February, 2023/MRFR Press Release/- Market Research Future has published a half-cooked research report on the Global Organic Infant Formula Market.
Organic infant formula is artificially synthesized substitute for natural milk intended for babies under the age of 12 months. Organic infant formula is free of chemicals and is a healthier alternative as compared to conventional infant formula. Organic infant formulations adhere to regulations fixed by the government during manufacturing. As per the analysis of Market Research Future (MRFR), the global organic infant formula market is likely to expand at a CAGR of 7.56% over the forecast period of 2023-2032.
Organic infant formula aid in the development of brain and eye, easy digestion. They generally contain omega fatty acids DHA (docosahexaenoic acid), ARA (arachidonic acid), Iron, Vitamin D3, Calcium, Choline, and Folic Acid. Spreading awareness among women and an increase in the number of educated women who are well aware of baby nutrition have a positive influence on the sale of organic infant formula.
Increasing consumer awareness regarding the consumption of organic food products has contributed positively to the growth of the global organic infant formula market. Consumers are willing to pay a premium price for ensuring food safety of their infants which has spurred the demand for organic infant formula market.
To capitalize on the popular trend of organic food consumption, manufacturers are progressively foraying into the organic infant formula space. In addition, rigorous promotional activities by retailers have uplifted the demand for organic infant formula.
High demand from the developed countries along with new channels provide better access to organic infant formula has created favorable opportunities for the growth of the global organic infant formula market. Other factors contributing to the growth of the market include rising disposable income across the globe, rapid urbanization, and increase in the number of working women who are heavily reliant on infant formula as they serve as a convenient, on-the-go option for baby nutrition.
On the other hand, the high price of organic infant formulations and time-consuming procedure of certification from regulatory bodies are factors restraining the growth of the global organic infant formula market.
The global organic infant formula market has been segmented based on type, formula, and distribution channel.
By type, the global organic infant formula market has been segmented into starting milk formula, follow-on milk formula, special milk formula, and others. The starting milk formula segment is the largest segment and is anticipated to capture a CAGR of 14.74% over the forecast period. High demand for starting milk formula among consumers, especially in the developing countries can be credited for the growth of the market. Starting milk formula minimizes the chance of malnutrition among newborn and hence organizations such as the WHO and FAO are supporting the consumption of starting milk formula.
By formula, the global organic infant formula market has been segmented into powdered formula, concentrated liquid formula, ready-to-feed formula, and others. The powdered segment accounts for the largest share of the global market and is anticipated to exhibit a CAGR of 13.94% over the forecast period. Increasing demand for ready-to-feed infant milk formulation is a key factor in boosting the growth of the segment.
By distribution channel, the global organic infant formula market has been segmented into store-based and non-store based. The store-based segment is the leading segment and is likely to exhibit a CAGR of 13.79% over the forecast period.
By region, the global organic infant formula market has been segmented into Europe, Asia Pacific (APAC), North America, and the Rest of the World (RoW). APAC is leading the global organic infant formula market and is expected to expand at a CAGR of 16% over the forecast period. Healthy economic growth and widespread malnutrition in the region can be credited for the growth of the market in the region. The APAC organic infant formula market is due to reach USD 3998.67 Mn by 2023. The Rest of the World (RoW) market including Latin America and the Middle East & Africa is expected to capture a CAGR of 13.80% over the forecast period.
The notable players in the global organic infant formula market include Holle baby food GmbH (Switzerland), Abbott Nutrition Manufacturing Inc. (U.S.), Hain Celestial Group, Inc. (U.S.), Bellamy's Organic Pty Ltd. (Australia), HiPP GmbH & Co. Vertrieb KG (Germany), Beingmate Baby & Child Food Co., Ltd. (China), and Zuivelcoöperatie Frieslandcampina U.A. (The Netherlands).
In February 2019, WATTLE Health Australia, a company which develops, sources, and markets nutritional dairy, health, and wellness products in Australia, launched its new organic milk range. It also unveiled its plan to produce its organic infant formula in retail outlets by April 2019. The company already produced infant formula from conventional milk but has sourced some base organic nutritional powder through its venture with Organic Dairy Farmers of Australia and Niche Dairy called Corio Bay Dairy Group. They have collaborated to build a spray drying plant to process organic milk.