Asia-Pacific Ready-To-Eat Food Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

Asia-Pacific Ready-To-Eat Food Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

The Asia-Pacific Ready-to-Eat Food Market size is expected to grow from USD 126.87 billion in 2023 to USD 158.40 billion by 2028, at a CAGR of 4.54% during the forecast period (2023-2028).

Key Highlights

• The ready-to-eat-food market is experiencing significant growth, driven by the growing demand for convenience. The trend towards convenience is fueled by changing food consumption patterns, driven by increasing urbanization, leading to a rise in the popularity of ready meals. Consumers are increasingly looking for food products that are easy to prepare and have a longer shelf life. Additionally, the rising expenditure on food and beverage, increasing impulse purchasing, and growing demand for convenience foods that can be prepared quickly due to a shortage of available time all contribute to the market's growth.
• Younger consumers with disposable incomes are more likely to try new products, including convenient food products, and have non-traditional eating habits. They also eat out more frequently, driving the demand for frozen snacks and meals across the country. Furthermore, the COVID-19 pandemic led to new hybrid working patterns and significant investments made in homes, pointing to a larger number of frozen ready meals being consumed at home in the foreseeable future. Frozen pizza was a standout category within the ready meals market during the pandemic due to its comforting familiarity at a time of chaos in consumers' lives. Stressed parents turned to frozen pizza as something that appeals to even the pickiest eaters.
• Due to fast-paced lifestyles, the need for a quick meal or snack among adults has been driving the demand for healthy and convenient food that can be consumed instantly. Frozen food products are considered beneficial as most can be cooked within less time for consumption. These factors have been propelling the market growth. Overall, the ready-to-eat-food market is poised for continued growth in the foreseeable future, driven by the increasing demand for convenience and healthy food options.

Asia-Pacific Ready-to-Eat Food Market Trends

Rising Demand For Ready Meals

• The convenience offered by ready-to-eat meals has been a significant driver of their growth in popularity, as they save time and require minimal effort to prepare. Additionally, an increasing number of individuals, particularly working professionals, and students, prefer these products over restaurant meals due to the money saved and the fact that they only need to be heated before consumption. However, the popularity of packaged foods and ready-to-eat meals has also led to concerns about their taste and nutritional value.
• In recent years, the packaged food industry has evolved to offer better quality food options with simpler preparation methods, contributing to the market's growth for ready-to-eat meals. Several Indian companies, including MTR, Gits, Haldiram’s, and Bikano, are also trying to tap into the food industry's potential by improving the quality of their products and expanding their utility.
• Quick commerce, or q-commerce, is a significant driver of the growth in sales of ready meals. Local delivery service players have been quick to meet the growing demand for fast and convenient delivery of small quantities of goods to customers. Additionally, consumers cannot travel freely, so they are more willing to explore different cuisines and flavors, including ethnic and exotic tastes. The growing awareness and adoption of global trends have also contributed to the popularity of plant-based foods, including ready meals, which have gained a recognizable niche market.

India Dominates the Asia-Pacific Region

• The popularity of convenient foods has significantly increased in recent times, particularly among working-class people, teenagers, hostel residents, bachelors, and those who share a room. These individuals prefer foods that can be prepared quickly and easily at home. Such meals can be consumed immediately or reheated, thawed, or made by adding some water. Most prepared dishes take no more than five minutes to cook.
• For instance, according to the Ministry of Statistics and Program Implementation, the employment rate in India increased to 43.90% in the second quarter of 2022 from 43.4% in the first quarter of 2022. This has contributed to the popularity of ready-to-eat-food, which is affordable, time-saving, and non-perishable, making it an ideal quick snack or supper.
• This has helped the ready-to-eat food market become highly popular in India, with products ranging from instant noodles to soup, frozen vegetables, and frozen snacks. The Indian food sector has adapted to changing consumer demands and a diverse customer base, offering various products from palak paneer to idli sambar, burger patties, and plant-based meats like jackfruit.
• Hypermarkets and supermarkets are the primary distribution channels for RTE food in India. The wider availability of products under one roof, ranging from soup to ready-to-eat food products, has fueled the growth in the sales channel. Supermarkets sell products at competitive prices to expand their consumer base.
• However, despite the growing demand for convenience on-the-go snack food in the market, some consumers are more health-conscious. They tend to opt for healthy, convenient snack products, which in turn restrains the growth potential of the frozen snacks market. The rising prevalence of lifestyle disorders such as atherosclerosis, stroke, diabetes, and obesity has increased the inclination toward healthy snack products such as nuts, fruit snacks, snack bars, and other confectionery snack products.

Asia-Pacific Ready-to-Eat Food Industry Overview

The Asia-Pacific market for ready-to-eat food is highly competitive, with numerous domestic and multinational players vying for a larger share of the market. The key players are adopting strategic approaches such as mergers, acquisitions, partnerships, and expansions, as well as focusing on new product development to enhance their brand presence among consumers. The leading companies dominating the regional market include PepsiCo Inc., Nestlé, Kellogg's Company, Pondok Abang, and Unilever, among others.

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