consciousness Regarding Health Among People - More people are observed getting conscious regarding their health. Hence, their preference for healthy diet is growing. In America, about 49% of participants stated they actively strive to eat healthily. Therefore, the demand for fruits and vegetables is growing owing to their various advantages on health. However, the time needed for preparation, the availability, and the shorter shelf life of natural products are all barriers to increasing the intake of fruits and vegetables. Other barriers include culture, education, lifestyle changes, and other reasons. Therefore, the demand for processed fruits and vegetables is expected to increase.

• Rising Disposable Income - In 2021, Americans' personal disposable income was about USD 15 trillion in total. In the same year, the per capita personal disposable personal income was approximately USD 47,700 dollars. Hence, they are expected to spend more on processed fruits and vegetables.

•  Surge in Exports of Processed Fruits and Vegetables- In 2021–2022, India exported processed food worth USD 5,559.84 million, which included a portion of items which includes mango pulp (USD 124.11 million), processed vegetables (USD 534.98 million dollars), processed fruits, juices, and nuts (USD 486.58 million dollars), and more.

• Growth in Wastage of Fruits and Vegetables - Owing to outdated harvesting methods and poor cold chain infrastructure, India experiences yearly fruit and vegetable wastage of between 4.6–15.9%. Hence, the demand for processing fruits and vegetables is growing as it extends the shelf life of the fruits and vegetables while preserving them in their original state.

• Upsurge in Investment Food Processing Sector - The Food Processing Industry, in India received about USD 700 Million in FDI equity from April 2021 to March 2022. From April 2000 to September 2022, approximately USD 10 billion in FDI was attracted to the food processing industry.

Challenges

• Growing Cost of Power & Energy
• High Capital Investment
• Rise in Health Issues Owing to Processed Fruits and Vegetables - Any raw agricultural products that have undergone any process that modifies their original form are considered processed foods. This includes washing, cleaning, milling, cutting, chopping, heating, pasteurizing, blanching, cooking, canning, freezing, drying, dehydrating, mixing, or packaging. Hence, this lowers the natural nutrients present in them. Moreover, preservatives, flavors, nutrients, and other food additives may be added, as well as ingredients such as salt, sugar, and fat that are permitted in food products. This added sugar or salt may further increase the risk of high blood pressure, and diabetes.