Global Fruits and Vegetables Market - 2024-2031

Global Fruits and Vegetables Market - 2024-2031

Global Fruits and Vegetables Market reached US$ 720 billion in 2023 and is expected to reach US$ 1,131.97 billion by 2031, growing with a CAGR of 5.8% during the forecast period 2024-2031.

The global fruits and vegetables market is experiencing rapid growth, driven by increasing consumer awareness of health benefits, a shift toward plant-based diets and initiatives promoting sustainable agriculture. As consumers become more health-conscious, there is a rising demand for fresh, frozen and processed produce across various sectors, including food and beverage, cosmetics and pharmaceuticals.

Innovations such as hydroponics, precision farming and improved cold storage solutions enhance product quality, yield and shelf life. Furthermore, government initiatives aimed at promoting sustainable practices and reducing food waste are fueling this growth. For example, the European Union's Green Deal focuses on minimizing food waste and greenhouse gas emissions, which aligns with the increasing consumer preference for environmentally friendly products.

Asia-Pacific stands out as the fastest-growing market for fruits and vegetables, driven by its large population, growing disposable incomes and heightened awareness of healthy diets. Nations like China, India and Japan are witnessing rising demand because of government programs that encourage agricultural advancements and rural progress.

China's Ministry of Agriculture and Rural Affairs (MARA) has launched initiatives aimed at enhancing crop production and advocating for organic farming. The Indian government promotes The 'Eat Right Fruit and Vegetable Market' initiative led by FSSAI aims to to raise the quality and safety of unorganized fruits and vegetables retail markets.

Dynamics

Rising Health Awareness and Technological Advancements

The increasing awareness of the health benefits associated with fruit and vegetable consumption is a primary driver of the market. Governments and health organizations globally advocate for the daily consumption of fruits and vegetables to fight chronic conditions like obesity, heart disease and diabetes. The World Health Organization (WHO) reports that inadequate consumption of fruits and vegetables is linked to around 1.7 million fatalities each year globally.

Technological innovations are transforming the cultivation, delivery and storage of fruits and vegetables. Advancements in controlled-environment agriculture (CEA), including vertical farming and hydroponics, are improving productivity and sustainability in areas with restricted arable land. Cold storage and refrigeration technologies have extended shelf life, minimizing food waste. Additionally, mobile applications and AI-driven tools help farmers optimize crop yields, conserve resources and reduce environmental impact.

Government Initiatives and Food Safety Regulations

Verious governments worldwide are implementing policies to support fruit and vegetable production as part of broader efforts to enhance food security and economic resilience. US Department of Agriculture (USDA) has established programs like the The Specialty Crop Block Grant Program (SCBGP) is a key initiative aimed at enhancing the competitiveness of specialty crops, which include fruits and vegetables, while the European Union’s Common Agricultural Policy (CAP) incentivizes environmentally friendly farming practices.

Food safety regulations are crucial in this sector, with agencies like US Food and Drug Administration (FDA) and the European Food Safety Authority (EFSA) setting standards to reduce contamination risks and ensure quality control. Additionally, traceability measures and Certifications like Good Agricultural Practices (GAP) and GlobalGAP are increasingly required by retailers and consumers to ensure that agricultural products are produced sustainably and safely. These certifications help enhance traceability in the supply chain, which is vital for consumer confidence.

Pest and Disease Outbreaks

The global fruits and vegetables market is impacted by climate change and unpredictable weather conditions. Increasing temperatures, droughts and extreme weather events disrupt crop yields, making it difficult for producers to maintain consistent supply levels. According to the Food and Agriculture Organization (FAO), global agriculture, including fruit and vegetable farming, faces increasing risks from climate variability, which affects crop quality and availability. Furthermore, pests and diseases are a significant restraint in the fruits and vegetables sector.

Crops are particularly vulnerable to infestations that can severely reduce yields or necessitate the use of chemical treatments, which can impact the quality of produce. Every year, pests cause a loss of 20% to 40% in global crop production. Annually, plant diseases result in an estimated US$ 220 billion loss to the global economy, while invasive insects contribute approximately US$ 70 billion, as reported by the Food and Agriculture Organization of the United Nations. Moreover, controlling these outbreaks adds to production costs, impacting the affordability of fruits and vegetables for end consumers.

Segment Analysis

The global fruit and vegetables market is segmented based on product, type, distribution channel, application and region.

High Demand for Organic and Processed Fruits

The demand for fruits has significantly increased as consumers increasingly prefer chemical-free and sustainably sourced products. According to the Ministry of Agriculture & Farmers Welfare of India, fruit production in the country is projected to reach 112.08 million tonnes in the 2023-24 season, driven primarily by higher yields of bananas, mandarins and mangoes. This surge in production aligns with a broader consumer trend favoring organic and sustainably grown produce, reflecting heightened awareness regarding health and environmental sustainability.

