EMEA Organic Baby Food Market: In Great Demand

With the rising awareness concerning the ill effects of the chemicals, fertilizers, and pesticides used in various highly consumed products, more people are opting for food products that do not contain these substances. The organic baby food market caters to the niche consumer segment that looks for safe and nutritious alternatives to conventional packaged baby foods, according to a recent report by Infiniti Research Limited. Vendors offer novelty in products and attractive packaging to gain a strong foothold in the market. Existing baby food manufacturers have expanded their product ranges to include organic variants, sometimes through mergers and acquisitions. New entrants have also forayed into this sector with specialized offerings, in order to tap the vast potential. 

Technavio’s research analyst predicts the global organic baby food market to grow steadily at a CAGR of around 12 percent in terms of revenue between 2016 and 2020. The organic baby food market caters to the niche consumer segment that looks for safe and nutritious alternatives to conventional baby foods. To capitalize on the opportunity offered, vendors are offering novelty in products with attractive packaging to gain a strong foothold in this market. Existing baby food manufacturers have expanded their product ranges to include organic variants, sometimes through mergers and acquisitions. Many new entrants have also forayed into this sector with specialized offerings to tap the vast potential of this market. The organic baby food market is predicted to witness a growing demand in emerging economies like India and China over the forecast period.

“At present, EMEA dominates the global organic baby food market”

With a large number of working women in these regions, ready-to-eat baby foods are already popular with time-strapped parents. Technavio’s forecast predicts organic baby food to become more affordable and to appeal to consumers in emerging markets in the years to come. The rising birth rates along with growing affluence in emerging economies will fuel the demand for organic baby food over the next five years, according to Infiniti Research Limited’s report. Birth rates are increasing in developing regions such as Latin America, Oceania, the Middle East, and North and Sub-Saharan Africa. The birth rates in these regions are some of the highest in the world. At present, EMEA dominates the global organic baby food market by accounting for almost 38 percent of the overall market space. The growing demand for organic prepared baby food and organic milk formula in European countries are some of the factors fueling growth in the organic baby food market in EMEA during the forecast period (2016-2020). A large number of untapped regions in APAC and MEA regions dot the global organic baby food market, according to Technavio. An increasing number of nuclear families and a growing working women population in these regions pose a significant opportunity for organic baby food manufacturers. Consumer awareness about the benefits of organic baby food in these regions is relatively low as compared to the west. For instance, though India has the highest population of children in the age group of 0-4 years the per capita consumption of baby food is relatively low. This market research study shows that in India alone organic baby food constituted almost 30 percent of the overall new baby food products launched in 2014, and it is a trend that will continue to bolster this market until 2020.

Fatima Saab
Content Editor & Researcher