Organic Infant Formula Market Size, Share, Growth, and Industry Analysis, By Type (Wet Process Type, Dry Process Type), By downstream industry (First Stage, Second Stage, Third Stage) and Regional Forecast to 2032

ORGANIC INFANT FORMULA MARKET REPORT OVERVIEW

The global Organic Infant Formula Market size was USD 341.7 million in 2023 and the market is projected to touch USD 789.3 million by 2032, exhibiting a CAGR of 12.7% during the forecast period. 

The global Organic Infant Formula Market is poised for substantial growth in the coming years, driven by several factors. The market has been experiencing growth owing to increasing awareness about the benefits of organic products and rising concerns about the quality and safety of nutrition in infants. The middle class population in emerging economies with an increasing demand for organic products are the major reason behind the market growth along with enhanced product availability and online access through e-commerce.

COVID-19 Impact: Market Growth Restrained by Pandemic due to supply chain disruptions

The global COVID-19 pandemic has been unprecedented and staggering, with the market experiencing higher-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden market growth reflected by the rise in CAGR is attributable to market’s growth and demand returning to pre-pandemic levels.

Meanwhile the pandemic restrained the market growth for a lot of other sectors or industries, the healthcare industry was highly benefitted from it. With more time being spent at home, there happened to be a notable shift towards wellness and health, which eventually led to an increased demand for infant health products, thereby channeling higher demand. Moreover, the clinics implemented strict health regulations and safety protocols, leading to parent demanding safety products for their children or infants.

LATEST TRENDS

"Increased online presence to Drive Market Growth"

With the advent of pandemic, there has been an increase in health awareness, which has eventually contributed to Organic Infant Formula market growth. Due to pandemic, parents shifted to online sales due to the strict regulations imposed by government on travel and trade, leading to shut down of retail stores. This shift to e-commerce was majorly due to adapting to contactless shopping in order to provide a higher safety. Therefore, the consumers emphasized more on online sales channel, which also led to companies enhancing their e-commerce platforms, to provide with an ease of purchase.

ORGANIC INFANT FORMULA MARKET SEGMENTATION

By Type

Based on type the global market can be categorized into Wet Process Type, Dry Process Type

• Wet process type- this generally involves the usage of liquid ingredients and requires to be handled carefully to ensure product safety.
• Dry process type- this generally involves the usage of dry or powder like ingredients and generally have a long shelf-life product.

By downstream industry

Based on downstream industry the global market can be categorized into First Stage, Second Stage, Third Stage

• First stage- it primarily refers to the initial stage of formula production and is crucial for establishing nutritional formulation.
• Second stage—it primarily involves further processing and ensures that the stringent quality standards and requirements are met.
• Third stage- it involves the packaging and distribution of final product and maintains compliance with regulations.

DRIVING FACTORS

"Increasing e-commerce expansion To Boost The Market"

One of the key driving factors in the global Organic Infant Formula market growth is the increase in e-commerce and online retailing. With the advent of pandemic, there has been an increase in health awareness, which has eventually contributed to Organic Infant Formula market growth. Due to pandemic, parents shifted to online sales due to the strict regulations imposed by government on travel and trade, leading to shut down of retail stores. This shift to e-commerce was majorly due to adapting to contactless shopping in order to provide a higher safety.

"Increased awareness of nutrition To drive demand"

Owing to the rising number of births and adoptions, there has been an increased awareness of the need for infant healthcare and safety. Parents now understand the need for investing in infant care products, for essential nutrition, thereby leading to a greater demand for Organic Infant Formula. Moreover, initiatives taken by government, healthcare investments and diagnostic associations now educate people regarding the importance of infant health and safety, leading them to invest more in Organic Infant Formulas.

RESTRAINING FACTORS

"Premium pricing Serving As A Barrier In The Growth Of Pet Oxygen Mask Market"

Organic infant formulas generally come with a premium or high price tag which might be capital extensive for middle class population with stagnant disposable incomes. Moreover, for the price sensitive customers it might be difficult to access these as they are highly priced compared to conventional formulas. Additionally, parents with limited financial resources may even find it challenging to devote a significant part of capital for such formulas. The high cost might serve as a financial strain on the customers, thereby affecting their ability to invest in Organic Infant Formula.  

ORGANIC INFANT FORMULA MARKET REGIONAL INSIGHTS

The market is primarily segregated into Europe, Latin America, Asia Pacific, North America, and Middle East & Africa.

"Asia Pacific Region Dominating the Market due to continuous technological advancements"

Asia-Pacific has emerged as the most dominant region in the Global Organic Infant Formula market share due to various factors. The region's dominance is mainly due to the rise in disposable incomes of the middle class population, which is in turn leading to urbanisation and rising health consciousness. Moreover, the Asia-Pacific region also appears to be one amongst the mature markets with an increased awareness regarding traditional ingredients. Growing interest in natural and organic products and a demand for such formulas are leading to a significant improvement in the market. Moreover, government support and initiatives further boost the market. Additionally, the competition from international brands and high consumer demand in the Asia-Pacific market, further contributes to its dominance in the global market share.

KEY INDUSTRY PLAYERS

"Key Industry Players Shaping the Market through Innovation and Market Expansion"

The Organic Infant Formula market is significantly influenced by key industry players that play a pivotal role in driving market dynamics and shaping consumer preferences. These key players possess extensive retail networks and online platforms, providing consumers with easy access to a wide variety of options. Their strong global presence and brand recognition have contributed to increased consumer trust and loyalty, driving product adoption. Moreover, these industry giants continually invest in research and development, introducing innovative designs, materials, and smart features, catering to evolving consumer needs and preferences. The collective efforts of these major players significantly impact the competitive landscape and future trajectory of the market.

List of Market Players Profiled

• Nutribio (Europe)
• Humana (U.S.)
• Abbott (U.S)
• Shengmu (China)

INDUSTRIAL DEVELOPMENT

2023: Nestle NAN Organic has recently introduced an updated version of its NAN organic infant formula, which is widely known for containing improved probiotics and omega-3 fatty acids which supports digestive health and helps in cognitive development.

REPORT COVERAGE 

The study encompasses a comprehensive SWOT analysis and provides insights into future developments within the market. It examines various factors that contribute to the growth of the market, exploring a wide range of market categories and potential applications that may impact its trajectory in the coming years. The analysis takes into account both current trends and historical turning points, providing a holistic understanding of the market's components and identifying potential areas for growth.

The research report delves into market segmentation, utilizing both qualitative and quantitative research methods to provide a thorough analysis. It also evaluates the impact of financial and strategic perspectives on the market. Furthermore, the report presents national and regional assessments, considering the dominant forces of supply and demand that influence market growth. The competitive landscape is meticulously detailed, including market shares of significant competitors. The report incorporates novel research methodologies and player strategies tailored for the anticipated timeframe. Overall, it offers valuable and comprehensive insights into the market dynamics in a formal and easily understandable manner.