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Natural Food & Beverage Industry Expected to Reach $361.3 Billion by 2031

The natural food & drinks market is experiencing significant growth, with a value of $120.4 billion in 2020 and expected to reach $361.3 billion by 2031. This growth is driven by various factors, including consumer preferences for health and wellness, demand for non-genetically modified ingredients, and the „clean label“ trend. Natural food & drinks are products that are manufactured without the use of hormones, antibiotics, or artificial flavors. While there are no stringent regulatory standards for natural food & drinks in most countries, manufacturers often use natural labels due to the lack of guidelines.

In 2021, the supermarkets/hypermarkets segment accounted for around two-fifths share of the global natural food & drinks market. This segment dominated the market, showcasing the popularity of natural products among consumers. The market is characterized by a growing consumer inclination towards health and wellness, awareness of healthy food ingredients, and the demand for non-genetically modified ingredients. These factors are driving the growth of the natural food & drinks industry.

One of the key trends in the market is the „clean label“ trend, which emphasizes products with minimal and natural ingredients. This trend is gaining popularity due to media coverage, books, television shows, and celebrity endorsements. However, the high cost of natural food & drinks compared to conventional products is identified as a barrier to market growth. Despite this challenge, the market has high growth potential, especially with the influence of foodservice providers such as restaurants and hotels offering healthy options.

The natural food & drinks market is segmented based on product type, distribution channel, packaging, and region. Product types include natural food and natural drinks, while distribution channels consist of supermarkets/hypermarkets, natural or health food stores, convenience stores, online retailers, and others. Packaging options include paperboard, cans, and others. The market is analyzed across regions such as North America, Europe, Asia-Pacific, and LAMEA.

In 2021, North America dominated the global natural food & drinks market, accounting for around two-fifths share. The U.S. was the leading consumer of natural food & drinks globally and is expected to continue growing during the forecast period. The natural food segment is projected to grow at a CAGR of 11.30% from 2022 to 2031, with fruits & vegetables accounting for a significant share of the market. The supermarkets/hypermarkets segment held the highest market share in 2021 and is expected to grow at a CAGR of 13.3%.

Key companies in the market include Archer Daniels Midland Company, Bunge Ltd., Earths Best, Amy’s Kitchen, Nestle S.A., 365 Everyday Value, Organic Valley, ConAgra Foods, Dean Foods, and General Mills. These companies play a crucial role in shaping the natural food & drinks market and meeting the growing demand for healthy and natural products.

Overall, the global natural food & drinks market is witnessing significant growth driven by consumer preferences for health and wellness, demand for non-genetically modified ingredients, and the „clean label“ trend. While challenges such as the high cost of natural products exist, the market is poised for expansion, especially with the increasing awareness among consumers and the influence of foodservice providers. The future of the natural food & drinks market looks promising, with opportunities for innovation and growth in the coming years.

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