Global Organic Cashew Nuts Market - 2022-2029

Global Organic Cashew Nuts Market - 2022-2029

Market Overview

Organic cashew nuts are basically collected from cashew trees and grown in a controlled environment without using any chemicals. Organic cashew nuts come from non-GMO and completely natural cashew trees. These nuts have relatively higher nutrients than non-organic cashew nuts. It’s all organic form and the absence of chemicals used during cultivation has resulted in increased use of organic cashew nuts by health-conscious people. Organic cashew nuts are used on large scale in various food applications such as bakery and confectionery. In addition, the increase in demand for organic food products, organic cashew market is rising. An increase in expendable income and rising preference for organic bakery and confectionery products has resulted in a boom in the global organic cashew nuts industry.

The global organic cashew nuts market was valued at USD YY million in 2021. It is forecasted to reach USD YY million by 2029, growing at a CAGR of 4.75% during the forecast period (2022-2029).

Market Dynamics: Increase in vegan population is driving the growth of global organic cashew nuts market

Organic cashew nuts are anticipated to witness continuous growth over the forecast period. The growth of organic cashew nuts market is driven by rising demand for convenient foods, and ready-to-eat snacks have fueled the market globally. Availability of various flavors including smoky, salted, butter, pepper has driven the sales of organic cashew nuts in various industries. Consumers are increasingly embracing the vegan lifestyle and opting for healthy substitutes for dairy, meat and another conventional source of protein which ultimately increases the demand for organic cashew nuts in the industry. For instance, in 2020, according to veganz, 3.6% of the population is vegan in Germany. Vegan perceives vegan diet which is healthier than a meat-based one. Consumers are replacing traditional sources of protein like plant-based alternatives, red meat, they are shifting towards the consumption of protein-rich nuts, which has emerged as a feasible option.

Furthermore, the rise in per-capita health expenditure, increasing number of working women, growth in middle-class population and rapid urbanization. The presence of various natural ingredients in organic cashew nuts with growing awareness regarding health benefits contributed significantly to its volume growth over the forecast period.

However, lack of knowledge regarding organic cashew nut is limiting the growth of this market. Furthermore, high price of organic cashew nuts is also limiting the growth of the global organic cashew nuts market.

Market Segmentation: Whole form stands for the highest share in global organic cashew nut market

By Form, it is observed that organic cashew nuts in the whole form is used on a large scale in manufacturing different food products at home. As whole cashew nuts are used as a raw material for various food products and applications. For instance, in 2021, according to agri farming, organic farming is taken up by small and marginal farmers and as more than 70% of the cashews, the area is under organic category.

On the other hand, powdered form is also forecasted to have growth in the coming years as the powdered cashews used in making beverages that are cashew-based. Thus, farmers are also contributing to the growth of the segment by growing the pure organic farming in the market to fulfill consumer demands which adds to the growth of the segment. For instance, in 2020, the countries with the highest shares of organic farm areas within total UAA in 2020 were Austria (25 %), Estonia (22 %) and Sweden (20 %).

Geographical Penetration: North America is the dominating region during the forecast period

In 2021, North America had the highest revenue share of YY percent. The region has well-developed food & farming industry. In addition, different types of fast food have been popular in the U.S., Canada, and Mexico. For instance, in 2020, according USDA, the U.S. sales for organic products was $51.6 billion in 2020.

Asia Pacific is the fastest growing regional market with a revenue share of YY percent. The region has a wide penetration for organic farming. For instance, in 2020, China is at 3rd position in organic farming land which is 3.14 million hectares. Additionally, increasing demand for healthy and sustainable food such as organic cashew nuts in various food applications in countries such as India, China, Japan and others is driving the segment.

Competitive Landscape

The global organic cashew nuts market is competitive and comprises players such as Delphi Organics, Divine Food, Tierra Farm, Bata Food, Cascade Agroindustrial SA, CBL Natural Foods Pvt. Ltd., Alien Green, Agrocel Industries, Flexpanel BV and Nature Bio-Foods Ltd among others. The organic cashew nut market competitiveness is estimated to increase over the forecast period as the key players and focus on various strategies such as strong online presence, collaborations, to get support from an influencer, partnerships with local restaurants and others. Moreover, growing demand for healthy and nutritious as well as chemical free will propel the market growth in coming years.

For instance,
• In January 2021, L T Foods, an Indian rice manufacturer, acquired a 30% share in Leev. nu via its subsidiary Nature Bio Foods BV, with an option to acquire a further 21% ownership at the end of five years. This acquisition contributes to the expansion of LT Foods' portfolio. Leev. nu is the Netherlands-based Organic Specialty Food Company with a portfolio that includes breakfast bars, nutritious snacks, a baking range, and so on.

COVID-19 Impact Positive impact on global organic cashew nut market

The COVID-19 pandemic has adversely affected the economies of various countries due to lockdowns, restrictions of import-exports, business close, and travel bans. Food and beverages are among the major industries suffered from intense disruptions such as restrictions on the supply chain and the shutdown of warehouse plants.

During the COVID 19 pandemic the demand for organic food went up as consumers perceived them as being healthier and good for immunity. However, otherwise too, demand for organic food is increasing at a continuous pace. For instance, in 2020, according to food safety helpline, the Indian organic food market stood at a value of USD 849.5 million in 2020.

The rich nutrition value in organic cashew nuts is the main reason for its increased demand in domestic as well as global market. In addition, organic cashew nuts have rich amounts of fibre, carbohydrates, micronutrients, antioxidants and others which helps in strengthening the immune system. Also, studies show that organic foods may have more antioxidants compared to conventionally grown varieties which make them more beneficial for health, including prevention of cancer. Thus, increasing trend of staying fit & healthy covid-19 has increased the demand for organic vegetable globally.

The global organic cashew nuts market report would provide an access to approximately 61 market data tables, 62 figures and 170 pages