NEW YORK, Jan. 31, 2025 /PRNewswire/ -- Report with the AI impact on market trends - The global processed potatoes market size is estimated to grow by USD 48.7 billion from 2025-2029, according to Technavio. The market is estimated to grow at a CAGR of over 5.5% during the forecast period. Growing focus on expanding production capabilities for potato processing is driving market growth, with a trend towards growing prominence of online shopping. However, stringent government regulations poses a challenge. Key market players include Burts Snacks Ltd., Calbee Inc., Campbell Soup Co., Cooperatie Koninklijke Cosun UA, Farm Frites International B.V., Frito-Lay North America Inc, Groupe Limagrain, Idahoan Foods LLC, J.R. Short Milling Co., J.R. Simplot Co., Kellogg Co., Lamb Weston Holdings Inc., LENG DOR S.A.U., McCain Foods Ltd., Old Dutch Foods Ltd., Pfeifer and Langen GmbH and Co. KG, Avebe, SZVG eG, The Kraft Heinz Co., and The Little Potato Co..
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Processed Potatoes Market Scope |
|
Report Coverage |
Details |
Base year |
2024 |
Historic period |
2019 - 2023 |
Forecast period |
2025-2029 |
Growth momentum & CAGR |
Accelerate at a CAGR of 5.5% |
Market growth 2025-2029 |
USD 48.7 billion |
Market structure |
Fragmented |
YoY growth 2022-2023 (%) |
5.1 |
Regional analysis |
North America, Europe, APAC, South America, and Middle East and Africa |
Performing market contribution |
APAC at 29% |
Key countries |
US, UK, Japan, Germany, China, Canada, India, France, Brazil, and UAE |
Key companies profiled |
Burts Snacks Ltd., Calbee Inc., Campbell Soup Co., Cooperatie Koninklijke Cosun UA, Farm Frites International B.V., Frito-Lay North America Inc, Groupe Limagrain, Idahoan Foods LLC, J.R. Short Milling Co., J.R. Simplot Co., Kellogg Co., Lamb Weston Holdings Inc., LENG DOR S.A.U., McCain Foods Ltd., Old Dutch Foods Ltd., Pfeifer and Langen GmbH and Co. KG, Avebe, SZVG eG, The Kraft Heinz Co., and The Little Potato Co. |
Market Driver
The processed potatoes market is experiencing significant growth due to easy availability and convenient packaging. Rapid urbanization and increasing demand for snack foods, ready meals, and foodservice have fueled this trend. Potato processing companies are focusing on food delivery channels, full-service restaurants, quick service restaurants, and the hotel industry. The Corona-infection has accelerated the shift towards ready-to-cook and prepared meals. Organic growth strategies, such as farming techniques and nutriment, are in vogue. Inorganic growth strategies like patents, events, and promotional activities are also being employed. Cedric Porter's Five Forces analysis reveals potential investment pockets in the potato industry for farmers and processors. Young population preferences for French-fried potatoes, chips, flakes, and starch-based products are driving demand. Health-conscious consumers are opting for organic and low-trans-fat processed potato products. Vegetarians and vegans are also fueling the demand for potato snacks. Processed potato products, including fries, soups, snacks, and frozen products, are popular in quick-service restaurant chains. Consumers are increasingly aware of the health benefits and risks associated with processed potatoes, such as hypertension, cardiovascular illnesses, cancer, stroke, and obesity. Companies are addressing these concerns by reducing cooking oil, trans-fat, and LDL cholesterol levels.
The e-commerce sector has significantly driven the expansion of the global processed potatoes market in the last decade. This online distribution channel allows customers to purchase a range of processed potato products from both local and international brands. E-commerce platforms offer the convenience of accessing multicultural options, leading to an increase in cross-regional flavors, particularly Asian flavors in potato chips and French fries. Notable e-commerce retailers of processed potatoes include Amazon, Alibaba, and eBay. These platforms provide customers with diverse choices, contributing to the market's growth.
