The humble potato remains one of the most important food staples in modern gastronomy, with varieties and applications that reach all consumer and commercial food groups. As such, it’s no wonder that the market keeps expanding.
The frozen potato products market is of great importance from both a technological and business perspective. The market has had ongoing progress in terms of innovation, particularly in the areas of product creation and processing processes. Food manufacturers and processors are continuously engaged in the exploration of novel methods to improve the sensory attributes, structural characteristics, and nutritional composition of frozen potato products.
Advancements in freezing techniques, such as rapid freezing methodologies, have facilitated enhanced preservation of the inherent attributes of potatoes, so guaranteeing that consumers can relish products with negligible compromise in terms of flavor and nutritional content. Furthermore, there has been an increasing focus on the implementation of more nutritious alternatives, such as low-sodium or baked variations of conventional fried potato items, to accommodate the preferences of individuals who prioritize their health.
The dedication of the industry to fostering innovation guarantees the continued relevance and attractiveness of frozen potato products among a wide range of consumers. From a business standpoint, the frozen potato goods sector presents a highly profitable opportunity for enterprises. The increasing global demand for convenience foods can be attributed to the prevalence of busy lifestyles and the expanding workforce. Frozen potato goods are in complete accordance with this prevailing pattern, providing a prompt and effortless meal resolution that attracts consumers desiring convenience without sacrificing flavor. In addition, the global market’s extensive reach offers enterprises the potential for expansion and diversification, given the increasing demand for frozen potato products across many countries and cultures.
In addition to achieving success, organizations operating within this sector effectively utilize marketing methods to develop robust brand identities and cultivate enduring consumer loyalty. In the dynamic food industry, the frozen potato products market is an appealing opportunity for firms aiming to achieve growth, profitability, and ongoing innovation.
Enjoying a Healthy Growth
It is projected that the value of the worldwide frozen potato market will expand significantly between 2023 and 2033. Future Market Insights predicts that by 2033, the market value would rise to USD104,34bn. In the next 10 years the industry is expected to grow at a spectacular CAGR of 6%, as in 2023 the worldwide market is estimated to be more than USD60,88bn. In terms of global production, potatoes are fourth only to wheat, rice, and maize.
One of the most common forms of potato processing, frozen potatoes have a long shelf life, a wide range of nutritional benefits, and a variety of preparation options. Increases in both the desire for and availability of convenience foods are seen to be driving forces behind the expansion of the frozen potato business. Some of the factors driving the demand for fast food, which in turn stimulates the growth of the market, are an increase in consumer spending, the increasing influence of food delivery services, the surge in the number of fast-food restaurants, an increase in the working age population, and rapid urbanization. Another factor that is predicted to contribute to the expansion of the frozen potato market is the growing demand among the millennial generation for convenience foods.
About 40% of the global frozen potato market was generated by the French fries sector. Due to the rapid spread of QSRs like Subway, Burger King, McDonald’s, Wendy’s, and Dunkin’ Donuts, French fries have become increasingly popular as the demand for Western-style cuisine rises in developing countries. The leading players in the French fry market are constantly innovating and adapting their offerings in response to shifting customer tastes, which bodes well for the market’s future expansion.
In 2021, the commercial sector accounted for the largest proportion of the market when broken down by end user, according to Allied Market Research. Hotels, fast food franchises, and QSRs all make commercial use of frozen potatoes and associated products. Because of the decreased preparation time and ease of use, these items have found widespread commercial acceptance. In addition, the convenience of frozen food products and the difficulties presented by some climates encourage their widespread use, contributing to the expansion of the frozen potato market.
The Asia-Pacific region recently dominated the frozen potato market and is projected to continue to do so throughout the forecast period. As quick-service restaurants proliferate across Asia and the Pacific, the region is seen as a potential market for frozen potatoes. There has been a significant increase in the use of convenience products such frozen French fries and dehydrated potato products due to the rise in the number of working women.
During the foreseen time, the Asia-Pacific frozen potato market is expected to grow thanks to several factors, including an increase in fast food restaurants, an increase in food processing capacity, an increase in income, an increase in urbanization, and lower tariffs from WTO on the import and export of frozen potatoes. To grow their share of the worldwide frozen potato market, boost their profits, and keep up with the competition, the major players in this industry have shifted their focus to research and development.
The key competitors in the worldwide frozen potato market have responded to increased customer demand through a combination of product launches and acquisitions. The key competitors in the worldwide frozen potato market have responded to increased customer demand through a combination of product launches and acquisitions. Companies can pool their technological needs for both existing and new products through acquisitions. This would help the market leaders gain a larger part of the market at a reduced cost, making it possible for them to diversify their product offerings.
On a Positive Trajectory
According to Future Market Insights, from 2018 to 2022, the size of the worldwide frozen potato market grew at a CAGR of 2.4%. The size of the world market in 2018 was USD53.3bn. The market increased significantly over the ensuing years, reaching USD58.4bn in 2022. Foods like French fries and wedges have become more and more popular over the past few years, especially with kids and young adults. This is advancing the frozen potato industry. Consumers today are more health conscious and becoming more knowledgeable about the advantages of products made from potatoes.