An influx of youngsters and the advent of the internet are changing the way people perceive food, vis a vis global organic food market, says TechSci Research

TechSci Research has been keeping a very close eye on the developments taking place in the global organic food market all the way back from August 2015. And in a way, TechSci has been ahead of the curve in terms of predicting the demand explosion that global organic food market witnessed. Now after countless iterations, TechSci has finally come up with its latest report on the global organic food market “Global Organic Food Market, Competition Forecast and Opportunities, 2012 – 2022”.

We conversed with the experts responsible for the creation of the report and encapsulated the major takeaways in this short article.

Global Organic Food Market: A Summary

TechSci Research experts have estimated that the global organic food market stood at $110.25 billion in 2016, and expect it to grow at a CAGR of 16.15%, in value terms, during 2017 – 2022, to reach $262.85 billion by 2022. For an industry of that size, the growth rate witnessed by global organic food market has been sensational.

Growing awareness regarding health benefits of organic food consumption, rising per capita spending on organic food products and increasing health concerns due to growing number of chemical poisoning cases are the major factors driving and expected to drive the organic food market.

Interestingly, APAC region, which has been dominating many other industries given its strong GDP growth rate and population density, is not quite as interested in organic food market as Europe and North America, which are the major demand generators in this category. There is a case to be made here that organic food is still considered something of a ‘luxury’ in APAC countries and thus, still out of reach even for the emerging middle class.

Popularity Among Youth Driving the Global Organic Food Market

Wold Bank reports suggest that world is a young place. Nearly 42% of the world population is under 25 years of age. Not just first-world residents, with the advent of the internet, the youth in third world countries are also becoming connected like never before.

TechSci experts believe that one of the primary drivers for global organic food market is the demand generated from the youth population for healthy substitutes to their routine dietary products. Given that youth are increasingly becoming connected with each other, such trends transcend geopolitical and socio-economic boundaries.

TechSci, in an article titled “How Organic Food Market Giants are Dealing with Amazon-Whole Foods”, had talked about the attractiveness potential of the global organic food market for a company such as Amazon. The universal nature of the trend, seems to be one of the major ones.

With advancing technology, people are becoming more aware of what the body should and shouldn’t be fed, how to properly care for it to optimize its utility etc. Not only this, the internet is also changing how we perceive food, from farm to fork.

People now know what sort of fertilizers, pesticides, chemicals etc. are used on food products, and also the why and how. Given the knowledge about the ill-effects of overuse of chemicals is again a major factor for global organic food market. And youngsters, being better connected and better informed compared with previous generations, are in a place to exercise their discretion.

Please follow our LinkedIn and Twitter pages to get live updates on market research insights and analysis.