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Market Challenges
- The processed potatoes market is experiencing significant growth due to several factors. Easy availability and convenient packaging make processed potato products popular choices for consumers. Rapid urbanization and the rise of snack foods, ready meals, and foodservice industries have also contributed to market growth. Potato processing technologies have advanced, leading to the production of French-fried potatoes, chips, flakes, and other processed potato products. The food delivery channels, including nutriment chains and quick-service restaurants, have gained popularity among the young population. Organic and inorganic growth strategies, such as patents and events, are being employed by key players to expand their market share. The potato industry faces challenges from farmers due to farming techniques and the impact of the Corona-infection. Health-conscious consumers are demanding healthier options, leading to the production of ready-to-cook and prepared meals. Frozen products, including potatoes, are gaining popularity in hotels and restaurants. Promotional activities and social media marketing are being used to attract consumers. However, processed potato products face challenges from health concerns, including hypertension, cardiovascular illnesses, cancer, stroke, obesity, cooking oil, trans-fat, and LDL cholesterol. The desired goal is to provide consumers with healthy and delicious processed potato products.
- The processed potatoes market faces regulatory challenges due to stringent rules and guidelines from various government agencies. These regulations cover permits, entry of new players, residual management, and product expiry dates. In the US, the Food and Drug Administration (FDA) plays a significant role, setting limits on product ingredients and labeling requirements. Adherence to these regulations is crucial for market participation.
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Segment Overview
This processed potatoes market report extensively covers market segmentation by
- Distribution Channel
- 1.1 Offline
- 1.2 Online
- Product
- 2.1 Potato chips
- 2.2 Potato flakes
- 2.3 Potato starch
- 2.4 Frozen french fries
- 2.5 Others
- End-user
- 3.1 Foodservice sector
- 3.2 Retail sector
- 3.3 Industrial sector
- Geography
- 4.1 North America
- 4.2 Europe
- 4.3 APAC
- 4.4 South America
- 4.5 Middle East and Africa
1.1 Offline- The processed potatoes market is a significant sector in the global food industry. Potatoes are transformed into various forms such as french fries, potato chips, and mashed potatoes through processing techniques like frying, baking, and dehydration. Consumers' preference for convenience and taste drives the market growth. Companies invest in research and development to innovate new products and improve production efficiency. The market faces challenges from raw material price fluctuations and health concerns over processed foods. Nevertheless, the market is expected to continue expanding due to increasing demand from the foodservice and retail sectors.
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Research Analysis
The processed potatoes market is experiencing significant growth due to the easy availability and convenient packaging of various potato-based products. Rapid urbanization and the increasing popularity of snack foods and ready meals have fueled this growth. The potato industry, including farmers, has responded with modernization and farming techniques to meet the demand. Young consumers, particularly those in developed countries, are driving the market with their preference for organic and ready-to-cook & prepared meals. Investment pockets include organic growth strategies such as product innovation and expansion into emerging markets. Inorganic growth strategies like mergers and acquisitions have also been employed by key players. Cedric Porter's Five Forces analysis reveals the competitive nature of the market, with threats from substitutes like corn chips and starch-based products. Consumers' desired goal for healthier options and sustainable farming practices presents both challenges and opportunities. Products in the market include French-fried potatoes, chips, flakes, and other ready meals. Key applications include the foodservice industry, nutriment chains, and retail sales. The market is expected to continue growing due to increasing consumer demand for convenient and nutritious food options.
Market Research Overview
The processed potatoes market is experiencing significant growth due to the easy availability and convenient packaging of potato products. Rapid urbanization and the increasing popularity of snack foods, ready meals, and foodservice have contributed to the market's expansion. Potato processing technologies have advanced, leading to a diverse range of products such as French-fried potatoes, chips, flakes, starch, and soups. The potato industry has been impacted by the Corona-infection, leading to disruptions in farming techniques and supply chains. Consumers, particularly the young population, are increasingly opting for ready-to-cook & prepared meals, organic and inorganic growth strategies, and investment pockets in the retail landscape. Health-conscious consumers are seeking out vegetarian and vegan options, and potato products offer health benefits while being low in trans-fat and LDL cholesterol. However, concerns regarding hypertension, cardiovascular illnesses, cancer, stroke, and obesity associated with cooking oil and fried snacks persist. Patents, events, and promotional activities, including social media marketing, are essential for market modernization and achieving the desired goal of meeting consumers' needs.
Table of Contents:
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation
- Distribution Channel
- Offline
- Online
- Product
- Potato Chips
- Potato Flakes
- Potato Starch
- Frozen French Fries
- Others
- End-user
- Foodservice Sector
- Retail Sector
- Industrial Sector
- Geography
- North America
- Europe
- APAC
- South America
- Middle East And Africa
7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix
About Technavio
Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.
With over 500 specialized analysts, Technavio's report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio's comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.
Contacts
Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: [email protected]
Website: www.technavio.com/
SOURCE Technavio
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