IQF Fruits Market Expected to Reach $11.8 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “IQF Fruits Market," The IQF fruits market was valued at $6.2 billion in 2021, and is estimated to reach $11.8 billion by 2031, growing at a CAGR of 6.8% from 2022 to 2031.

IQF is an environment-friendly and non-thermal technique of food preservation. Most fruits and vegetables are preserved using this method. The use of IQF in food preservation is related to a number of advantages. It has various advantages, some of which include extending shelf life and maintaining the flavor & quality of food goods. The demand from food manufacturers to preserve food for a long time and utilize it as a component in finished goods fuels the growth of the global IQF fruit market share. The working class continues to contribute significantly to revenue growth during the forecast period. The IQF fruits have a number of essential qualities that aid in preventing deterioration during difficult transit. These characteristics shield them from exposure to light and heat. The demand for IQF fruits in dairy products is anticipated to increase during the forecast period. Yogurt and other dairy products are in high demand, and this demand is growing tremendously. Customer inclination for veganism is also one of the key factors that propel the growth of the global IQF fruit market size.

The IQF fruits industry places a great deal of emphasis on the production of frozen fruits. However, as the cost of IQF fruit is so exorbitant thus regular people refrain from purchasing them. They shift their attention to simply purchasing fresh fruits. As a result, this might be a constraint for the global market as the companies need to lower the profit margin and the price of frozen fruits to boost sales.

Nevertheless, the rise in the desire of food producers to retain food goods for a long period as an ingredient for use in finished products is another significant development in the IQF fruits market. The growing working-class population is anticipated to continue to boost sales in the worldwide IQF fruits sector. In addition, IQF fruits have essential qualities that guard them against spoiling during demanding transportation as well as exposure to light and heat. Consumption of IQF fruit and goods using IQF fruit as an ingredient is anticipated to foster market growth, increasing GDP and raising customer awareness of their health.

The IQF fruits market is segmented on the basis of fruit, end-use industry, sales channel, and region. By fruit, it is segregated into berries, peaches, prune, bananas, pineapple, mangoes, oranges, and others. On the basis of the end-use industry, the market is categorized as food industry, retail, and HoReCa. The food industry segment is further segregated into bakery & confectionary, dairy, fruit-based beverages, and breakfast cereals. By sales channel, it is bifurcated into direct sales and indirect sales. The indirect sales segment is further fragmented into hypermarkets & supermarkets, convenience stores, specialty retail stores, and online retailers. On the basis of region, it is analyzed across North America (the U.S., Canada, and Mexico), Europe (Germany, Italy, UK, France, Spain, Russia, and the rest of Europe), Asia-Pacific (China, India, Japan, Australia, South Korea, and rest of Asia-Pacific), and LAMEA (Brazil, South Africa, Argentina, and rest of LAMEA).

On the basis of fruit, the berries segment was the highest contributor to the market and is expected to sustain its contribution throughout the IQF Fruits market forecast. When compared to eating fresh berries, eating frozen berries can have a higher antioxidant content. This is just one of many instances that show frozen items are still a viable option for businesses today. The berries segment of the IQF fruits market is expected to expand due to rising demand for IQF techniques to increase the perishability of fruits and the growing use of berries in the bakery, confectionery, and HoReCa industries.

According to IQF fruits market trends, by end-user industry, the food service industry segment was the highest contributor to the market, with $350.6 million in 2021, and is expected to grow at a CAGR of 5.5% during the forecast. Growth in demand for customization and innovation in food menu options are among the key factors that drive the food service industry. Consumers are provided with a wide variety of alternatives to customize their meals according to their taste, dietary, and budget preferences.

According to IQF fruits market analysis, by sales channel, the direct sales segment was the highest contributor to the market, with $350.6 million in 2021, and is expected to grow at a CAGR of 5.5% during the forecast period. The direct sales segment accounted for a major share of the market in 2021 and is expected to grow at a significant CAGR during the forecast period. The direct sales segment is referred to as business-to-business sales. IQF fruits are majorly sold to various companies that deal in the food processing and food service industry. IQF fruits have higher durability as compared to conventional fruits so it can be easily used and stored for future use. Thus, the above-mentioned factors are likely to propel the growth of the IQF fruits market size through direct sales channels during the forecast period.

According to IQF fruits market opportunities, In 2021, North America accounted for a 40.4% share of the IQF Fruits market and is expected to maintain its dominance during the forecast period. The market for IQF fruits in North America is anticipated to increase strongly during the forecast period as a result of rising consumer awareness of the value of fruits and vegetables for their nutritional content as well as the surge in demand for convenience foods. In addition, the expansion of the food service and food processing sectors in North American regions as well as the rise in demand for IQF fruits for use in culinary recipes are likely to support IQF fruits market growth in this region.

The major players analyzed for the global IQF Fruits industry are AGRANA, Alasko Food Inc, AXUS International, LLC., Bsfoods, Capricorn Food Products India Ltd, Danone SA, Himgiri Group, RDM International, SunLeaf, and SunOpta.

Key finding of the study

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• By fruit, the berries segment was the highest revenue contributor to the market with $1,077.2 million in 2021, and is estimated to reach $1,746.3 million by 2031, with a CAGR of 5.1%.
• On the basis of end use industry, the food industry segment was the highest revenue contributor to the market, with $3,084.3 million in 2021, and is estimated to reach $5,440.7 million by 2031, with a CAGR of 6.0%.
• As per sales channel, the direct segment was the highest revenue contributor to the market, with $4,441.0 million in 2021, and is estimated to grow at a CAGR of 6.5%. 
• Region-wise, North America was the highest revenue contributor, accounting for $2,519.1 million in 2021, and is estimated to reach $4,310.1 million by 2031, with a CAGR of 5.7%.