BRIC Organic Baby Food Market: Expected to Surge with a 16.1% CAGR by 2033

In 2023, the BRIC organic baby food market is expected to be worth US$ 5.5 billion in revenue. The market is expected to grow at a CAGR of 16.1% to reach US$ 24.5 billion by 2033.

Parents’ worries about the risks of chemical additives in baby food have prompted consumers to look for organic substitutes. Growing interest in clean label trends is anticipated to increase demand for plant-based goods. According to a survey conducted by Future Market Insights (FMI), sales of organic infant foods from BRIC countries are expected to rise in the next years. Through 2021 and beyond, the market is anticipated to expand at a double-digit CAGR.

As parents prioritise providing their children with healthy and natural food options, the BRIC organic baby food market is growing quickly. Market expansion has been fueled by rising consumer knowledge of the advantages of using organic ingredients and rising demand for products made without chemicals. Manufacturers are developing novel products to satisfy a variety of nutritional needs, which is assisting in the sector’s expansion.

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Organic baby food producers aim for nutrients rich profiles in formulations, in a growing range of flavors and targeted age group demographics. Following the covid-19 pandemic sales through online channels have witnessed an upsurge, which is unlikely to change through 2031.

Major investments by governments towards urbanization and the rapid transition of rural populations to urban centers is creating increased potential for organic baby food sales. Consumer health and environment consciousness will contribute to greater demand for the foreseeable future.

Key Takeaways from BRIC Organic Baby Food Market Report

  • The demand for milk formula products is expected to witness a consistent rise, enabling the market register an exponential double digit growth rate between 2021 and 2031.
  • Sales through retail supermarkets will drive revenues in the industry, supported by robust supply chains.
  • The Chinese and Indian markets for organic baby foods is a key contributor to revenues on the back of large infant populations.
  • Increasing demand for vegan products will bolster growth in Brazil
  • Government initiatives undertaken to aid infant health will support growth in India and South Africa.

Brand Positioning in Terms of Health Claims Creates Opportunities

Sales of baby food products are largely reliant on health claims made by brands, with information about the pros and cons of breast feeding clearly stated and available through the internet. Some of the more prominent structural and health claims used by brands include information on digestibility and characteristics associated with immune systems and growth.

Many products also come with recommendations to seek the advice of healthcare professionals prior to feeding baby foods to children below the age of 1 year, which also clearly stating the advantages of breast feeding. Also high levels of concern among parents about obesity, and added sugar and salt are key to labelling practices in the industry. While TV and radio are not given much importance, social media channels are gaining ground for promotional activities.

Warnings and recommendation labels are more common on milk supplement products over the adequate and correct use of these products, especially for toddlers transitioning to solid foods. These trends are expected to have a significant impact on developments within the industry.

Who is Winning?

Leading players in the BRIC organic baby food market include but are not limited to H.J. Heinz Company, Nestle S.A, British Biologicals, Groupe Danone, Bellamy’s Australia Limited, Abbott Laboratories, Campbell Soup Company, Otsuka Holdings Co., Ltd. Major players are seeking to expand production capacities, widen product portfolios and geographical reach in a bid to edge out conventional baby food product manufacturers.

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BRIC Organic Baby Food Market Segmentation by Category

Product Type:

  • Ready To Feed
  • Prepared
  • Milk Formula
  • Dried
  • Other Product Types

Distribution Channel:

  • Chemists/Pharmacies/Drugstores
  • Internet
  • Specialty Outlet
  • Super Market
  • Other Channels

Region:

  • India
  • Brazil
  • China
  • Russia

For example, Serenity Kids announced a US$ 3 million investment round in December 2020, aimed towards the expansion of organic baby food portfolio. Nestle, in September 2020, announced plans to expand its infant formula production operations in Russia with an investment of US$ 45.8 million including a full cycle factory in Vologda. In January 2021, Timios, based in India announced the launch of its organic baby porridge product to add to its portfolio of toddler snacks including energy bars, pre-probiotic bites, and melts.

About Future Market Insights (FMI)

Future Market Insights, Inc. (ESOMAR certified, recipient of the Stevie Award, and a member of the Greater New York Chamber of Commerce) offers profound insights into the driving factors that are boosting demand in the market. FMI stands as the leading global provider of market intelligence, advisory services, consulting, and events for the Packaging, Food and Beverage, Consumer Technology, Healthcare, Industrial, and Chemicals markets. With a vast team of over 5000 analysts worldwide, FMI provides global, regional, and local expertise on diverse domains and industry trends across more than 110 countries.

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