The global frozen food market would garner revenue of $306 billion by 2020, registering a CAGR of 4.1%, according to the new report World Frozen Food Market Opportunities and Forecasts, 2014-2020.
Ready meal market encompassing ready to eat foods would account for the highest sales value of $112.7 billion by 2020. North America and Europe together account for nearly 72% of the total market revenue. However, developing markets would witness a significantly higher growth over the forecast period.
The growth of the frozen food market would primarily be driven by the growing demand and consumption of frozen foods in the developing markets such as India, China, and other Asian countries. Increase in disposable income coupled with change in lifestyle and food habits are major factors boosting the market growth in these regions. Moreover, rapidly increasing number of large retail chains including hypermarkets and supermarkets has bolstered the demand of frozen food in developing Asian countries. However, lack of proper refrigeration facility in retail stores and inadequate distribution facility in semi-urban and rural areas are the major challenges for the industry in developing markets.