by The global Baby Food Market is estimated to be valued at US$ 50.47 Bn in 2023 and is expected to exhibit a CAGR of 5.5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Baby foods are specially formulated food and drink products other than breast milk for infants and babies between 4 to 24 months of age. They are available in various forms such as baby cereals, juices, packaged meals, snacks, and others. Baby foods aim to supplement breast milk by providing additional nutritional requirements to support growth during infancy. Cereal based baby foods are the most popular and commonly given as the first food to the infants which are rich in vitamins, minerals, and low in sugar content. Continuous innovations by manufacturers in baby nutrition is fueling the demand of the market.
Market key trends:
One of the key trends witnessed in the Global Baby Food Market Size is the rising demand for organic and clean label products. Growing awareness among parents regarding food safety and ingredients used in baby foods is propelling the sales of organic and natural baby food products. Manufacturers are introducing new product lines made with non-GMO, preservative-free and high quality natural ingredients to cater to the changing preferences. Furthermore, growing millennial parents population is increasing the popularity of portable and on-the-go products. Companies are offering packaged baby purees, snacks and soups in single serve packets or pouches that are easily accessible while travelling or on the go.
Porter’s Analysis
Threat of new entrants: Low capital requirements and existing customer base make it easy for new companies to enter the market. However, established brands have significant buyer loyalty and economies of scale that make competition difficult.
Bargaining power of buyers: Buyers have significant bargaining power due to numerous product options and focus on private label brands. They can force down prices and negotiate for better trade terms.
Bargaining power of suppliers: A few large multinational companies dominate global production. This gives them strong control over pricing and ability to influence production decisions.
Threat of new substitutes: Alternatives like home-cooked meals pose a low threat currently due to popularity of convenience foods. However, this can increase with growing health awareness.
Competitive rivalry: The market is highly competitive with major players continually investing in new product developments, acquisitions and advertising to gain market share.
Key Takeaways
The global Baby Food Market is expected to witness high growth, exhibiting CAGR of 5.5% over the forecast period, due to increasing health awareness among parents. The market size for 2023 is US$ 50.47 Bn.
Regional analysis: North America dominates the global baby food market currently owing to changing lifestyles and high disposable incomes in the region. However, Asia Pacific is expected to be the fastest growing market led by improving economic conditions and rising birth rates in populous countries like China and India.
Key players: Nestle S.A., Groupe Danone, Abbott Laboratories, Hain Celestial Group, Kraft Heinz Company, Bristol-Myers Squibb, Hero Group, Morinaga Milk Industry Co. Ltd., and Cargill Inc. Key players operating in the baby food market focus on product innovations and acquisitions to strengthen their product portfolios and market positions.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc.
