Frozen Food Market: Current Analysis and Forecast (2024-2032)

Frozen Food Market Size & Forecast

The frozen food market was valued at USD 282.50 billion in 2023 and is expected to grow at a robust CAGR of around 5.10% during the forecast period (2024-2032), owing to the growing demand for convenience foods and time-saving, along with the rising urbanization and economic growth.

Frozen Food Market Analysis

The frozen food market has emerged rapidly in the last couple of years due to rising urbanization and economic growth.  Increased urbanization and economic growth are key factors that expand the frozen food industry, affecting multiple processes and consumer behavior. People moving to cities and towns in search of better lifestyles, health considerations, and time constraints have led to a reduction in the practice of kitchen cooking. Further, moving from home kitchens to outside facilities and with the growing disposable income in developing nations, there is a rise in the need for convenience as far as food is concerned, which the production of ready-to-eat foods meets. Urbanization also results in an enhanced infrastructure for cold chains and new and better store formats, thus making frozen foods available to a broader group of consumers. This trend is further fast-paced due to the increased number of supermarkets and hypermarkets in emerging markets. Besides, with economic growth, there emerges a group of middle class that requires diversified types of meals, including international ones, which are met with frozen foods. The combination of these conditions is beneficial for the frozen food market, forcing companies to develop new products and logistics models to fit the needs of the growing urban population who prefer ready-made meals but do not want to compromise on quality and taste.

Recent instances and developments highlighting this trend include:

• In April 2023, Carrier Transicold launched the Supra eCool truck refrigeration series. The new Supra eCool electric units will cover 14- to 28-foot, Class 5 to 7 straight trucks. These trucks are designed for regulatory compliance or simply cleaner, more sustainable options to deliver frozen foods across the industry. The enhanced cold chain facility drives the frozen food market.

• In February 2023, DHL Global Forwarding expanded its U.S temperature-controlled warehouse network with an investment of USD 8 million. The company is opening a new 40,000-square-foot warehouse to meet industry demand.

Frozen Food Market Trends

This section discusses the key market trends influencing the various segments of the frozen food market as identified by our research experts.

Innovative Packaging Solutions

Innovative Packaging Solutions are another important trend in Global Frozen Food, where they respond to top benchmark concerns and industry difficulties. This trend is about creating packs that offer product protection, freshness, increased shelf life, convenience, and respect for the environment.

• In August 2023, a leading frozen food firm launched self-heating packs for ready-to-eat meals, which allow consumers to warm food even without using a microwave. For this product range, the firm got a 15% sales uplift.

• In October 2023, a major packager introduced nano-barrier packaging technology that increases frozen food shelf life by 40% and decreases freezer burn occurrences by 60%.

These innovations reflect the industry's adaptation to evolving consumer preferences for healthier frozen food options.

Frozen Food Industry Segmentation

This section provides an analysis of the key trends in each segment of the global frozen food market report, along with forecasts at the global, regional, and country levels for 2024-2032

The Dairy Products Market Dominates the Frozen Food Market

Based on the products category, the market is segmented into fruits & vegetables, dairy products, meat & seafood products, convenience food & ready meals, and others. Among these, the dairy products market occupies the largest market share in the frozen food market by producing frozen dairy products, including ice cream as well as frozen yogurt and butter, and cheese. Consumers make more frozen dairy product choices because these items offer longer durability, together with ease of use, plus multitudinous flavor varieties. Plant-based frozen dairy products with lactose-free features continue to increase market demand along with their rising popularity. Freezing technology improvements allow for preserving dairy product texture and nutritional value, thus keeping this segment active in propelling frozen food industry growth.

The Food Service Market Dominates the Frozen Food Market

Based on the consumption category, the market is bifurcated into food service and retail. Among these, the food service market occupies the largest market share in the frozen food market. Food service operations like fast-food restaurants, hotels, and catering businesses push frozen food sales across the world. Organizations use frozen food items because they offer dependable results along with longer durability and faster cooking times. The growing need for quick restaurant meals and expanded internet food delivery services makes restaurants use more frozen food products. The worldwide growth of food service businesses will maintain the need for frozen food as their most economical production solution.

