Thursday, June 9th, 2016 - Future Market Insights

Future Market Insights (FMI) has released a new report titled, “Organic Baby Food Market - BRIC Industry Analysis and Opportunity Assessment 2015-2020”. According to the report, the global organic baby food market is expected to account for US$ 5.6 Bn by 2020, registering a CAGR of 10.5% during the forecast period. On the other hand, the BRIC organic baby food market is projected to reach US$ 3,528.7 Mn at a CAGR of 19.5% over the forecast period.

Rapid urbanisation, rising parental concern to feed their child with healthy and chemical free products, health awareness programmes by regional governments,  emphasis on natural nourishment, and aggressive product branding will contribute to drive the growth of the global organic baby food market over the forecast period.

The BRIC organic baby food market is driven by factors, such as rising number of working mothers, increased organic components, harvesting, and government support  in the form of subsidies and other benefits. Moreover, consumer demand for specialised and healthy products is expected to fuel the market growth of organic baby food in BRIC region.

The BRIC organic baby food market report mainly covers three segments: product type, distribution channel, and countries in BRIC region. On the basis of product, the market is further sub-segmented into milk formula organic baby food, ready to feed organic baby food, dried organic baby food, prepared organic baby food, and others. Milk formula organic baby food is expected to be the highest contributor to the market of BRICS organic baby food in terms of revenue, followed by prepared organic baby food. Milk formula organic baby food is anticipated to witness a CAGR of 20.3% through 2020 and reach a valuation of US$1,109.6 Mn.

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On the basis of distribution channel, the sub-segmentation comprises speciality outlet, supermarkets, internet or online selling, chemist/pharmacies/drugstores, and others. Among all the aforementioned distribution channels, the supermarket sub-segment is expected to dominate the market, accounting for US$ 1,414.6 Mn revenue by registering a CAGR of 21.2% in the forecasted period. The ease and convenience of buying products through internet will provide an impetus to the internet or online selling distribution channel and make it a favourable distribution channel for organic baby food, thereby accounting for 19.7% CAGR growth by 2020.

Key countries for BRIC organic baby food market include India, China, Brazil and Russia. China represents the most lucrative market, followed by India. China is expected to contribute US$ 2,119.0 Mn revenue in the forecasted period. Growth of the market in China is supported by food safety issues. For example, thethe melamine scandal in baby food prompted consumers to turn towards healthy and hygienic food.

Assessing the various factors driving this market, FMI Lead Analyst said, “Increasing consumer awareness regarding benefits of greener products, rising parental concern, and doctor’s recommendation for organic baby food are expected to fuel the demand for organic baby food in BRIC.

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Key players profiled in this report include Nestle S.A, H.J. Heinz Company, Groupe Danone, British Biologicals, Abbott Laboratories, Bellamy’s Australia Limited, Campbell Soup Company, Otsuka Holdings Co., Ltd and others.

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BRIC Organic Baby Food Market




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