Convenience food is going to represent the main factor of growth in the processed meat market over the next three years, according to a market report from Technavio. A 9% CAGR is expected to generate an incremental growth of $226.37 billion over the next three years, despite the current disruptions caused by the COVID-19 pandemic.
The need for convenience foods is going to play a major role in the processed red meat market as the demand is expected to surge in regions such as Asia-Pacific, Europe, the Middle East and Africa. Asia will maintain a strong rate of demand, generating more than 31% of the growth expected in this market. In fact, some of the signs of growth are already seen in the Chinese market, where consumers are coming back to their habits of purchasing convenience food, even through different channels such as e-commerce.
Packaging innovations will also play a significant role in the market over the next years, as it has to serve the interest of the consumers and vendors as well. The current situation of market fragmentation, with several players taking most of the market share is expected to accelerate offering immense growth opportunities for every business involved.
At the same time, the US market for processed meat will witness a CAGR of 1% over the forecast period, with a growth in consumption of approximately 50,000 tonnes in the next three years.