Edible nuts are dried fruits consumed worldwide and are an important source of nutrients such as fiber, potassium, vitamin A, iron, and Vitamin K. Edible nuts include almonds, cashew nuts, hazelnuts, walnuts, pistachios, chestnuts, and Brazil nuts. Edible nuts are used across various food &beverage applications such as desserts, bakery, snacks, etc.
Global edible nuts market is estimated to account for around US$ 228,230.4 million in terms of value in the year 2019 and it predicted to grow at a CAGR of 5.8% during the forecast period (2020-2027).
Various regulatory bodies are creating awareness regarding the health benefits of edible nuts in order to encourage consumption among consumers. Consumption of edible nuts reduces the risk of diabetes, coronary heart diseases, and gallstones. In addition to this, the consumption of nuts also reduces cholesterol levels, risk of cancer, infection, and hypertension. All these benefits associated with the consumption of edible nuts are expected to bolster the market growth.
Growing demand for plant-based beverages which is derived from edible nuts is projected to provide potential opportunities to the market. For instance, in October 2019, Blue Diamond, a grower-owned cooperative and the almond marketer and processor expands their portfolio with the launch of Almond Breeze Almondmilk Mexican Hot Chocolate. It is produced by using California-grown almonds, the beverage is plant-based and contains traditional ingredients such as cinnamon, red pepper, and allspice.
Side-effects associated with the excessive consumption of edible nuts as they are high-fat content which is mostly unsaturated is expected to limit the consumption of edible nuts. A high amount of fat could lead to high calories which can result in unhealthy weight gain. Moreover, excessive consumption of flax seeds have significant side-effects such as laxative effects which can cays diarrhea and bowel disease. All these side-effects are expected to hamper the market growth of edible nuts.
On the basis of region, Asia Pacific region dominated the global edible nuts market in 2019 with a 63.1 % of market share in terms of value, followed by Middle East & Africa and North America respectively.
Consumption of nut-based spreads is a growing trend in the market and this trend is expected to augment the market growth of edible nuts. For instance, in March 2019, Marmite launched a ‘ground-breaking’ first peanut butter blend. The new product comprises about 90% nut butter with about 10% yeast extract and it is a combination of crunchy peanut butter and the yeasty taste of Marmite. Thus, the growing popularity of nut-based spreads is expected to accelerate market growth.
Edible Nuts Market - Impact of Coronavirus (Covid-19) Pandemic
Despite strong demand for basic food products such as dairy products, supply chain disruptions has prevented dairy farmers from getting their products to market. The dairy business is expected to have higher impact of the current crisis as milk products are highly perishable. This is expected to impact demand of edible nuts from this sector. According to Coherent Market Insights, edible nuts market will grow at a slightly lower CAGR between 2020 and 2021.
Few Recent Developments
In October 2019, Olam International has expanded its capacity in almond ingredients with the $54 million acquisition of Californian almond processor Hughson Nut Inc. (HNI). HNI’s processing capabilities allow it to offer a “fully integrated solution” across the almond value chain from the US, including processed whole nuts and value-added ingredients.
By Product Type