Impact of the COVID-19 outbreak on the Fruit Puree Market
The COVID-19 outbreak has severely impacted the lives of people across the globe, with the number of cases rising rapidly every day. The COVID-19 impact has varied across industries. One of the highly affected industries is the food industry, which fulfills the essential needs of the consumers. Amidst the constant fear and panic of the COVID-19 pandemic, consumers are highly concerned about keeping a check on their health. Thus, the demand for health-promoting ingredients has been increasing in multiples.
A fruit puree is a natural and healthy processed form of fresh fruit that is used as an ingredient and a food product. Fruit puree usually retains most of the fruit’s acid, sugar, and color and is used as an ingredient in the food processing industry, including its application in the baby food, jams, confectionery, and bakery segments. In the current scenario, it has become important for people to boost immunity in order to fight the coronavirus, along with maintaining hygiene and following all medical advisories that have been laid down. Even the guidelines provided by the WHO (World Health Organization) in their COVID-19 analysis, suggest the world population to consume immunity-boosting foods. Thus, the demand for fruit purees, especially of fruits that boost human immunity, is surging in the food industry across all areas such as bakery & confectionery, dairy & frozen desserts, baby food, and beverages, among others. The growth of end-use industries will have a direct impact on the growth of the fruit puree market.
Growth of Baby Food Industry, 2017-2022
The outbreak of COVID-19 has created panic among the consumers with temporary closures of retail stores in an attempt to curb the spread of the virus. This has led to a rise in the sale of convenience foods which has significantly increased the demand for bakery & confectionery and baby nutrition food products. Thus, these application areas will witness the highest growth in the consumption of fruit puree in the coming years. Citrus fruits are excellent sources of antioxidants, vitamins, and nutrients and assist in boosting immunity in the human body, due to which, they are expected to witness the highest surge in demand among the application industries.
However, the lockdown has affected farming practices worldwide, which has greatly impacted the supply of fruits. This has led to increased prices of raw materials for the manufacturers of fruit puree. Moreover, the impact of COVID-19 on logistics also contributes to the increased prices of raw materials. With barriers to the cross-border transportation of commodities during the current pandemic, the manufacturers are highly dependent on local raw material suppliers, which has increased the bargaining power of the suppliers. Thus, the rise in raw material prices would lead to increased prices of fruit puree for the next few years.
Table of Content
Source: MRFR Analysis