South America Organic Baby Food - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

South America Organic Baby Food - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

South America Organic Baby Food market is projected to register a CAGR of 6.25% during the forecast period, 2022-2027.

Post COVID 19, some of the major issues have been raised in the overall food and beverage industry, after the pandemic, people are consuming healthy diet for protecting themselves and their babies with an aim to improve their immune system fight against COVID-19. Therefore, the demand of organic baby food has been increased across the region.

As people look for healthier diets and lifestyle options, organic products are becoming more and more popular. As a result, baby food products made with natural and organic components are quickly gaining popularity across the region. The market's growth will be largely fueled by the growing penetration rate of wide variety of products in retail stores and online marketplaces. Additionally, the increased number of working women had play a vital big role in the sector's expansion, making prepared organic baby food one of the fastest-growing segments.

Key Market TrendsStrong demand for Prepared Baby Food

With an increasing working population consumer preference shifting towards the prepared baby food. Prepared baby food is highly nutritious and possesses components that are essential for the healthy and fast development of the baby. They are offered as spoon blends and purees, and often contain added portions of growth-promoting ingredients.

Major retailers of the market have picked up on the trend of high-pressure processing for organic baby food and initiated to slowly swap supplementary mainstream brands with innovative labels, like Plum Organics and Happy Family, EArth's Best Organic committing entire refrigerators to HPP baby food alternatives, including super smoothies. Moreover, the changing consumer preference concerned with the ease in handling and consumption of baby food is a factor with much potential. Therefore, the HPP baby foods are being offered in on-the-go pouches and flexible tubs, are likely to increase the sales and drive the overall organic baby food market in the near future.

Brazil Holds the Largest Share

The changing demographics and societal structures are giving rise to the women workforce in the country. These factors have played a vital role in the success of the organic baby food market. Additionally, the market is expanding rapidly due to the growing awareness and knowledge of the significant role of nutrition in an infant's growth. Furthermore, health-conscious parents in the country are seeking healthier options for their babies. They prefer organic baby foods and choices that address focused health benefits such as cognitive or bone health.

However, the organic baby food market is in a whirlwind in terms of growth in Brazil, where the birth level is expected to decline in the country. For example, according to The United Nations population estimates, the current birth rate for Brazil in 2022 is 13.059 births per 1000 people, a 1.91% decline from 2021. The birth rate for Brazil in 2021 was 13.313 births per 1000 people, a 1.86% decline from 2020.

Competitive Landscape

The market is highly competitive with the presence of key players operating in the market, such as Nestlé S.A., The Hain Celestial Group, Inc, Abbott Laboratories, The Hero Group, Amara Organic Foods, Sun-Maid Growers of California, among others. Moreover, various active companies in the market have adopted product innovation as the key strategy, due to changing consumer taste and preferences. The major focus of the companies is to offer different products with added functionalities along with required certifications to gain consumer trust and interest.

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• The market estimate (ME) sheet in Excel format
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