Precooked Corn Flour Market Expected to Reach $3.4 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Precooked Corn Flour Market," The precooked corn flour market size was valued at $2.3 billion in 2021, and is estimated to reach $3.4 billion by 2031, growing at a CAGR of 4.2% from 2022 to 2031.

The global precooked corn flour industry is witnessing a significant spike in the demand among the household and commercial sector like cloud kitchens, food processing, and food service units owing to the rising popularity of gluten-free bakery and confectionery food products among the consumers. The precooked corn flour finds its application in the preparation of wide variety of dishes and products such as cakes, pasta, noodles, soups, sauces, infant formula, extruded food, breakfast cereals, and various ready-to-eat food products. The growing penetration of grocery stores, departmental stores, hypermarkets, and convenience stores is significantly boosting the on-the-go consumption of various convenience and packaged food and beverages items across the globe. The rising consumer expenditure on functional food and rising awareness regarding the gluten related diseases is significantly driving the adoption of gluten free precooked corn flour in food manufacturing industry. The rising number of HoReCa units across the developed and developing nations is further fueling the precooked corn flour market demand.

Moreover, the growing popularity of eating out culture is driving the demand for the precooked corn flour among the restaurants and hotels. According to United States Department of Agriculture, spending on food away from homes (restaurant, full-service and fast food) accounts for around $978.2 billion or 51.9% of total food expenditures. Furthermore, the growing number of hotelas in developing economies is expected to further boost the precooked corn flour market growth in the forthcoming future. According to Asian Development Bank 2021, the five largest hotel chains in the Asia-Pacific region – Accor, Marriott International, IHG Hotels & Resorts, Hilton, Hyatt-ready to open over 700 hotels in the region together.

The rising demand for the organic food products across the developed and developing nations is expected to foster the demand for the organic precooked corn flour among the consumers. The volume of agricultural lands dedicated to organic farming is expected to rise significantly owing to the growing demand for the organic food among the global consumers. According to the report The World of Organic Agriculture Statistics and Emerging Trends 2021, around 1.5% or 72.3 million hectares of the total agricultural land was dedicated to organic farming in 2019, globally. The rising health consciousness among the consumers and rising awareness regarding the negative health impacts of traditional and chemical-based grown crops and manufactured food has resulted in a significant spike in the demand for organic food. According to the Organic Trade (OTA), in 2020, U.S. witnessed an all-time high sales of organic food and non-food products.

According to the precooked corn flour market analysis, the market is segmented based on type, application, nature, distribution channel, and region. Based on type, it is segregated into white, yellow, and blue. Depending on the application, the market is segmented into household and commercial. The commercial segment is further divided into food processing and food service. On the basis of nature, the market is bifurcated into organic and conventional. Depending on the distribution channel, it is segmented into B2C and B2B. Region-wise, the precooked corn flour market is analyzed across North America, Europe, Asia-Pacific, and LAMEA (Latin America, Middle East, & Africa).

As per the precooked corn flour market trends, based on the type, the white segment dominated the market in 2021 with 64.1% of the precooked corn flour market share and is expected to sustain its dominance throughout the forecast period. The white precooked corn flour is easily available in the North America and Latin America, the two huge consumers of precooked corn flour. The presence of dominating precooked corn flour brand like P.A.N, Bob’s Red Mill, Great River, and King Arthur in the Latin and North America has significantly contributed to the growth of the white precooked corn flour market in the past few years.

According to the precooked corn flour market forecast, based on application, the commercial is expected to dominate the global market during the forecast period. This growth is attributed to the huge consumption of precooked corn flour in the preparation of various packaged food items such as RTE food products, packaged and processed food, infant formula, bakery products, extruded food, and confectioneries in food processing industry.

Depending on the nature, the organic is expected to be the fastest-growing segment during the forecast period. In the recent years, there has been a significant increase in demand for natural and organic products. This has been driven by consumers' increasing awareness of the health and environmental benefits of these products. Organic precooked corn flour is made from the organically produced corn i.e. without the use of chemical fertilizers and pesticides or any other artificial ingredients. The increase in demand for natural and organic products is the major factor driving the growth of the precooked corn flour market.

Based on the distribution channel, the B2B segment dominated the market in 2021. This is due to the huge demand for the commercial precooked corn flour among the food service and food processing industries. The rising popularity of the online B2B market places such as India Mart, Alibaba, eWorld Trade, Global Sources, Amazon Business, and Just Dial is expected to have a significant positive impact on the growth of the precooked corn flour market in the upcoming future.

Region-wise, Asia-Pacific is expected to be the fastest-growing market, witnessing a CAGR of 4.8% during the forecast period. The Asia-Pacific region is the world’s most populous continent and home to some of the fastest-growing economies. The major factors driving the market growth are the rise in demand for processed and convenience food, and the change in consumer lifestyle.

The major players operating in the global precooked corn flour industry includes Archer Daniels Midland Company, Bob's Red Mill, Bunge limited, Cargill, Incorporated, Empresas Polar Inc., Goldmine natural foods, Goya Foods, Inc., Harinera Del Valle, LifeLine Foods LLC., Molino Peila SpA, Arcor Group, Cool Chile Co., Garnec, LLC., Gruma, and The Quaker Oats Company. These market players are constantly engaged in the various developmental strategies such as acquisitions, mergers, and product launches to exploit precooked corn flour market opportunities and gain market share.

Key findings of the study

• The global precooked corn flour market size was valued at $2,286.9 million in 2021, and is estimated to reach $3,427.9 million by 2031, registering a CAGR of 4.2% from 2022 to 2031.
• By type, the blue segment is estimated to witness the fastest growth, registering a CAGR of 5.0% during the forecast period.
• In 2021, depending on application, the commercial segment was valued at $1,858.5 million, accounting for 81.3% of the global market share.
• By nature, the organic segment is estimated to witness the fastest growth, registering a CAGR of 5.9% during the forecast period.
• In 2021, the U.S. was the most prominent market in North America, and is projected to reach $833.0 million by 2031, growing at a CAGR of 4.1% during the forecast period.