Tofu, also known as bean curd, is creamy and protein-rich soy that is made from soyabean. It is made by curdling and pressing it into the solid blocks. There are two types of tofu available in the market, namely, the processed tofu and unprocessed tofu. The unprocessed tofu is available in the market in a variety of textures. This product is used in various types of cuisines as it can absorb the flavors of different types of spices. In India, soya tofu is used in Indian dishes to make them tastier. This has raised the Tofu Market demand for tofu in India. Tofu is also considered a rich source of various nutrients like magnesium, calcium, zinc, iron, etc.
In 2020, the valuation of the market for tofu was USD 1988.47 Mn. However, the tofu market size is estimated to increase and reach a huge valuation if the CAGR is measured at 6.30% during the forecast period. There is a rise in the preference for a vegan diet among the people of various developed countries due to their health concerns. This is a major factor that is driving the growth of the tofu industry.
During the outbreak of the COVID-19 pandemic, various food, and beverages industries have been affected immensely. The demand for frozen food products, flour, eggs, whole grains, fruits, and vegetables witnessed a huge growth during the early stages of lockdown. But now, many companies have been affected due to the low supply of raw materials. The tofu market has also been affected due to insufficient supply which resulted in a disruption of demand and supply chain. It is now concentrating on altering its supply chains that can help to strengthen its online presence. The vendors of the tofu industry are also changing their delivery measures to adapt to the current business situation of the world. In few countries, the outbreak of COVID-19 increased the demand for protein-rich and plant-based food like tofu. The shortage of meat products during the lockdown was a major reason that fueled the growth of the market for tofu.
Tofu is a healthy source of meat alternatives which is a major factor that is driving the growth of the Tofu Market. It is added to various cuisines to make the dish tastier. This increases the demand for tofu which in turn fuels the market for tofu. Other major reasons that are responsible for driving the growth of the market are the emergence of food-based eCommerce platforms and the increase in the growth of the various organized retail sectors in the countries.
The health concerns among the people are rising rapidly and so people are shifting towards healthy vegan food from non-vegetarian dishes. This increase in the demand for healthy food like tofu is a great opportunity for the market of tofu.
Tofu is very rich in calcium as it has got calcium sulphate which is added artificially to it. Due to the insufficiency of the natural content of calcium, many people are reluctant to its consumption. This can be a major restraining factor in the tofu market.
Apart from the major drivers that are responsible for driving the growth of the market for tofu, there are various challenges as well that may challenge the growth of the Tofu Market in the coming years. The availability of substitute products for tofu is a major challenge that the market may face during the forecast period. Also, tofu and tofu-based products have a high rate of perishability which may also pose a major challenging factor for the market.
There is a significant growth in the food and beverage industry which is resulting in the rise in demand for tofu. The increase in the instances of various lifestyle disorders is mostly responsible for the worldwide adoption of low-cholesterol and low-fat vegan products like tofu. The valuation of the market is expected to rise more in the coming years due to the excessive demand of the people. At a CAGR of 6.30%, the market for tofu will witness high growth during the forecast period.
Value Chain Analysis
Tofu is gluten-free and healthy and hence, the value of the tofu market is expected to rise in the future due to the rising awareness of health concerns among people and also the shift from meat products to vegetarian or vegan products. The Food and Drug Administration (FDA) in the US suggests that the consumption of 25 gms of tofu daily makes sure that there is a proper intake of protein and also helps in balancing the cholesterol level. Tofu enhances the taste of any vegetarian or vegan foods due to its excessive absorbent power. It is used in hot dogs, ice-creams, burgers, shakes, sauces, and many other foods. The growth in the preference of the consumers is expected to impact the demand for organic tofu at a great level.
The tofu market is segmented into four categories on the basis of types, products, applications, and distribution channels. However, these four categories are again divided into their sub-segments which are mentioned below.
By Distribution Channel,
Geographically, the market for tofu is segmented into five major regions which include North America, Latin America, Europe, Asia Pacific, and the Middle East, and Africa. Among these regions, Asia Pacific has been dominating the market for a very long time due to the presence of countries like Japan, South Korea, China, and other South East Asian Countries. The people of these countries are very much fond of tofu and hence, the demand remains quite high. This is the major reason for the growth of the tofu market in the Asia Pacific region.
However, during the forecast period, North America is expected to witness a huge growth in the tofu market due to the UK market which is estimated to hold the largest market share due to the shifting of the lifestyle towards veganism. Tofu is considered a niche product because of the strong dominance of meat products. There is an increase in the growth opportunity of the market in the North American region due to the rise in the trend of vegetarian and vegan diet along with the rise in the awareness of tofu as it is a great source of protein.
The tofu market is segmented into various regional and international players. These players are constantly competing against each other to retain their position in the market. They are implementing new marketing strategies to market tofu in their regions and also expanding their product portfolio. The competition is for product innovation, distribution, and pricing. Some of the top companies that are responsible for influencing the growth of the tofu industry include Eden Foods, House Foods Group, Nisshin Oillio Group, and Hain Celestial Group. The companies are also forming mergers and acquisitions to strengthen their position in the market and beat their opponent.
List of Key Companies:
There are no recent developments in the tofu market.
The Tofu market research report covers the growth of the market along with the various factors that are affecting the market which include the drivers, restraints, opportunities, and challenges. The segmentation of the tofu industry based on distribution channel, application, type, and the product is also discussed in this report. A competitive analysis is also done on the market which is discussed briefly in the report. Also, tofu consumption by country is also outlined in the tofu industry report. This report also consists of the impact of the recent COVID-19 pandemic on the market. The report also offers a comprehensive evaluation with the help of historical data and in-depth qualitative insights.
|Market Size||USD 1,219.7 million|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Type, Channel, Service|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Hain Celestial Group (US) House Foods Group Inc. (Japan) Moringa & Co. (France) Vitasoy International Holdings (US) Pulmuone Co., Ltd. (South Korea) Eden Foods, Inc. (US) The Nisshin Oillio Group, Ltd. (Japan) Kikkoman Corporation (Japan) Bell Food Group (Switzerland) Dean Foods (US)|
|Key Market Opportunities||Increasing demand for healthy source of protein alternatives|
|Key Market Drivers||Growth of the organized retail sector in developing countries|
Asia Pacific region is already dominating the market and is expected to hold the largest market share during the forecast period due to the excessive demand for tofu in countries like Japan, South Korea, China, and other South East Asian Countries.
Dean Foods, Eden Foods, Pulmuone Co., Kikkoman Corporation, Moringa & Co, Hain Celestial Group, Bell Food Group, and House Foods Group are some of the key players in the tofu market.
In 2020, the tofu market was valued at USD 1,219.7 million but it is expected to rise more and reach a higher valuation if the CAGR is measured at 6.3% during the forecast period.