The Frozen Food Market is estimated to account for about USD244.3bn in 2020 and is projected to reach a value of nearly USD312.3bn by 2025, growing at a CAGR of 5.0% from 2020. The data comes form a new market research report “Frozen Food Market by Product, Type, Consumption, Distribution Channel, and Region – Global Forecast To 2025”, published by MarketsandMarkets.
The development of retail channels in the form of supermarkets, hypermarkets, and convenience stores has driven the growth of the frozen food market. These large food chains form an important growing outlet for frozen food products, owing to the latest trend of on-the-go consumption. According to the report, the rising per capita income and the increasing number of working women, globally, have further accelerated the market growth. By type of product, the convenience food & ready meals segment is estimated to dominate the frozen food market in 2020. This is due to the increasing consumer preference toward convenience foods, which indirectly favors the increasing demand for frozen products, as they require less time and effort. The processed food market is driven by the greater need for convenience due to the busy lifestyles of consumers. This, in turn, boosts the demand for frozen products. Growing disposable income is also one such factor that had a huge influence on the growth of the frozen food market, as it increases the buying power of the consumers.
Europe is estimated to account for the largest market share in the frozen food market in 2020. The region is projected to offer huge growth potential to the frozen food market. The German market is estimated to be the major contributor to the growth in the region. The European market is driven by the robust growth of the food industry, which has supported the ready-to-eat snack food industry to gain acceleration in this market.