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A new study by Fact.MR reveals that the global fruit puree market is projected to reach US$ 24.11 billion by 2024, with demand expected to grow at a CAGR of 6.7 %through 2034. The global fruit puree market is expanding rapidly as more consumers opt for packaged and convenient food products.

Fruit purees are increasingly used in various food processing sectors, including bakery products, beverages, smoothies, confectionery items, baby foods, dairy, and frozen products, driving up demand.

The growth of the food and beverages industry, supported by favorable trade policies and a rising global population, has positioned fruit purees as a popular, healthier alternative to sweeteners and artificial ingredients in food processing. The increasing number of working-class parents is boosting the demand for processed baby food, making fruit purees a highly sought-after component in infant and toddler diets due to their significant nutritional value.

The rapid expansion of the food and beverage industry, spurred by favorable trade regulations and a growing global population, highlights fruit purees as a healthy alternative to sweets and artificial ingredients. In developed countries like the United States and Germany, the preference for packaged juice as a daily breakfast item is significantly boosting demand for fruit purees across all age groups.

The rising consumption of canned and packaged foods, along with the extensive reach of retail networks, is expected to positively influence the market’s growth by improving product availability and distribution. Consumers are primarily drawn to these products for their health benefits. Probiotic beverages infused with fruit purees, such as Actimel, are gaining popularity for their immune-boosting properties. Additionally, fruit purees are increasingly recognized as sugar alternatives worldwide.

Key Takeaways from Market Study

  • The global fruit puree market is forecasted to expand at a CAGR of 6.7% through 2034.
  • Global sales of fruit purees are estimated at US$ 24.11 billion in 2024. The market is projected to reach US$ 46.33 billion by 2034-end.
  • The North American market is projected to expand at a CAGR of 6.1% through 2034.
  • The bakery segment is estimated to account for 25% market share in 2024. East Asia is forecasted to account for 25.2% of the global market share by 2034.

“Global fruit puree consumption is growing rapidly as more consumers prefer convenient food products that include natural ingredients. Fruit purees are being increasingly used in the bakery, beverages, confectionery, baby food, and dairy industries,” says a Fact.MR analyst.

Regional Analysis

The United States is a crucial market for fruit puree producers due to its extensive and varied consumer base, strong food and beverage sector, and shifting consumer tastes. The diverse American population, which enjoys a wide range of cuisines and dietary trends, drives high demand for fruit purees across multiple applications such as beverages, desserts, snacks, and baby foods.

Producers can capitalize on the American preference for convenient and nutritious food options by positioning fruit purees as essential ingredients. Additionally, the growing emphasis on natural and clean-label products aligns well with the inherent qualities of fruit purees, making them appealing to consumers focused on wellness and healthy eating habits.

Market Developments

Key fruit puree producers are Kanegrade, Kiril Mischeff, Tree Top, Mine Fruit Products, Döhler, Uren Food Group Limited, Dennick Fruitsource and Milne Food Products. Key companies in the industry are joining forces by merging and acquiring other companies. They are also launching new products to make their position stronger and grab a larger share of the market.

Recent Developments

  • In 2019, Döhler took control of the majority stake in Zumos Catalano Aragoneses S.A., a producer based in Spain specializing in juices, purees, and concentrates.
  • In 2020, Tree Top Fruit Ingredients introduced its Tree Top Fruit+Water pouches, a line of hydrating pouches crafted with over 45% juice specifically tailored for children. These single-serve pouches offer low-sugar beverage options, fortified with vitamin C. The product comes in four enticing flavors: grape, fruit punch, tropical, and berry.

Orange supply is expected to gradually increase in June, however, the demand for the fruit is also supposed to be higher, as orange processing rises. This scenario may limit devaluations in the in natura market.

Processing plants are expected to begin activities in June. So far, five plants of the large-sized processors have been operating in São Paulo State, and more plants are supposed to begin activities this month, majorly in the second fortnight.

In the spot market, values have been stable. The processors that are currently purchasing oranges in the spot have been paying from BRL 25 to BRL 27.00 per 40.8-kilo box (harvested and delivered at processor). As for contracts, quotations have hit BRL 32.00/box, however, not all plants are receiving fruits, and some of them have minimum quality requirements, mainly related to ratio.

The weather has been favouring the development of the 2022/23 orange crop. In general, frequent rainfall (since mid-October 2021) is helping the oranges to grow bigger and, thus, agents expect productivity to recover from the two previous seasons, when the volume harvested was low.

According to Cepea collaborators, the general scenario has been more favourable this year. Although the first blooming was late in some orchards (in mid-September in irrigated orchards and in October in dry land, after the return or rains), the number of flowers was considered positive, complemented by other blooming in the following months. Besides, the fruits set rate was high, favoured by rains followed by sunny days most of the time.

It is important to highlight that the damages caused by the long drought in the last two years (and frosts in some areas last Winter) were not completely offset, however, orange trees are currently more vigorous, leading agents to believe that productivity will be higher this season. Still, agents have distinct estimates about the harvest: some, who are more pessimistic, expect 300 million boxes to be harvested, while others, more optimistic, believe it will hit 350 million boxes. However, most of them expect something between 300 and 350 million boxes.

The only available estimates were released by the USDA in December, indicating the crop in São Paulo and the Triângulo Mineiro to total 305 million boxes (15.5 % higher than that in 2021/22). Agents are waiting for Fundecitrus’s estimates, to be released in May.

It is worth to mention that, despite the production increase, orange supply is expected to be tight in the 2022/23 season, due to the high demand from processors to replenish juice stocks – which are forecast at 127 thousand tons by the end of the 2021/22 season, in June 2022, according to estimates from CitrusBR. Still according to CitrusBR, this volume will not be enough to meet the world demand until the new season steps up.

In that scenario, even if the volume produced is near the expected by the more optimistic, there should not be an orange surplus, which justifies the high prices bid by processors for 2022/23.

This scenario may also limit supply in the in natura market along the season, however, this would not ensure higher prices, since the purchase power of many consumers in Brazil is weak because of the current high inflation and the national economic scenario.