This shift towards organic and sustainable agriculture is not only a response to consumer preferences but also a reflection of changing agricultural practices. Farmers are increasingly adopting methods that prioritize environmental health and reduce reliance on synthetic chemicals. The growing market for organic fruits is supported by initiatives that facilitate direct procurement and improve supply chain efficiencies, such as those pioneered by online retailers.

Geographical Penetration

Rapid Consumption of Ready-to-Eat Food Products in North America

North America significantly influences the global fruits and vegetables market, primarily due to the increasing demand for organic produce and convenient ready-to-eat food options. US and Canada benefit from robust distribution networks and advanced agricultural practices that enhance their market position. According to the Organic Trade Association (OTA) organic produce sales in US totaled US$ 22 billion in 2022, which was 15% of all fruit and vegetable sales in the country.

Furthermore, the rise in health consciousness among consumers, coupled with supportive government initiatives such as the National Organic Program (NOP), has bolstered the organic sector in both countries. Canada is also experiencing an uptick in fresh fruit and vegetable imports, particularly from Latin America, which helps satisfy consumer preferences despite seasonal limitations.

Competitive Landscape

The major global players in the market include Global Green Company, Total Produce, DEL MONTE GOLD, Barfoots of Botley, Alexia Foods, Nationwide Produce Plc, Kühne + Heitz, S&A Group Holdings Limited, VINYARD FRUIT & VEGETABLE CO. and Wealmoor Ltd.

Sustainability Analysis

Sustainability in the fruits and vegetables market has become a critical focus as companies strive to minimize their environmental impact through various innovative practices. Many businesses are adopting biodegradable and compostable packaging solutions to combat plastic waste, which is a significant contributor to environmental degradation. Similarly, advancements in materials such as starch-based plastics, seaweed wraps and mushroom packaging are paving the way for greener alternatives that minimize landfill contributions and enhance product preservation.

In addition to packaging innovations, addressing water scarcity is another priority within the sector. Companies are investing in water-saving technologies and developing drought-resistant crops, recognizing that agriculture accounts for approximately 20% of global freshwater usage, as reported by the World Bank. Furthermore, the integration of renewable energy sources in greenhouse operations aligns with global climate objectives, contributing to a more sustainable agricultural framework.

Russia-Ukraine War Impact

The ongoing Russia-Ukraine war has profoundly disrupted the global fruits and vegetables market, primarily through significant interruptions in fertilizer supply chains and rising energy costs. Ukraine is a major exporter of potassium-based fertilizers, essential for fruit and vegetable production. Additionally, the war has caused energy prices to soar, further inflating transportation expenses, which has negatively impacted the export and import of fresh produce across Europe and beyond.

In response to these challenges, some nations are pivoting towards enhancing domestic agricultural production to mitigate reliance on imports affected by the conflict. This shift could potentially reshape global trade flows in the fruits and vegetables sector as countries seek to stabilize their food supplies amid ongoing geopolitical tensions. As countries adapt to these new realities, the landscape of global agricultural trade is likely to undergo significant transformation, affecting both producers and consumers alike.

By Product
• Fruits
• Vegetables

By Type
• Fresh
• Dried
• Frozen
• Others

By Distribution Channel
• Supermarkets/Hypermarkets
• Grocery Stores
• Online
• Others

By Application
• Retail/Household
• Food Service Sector

By Region
• North America
US
Canada
Mexico
• Europe
Germany
UK
France
Italy
Spain
Rest of Europe
• South America
Brazil
Argentina
Rest of South America
• Asia-Pacific
China
India
Japan
Australia
Rest of Asia-Pacific
• Middle East and Africa

Key Developments
• In March 2024, AgriNurture, Inc. (ANI) finalized its purchase of the Australian produce firm Freshness First Pty. Limited. After nearly five years of negotiations and preparation since its initial announcement in October 2018, ANI finalized the purchase for US$ 0.65 million, bringing the Australian firm under its full control. This acquisition marks a strategic step for ANI in broadening its presence in the fruits and vegetables market.
• In November 2023, Saudi Arabia established a significant joint venture between the National Agricultural Development Company (NADEC) and Del Monte. NADEC acquired a 37.5% stake in the new entity, with the partnership aimed at expanding the production and distribution of fresh commodities, including fruits and vegetables.
• In January 2023, Dole Food Company, Inc. introduced a newly developed golden pineapple, featuring enhanced sweetness, juiciness and aroma, tailored to meet consumer demand for a more flavorful pineapple experience. This launch underscores Dole’s commitment to sustainable agriculture and innovation in fruit production.

Why Purchase the Report?
• To visualize the global fruits and vegetables market segmentation based on product, type, distribution channel, application and region.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points at the fruits and vegetables market level for all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global fruits and vegetables market report would provide approximately 70 tables, 62 figures and 209 pages.

Target Audience 2024
• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies

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