North America Dominates the Frozen Food Market

North America's frozen food market currently dominates and is expected to dominate in the forecasted period. The frozen food industry in North America, primarily in the United States and Canada, is growing at a fast pace due to innovations in technology and changing customer trends. The market is supported by advanced freezers that freeze items to a better quality and packaging that makes the items easily accessible. Some of the leading companies in the industry include ConAgra Foods, General Mills, and Kraft Heinz, and while these players are diversifying their product portfolios to meet the new trends, the frozen food industry is characterized by intense competition. Also, the expansion of e-commerce has enabled a wider market for frozen foods and better cold chain technologies. Additionally, there is growing awareness of healthy living, and this is putting pressure on the manufacturers to provide better quality frozen foods that are organic, hence extending the market. For instance, in June 2023, ConAgra Foods released its new line of organic frozen meals based on the increasing focus on healthier foods in the frozen food market. These products are designed to meet consumer expectations by solving mealtime dilemmas and satisfying cravings.

The U.S. Dominates the North American Frozen Food Market

The U.S. frozen food industry grows rapidly thanks to changing consumer habits and convenience improvements, plus the latest freezing methods. People with busy lives now prefer purchasing frozen food products because they need convenient, ready-made meals and treats. People are now more aware of leftover food prevention methods, and better transportation networks are accelerating market growth. The market for frozen foods will keep expanding because of maturing plant-based and healthy product development.

Frozen Food Industry Overview

The frozen food market is competitive and concentrated, with few global and international players. The key players are adopting different growth strategies to enhance their market presence, such as partnerships, agreements, collaborations, new product launches, geographical expansions, and mergers and acquisitions. Some major players operating in the market are Unilever, Nestle, The Kraft Heinz Company, General Mills Inc., Cargill, Incorporated, Ajinomoto Co., Inc., WK Kellogg Co., Conagra Brands, Inc., Tyson Foods, Inc., and FRoSTA AG.

Recent Developments in the Frozen Food Market

• In 2024, Nestlé India signed a strategic collaboration agreement with restaurant SOCIAL and BOSS Burger to experiment with MAGGI Professional’s plant-based products.

• In 2023, Konscious Foods introduced the first in a line of plant-based frozen ‘raw’ seafood in Whole Foods. They are the first to offer fully frozen sushi, nigiri, and poke bowls, among others.

• In March 2024, Campbell Soup Company, a US-based fast-moving consumer goods company that deals in flagship canned soup products, acquired Sovos Brands, Inc. for an amount of USD 2.7 billion. The acquisition strengthens Campbell’s product portfolio and its presence in the market. With the help of this acquisition, the company has added a range of products frozen entrées, frozen pizza, and yogurts, under the brand names Rao’s, Michael Angelo’s, and Noosa.

• In November 2023, Tyson Foods, a US-based company specializing in food processing and the world’s second-largest processor of chicken, beef, and pork after JBS S.A., invested USD 300 million fully cooked food production facility in Danville, Virginia. The investment increased the production capacity of the company and met the growing demand for frozen protein-rich foods.

Frozen Food Market Report Coverage

Reasons to Buy the Frozen Food Market Report:

• The study includes market sizing and forecasting analysis validated by authenticated key industry experts.

• The report presents a quick review of overall industry performance at a glance.

• The report covers an in-depth analysis of prominent industry peers with a primary focus on key business financials, product portfolios, expansion strategies, and recent developments.

• Detailed examination of drivers, restraints, key trends, and opportunities prevailing in the industry.

• The study comprehensively covers the market across different segments.

• Deep dive regional-level analysis of the industry.

Customization Options:

The global frozen food market can further be customized as per the requirements or any other market segment. Besides this, UnivDatos understands that you may have your own business needs; hence, feel free to contact us to get a report that completely suits your requirements.